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Fourth-quarter EBITDA fell 2% year on year as gross profit dropped for a fourth straight quarter to a three-year low
Fourth-quarter revenue fell 12%, outpacing the fall in costs and squeezing gross profit margins to their lowest since end-2022
Moove targets a return to historical profit levels in 2026 by addressing inefficiencies and focusing on a premium product mix
Brazilian lubricants producer and distributor Moove saw profit fall in the fourth quarter of last year as sales extended their slide, leaving the company targeting a return to historical margins after a sustained squeeze on profitability.
Moove’s EBITDA fell to 292.5 million Brazilian real ($56 million) in the three months to end-December, down 2% year on year, Cosan said in an earnings release.
Gross profit fell by a steeper 29% and for a fourth straight quarter to the lowest since end-2022.
Moove is part of Cosan.
Gross profit fell as a sustained dip in revenue outpaced a fall in cost of goods sold, squeezing margins even as Moove recovered market share and production capacity following a fire at its Rio de Janeiro plant in February last year.
Key Highlights
· Fourth-quarter revenue fell by 12% year on year and for a fourth straight quarter, outpacing a 5% fall in cost of goods sold.
· Sales volume fell by 6% year on year and for a seventh straight quarter, even after the recovery in market share and production capacity following the Rio de Janeiro fire.
· Fourth-quarter gross profit margin fell to 23%, slipping for a fifth straight quarter to the lowest since end-2022.
· Brazil’s lubricants consumption steadied in January after falling in the fourth-quarter for the third time in four quarters.
Market Repercussions
The sustained fall in sales volume pointed to a broader softening of lubricants consumption in Brazil during 2025, with Moove's own volumes slipping even as the company recovered from the disruption caused by the plant fire.
Cosan said Moove was implementing a new logistics and multi-site strategy aimed at improving profitability.
"That is Moove's objective for the year, to gradually go back to its historical profit levels," Chief Financial Officer Rafael Bergman said during an earnings call. "That will happen by addressing remaining inefficiencies, focusing on a premium mix of products, high quality services."
Moove has operations in South America, the US, and Europe and produces and distributes products under the Mobil and Comma brands.
