“In 2024, the Brazilian economy encountered significant challenges, mainly driven by persistent inflation, high interest rates, and exchange rate volatility, all of which impacted consumption and key productive sectors. On the international front, the headwinds observed throughout the year persisted, dampening expectations for a stronger recovery in exports and limiting the growth of foreign market shipments.  Despite the still challenging scenario, the Company delivered robust results in 4Q24, achieving growth in revenue, margins, operating performance, and net income”, said the company in a statement.

Fourth Quarter Results

In the fourth quarter of 2024, Grendene’s gross revenue was 1.04 billion Brazilian reais (167.2 million euros), which reflects an increase of 12.9%, as compared to the same period of the prior year.  Volumes shipped increased by 3.4% year-on-year to 44.0 million pairs and gross revenue per pair increased by 9.2%, “reflecting the strengthening of the portfolio with higher value-added products”.

In particular, the domestic market contributed 829.4 million Brazilian reais (133.3 million euros) to the total gross revenue, up by 8.9%, and exports contributed 214.1 million Brazilian reais (34.4 million euros), up by 31.9%, on a comparable basis to the fourth quarter of 2023.

The company’s net revenue reached 859.4 million Brazilian reais in the fourth quarter of the last financial year, an increase of 13.0%, as compared to the same period of the previous year, with net revenue per pair increasing by 9.2% year-on-year to 19.54 Brazilian reais.

Grendene reported a fourth quarter recurring EBIT of 217.6 million Brazilian reais (138.2 million euros), up by 38.8% from 156.7 million Brazilian reais (25.2 million euros) in the same quarter of 2023, with recurring EBIT margin improving by 4.7 percentage points to 25.3%. In this period, recurring net income also rose by 35.5% year-on-year to 347.6 million Brazilian reais (55.9 million euros).

Full Year Results

In the twelve months to December 2024, the company’s net revenue amounted to 2.63 billion Brazilian reais (422.9 million euros), an increase of 8.0%, as compared to the previous year, with net revenue per pair increasing by 8.1% year-over-year.

In line with the last quarter of the year, Grendene recorded a full year recurring EBIT growth of 33.3% to 508.4 million Brazilian reais (81.7 million euros) from 381.4 million Brazilian reais (61.5 million euros) in 2023 and a full year recurring net income growth of 20.5% to 796.5 million Brazilian reais (128.3 million euros) from 661.2 million Brazilian reais (106.5 million euros) in 2023.