Earnings call transcript: Unifique Telecomunicacoes Q4 2025 revenue beats forecasts

Unifique Telecomunicacoes S.A. reported its fourth-quarter 2025 earnings, showcasing robust financial performance with revenue surpassing expectations. Despite a slight miss in earnings per share (EPS), the company’s revenue reached 324 million USD, exceeding the forecast of 294.55 million USD. The stock reacted positively, increasing by 5.49% in after-hours trading, reflecting investor confidence in the company’s operational efficiency and strategic initiatives. The telecommunications provider, with a market capitalization of $531 million, trades at a P/E ratio of 12.42 and an attractive PEG ratio of 0.66, suggesting the stock is trading at a low multiple relative to its near-term earnings growth potential.

Key Takeaways

• Revenue for Q4 2025 exceeded forecasts, reaching 324 million USD.
• EPS slightly missed expectations with a reported 0.15 USD versus a forecast of 0.1542 USD.
• The stock price increased by 5.49% in after-hours trading.
• Strong operational efficiency and strategic expansion were highlighted.
• Continued growth in broadband and mobile segments.

Company Performance

Unifique demonstrated significant growth in Q4 2025, with a year-over-year revenue increase of 13.5%. The company’s focus on operational efficiency and strategic expansion in the broadband and mobile segments contributed to its strong performance. Unifique’s market leadership in Santa Catarina and expansion into new markets like Paraná underscore its competitive edge in the telecommunications industry.

Financial Highlights

• Revenue: 324 million USD, surpassing the forecast of 294.55 million USD.
• Earnings per share: 0.15 USD, slightly below the forecast of 0.1542 USD.
• Gross Revenue: 1.4 billion BRL, a 13.5% increase year-over-year.
• Adjusted EBITDA: 613 million BRL, representing a 21.4% growth from 2024.
• Net Income: 209 million BRL, a 20% increase compared to the previous year.

Earnings vs. Forecast

Unifique’s actual EPS of 0.15 USD was slightly below the forecast of 0.1542 USD, marking a 2.72% negative surprise. However, the revenue of 324 million USD exceeded expectations by 10%, highlighting the company’s ability to drive sales growth despite the EPS miss.

Market Reaction

In response to the earnings announcement, Unifique’s stock saw a 5.49% increase in after-hours trading, with shares rising from 5.46 USD to 5.76 USD. This positive movement suggests investor confidence in the company’s revenue growth and strategic direction, despite the minor EPS miss. According to InvestingPro analysis, the stock appears undervalued based on its Fair Value assessment, and the company has delivered an impressive 139% return over the past year. InvestingPro subscribers also have access to over 10 additional exclusive tips about Unifique, including insights on the company’s dividend track record and financial health score of 3.44, rated as "GREAT."

Outlook & Guidance

Looking ahead, Unifique is focused on expanding its market presence in Paraná and enhancing its product offerings. The company has set ambitious targets for its broadband and mobile segments, leveraging its strong operational platform and strategic acquisitions to drive future growth.

Executive Commentary

Unifique’s management emphasized the company’s commitment to operational efficiency and market expansion. They highlighted the successful implementation of a unified operational platform, expected to deliver over 20% efficiency gains. The executives also noted the strategic importance of their expansion into Paraná and the potential for significant market share growth.

Risks and Challenges

• Regulatory changes could impact operational costs and compliance requirements.
• Macroeconomic conditions, including high interest rates, may affect consumer spending.
• Increased competition from national operators could pressure market share.
• Supply chain disruptions could impact equipment availability and deployment timelines.

Q&A

During the earnings call, analysts inquired about Unifique’s plans for the Paraná market entry and the expected timeline for operational platform efficiencies. The company reiterated its strategic focus on quality service delivery and customer retention as key drivers for future growth.

For investors seeking deeper insights, Unifique is one of over 1,400 US equities covered by comprehensive Pro Research Reports, which transform complex Wall Street data into clear, actionable intelligence through intuitive visuals and expert analysis—available exclusively on InvestingPro.

