TXRX4

Têxtil RenauxView S.A. (Textil Renauxview), issuer of the TXRX3 and TXRX4 shares traded on B3, traces its origins to one of the oldest textile traditions in Santa Catarina. The group’s history dates back to 1892, with the founding of the fabric factory by Consul Carlos Renaux. On April 27, 1925, his son Otto Renaux, in partnership with Otto Neitsch, structured a spin-off of the original company, giving rise to Indústrias Têxteis Renaux S.A., then with only 18 employees. Over the following decades, the company consolidated its presence in the production of home décor fabrics, standing out until the late 1960s as one of the main national suppliers of upholstery fabrics, curtains, tablecloths and other household applications.

From the 1970s onwards, the company redirected its production focus to apparel fabrics, with an emphasis on men’s shirting. This move marked an important change in its revenue profile, bringing production closer to the fashion and clothing manufacturing segments. By the 1980s, when it employed more than one thousand professionals, the company had come to be regionally recognized as a good place to work, underscoring the economic and social relevance of the textile industry in the Brusque (SC) region. This history of portfolio adaptation, from décor to apparel, is a key point for understanding the evolution of Têxtil RenauxView’s business model.

In 2006, a new strategic direction broadened the company’s scope beyond men’s shirting, focusing on fashion solutions for the women’s, children’s and men’s segments. This shift was accompanied by investments in new fabric production and finishing technologies, seeking to align operations with the quality, variety and added-value demands of the apparel market. In 2007, the company formalized this transformation by adopting the name Têxtil RenauxView S.A., incorporating the new vision into its corporate name. Today, the company presents itself as a century-old textile manufacturer focused on developing a broad range of apparel fabrics, structured into four main product lines: solid (unicolor), yarn-dyed, printed and jacquard.

From an operational standpoint, Têxtil RenauxView works specifically in the production of woven fabrics for apparel, which is the parent company’s core activity and the main source of revenue. In 2024, the parent company accounted for 99.76% of the group’s net revenue, with R$ 117.4 million from fabric sales, while the subsidiary, dedicated to advisory services and financial management for the parent company itself, represented only 0.24% of revenue. The production process is vertically integrated across the key stages of the textile chain: yarn production, dyeing, weaving and fabric finishing, which allows the company to control the process from yarn preparation through to the finishing of the final product.

The company’s target market is described as highly competitive, with strong competition from imported products. Têxtil RenauxView mainly serves the Brazilian apparel market, supplying woven fabrics for clothing manufacturing that cater to different audiences and styles, according to its product lines. The company does not have its own studies on market share, but reports that there is no significant seasonality in its sales, suggesting relatively stable demand throughout the year. In 2024, there was one customer responsible for more than 10% of total net revenue, with gross revenue of R$ 15.134 million related to woven apparel fabrics, highlighting a certain concentration in large buyers in the clothing manufacturing sector.

Geographically, the company’s headquarters and industrial operations are located in Brusque, Santa Catarina, from where product distribution is also carried out. Distribution logistics are centralized in the state, serving customers throughout Brazil and, occasionally, in Mercosur countries. Revenue is predominantly domestic: in 2024, R$ 152.612 million, or 98.15% of total revenue, originated in Brazil. Argentina appears as the main foreign market, with R$ 2.879 million, equivalent to 1.85% of total revenue. In the Argentine market, the company points to the release of funds for imports established in that country as a relevant factor, which can affect the sales flow to this specific destination.

Têxtil RenauxView’s cost structure is closely tied to the purchase of yarns and chemicals, which are the main inputs used in fabric production and finishing. The company reports having several suppliers, although not all meet the required quality standards, which indicates attention to technical specifications and material consistency. Most yarns are imported, so costs are exposed to exchange-rate volatility. These inputs, on the other hand, are not subject to specific government regulation, which simplifies, in part, the relationship with regulatory bodies in the supply area.

From a regulatory and social-environmental standpoint, Têxtil RenauxView reports that it only requires environmental licenses to carry out its activities, historically granted upon compliance with legal requirements. The main environmental and social obligations highlighted involve water intake and effluent treatment, critical aspects in an industrial process that includes dyeing and textile finishing. The company states that it does not depend on patents, trademarks, licenses, concessions, franchises or royalty contracts that are material to the development of its activities, and says it does not make financial contributions to parties, candidates or initiatives seeking to influence public policy. Regarding environmental, social and governance (ESG) information, the company states that it does not publish annual reports or specific documents on the topic, which is a point of attention for investors who prioritize ESG transparency in their equity analysis.

With this profile, Têxtil RenauxView, through its TXRX3 and TXRX4 shares on B3, presents itself as a traditional industrial company in the Brazilian textile sector, focused on manufacturing woven fabrics for apparel and operating mainly in the domestic market, with limited participation in exports to Argentina and other Mercosur countries.