Cosan S.A. Q2 FY2025 earnings call

• EBITDA under management was roughly BRL 6 billion this quarter, slightly below last year.
• Negative net income of about BRL 1 billion in the quarter.
• Net debt stable compared to first quarter of 2025, debt service coverage ratio stable, with BRL 600 million from dividends received from Rumo and Radar.
• Safety metric improved but had a fatality in the quarter.
• Rumo: Higher transported volumes, increased market share in Port of Santos due to lower tariffs.
• Compass: Growth in portfolio, higher sales in residential segment, increased volume traded by Edge.
• Moove: Reduction in volumes sold due to February fire, started accounting for insurance impacts.
• Radar: Sold a farm, stable EBITDA.
• Raizen: Positive in fuel distribution but negative impact from sugarcane crushing delay.

In Rumo, higher transported volumes led to higher EBITDA and increased market share in the Port of Santos due to lower tariffs. Compass saw growth in its portfolio, with higher sales in the residential segment and increased volume traded by Edge. Moove had reduced volumes sold due to a February fire, but started accounting for insurance impacts. Radar had a farm sale and stable EBITDA. Raizen had positive results in fuel distribution but negative EBITDA impact from sugarcane crushing delay. Revenue contributions weren't explicitly stated in absolute % but details on each segment's performance were provided.

• Deleveraging is a major priority, aiming for debt close to 0 at holdco level at Cosan.
• Prioritizing portfolio recycling and divestitures to reduce group's debt, with ongoing discussions on asset sales.
• Joint effort with Shell to pursue bringing in a strategic partner for Raizen, with a sense of urgency and working to speed up the process.

• Operational risks including the fatality in the quarter.
• Uncertainties related to insurance regulation processes for Moove.
• Market volatility affecting divestiture execution and capital structure optimization.

Q: About Moove, what was the impact of insurance on EBITDA and future insurance recurrence? And on debt service coverage ratio and cash interest dynamics?

A: In Moove, over BRL 400 million impact in the quarter due to regulation progress, with impact seen over time. Regarding debt service coverage ratio, some debt has bullet features with no intermediate interest, and working on structural leverage reduction.

Q: On Moove volume dynamics and portfolio divestitures priority?

A: Moove had inventory to manage post-fire, volume recovery with monthly positive dynamics. On divestitures, deleveraging is a major priority, with ongoing asset sale discussions, and Raizen's capital structure balance considered.

Q: On Raizen's strategic partner and Moove insurance claims?

A: Joint effort with Shell to bring in strategic partner for Raizen, urgent timing. On Moove, no guidance on insurance claims timing, focus on regulation and optimization.

Q: On Compass dividends and Moove future dividends?

A: Compass is a stable cash-generating company expected to pay good dividends. Moove too soon to discuss dividends, focus on getting back on track post-restructuring.

Q: On Moove insurance asset accounting and monetization?

A: Amount accounted for not disclosed, regulation process ongoing with no timing estimate for monetization