Full transcript - Unifique Telecomunicacoes SA (FIQE3) Q4 2025:

Unknown Operator/Moderator, Call Operator/Moderator, Unifique Telecomunicações S.A.: Good afternoon, everyone, and thank you for waiting. Welcome to the earnings call for the fourth quarter of 2025 at Unifique Telecomunicações S.A. I wanna highlight that for those of you who need translation, we have this tool available on our platform. To access, please select the button for interpretation located at the globe icon on the bottom part of your screen and choose your language of preference, Portuguese or English. For those of you listening to the earnings call in English, we have the mute original audio option by selecting this. We’d like to let you know that this earnings call is being recorded and will be provided on the company’s IR website, ir.unifique.com.br, where you’ll also find the material for our earnings call. You can download the presentation as well on the chat icon in English.

During the earnings call, all participants will have their mics off. Soon after, we’ll begin the Q&A session. To submit a question, please select the Q&A icon at the bottom part of your screen. Write your question in to enter the queue. As your name is announced, a request to open your mic will appear. Then you must accept and activate your mic. We’d like to ask you to please submit all of your questions at once. We would like to highlight the information in this presentation and possible statements that could be made during the earnings call related to the business perspectives and operational and financial targets at Unifique Telecomunicações represent the assumptions and beliefs of the company’s management as well as information that is currently available. Future statements are not a guarantee of performance.

Unknown Moderator/Compliance Officer, Moderator, Unifique Telecomunicações S.A.: They involve risks, uncertainties and assumptions, as they refer to future events and rely on circumstances that could or not occur. Investors must comprehend that general economic conditions, market conditions, and other operational factors may affect the future performance at Unifique Telecomunicações S.A. and lead to results that differ materially from those listed in such statements. Today, we have the presence of the company’s executives, Fabiano Busnardo, CEO, and Luiz Bogo Junior, the financial and investor relations director. I’ll pass the word on to Mr. Luiz Bogo Junior. Hello. Thank you very much, and good afternoon, everyone. Thank you for your participation in our earnings call for the fourth quarter of 2025 at Unifique. We will start off here with the main highlights in this period in the fourth quarter of 2025.

We ended the year with the adjusted EBITDA of BRL 613 million, a growth of 21.4% related in regards to the previous year, and an adjusted EBITDA margin of 50.9%. This is an advance of 2.4 percentage points in regards to 2024. We would like to highlight that this result is a reflection of a clear cost management and discipline for operational efficiency we’ve seen. In mobile phone, we have traction, and we ended the year with approximately 248,000 net accesses.

From these, a lot of 152,000 adds were during 2025, and this is in line with our strategy of expanding coverage and relevance of the brand in all of the states in the south of Brazil. We have our solid capital structure, and we can highlight low financial leverage with a rate of only 0.62 times. This is really important because it guarantees the flexibility to be able to continue investing, although we know about this macroeconomic scenario that we’re going through. As we wrap up this first part, we would like to show you this improvement in our churn rates as we reached a level in the fourth quarter of 2025 of 1.36%.

In regards to 2024 in the same quarter, we had a reduction of 0.19 percentage points, and this is reinforcing customer satisfaction and loyalty, where we can guarantee better retention, and it can also contribute to sustainable growth of our customer base. When we talk about our operational performance in the broadband segment, we continued to have a consistent trajectory of growth and quality, and we ended 2025 with 3.7 million homes passed and almost 868,000 customers connected, which represents about 82% expansion throughout the last years. We had a net organic growth of 43,000 accesses, and that represented a strategic change, especially in the state of Rio Grande do Sul, where we focused more on the quality of our base.

We talked about the reduction of delinquency and also the control of churn, which is more than just having accelerated growth. Besides this, we added through organic growth, about 32,000 accesses through acquisitions in the last quarter of last year, in line with our strategy for selective expansion. Sorry, I mentioned organic growth, but I meant inorganic growth, which was the 32,000 accesses. The sale of combos and mobile phone and broadband, which is also really important as it’s contributed in a relevant manner for the reduction of the churn and also reinforcing our base. In the fourth quarter of 2025, almost 20% of our base in broadband was already in the combo.

