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Cury Construtora e Incorporadora (CURY3) reported its Q3 2025 earnings, revealing a significant shortfall in both earnings per share (EPS) and revenue compared to forecasts. The company posted an EPS of 0.8723, missing the anticipated 1.12 by 22.12%. Revenue reached 1.42 billion BRL, falling short of the projected 1.78 billion BRL by 20.22%. Despite the earnings miss, the stock saw a modest increase of 0.55% in after-hours trading, closing at 36.65 BRL.
Key Takeaways
- Cury’s Q3 EPS and revenue significantly missed analyst expectations.
- The stock price increased by 0.55% after the earnings release.
- The company achieved a year-over-year revenue growth of 34.2%.
Company Performance
Cury Construtora demonstrated strong year-over-year growth, with net revenue increasing by 34.2% to 1.4 billion BRL. The company’s gross margin improved by 1.2 percentage points to 40%, and net income surged by 56.8% to 283.2 million BRL. Cury continues to focus on the São Paulo and Rio de Janeiro markets, maintaining a competitive advantage in the affordable housing segment.
Financial Highlights
- Revenue: 1.4 billion BRL, up 34.2% YoY
- EPS: 0.8723, down compared to forecast
- Gross margin: 40%, up 1.2 percentage points YoY
- Net income: 283.2 million BRL, up 56.8% YoY
- Return on equity (ROE): 70.6% (trailing 12 months)
- Dividend distribution: 529 million BRL year-to-date
Earnings vs. Forecast
Cury’s Q3 EPS of 0.8723 fell short of the forecasted 1.12, resulting in a negative surprise of 22.12%. Revenue also missed expectations, reaching 1.42 billion BRL compared to the 1.78 billion BRL forecast, a surprise of -20.22%. These misses highlight challenges in meeting analyst expectations this quarter.
Market Reaction
Despite the earnings miss, Cury’s stock experienced a slight uptick of 0.55% in after-hours trading, closing at 36.65 BRL. This movement contrasts with the broader market trend, as the company’s stock remains within its 52-week range, between a low of 17.08 BRL and a high of 39.17 BRL.
Outlook & Guidance
Cury plans to maintain its gross margin around 40% and continues to adopt a selective approach to land bank expansion. The company anticipates benefits from new tax exemption policies and will focus on quality and strategic project locations.
Executive Commentary
- Ronaldo Cury, IRO: "We have been reinforcing that that’s very important so that we can keep our margins."
- Leonardo Mesquita, Commercial VP: "Right now, our focus is to keep on growing robustly, always measuring what we’re going to do next based on our inventory."
Risks and Challenges
- Market competition in key regions such as São Paulo and Rio de Janeiro.
- Potential impacts from changes in the Minha Casa Minha Vida program.
- Risks associated with land bank expansion and project location selection.
- Macroeconomic pressures that could affect consumer purchasing power.
The earnings call highlighted Cury’s strategic focus on maintaining margins and managing inventory while navigating a competitive market landscape. Despite the earnings miss, the company’s robust year-over-year growth and focus on strategic initiatives provide a cautiously optimistic outlook for future performance.
Full transcript - Cury Constrtutora e Incorporadora S (CURY3) Q3 2025:
Conference Moderator: Good morning, ladies and gentlemen, and welcome to Cury Construtora’s video conference call to discuss the results for the third quarter of 2025. This conference is being recorded, and the replay will be available on the company’s website at ri.cury.net. The presentation is also available for download there. Please note that all participants will be in a listen-only mode during the presentation, and then we will open the Q&A session when further instructions will be provided. Before we begin, I’d like to remind you that any forward-looking statements made during this call are based on the beliefs and assumptions of Cury’s management and on information currently available to the company. Such statements involve risks and uncertainties as they relate to future events and therefore depend on circumstances that may or may not occur.
