30 June 2026 | 7:52PM BRT Equity Research Brazil Energy: Fuel Distribution: peaking margins but still healthy outlook in 2H and beyond One of the key highlights from our 1Q earnings season was the level of profitability posted by the fuel distributors in our coverage, mostly on the back of their relatively lower fuel supply cost in March. Recall, Ultrapar's Ipiranga and Vibra Energia delivered Adj. EBITDA margins of BRL 276/m3 and BRL 258/m3 in 1Q (vs. BRL 166/m3 on average for both in 4Q25, for reference). ...

Brazil Fuel Distribution Accessible version Continued upward revisions on strong 2Q expectations Price Objective Change Once again, raising estimates and POs We update our models ahead of the 2Q results and incorporate revised macro assumptions (higher Selic forecast). We increase our POs for Vibra and Ultrapar, driven by higher estimates not only for 2Q26 but also going forward. We set Vibra's PO at R$43/sh (from R$42/sh) and Ultrapar's at R$34/sh (from R$33/sh). We remain constructive with the sector, sup ...