Moove’s Q1 EBITDA rose 1% yoy as sales volumes and revenue returned to annual growth
Gross margins posted their first sequential recovery in six quarters, signalling early stabilisation
Brazil’s tightening base oils market and rising import costs created fresh pressure on lubricant producers’ margins from end-Q1
Moove’s first-quarter profit edged higher as gross margins showed early signs of stabilising just as Brazil’s lubricants and base oils market entered a period of tighter supply availability and rising price volatility.
Moove’s EBITDA rose 1% year on year to 235.6 million Brazilian real ($47 million) in the first quarter, while revenue and sales volumes both posted their first annual increase in more than a year.
Moove produces and distributes lubricants under the Mobil and Comma brands across South America, the US and Europe.
The EBITDA margin slipped to 9.6% from 9.9% a year earlier to the lowest since the third quarter of 2024.
But gross profit margin pointed to signs of recovery amid improving revenue and sales volumes.
“This was a strong quarter, but it does not represent the potential of Moove’s profitability in Brazil or Latin America,” Rafael Bergmann, chief financial officer of Cosan, Moove’s parent company, said during an earnings call. “We’re very optimistic about Moove.”
Key Highlights
· Q1 gross profit margin of 26.1% fell from 26.9% a year earlier but recovered from 22.9% in Q4 2025.
· The quarter-on-quarter rise in gross profit margin was the first sequential increase in six quarters, after margins slipped steadily from 29.5% in Q3 2024.
· Sales rose year on year for the first time since Q4 2024, while sales volume posted its first annual increase since Q4 2023.
Market Repercussions
Moove’s higher sales volume supported a recovery in its share of Brazil’s lubricants market, although it remained below levels early last year before a fire at its Rio de Janeiro blending plant disrupted supply.
The recovery now faced a more challenging external environment. Brazil’s base oils market tightened during the first quarter and especially in March as buyers brought forward their procurement plans while domestic output held close to a two-year low.
Tight supply extended to the global market, with increased competition for premium-grade base oils adding to pressure on lubricant producers’ security of supply and replacement costs.