This number went up to about 22% now in February, and this demonstrates the strength of our strategy of convergence of products and customer loyalty. As a result of all of these initiatives, as I mentioned in the first point, there was a churn. It reduced to 1.36% in the fourth quarter of 2025, below the 1.42% registered in the previous quarter, and below the 1.55% registered in the last quarter of 2024. This was considered as the lowest churn in the sector. We’ve continued to strengthen our leadership position here in Santa Catarina, where we’ve been leaders in market share with almost 21% share, according to the data published by Anatel at the end of the year.

I wanna reinforce that this result is due to ongoing work and robust work to expand our presence and strengthen the relationship with our customers in the state. At the same time, we’ve been redirecting efforts, significant efforts for the growth in Rio Grande do Sul, where we have about 4.6% of the market share. Now we’re gonna talk about mobile phone and the main highlights on the screen. As we continue to have this strong expansion cycle and gain scale in mobile. We ended 2025 in the last quarter with about 248,000 accesses, an increase of over 152,000 new customers. This is a growth that I consider to be significant throughout the year, alongside significant expansions in the revenue for the segment.

We’ve grown from BRL 7 million of gross revenue to almost BRL 70 million in the year of 2025. It was a significant advance compared to 2024. Now, we also finished 2025 with about 128 cities with Unifique coverage, and this allows us to reach a population of approximately 4.4 million people with our own network. We can see that from these 120 cities, 96 are part of the obligations from the 5G auction, and 32 cities have over 30,000 inhabitants, which reinforces our commitment to expand in areas with greater populational intensity, besides the obligations we have with the auction, so that guarantees more returns upon investments.

About the new accesses registered in the fourth quarter of 2025, almost 54% represent the lines exported from other operators. This is an important piece of information because it demonstrates the trust in our customers and the quality of our services, especially in a market that is relevantly competitive. Besides this, 81% of the base of mobile phone services come from customers with combo services. That reinforces the attractiveness of our portfolio, integrated with more efficiency of our commercial strategy. We can move on to the next slide. Here we have all of our product portfolio on this slide here, where you can see that our service besides connectivity, which is a relevant number still, about 82.7%, but the evolution of mobile is already reflecting in the composition of the revenue.

It’s already gone beyond some products and become aligned with other products as well. Besides this, we are still advancing with the strategy of diversifying our products with new services. Besides this and such as energy, safety, cloud, and IT, and all of these have a principle which is quality internet delivery, right? This is our main champion product, right, through fiber or mobile phone. Now about our financial results. We see our gross revenue or gross profit, our EBITDA and our net income. The gross revenue reached BRL 1.4 billion and it represents a growth of approximately 13.5% compared to the previous year, and an increase of 18.3% in the quarter-over-quarter comparison.

This performance was leveraged mainly by the sale of combo plans, mobile phone plus broadband that were the ones that were most acquired by customers. I’m saying mainly because there were other ways of also growing the revenue. The company also registered a significant growth and an advance of 17.7%. This represents the control of operational costs. That also helps with the efficiency of our operational costs. The adjusted EBITDA was a little more than our expectations. It went over BRL 600 million and accumulated in the year of 25%, reflecting an increase of 21.4% in regards to the past year.

An EBITDA margin of 50.9%, and that represents our capacity to keep profitability despite the advances in investments of the mobile phone. I’d say this level here of margins is possible thanks to the rigorous control we’ve been discussing in other opportunities as well about our operational expenses and control. We were able to redirect more resources to projects that we consider to be priority in the company. Our net income of BRL 209 million, an increase of 20% compared to 2024, and an increase of 25% compared with the fourth quarter of 2025 and the first quarter of 2024. That reinforces the consistency of our value creation to shareholders and to the company as a whole that intends to reinvest its profits.

