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Q: Can you explain the rationale behind the new buyback program and the decision to use Bitcoin as a resource for it, given the company’s strong cash generation?A: Gabriel Lotus (CEO) and Marcio Pena (IRO) explained that the new buyback program, announced yesterday, aims to buy up to 8.1 million shares (10% of free float). The decision to use Bitcoin provides flexibility and agility in capital allocation. While the company generates over BRL40 million in cash annually, part of that cash is committed to investments. Using the Bitcoin treasury as a net asset allows for more efficient and timely share repurchases. The core objective remains unchanged: generating Bitcoin yield and shareholder value, but now with a more integrated and flexible approach to managing net resources.
Q: How should we interpret the increase in cashback as a percentage of net revenue from 44% in Q1 to 58% in Q2 2026?A: Gabriel Lotus (CEO) clarified that the fluctuation is due to seasonality. Q1 benefits from Q4’s Black Friday revenue, which naturally lowers the cashback ratio. Looking at the longer historical series, the 58% level is actually below the historical average of approximately 59%. The company maintains cashback costs at a healthy, sustainable level to ensure retention, and when comparing Q2 2026 to Q2 2025, the company was more efficient, with the ratio improving from 62% to 58%.
Q: Can you provide more detail on the growth of the “Beyond E-commerce” vertical, which grew 114% year-on-year? Which products are driving this and are they profitable?A: Gabriel Lotus (CEO) stated that while they cannot break down results by individual product line, all products within the Beyond E-commerce vertical (such as Nota Fiscal, research surveys, ads, and games) are profitable and growing. None are burning margin. These products are strategically important as they increase user frequency and cross-selling opportunities, which in turn boosts the overall ecosystem’s LTV. The company continues to launch new products in this segment, driving its strong growth rate.
Q: Regarding the GMV slowdown in the quarter, what is the outlook for GMV growth in the second half of the year?A: Marcio Pena (IRO) explained that the company manages GMV and take rate as an integrated strategy. While GMV growth has slowed, the take rate has increased significantly, leading to strong revenue growth. The company prioritizes profitable growth over simply inflating GMV, as seen in 2021 when aggressive GMV growth hurt margins. Gabriel Lotus (CEO) added that not all GMVs are equal; the company focuses on helping partners sell products with better margins. They expect GMV to resume growth in the second half due to seasonality, but the primary focus remains on generating value and revenue.
Q: Can you explain the reclassification of “other operating expenses” and what the expected run rate is for this line moving forward?A: Marcio Pena (IRO) explained that the reclassification occurred because products within the Beyond E-commerce vertical grew significantly and now have their own revenue line under “Shopping Brazil.” Previously, these were classified under “other revenues and expenses.” This accounting change is net-zero and does not affect EBITDA.
The run rate for “other expenses” should be more aligned with Q2 2026 levels, though it will vary quarter-to-quarter due to items like one-off legal expenses.
Q: What is the company’s long-term strategy regarding its Bitcoin holdings, especially in light of the new treasury policy?A: Gabriel Lotus (CEO) reaffirmed the company’s strong long-term conviction in Bitcoin as a valuable asset. The new treasury policy is about flexibility and efficiency, not reducing exposure. The company aims to continue generating Bitcoin yield for shareholders and sees the current market conditions as an opportunity. The integrated management of cash and Bitcoin allows for more agile capital allocation, but the ultimate goal of maximizing Bitcoin yield remains unchanged.
Q: How should we view the company’s fixed expenses relative to revenue, and what is the long-term target for this ratio?A: Gabriel Lotus (CEO) stated that fixed expenses (personnel, software, third-party services) are being kept stable or are decreasing as a percentage of revenue. The company is operating at a very healthy level, with room to maintain this efficiency. While there will be a point where reinvestment is needed, the current focus is on leveraging AI and operational efficiencies to keep this ratio low, allowing for potential increases in marketing investment to drive growth.
Q: Can you elaborate on the company’s competitive position and the impact of increased competition in the Brazilian e-commerce market?A: Gabriel Lotus (CEO) noted that the Brazilian e-commerce market is becoming more competitive and fragmented, with players like Mercado Livre, Shopee, and Amazon growing. This fragmentation is beneficial for Meliuz, as the company acts as a partner to all e-commerce players, helping them generate ROI. The company’s strong growth in revenue and EBITDA, combined with its low valuation multiples compared to peers, positions it well to capture value in this evolving landscape.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