Investors, analysts, and members of the press should take into consideration that various factors related to the macroeconomic environment, the company’s industry, and other factors could cause actual results to differ materially from those expressed in any forward-looking statements. Joining us today are Mr. Leonardo Mesquita, Commercial Vice President; Mr. João Carlos Mazzuco, CFO; and Mr. Ronaldo Cury, IRO. Now, I’d like to turn the call over to Mr. Ronaldo Cury, who will begin the presentation. Please, Mr. Cury, go ahead. Good morning, everyone, and thank you once again for your interest in Cury and for joining us for this conference call to discuss the results for the third quarter of 2025. With me today representing Cury are Leonardo Mesquita, our Commercial Vice President, and João Mazzuco, our CFO.
Throughout this presentation, we will highlight the main aspects of Cury’s operational and financial performance, and at the end, we will open the call for a Q&A session. Next, we have a message from our CEO, Fabio Cury. Good morning, everyone. In the third quarter of 2025, we celebrate the two important milestones in our company’s journey: the five-year anniversary of our IPO and our inclusion in the IBOVESPA Index, the main benchmark of B3. These achievements reflect market recognition and reinforce Cury’s position as one of the industry leaders, supported by a track record of consistent growth and value creation for our shareholders. Another key highlight this quarter was the delivery of solid results once again, reaffirming our balance between growth, profitability, and operational discipline. We reached BRL 2 billion in launches, BRL 1.8 billion in sales, and BRL 233 million in cash generation.
Among our main financial indicators, net revenue totaled BRL 1.4 billion, with a gross margin of 40% and a net margin of 20%, resulting in an ROE of 70.6%. This performance enabled the payment of BRL 200 million in dividend this quarter alone, totaling BRL 529 million year-to-date, reinforcing the efficiency of our business model and the strength of Cury’s execution. During the quarter, we launched our first project in the São Cristóvão region of Rio de Janeiro, which benefits from the same urban development incentives as Porta Maravilha, the Residential Cartola. The project includes 384 units, a PSV of BRL 126 million, and over 60% of units sold. Another highlight was AstraSantamarina, located in the west zone of São Paulo, in the Água Branca neighborhood, with a PSV of BRL 262 million and 994 units reaching 85% sales.
We began the fourth quarter with a strong pace of launches, including Auto Chácara Santo Antônio in São Paulo, with 552 units and a PSV of BRL 204.4 million, launched in October and already over 60% sold. This performance highlights the strength of our commercial team and our solid presence in strategic regions. Our current inventory level represents less than six months of sales, reflecting the health and agility of our operations. In August, we published our third sustainability report, reinforcing our commitment to transparency, governance, and sustainable value creation for all stakeholders. This report expands our indicator coverage and strengthens our ESG journey, consolidating key advances across environmental, social, and governance dimensions. With a consistent track record, solid management, and long-term vision, Cury closes the first nine months of 2025 with enthusiasm and confidence to continue building responsibly an even more promising future for our customers, employees, and shareholders.
Thank you very much, Fabio. From now on, let’s go over the highlights of our operational and financial performance for Q3 2025. As for operational performance, we recorded BRL 2 billion in launches, BRL 1.8 billion in net sales, reaching record highs in three operational indicators, 4,980 units built, a land bank of BRL 23.3 billion, and operational cash generation of BRL 233.1 million, marking our 26th consecutive quarter of positive cash flow generation. On the financial side, we reported record net revenue of BRL 1.4 billion, a gross margin of 40%, record net income of BRL 283.2 million, net margin of 20%, and ROE of 70.6%. Now, I’d like to turn it over to Leonardo Mesquita. Leo, please go ahead. Good morning, everyone. In the last quarter, we launched nine projects, six in São Paulo and three in Rio de Janeiro, totaling BRL 2 billion in PSV, as previously mentioned.