Next slide here is about our net debt and our leverage. Today we have a structure, a capital structure that’s very healthy. We report our net debt that reached BRL 369.9 million, and that reflects a leverage of 0.62x by the end of last year. We continue to keep a solid cash position, adding up to almost BRL 281 million in December. This reinforces our financial health and our capacity as well to continue to invest in the expansion and improvement of our services. Another important point is our gross debt, which has a healthy profile and pretty much extended with 88% connected to IPCA, which helps us mitigate impacts and variations in the short term, and it preserves the solidity of our capital structure.

It’s also important to highlight and talk about the profit distribution, which is because we performed a payment of BRL 110 million between interest on equity and dividends with a payout of over 50%. That demonstrates our commitment to value creation for all of our shareholders. Now I’m gonna show you a bit of our main recent events and subsequent events. These were events that right at the end of 2025 and after the closing of the quarter. We had starting off with capital we approved in the general meeting in December 2025 an increase in capital through the issuance of about 37 million new shares, and these were delivered to shareholders through bonuses.

This is an initiative that reinforces, once again, our capital base, and it gives us more flexibility also to sustain this growth cycle in the company. Another point also that was a recent event was the approval of distribution of dividends, intermediate distribution of dividends, adding up to BRL 200 million with scheduled payments between 2026 and 2028. In the last Monday, we actually reviewed the payment of part of this BRL 27 million related to the dividends that were announced and approved last year. Another point that’s really important to mention here is the increase of our credit rating by S&P Global, and that modified it to brAA with a stable outlook.

This is an upgrade we have in our rating, where we recognize the consistency of our strategy for growth and the customer base and our capacity for execution of our business plans. That also reinforces the access to funding to have more competitive funding for our company as well. A subsequent event that took place was the agreement for the acquisition of the 3.5 GHz in Paraná, adding up to 20 million. That strengthens us in a very important position with mobile phone in a region that’s considered high potential for growth and in agreement with our expansion plan.

With the entrance of Paraná’s market with the agreement for this transfer of 3.5, we took on some regulatory additional obligations that add up the coverage of a bit more than 1,000 cities and the deployment of over 2,000 as established in the 5G schedule. However, we would like to mention that our strategy here is going beyond the mandatory aspect. We also have the intention of operating in cities where we have over 30,000 inhabitants overcoming these 1,000 or so cities. Another point for subsequent events was the acquisition of a provider, the first provider in the state of Paraná, which was iSUPER, and we completed this now in the beginning of March with this acquisition.

There’s a basis of about 24,000 customers operating in different cities that are relevant in the state of Paraná. Here, we mentioned that this is in line with the growth strategy with a gain in scale at a regional level. Finally, we performed our book for the fourth issuance of debentures with a 7-year deadline, and this intends to reinforce our liquidity, extend the debt profile, and it’s a debenture issuance that is 100% in line with the company’s investment plan. Nothing for debt rollover, and it’s just in line with the company’s growth plans. Now I’d ask you, just as a summary here, we always make it very clear that we have a purpose, right, of being one of the most desired telecom companies in Brazil.

We have started 2026 in line with this strategy of growth, which is sustainable growth, right? We see that this is very clear, and we wanna increase our performance in all of the south of Brazil, taking connectivity, quality connectivity to more and more people. We have the goal of leveraging organic growth in a sustainable manner, caring for the base in broadband and in mobile as well. We also want to reinforce that with all of these projects and these events, keeping this healthy cash position and low levels of leverage as we’ve done consistently. We also want to reinforce another point, which is customer retention.

Our churn, as I mentioned, is below average for the sector, and we’ve done some intense work with different initiatives for this to become a reality, and it really reflects directly upon our commitment to the quality of services provided. Last but not least, we always need to mention that besides investing, we need to keep a commitment to compensate our shareholders. We intend to pay out dividends consistently throughout the year in line with our sustainable return policy for stakeholders. Now, I’m gonna wrap up this part of our presentation now and open up to questioning, and then I’ll pass it back to Fabiano as well. Now we’ll start the Q&A session.

