Company Information
CNPJ: 07.206.050/0001-47
Qualification: Partner
Entry Date: 12/08/2009
Tax ID (CPF): ***.***.***-**
Qualification: Administrator
Industry Analysis - Advertising Agencies in Brazil
Sector: 73.11-4-00 - Advertising agencies | Based on 5-15 companies in the sector
Evolution of Industry Margins
| Indicator | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Gross Margin | 44.47% | 54.45% | 63.05% | 72.38% | 71.42% |
| EBITDA Margin | 15.35% | 25.33% | 18.00% | 21.39% | 17.56% |
| EBIT Margin | 12.31% | 22.61% | 18.00% | 21.23% | 16.37% |
| Profit Margin | 11.18% | 21.28% | 15.33% | 15.50% | 11.94% |
| Cost over Revenue | -56.20% | -47.56% | -51.03% | -51.85% | -49.49% |
Margins Analysis
The advertising agency sector maintains high gross margins (71.42% in 2024), characteristic of businesses based on intellectual services. The EBITDA margin of 17.56% and net margin of 11.94% indicate good operational profitability, although there was a slight contraction compared to 2023. Direct costs represent about 49% of revenue, showing an efficient operational structure.
Growth and Profitability
| Indicator | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Revenue Growth | -11.63% | 45.02% | 17.26% | -4.51% | 11.34% |
| ROA (Return on Assets) | 6.66% | 17.11% | 7.46% | 9.51% | 10.97% |
| ROE (Return on Equity) | 25.57% | 50.70% | 29.52% | 22.00% | 36.84% |
| Approximate ROIC | 41.49% | 86.70% | 47.18% | 54.55% | 42.83% |
Growth Analysis
After a strong recovery in 2021 (+45%), the sector had more moderate growth in 2022-2023. In 2024, the sector grew by 11.34% again, signaling recovery. The average ROE of 36.84% indicates an excellent return for shareholders, well above the average of the Brazilian market.
Liquidity Indicators
| Indicator | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Current Liquidity | 1.17x | 1.26x | 1.03x | 1.17x | 1.36x |
| General Liquidity | 1.00x | 1.05x | 1.15x | 1.02x | 1.02x |
| Immediate Liquidity | 0.18x | 0.27x | 0.16x | 0.16x | 0.25x |
Liquidity Analysis
The sector shows a good capacity for short-term payments, with current liquidity of 1.36x in 2024, which means that for every R$ 1.00 of short-term debt, companies have R$ 1.36 in current assets. The immediate liquidity of 0.25x indicates that 25% of current liabilities can be covered with cash alone, an adequate level for the services sector.
Indebtedness Structure
| Indicator | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| General Indebtedness | 77.96% | 68.40% | 71.15% | 74.90% | 70.21% |
| Financial Indebtedness | 4.55x | 3.17x | 3.47x | 4.26x | 3.36x |
| Financial Leverage | 0.61x | 0.43x | 0.40x | 1.26x | 0.92x |
| Liabilities over EBITDA | 6.25x | 2.16x | 1.23x | 2.83x | 3.92x |
| Net Debt / EBITDA | 1.68x | 0.24x | -0.38x | 1.92x | -0.03x |
| Revenue / Net Debt | 14.95x | -0.45x | -24.58x | 7.46x | -0.07x |
Indebtedness Analysis
The sector shows moderate indebtedness of 70.21%, with an improvement compared to 2023. Net debt practically zero (-0.03x EBITDA) indicates that companies in the sector have sufficient cash to cover their financial debts. The interest coverage index of 2.86x demonstrates a good capacity to pay financial expenses with operational cash generation.
Full Historical Evolution (2015-2024)
| Indicator | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|---|---|---|---|---|
| Companies in Sample | 8 | 6 | 8 | 10 | 10 | 8 | 7 | 5 | 6 | 5 |
| Gross Margin (%) | 28.06 | 38.91 | 50.48 | 46.85 | 45.12 | 44.47 | 54.45 | 63.05 | 72.38 | 71.42 |
| EBITDA Margin (%) | 4.93 | 8.96 | 11.87 | 12.02 | 12.76 | 15.35 | 25.33 | 18.00 | 21.39 | 17.56 |
| Profit Margin (%) | -1.01 | 1.52 | 1.38 | 4.58 | 6.03 | 11.18 | 21.28 | 15.33 | 15.50 | 11.94 |
| Revenue Growth (%) | -4.06 | 13.22 | 6.35 | 8.53 | 10.17 | -11.63 | 45.02 | 17.26 | -4.51 | 11.34 |
| ROE (%) | 3.16 | -2.39 | 5.91 | 6.90 | 20.17 | 25.57 | 50.70 | 29.52 | 22.00 | 36.84 |
Decade Analysis
2015-2019 (Recovery): Post-crisis recovery period, with gradual growth in margins. Gross margin grew from 28% to 45%, and the sector returned to positive profitability.
2020 (Pandemic): Initial negative impact with an 11.63% drop in revenue, but margins held steady.
2021 (Boom): Strong recovery with 45% growth and record margins. ROE reached 50.70%.
2022-2024 (Normalization): More moderate growth, but still high margins. In 2024, the sector grows by 11.34% again with an ROE of 36.84%.