The main highlights of this quarter were AstraSantamarina in São Paulo’s west zone, launched with a PSV of BRL 262 million and 85% of units sold. Singular Butantã, also in São Paulo’s west zone, launched in July with a PSV of BRL 245 million and over 80% sold. Residential Cartola in the Porta Maravilha region of Rio de Janeiro launched in August with a PSV of BRL 126 million, reaching over 60% of units sold. In the next slide, we’ll take a closer look at our sales performance. In Q3 2025, net sales reached BRL 1.8 billion, an increase of 27.1% year-over-year, and a 19.2% decrease compared to Q2 2025. Our sales over supply ratio (SOS) for the quarter was 40.6%, a 3.3 percentage point below Q3 2024 and 6.9% below Q2 2025.
Slight tip: the average selling price per unit this quarter was $299,700, representing a 2.2% decrease year-over-year and a 32% decline quarter over quarter. Over the first nine months of 2025, the average price per unit was $306,800, up 2.3% year-over-year. In the quarter, 93.1% of sales were unit priced up to BRL 500,000. Slide 11, land bank. Our land bank reached a record BRL 23.3 billion potential PSV, totaling 79,193 units. Of that, BRL 18 billion located in São Paulo and BRL 5.3 billion in Rio de Janeiro. We closed the operational indicators with a record operational cash generation of BRL 233 million, actually BRL 233.1 million, marking the 26th consecutive quarter of positive cash generation. Now, I’d like to turn it over to our CFO, João. Please go ahead. Good morning, everyone. Let me continue with slide 14, our net revenue. For this quarter, we reached BRL 1.4 billion, up 34.2% year-over-year.
For the nine months of 2025, revenue totaled $3.9 billion, representing 37.6% growth compared to the same period last year. Next slide, our gross profit. It increased 38.3% year-over-year and 6.3% versus the previous quarter. Our gross margin reached 40% this quarter, an increase of 1.2 percentage points compared to Q3 2024 and 0.4 percentage points from Q2 2025. Over the first nine months of 2025, gross profit grew 42% year-over-year, with a 1.2 percentage point improvement in gross margin. Slide 16, net income attributable to Cury. It reached $255.3 million Q3 2025, up 49.6% year-over-year and 7.9% from Q2 2025. Year-to-date, net income totaled $705.5 million, representing 45.7% growth compared to the same period last year. In the quarter, we once again delivered ROE growth, reaching 70.6% on a trailing 12-month basis. Slide 17, total net income.
Considering the full operation, it reached $283.2 million, up 56.8% year-over-year and 6% quarter over quarter. For the first nine months of 2025, net income exceeded $784 million, a 53.7% increase compared to the same period in 2024. Slide 18, we highlight our indebtedness. We closed this quarter with a gross debt totaled $1.3 billion, with a cash equivalent of $1.8 billion, resulting in net cash of $450.2 million, an increase of $20.4 million compared to December 31, 2024. It is worth noting that in 2025, Cury has already distributed $529 million in dividends, and our net cash-to-equity ratio closed the quarter at 27.4%. Thank you very much. Now I’d like to turn the call over to the operator. We will now begin the Q&A session for investors and analysts.
If you have any questions, please click on "Raise Your Hand." If your question is answered, you can leave the queue by clicking on "Lower Your Hand." We ask you to please give us a moment to start the Q&A session. First question comes from Igor Altero with XP Investimentos. Hello, good morning. Congratulations for the results. I’d like to ask about improvements mentioned yesterday at the meeting you held. How does that benefit the market? How much are you exposed to a lower income bracket? Also, with regards to potential adjustments to higher income brackets, when should that happen, in your opinion? I’d like also to ask you about the income tax exemption that the government recently approved for individuals receiving up to BRL 5,000 per month. Thank you. Good morning, Igor. Thank you so much for your question. This is Ronaldo.