Unknown Operator/Moderator, Call Operator/Moderator, Unifique Telecomunicações S.A.: We want to remind you all that if you have questions, you should select the Q&A icon at the bottom part of the screen and write your question to enter the queue. As you’re announced, a request to activate your mic will appear on the screen. Then you must activate your mic to be able to submit any questions. We would like to ask you to please send in all of your questions at once. We’ll head to our first question. Leonardo Cintra at Itaú BBA, we’ll open up your mic so that you can submit your question. Leonardo, please, you may proceed. Thanks, guys, for the call and for the opportunity of submitting a question. First, I want to understand the net add pace throughout 2026 and what your mind’s like.

Leonardo Cintra, Analyst, Itaú BBA: We saw you went through a restructuring year focusing on customer quality to understand the monthly or quarterly pace. Then secondly, if I could, I wanted to ask you about the strategic planning for ramping up on mobile, not only the expansion pace of the business unit for mobile, but especially the expansion in Paraná and regions where you don’t have fiber presence. Would it be through partnerships or what’s your guys’ mindset on this for this year, and especially for next year? Thanks. Hi, Leonardo. Thank you so much for the question. This is Fabiano, and I’m answering here. On the first part of your question about net adds, we are very confident that 2026 is gonna be the best year for Unifique post-pandemic, right?

Fabiano Busnardo, Chief Executive Officer (CEO), Unifique Telecomunicações S.A.: Because of all of the work we’ve been doing to improve indicators and churn is dropping, and I think we also had an improvement in organic growth. I think we could have a recovery in inorganic growth as well, which I think is gonna be very positive. We are still very focused on efficiency operationally. We have been updating different systems in the company and performing heavy-duty investments with the systems update as well. I believe we have an expectation that by next week we’ll become the first platform that will control all of the operation where we expect operational efficiency gains above 20%. This is gonna be significant for our results. Having said that, we really feel comfortable in providing a bit of an acceleration to our activities and really searching for new growth.

You see, we’re expecting to have at least 50,000 accesses, net adds, but we have a target in the company of 60,000 actually. I don’t know if we’ll be able to achieve this, but above 50, we really are confident about. What is important to consider here is we do not work to grow at any cost. Unifique delivers over 50,000 sales per year. Our assessment for our credit rating is an assessment on credit granting is very carefully defined, and we need to do this to be able to get the best index of churn. Of course, these numbers now are getting better. They’re below 1.6%.

Up until 1.6%, I think this work of really controlling our sales in a more rigorous manner, a quality of service and cutting-edge technology, high availability, all of this is really smooth, right? From then on, close to 22% of our subscribers for fiber already have mobile, and they are contributing to this churn that should be healthier. We’re also very ambitious. We think we can improve this a little more. Now about mobile pace. Yes, this year we should take on a small acceleration because we started this business, I think in December 2021 or November 2021. By the end of the year, we’ll already be achieving five years. It took us about two years to plan and prepare.

For the past two years or so, we’ve been working on our commercial operation, and now, we are at ease and comfortable with the fact that we’re really providing brilliant services. However, we must understand that Unifique has a great reputation in the market where we operate, but the guys are used to our fiber services, right? For mobile, we’re still new, and we’re gonna have to prove that we’re good, and this is something we need time for. To give you an idea, I wanna mention that a year ago, our average sales ticket was about 36-37 BRL. In the last month, we already reached 43 BRL. We have been increasing the price of our plans, and we’ve been keeping sales as well, right? We’re not concerned about the number of chips. We’re concerned about the economics, right?

The operation has to be healthy, right? Almost BRL 70 million in 2025, it’s gonna be above BRL 170 million in 2026. Next year it won’t be less than this. I like saying that that’s where this is the phase, the elimination phase, after the game’s done, it’s gonna become a real professional game, right? Because at that moment, first of all, when you have this thesis where people and 5G will be part of people’s lives, people have this need, our service at this moment will really stand out, right?

