JSLG3 JSL

JSL S.A. is a Brazilian logistics company whose common shares are traded on B3 under the ticker JSLG3. Its origins date back to 1969, when it began operations in general cargo road transportation under the name Julio Simões S.A. From the 1980s onward, it expanded its scope to include employee transportation for clients and fleet outsourcing, in line with growing demand for specialized services. In the 1990s, the company shifted its focus toward optimizing supply chains, connecting industries, suppliers and customers in a more integrated way. This movement culminated, from the 2000s on, in the consolidation of an integrated logistics services model, with customized operations and a focus on cost reduction and increased operational efficiency for companies in different sectors.

In 2010, then called Julio Simões Logística, the company carried out its initial public offering and joined the Novo Mercado segment of B3, with a capital structure designed to support expansion plans. In the same year, it adopted the JSL brand, unifying operations previously conducted under different brands, such as Julio Simões, Grande ABC and Lubiani. Over time, the company used acquisitions as a tool for growth and diversification, including the purchase of Rodoviária Schio in 2011, expanding its presence in logistics of temperature-controlled products and opening operations in Argentina, Uruguay and Chile. Subsequently, it expanded into vehicle and equipment resale and leasing, and also operated in light and heavy vehicle rental through subsidiaries that, following the group’s corporate reorganization, began to pursue their own separate paths. In 2020, the company ceased to operate as a holding company and started to focus exclusively on operational logistics services within the Simpar group’s corporate structure.

JSL’s business model is based on the provision of integrated logistics services, focused on medium and long-term B2B contracts, combining asset-light and asset-heavy operations. All of the company’s revenue is reported in a single logistics operating segment, broken down into four main lines: road cargo transportation, dedicated logistics operations, urban distribution and warehousing services. The company operates both with its own transportation and infrastructure assets and with a large base of third-party and affiliated drivers, in addition to client-owned assets, which allows it to adjust the level of capital invested by contract. In 2024, JSL’s consolidated net revenue was fully generated by the logistics segment, underscoring the company’s specialization in supply chain management and the movement of goods.

In road cargo transportation, JSL handles the movement of inputs and finished products, including new vehicles, via the road modality in point-to-point, full-truckload operations. This activity is directly related to the dynamics of domestic consumption and exports, serving mainly the food and beverage, automotive, consumer goods and e-commerce sectors. Dedicated logistics operations, in turn, involve contracts of 3 to 5 years, with a high degree of customization and technological integration, aimed at critical activities in clients’ production processes. In this segment, the company provides services in commodity, pulp and paper, and mining chains, among others, including loading of raw materials and finished products, supply of production lines, internal handling and port area operations, road maintenance, waste management and unloading, as well as employee chartering and in-plant logistics at industrial facilities.

In urban distribution, JSL and its subsidiaries operate the so-called last mile, supplying points of sale in large urban centers, both with full-truckload and less-than-truckload operations. Operations include dry, refrigerated and frozen cargo, with real-time temperature monitoring, starting from own or third-party warehouses, or directly from industrial plants to retail. This line of business is aimed at the B2B segment, but it also connects operations that serve as a base for end-consumer delivery, especially in food and beverages and consumer goods. In warehousing services, the company manages a significant base of dedicated and multi-client warehouses, with capacity of over 1.4 million square meters, handling receiving, dry and refrigerated storage, sequencing, supply of production lines and integration with clients’ sales systems for shorter delivery times, often combined with its own urban distribution services.

JSL’s client portfolio is diversified, with more than 600 companies generating recurring revenue and low concentration of revenue in any single customer. In 2024, no client accounted for more than 10% of total net revenue, and the ten largest represented 37% of gross revenue, with an average relationship of 22 years between the company and its ten main clients. JSL serves approximately 16 sectors of the economy, with a significant contribution from retail and services to its revenue. In specific segments, the company maintains relationships with large industrial groups in pulp and paper and mining in dedicated operations, in addition to serving food, beverage and consumer goods companies in urban distribution and warehousing, which reinforces its exposure to consumer and industrial chains on a national scale.

JSL’s geographic presence is broad across Brazilian territory and includes international operations. The company maintains more than 350 branches distributed across all Brazilian states, supporting an operational base of over 34,000 technical assets and a workforce of more than 35,000 employees. Abroad, it operates in South American and African countries such as Chile, Argentina, Uruguay, Paraguay, Peru, Bolivia, South Africa and Ghana, through subsidiaries and operations that extend the reach of its transportation, distribution and logistics services. Its warehousing structure covers more than 1.5 million square meters of space and includes an intermodal logistics center, enabling the connection of different transportation modes and integrated operations.

JSL’s activities fall within a framework regulated by several agencies and rules related to transportation and infrastructure. At the federal level, the Ministry of Infrastructure is responsible for formulating the national freight transport policy and managing road infrastructure at the macro level. The National Land Transport Agency (ANTT) regulates and supervises land transport activities, including road cargo transportation, for which companies must be registered with the National Registry of Road Cargo Carriers (RNTRC). The National Waterway Transport Agency (ANTAQ) regulates and oversees waterway transport services and port infrastructure, which are relevant for operations involving port areas. The Federal Highway Police conducts traffic enforcement on federal highways, including cargo transportation, while the National Traffic Council (CONTRAN) sets technical traffic rules applicable throughout the country. This regulatory framework shapes the company’s operating environment, especially regarding safety, compliance and requirements for fleet circulation.

In management and governance, JSL operates as a publicly held company listed on the Novo Mercado, with JSLG3 shares, subject to the corporate governance practices associated with this B3 segment. Its business model combines contracts with clauses for periodic price adjustments, minimum volume provisions and, in many cases, penalties for early termination, which contributes to revenue predictability and economic protection of operations. The company adopts pricing processes that take into account the life cycle of the assets used in service delivery, including the sale of vehicles and equipment at the end of contracts, with residual value factored into economic return calculations. Although environmental, social and governance topics are inherent to transportation and logistics operations, especially in road safety, waste management, and relationships with drivers and employees, the available information emphasizes above all the contractual structure, operational efficiency and corporate organization geared toward an exclusive focus on logistics services.