With regards to the improvement of Minha Casa Minha Vida program, we have been reinforcing that that’s very important so that we can keep our margins. This is very important so that we can keep everything on track and protecting the margins at the level they stand right now. Approximately two months ago, there was an expectation that a major adjustment would take place in November, but that did not happen. At the end of October, ABRAINC, SECOM, they held meetings with the technicians from the ministry, and they mentioned that they were actually presenting that package into different parts. Yesterday, they actually approved a budget of $160 billion. Whenever you discuss budget, many other things are left to be approved. Besides the budget, yesterday, an adjustment was also approved regarding the cap of a tier two and also an adjustment regarding income.
Actually, an adjustment in the discount. Let’s say you have a family that has an income of BRL 4,000 and that benefited from the discount. Now, families can benefit if they have an income up to BRL 4,700. For Cury, and also when we go over our land bank, 15%-20% of our sales are for tier one and tier two of the Minha Casa Minha Vida program. The impact is not that relevant. As for your second question, I certainly believe that that will benefit us in the coming years. The government giving a tax income exemption for families receiving up to BRL 5,000. We still have many buyers who do not have regular work. In that sense, Caixa Econômica Federal, they actually consider the income of BRL 28.50.
Now, if the family will now state how much they make, if they make up to $5,000, we will increase affordability. We believe that that will be very helpful in the future, in the near future. Thank you. Next question comes from Fanny Oreng with Santander. Hello, good morning, everyone. Congratulations for the results. Two questions. First, what’s your take about gross margin for the next 12 months? Because we see that there is a decrease in some index and also your target margin. We also need to consider your target margin. We see an increase in your margin. What can we expect for the next 12 months? I know it’s not a guidance, but what can you share about that? My second question is about SG&A. From the third quarter, you have the bonus.
Now I understand you are actually working on that along the year. What about seasonality of SG&A for the next quarters? Thank you. Hello, Fanny. Good morning. Thank you for your question. Gross margin. It’s true. Every quarter, we have been having an increase in our gross margin. For the future, I’m going to insist on my answer. We will keep the margins. Of course, now at a higher level, considering our year-to-date numbers. I’d like to insist that we have no expectations of continuous growth of this gross margin. Let’s keep it at 40%. If we think about long term, we have many indexes, INCC, they have been going down. We still expect to see this target margin being diluted. We mentioned 39.5%-40%. Let’s talk about 40% and more or less.
We expect to keep the gross margins from now on. There is a challenge. We need to keep on launching new projects along this rate of 41.5%, which is our target margin. This is a challenge. For every new project, you should be able to keep this high margin. It is always a challenge, not only to us, but to the entire market. As for SG&A, it is true. There was a dilution of the bonus between the second and the third quarter. We should also consider operational leverage. Our revenue has been growing robustly, 38.5% along the year, 35% this quarter. Operational leverage is important. If you remember, a year ago, at the beginning of last year, when we talked about SG&A, we mentioned that we were making some adjustments, some internal adjustments in order to be prepared for growth.
We had already seen a robust growth from 2023 to 2024 and from 2024 to 2025. We had the carryover of G&A in the first quarters of 2024. Of course, we keep on making some adjustments. Right now, we are bearing the fruits of what was done and the robust growth. Translating that into numbers, in 2022, G&A over revenue was approximately 6%. In 2023, that went down to 5.8%. In 2024, because of the changes we have made, it did not go down that much. Now we are certainly benefiting from operational leverage. Our target is to keep it at 4.5-5%. Perfect, João. Thank you very, very much. Next question, Piero Trota with Citi. Good morning. Congratulations for the results, and thank you for this call. I have two questions. First, about price transfers. What can you talk about that and above inflation?
Has that changed based on what you had in the past? How are you managing price transfers above or price adjustment above inflation? Also, what about your pipeline? What about launches for the next quarters? For the fourth quarter, we understand that it is seasonally not that strong. What about the first quarter of 2026? We know that your first quarter is the quarter in which you have more launches. Can you expect the same for 2026? Thank you very much. Good morning, Piero. This is Leo answering your question. With regards to price adjustment, this is part of our business strategy. Whenever we see an opportunity, we try to do that. That is more at a micro level, not a macro level. We do that based on projects. Because we operate at very good regions, we strive in order to gain price.