One thing I wanted to mention is that, despite the fact that we’re together for such a long time, we still have an EBITDA in mobile that’s negative, but we’ll have the first positive EBITDA, right? I’m starting to say that next year we’ll still suffer a little bit, but from 2028, mobile will kind of walk on its own feet. We won’t have to take cash out of fiber to put it into mobile, right? Because in the beginning, it’s great as a benefit, but if we consider the benefits we are having in the churn and in the combo packs, I don’t think it’s negative anymore, right? Since I can’t separate this.

We have to understand we’ll have a positive EBITDA in the fourth quarter, and we also have. When we talk about the specific Paraná discussion, Paraná is a sensational market, and once we are using our platform and we’re confident about the quality of the services we provide, and I really believe that for us to expand to another state, of course, we’ll have some other investment points, but then we’re gonna pay this off really quickly because it’s just on the edge, right? So maybe we’re gonna have to have like 100 cities this year. Yes, we’ll have to, but this is the obligation. This obligation, you have to have the service below 30,000 inhabitants to be able to function, right?

I do this today or tomorrow, I start selling and have customers that start helping to pay this off, right? We’re calibrating this so that we don’t destroy or hurt our results too much, right? If I do things too quickly. You have electric energy maintenance, leases, and all of this, but you can create this at a real high speed. Of course, sales take a little while to be able to reach breakeven in returns. We can calibrate this, and what I’m mentioning here, if you look at the Unifique EBITDA, even suffering with mobile as a result detractor, you can notice that it gets better, and it also gets better because it was already a detractor that was stronger.

By the end of the year, it won’t be a negative EBITDA, so it should already start contributing to the absolute numbers. We are very confident, and we believe that the additional investments we have in a new area such as Paraná, for example, really make total sense, right? Because it’s gonna pay off quickly. To add on a bit of what you mentioned, yes, we have a partnership program that’s robust for the ISPs in Paraná. We have many different conversations underway, and let’s see if we can close this, right? Because it’s not an easy business, right? Of course, Unifique suffers quite a bit to be able to deploy this network. Despite our optimism with the future, we have to put cash on the table, right? Let’s see if we’re able to advance.

Anyways, with or without partnerships, we started to have the planning with Paraná. In the next months, we’ll start having other customers come up in Paraná, and then we’ll be able to close off all of the south of Brazil. We have the goal of being the biggest operator in the south. We’re still not. This is not because of vanity. We don’t wanna be the biggest just because it sounds good, right? Whoever has the biggest market share in the market is who’s making the most cash in that area, right? We’ve always had a controlled geographic strategy, and we have to be robust where we are.

Of course, in fact, there was an opportunity, and I think this was a moment that was an opportunistic moment, and we had to take advantage of this opportunity in Paraná. I hope to have answered your question. Yes, very clear, Fabiano. If I could just follow up on each of these. You talked about the net adds pace inorganic, but now about inorganics. Just wanna understand what the pipeline is like and if these new inspection rules for smaller ISPs with Anatel have led to positive effects. Then a second follow-up here on mobile. You’ve been wrapping up really well, so. What’s the approach to convince customers if this is related to this approach? I wanted to understand a bit of the rationale on how you’ve been operating.

Leonardo Cintra, Analyst, Itaú BBA: Well, yes, just one point. You talked about the discounts, but I don’t know, Lorena, I didn’t necessarily mention discounts, so I don’t know if there was a misunderstanding. Our focus is to sell the services with robust packages. Actually, we’ve been increasing our average ticket because we want customers to. Our dream here is that customers can have their cell phone and walk around and really use this. The pack is at a good price, but we sell packs that are even greater, and new technology allows us to have this efficiency. I want customers to get to a restaurant and use our 5G data network.

