VLI Reports Strong Q3 2024 Results

VLI, a logistics solutions company that controls railways, ports, and terminals, reported significant growth in key financial metrics for the third quarter of 2024 compared to the same period last year. Net income surged to R$1.2 billion, a 54% increase year-over-year, while EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) reached R$4.0 billion, up 13%. The company also recorded R$7.6 billion in net revenue, marking an 11% rise compared to 2023.

“VLI continues to prioritize the safety and efficiency of its operations, as well as improving its debt profile and management discipline, aiming to generate value for our customers’ businesses, protect cargo, and ensure the physical integrity of our employees and partners, as well as delivering returns to our shareholders,” says Fábio Marchiori, CEO of VLI.

The company’s operational cash flow remained robust at R$3.7 billion for the first nine months of 2024, with 73% of this amount—R$2.7 billion—directed toward asset maintenance, capacity expansion, and infrastructure improvements. VLI closed the period with R$3.5 billion in cash and cash equivalents, maintaining a stable net debt-to-EBITDA ratio of 1.3x.

One notable growth area was Trato, a VLI solution for managing road freight flows to its intermodal terminals. In the first half of 2024, Trato handled 2.9 million tonnes, representing a 45% increase year-over-year.

Other Highlights

Several milestones marked the third quarter:

Progress on FCA Concession Renewal: VLI advanced the renewal process for the Ferrovia Centro-Atlântica (FCA) concession, holding six public hearings to gather feedback from stakeholders, including regulators, state and municipal representatives, and civil society. The proposal includes R$24 billion in investments to modernize the railway network, acquire new wagons and locomotives, and pay R$5 billion in grants and compensations.

New Locomotives for FCA Operations: VLI announced the acquisition of seven new locomotives to enhance cargo transport capacity along FCA’s East Corridor, connecting Minas Gerais and Espírito Santo. Since 2023, the company has committed over R$500 million to purchase 27 locomotives manufactured by Wabtec in Contagem (MG), with deliveries expected by 2026.

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