That is part of our policy. The idea is to carry on doing that and not because of the current scenario. As for launches, as you mentioned, we do not launch many projects in the fourth quarter. We do not like launching projects in December. We always have the expectation. Actually, we then work in order to reduce our inventories at the end of the year by year-end. Perhaps we will not see the need of having increased the launches in the first quarter of 2025. Also, because of the new tax exemption given by the government, we will be able now to wait so that I believe we can have a more balanced year compared to previous years. The changes regarding income tax exemption, I believe we will benefit with that along the year. Thank you. Next question, Tainan Costa with UBS.
Good morning, everyone. I have two questions. First, what’s your take about competition in Rio de Janeiro and São Paulo? Is there anything that you’d like to highlight, a price or land? The second question about Rio de Janeiro. You have now launched a project in São Cristóvão. What can you tell us about that? In that region and also in the northern region of Rio, do you see an opportunity to expand over there? Thank you. Good morning, Tainan. As for competition in Rio and São Paulo, we know this is where we find more competition. At the same time, this is where we’ll have demand. These are the two cities in which we see housing policies in order to really have new projects wherever you have infrastructure.
This has been a major driver for these two cities and also for housing, considering also the social aspect, so affordable housing. Despite the competition, and we do have a lot of competition, when you consider areas that can attract people, I think that this still keeps these two markets very healthy despite competition. That gave us an opportunity that goes beyond just meeting a gap, so closing a gap. Despite competition, I believe the market is very healthy. As for Rio de Janeiro and São Cristóvão neighborhood, we carried out a budget study, and we will launch a project in that region at the beginning of next year. That is a continuation of the Porto Maravilha project. Today at Porto, more specifically at Santa Cristo region, we have many units that have been launched, and that region now became a very appealing area.
The price of a square meter has been increasing. I believe that now the São Cristóvão region will also promote that, and that will allow us to also offer apartments to lower income brackets. That will also support the neighborhood, just as we did in the central region of Rio de Janeiro, from Quinta da Boa Vista up to the Museu do Amanhã, in which we have a gigantic infrastructure available. In January, we will launch a major project over there. We also have a robust land bank as well as a great commercial team. Thank you very much and have a great day. Next question comes from Pedro Lobato with Bradesco BBI. Good morning, everyone. Thank you for taking my question. I have a question about the tier four, bracket four.
We see that the response to bracket four is not as robust as expected, so it’s about six to seven units per month. What’s your perception about that? Do you see that improving internally? What about the sales team? What have they been sharing with you? Is there any bottleneck? What has your sales team been reporting to you? Good morning, Pedro. Cury has always sold on a basis in which, for example, for bracket four and also for the RSV in São Paulo. We can tell you that bracket four is very important to us, and we see an increase of credit. What can we talk to you about this bracket four and the market? Perhaps that’s important. It’s important to explain why it’s taken longer to increase the number of units sold. Traditionally, many companies worked in the previous SFH.
They usually sold based on savings and then transferring when delivering the unit. In order to benefit from bracket four, they will really benefit when they actually deliver the unit. Perhaps this, I think that it’s true. The market is now adapting to this, to selling to this bracket based on the current model we have. We will see that it is healthier, and I think the market will follow that. For those who are in between different models, it will take longer for them to adjust. Now we have this clear model in which we have transfers when delivering the unit. We are talking about transferring the loan. That is very different from tiers one, two, and three, right? Thank you so much. Have a great day, everyone. Next question comes from Carla Graça with Bank of America.