Fabiano Busnardo, Chief Executive Officer (CEO), Unifique Telecomunicações S.A.: He don’t want to go to the restaurant and ask for the Wi-Fi in the restaurant because his data is not good, right? You can use our service. We’re selling, and we’ve reduced the smaller packs. This is also a point, right? In a quality network, you also have more traffic, right? We need to be careful as well because mobile has this factor, right? Which is about the controlled volume of data, right? The guy buys packs of data, and if he uses more than this exceeding amount, then he’s gonna have additional fees. What we’re doing is to work with more robust packs and at a competitive price, but focusing on quality. Today, mostly we’ve been working in our base 81% of our sales.

Of course, we are working, and the commercial area has been looking at other sales channels. Soon we’ll have other bits of new possibilities to sell even more chips. We’re not on a 100-meter sprint. We’re at a marathon, and we need to balance out our speed as much as possible. Answering your question about inorganic. Yes, we, the regulator seems to be determined to establish a formalization in the market, and I think this is very fair. Unifique has no problem with competition actually. For companies to be strong, they need to have strong competitors as well, and this is what makes a company strong as well. We have no problem with this, but we want to have fair competition, right?

Yes, we want the companies to prove that all of their employees are legal and taxes are being paid properly, that they’re paying the right-of-way and the leasing of the posts. I saw on the news yesterday that the parliament has approved the new regulation for, like, the posts. Whoever is working in a legal manner will be benefited by this, right? Those that are not formal will have to adjust, right? Sometimes we see people selling internet for a very cheap price, and we ask ourselves, "Well, what’s the miracle they’re doing?" Right? We have to take a look at this.

It does seem that, yes, this is a market that is where you need to have scale. The more you get scale, the more competitive you’ll be, right? You have to do good work. You have to be skillful. You have to fulfill the pre-requirements, et cetera. If not, there’s no point in having scale, right? From Unifique’s perspective, the more scale we get, I said, "Well, let’s add Paraná to mobile." Yes, of course, we’ll reach the scale we need to get the profitability, and maybe we need to perform some additional investments now. The know-how and infrastructure is all set up, and let’s face this. Sometimes smaller ISPs may have challenges.

We need to know Brazil has a real heavy tax load, and we do notice in the market that there’s a possibility of a bit more concentration. It makes sense sometimes to run and get more scale and try to become more competitive. I think Unifique is one of those companies that is really well prepared and has low level of debt. We’re not in a rush. We’re doing our work as well as we can. If we do have opportunities come up, I think we’ll be ready to seize them. Well, great. Thank you, Fabiano. Very clear. Now we’re gonna go to our next question from Eduardo Lazaretto at GTI Administração de Recursos. Eduardo, we’ll open up your mic so you can share your question. Hi, guys. Good afternoon.

Eduardo Lazaretto, Analyst, GTI Administração de Recursos: I wanted to understand a bit of your vision, Fabiano, for Paraná, for mobile and fiber, and understand how you’re looking at Paraná exclusively, with organic growth and M&As. Within this, if you could talk about what would be Paraná and what you’re seeing as growth there, for organic, inorganics, et cetera. Well, thanks, Eduardo. Yes, Paraná, in mobile, we have to obviously make organic growth, and we start working on this infrastructure, and we plan and will perform this till the end of this year, 100 cities. Of course, we’ll have this in smaller cities. This has all brought us real pleasant surprises when it comes to performance, and so for the sales, network, et cetera. We’ll do this.

Fabiano Busnardo, Chief Executive Officer (CEO), Unifique Telecomunicações S.A.: We had a first acquisition now actually in Paraná in the past two weeks, and I think we’ve had some conversations, and I think maybe we can perform another acquisition during the year. Since we’re gonna be setting up this infrastructure in Paraná, then we have the recipe for the cake, let’s say. We have the guys managing this process, and everyone’s pretty comfortable with this to be able to take on this challenge of a new state. At the end of the day, we need to have a lot of people there working on this and having people that are in Paraná, for example. Performing some acquisitions inorganically seems to be a way to consolidate this with our interests and align this with our interests.