Thank you very, very much. I have two questions. First, I’d like to talk about the launches. I think you are very close to reaching BRL 10 billion in launches. We also talked about some years ago, we talked about reaching BRL 5 billion in launches. Now, can you please give us some color about demand engineering? Would that actually be feasible? Also, dividends, we see a strong cash generation, especially in 2025, and now with the new tax legislation. Do you plan to increase the payout of dividends this year? Thank you. Good morning, Carla. I’m going to answer the first question, and I’ll let João answer the second. About launches, this number you gave us, BRL 10 billion, as you mentioned, we worked with some previous numbers. We measure our performance based on inventory so that we can launch new products with quality and liquidity.
Today, we focus on consolidating and maintaining the current indicators and, of course, taking advantage of growth opportunities. The company has already taken a leap, and now, more than growing just for the sake of growing, we want to consolidate ourselves as a robust, effective company, just as we have been doing. We are very proud of our financial indicators and the good performance for many years. Right now, our focus is to keep on growing robustly, always measuring what we’re going to do next based on our inventory, rather than just setting a target number to be reached. As for our land bank, our land bank today is very comfortable, and we want to be increasingly selective. We believe we do have a good land bank, and we want to be very selective.
We want good location so that we can benefit from liquidity and pricing, and also that are aligned to growth and our engineering capacity. If we respect that and if the opportunity emerges, we will certainly gain more market share. Thank you. Carla, thank you. This is João. Dividends. First, bottom line, we do have interesting also paying dividends. We have our target, and we have already surpassed our target. As I mentioned, we are not going to just keep cash. We will certainly pay that to our shareholders. There is also a tax that will be levied starting next year. That is why we certainly have interest in paying dividends once again this year. I know that you have been talking to colleagues. We have also been consulting many law firms, and there are many questions about what we can and what we should and should not do.
There is also this conflict of what you have established and the company’s legislations and also on deferring payment of dividends. We are waiting to see if any amendment will be enacted in order to really discuss the payment of special dividends at the end of the year. What we will pay out is based on our leverage. We will also respect the covenants of our corporate debt. Just to sum up, just as in previous years, we always set aside some amount to be paid out at the end of the year. Very clear. Thank you very much. Next question comes from Elvis Credendio with Itaú BBA. Good morning, everyone. Two questions. First, about sales. Can you please comment about the sales pace at the beginning of the fourth quarter, considering also the Chácara Santo Antônio? I would also like to understand the sales pace.
What is happening vis-à-vis the third quarter? The other question is about market size, especially in São Paulo. The city of São Paulo is not the market of Minha Casa Minha Vida, but now with this funding, I’d like to understand, do you believe that you can still keep on growing in São Paulo considering the market size? Do you see Cury playing a role in that? What about your capacity? You mentioned a 30% growth per square meter per year. Can you keep that number? Thank you. Good morning, Elvis. Let me answer your first question. October was really good. We have good launches. We just launched some new development now in November. We tried to reduce inventory this quarter so that at the beginning of next year, we can really focus on the regions where we will have launches. It is a micro assessment.
We check inventory so that we can start next year well. I can tell you that this quarter has started well. September was also a very good month. I think that the market keeps on responding very well. As for your second question, and I had already mentioned that, São Paulo is very appealing. São Paulo represents a strong market. What we see regarding the offer of units at very good neighborhoods is a very important movement that is taking place. Perhaps you’re not examining in depth, but for us who have been in the market for many years, I can tell you that in order to offer units at very good locations and considering also the income bracket of our population. At Chácara Santo Antônio, we have apartments for three people according to what we have, okay? HS1, HS2, RSV.
We have people in that region, R2V, people that can afford buying an apartment for two people at the cost of BRL 240,000. Yesterday, there was a piece of news talking about a new XP building, and it just sits across this new launch. To give you the opportunity to live close to the workplace, it’s not only a matter of numbers. At the same time, what we see in São Paulo that’s very unique to São Paulo is that when you go over the São Paulo legislation, vis-à-vis the other municipalities surrounding the city of São Paulo, it’s really impressive to see that other municipalities have a very outdated legislation regarding housing, and housing in these surrounding municipalities is much higher. The requirements are more stringent. That’s why we see this good response to offers in the city of São Paulo.
Everything I mentioned today, the strategic land bank, if we can acquire land in areas with great infrastructure, appealing to the population, and affordable to the brackets we work with, there are many opportunities to the population of the city of São Paulo so that they can improve their quality of life. We have Chácara Santo Antônio, we have the neighborhood of Barra Funda, we have the neighborhood of Mooca. Imagine the entire eastern part of the city of São Paulo if they can afford buying an apartment in the neighborhood of Mooca, paying BRL 230,000, BRL 240,000. There are macroeconomic also factors impacting that. As for the growth of our company, once again, we do not have a target related to our growth. Of course, today we have reached the level of a large company. This year, we have already delivered many units.
Today, we will launch approximately BRL 8 billion, and we have established a company that can deliver that. We are striving in order to keep on growing in the future. Year after year, we see growth. As a company today, we are going to do our best so that we really plan the future step by step. We do not want to expedite just something at the, but not at the right time frame. Next question comes from Rafael Heather with Safra. Thank you for taking my question. Two questions. First, about HIS. How has that become a barrier to you? HIS1 and HIS2 and the cap established for that. I would also like to talk about the workforce. I know this represents a challenge. Many companies are addressing that. What have you been doing in order to decrease the pressure for labor?
Perhaps to verticalize some operations, the work you do today with contractors, or what have you been planning to do? Also from the qualitative standpoint in order to reduce that pressure, the shortage of labor. Good morning, Rafael. As for HIS cap, HIS is the affordable housing categories defined by municipal regulations. For the city of São Paulo, every year, they publish the price of units that will be exempt from the ITBI tax. There are some other parameters for the city of São Paulo that are adjusted every year, and we believe that will happen just as it does for other parameters. With that, I believe that HIS table pricing will be healthy. As for labor, our engineering has been consolidating itself as a large engineering unit. We have delivered many, many units, and we named this year as the year of delivery.
The logistics of delivering thousands of units. I can tell you that our engineering department has grown mature, faced challenges they had this year, and they succeeded in delivering. Our goal is to keep on doing that, but with less pain. We are certainly examining other construction models. Our engineering department will actually determine what they’re going to do and when, but it’s important to examine other options. Today, we can certainly examine them and then decide when we are going to apply such options. We want our engineering to have more options, which will be translated into increased robustness and also to be able to operate at a higher level, but with a very stronger structure. Thank you. Our next question comes from Marcelo Mota with JP Morgan. Good morning, everyone.
Can you please comment about the land bank and competition, the trade-off of using some areas in São Paulo and vis-à-vis also the price of the land and the capacity to sell the unit? As the company grows, will that increase? To also increase your land bank. Good morning, Mota. Our current land bank, we have reached a land bank level that we find to be very good. Today, more than increasing our land bank is to have a good land bank, a good land bank with quality. You know, we sign a contract and then we start paying at approval. For many cases, there are still some resolutions taking place. In order to carry that into our results, so far, we were able to have that without having impact on our balance sheet.
This is not a concern, but if we are in a market that we know that there is a competition and we know there are locations with good quality, you know, we need to position ourselves strategically at areas with infrastructure. Everything I mentioned about legislation and considering that prices in São Paulo are more tied to income rather than location. Location becomes very important. Product quality is very important. Let’s say in the eastern part of town, São Miguel and Mooca, if you are going to have similar prices, that will give your product uniqueness, and that’s what we want. To offer products at strategic locations with good quality, this is what we have been doing over the years, and this is our focus regarding land bank to keep our policy regarding land acquisition.
Since we have achieved a good volume, now we are considering quality. Thank you very much. We have concluded our Q&A session. We have concluded Cury Construtora e Incorporadora video conference. Thank you all for joining us and have a good day.
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