We acquire some fiber infrastructure, and we can also have people helping us during this work, and even with sales, commercial sales. The state of Paraná has some specificities. It’s a state where the guys are more compliant with the right-of-way. Copel has some excellent work done there. A while back, they owned a telecom operator. Maybe they’d use it. It seems they’ve kept this work, right? But in this environment for Unifique, it’s a very favorable environment. This is what we wanna compete with, right? We’re very optimistic with this entrance into Paraná. This is what we are really seeing here, right? Of course, this takes a little while.

I think this will highlight that the operators need to have both services. Here we’ll have both services, right? We’ll have the best fiber network, the best footprint, the best available technology, the best training as well, and we’ll be able to repeat this as well. We’re going to prove that mobile that we have today in Brazil is even in big cities, we have good coverage, but it’s not sufficient, and we’re far from being ideal, right? We are working on a different approach, right? We’re placing all of the equipment, and it’s all new.

Of course, this gives us competitive advantage, and this is equipment that consumes less energy, delivering better data capacity, and we have the best and biggest network in the south. All of the units we connected have two links for 10 gigabytes. Do you need this? Well, no. In 2029 or 2028, we’ll get back to speaking, right? We’ll have the applications for 5G, and then customers are really gonna know what’s good and what’s not good. Maybe today it’s a little bit challenging for them still, but right ahead there, this is gonna be overcome. We are very comfortable. We’re gonna be deploying the mobile network, and we’re gonna be doing some work this year.

As I mentioned, in our area, it took 2 years to start off, right? In Paraná, we are gonna take 3-4 months to take on because everything’s ready, and it’s an investment of many million dollars. You’ll notice that, well, we had the potential to improve our margin even more, but I’m not gonna promise this now because I think maybe we’ll switch this for a bit more of an acceleration in our activities. When we accelerate a bit more, then of course our expenses go up a bit more. You can be sure that we’re not gonna keep this at a higher level than what we consider to be healthy, right?

Eduardo Lazaretto, Analyst, GTI Administração de Recursos: You’ll see a company that has a lot of investments to be able to reap these opportunities in the future. You can see a company that continues to pay dividends. Maybe in 2030, this scenario will change a bit. Besides investing in CapEx, I think this recipe has been working well. We are confident about accelerating a little more without hindering our results, but of course, taking advantage of the results that we see. That’s fine. Thank you. The Q&A session has officially ended. Now we would like to pass the floor on back to the company for their final remarks. Well, guys, just to highlight here that we are really confident about the future.

Fabiano Busnardo, Chief Executive Officer (CEO), Unifique Telecomunicações S.A.: 2026 will be the best year for the company ever since the pandemic. In the pre-pandemic, we were about 4,000, 4,500 per month. Now with the pandemic, things went up to 15,000, 16,000. We were able to adjust and adapt. We’ve been keeping these activations, and we were able to reduce our churn, and we’re super confident with the future. It’s a real huge opportunity, so we wanna thank you so much for this opportunity to be in this segment that is so challenging. Technology always brings in news, and it’s a dynamic business. We have a team of almost 3,000 people that are very much committed and well prepared. We are also here and committed to be able to create value.

I’m the biggest shareholder in the company. I’m completely interested in making this move ahead, and we are highly committed. The numbers show that where we’re at is not easier. We have a Selic rate of almost 15% now and 14.75%. I don’t think it’s gonna change much. I normally say that at least we’re gaining from Selic. We’re not increasing our debt. Now it’s finally the moment to be a little more ambitious. I think we have a lot of opportunities. We’ve prepared, we’ve done our homework, and now we have no excuses. We need to accelerate a bit. Then, of course, it’s not gonna be that craziness because it all will get in the way. I think we have a lot coming our way, and thank you for your time and attention, everyone, and we’ll be available. Okay.

Unknown Operator/Moderator, Call Operator/Moderator, Unifique Telecomunicações S.A.: Thank you so much, guys. Bye-bye. The earnings call for the fourth quarter of 2025 at Unifique Telecomunicações is officially ended. The investor relations department is available to answer any other questions. Thank you so much for your participation. Have a great afternoon.

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