New Risk • Jun 16
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -R$34m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-R$34m free cash flow). Share price has been highly volatile over the past 3 months (9.8% average weekly change). Earnings have declined by 40% per year over the past 5 years. Market cap is less than US$10m (R$35.0m market cap, or US$6.88m). New Risk • May 22
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -R$34m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-R$34m free cash flow). Share price has been highly volatile over the past 3 months (12% average weekly change). Earnings have declined by 40% per year over the past 5 years. Market cap is less than US$10m (R$37.9m market cap, or US$7.56m). Announcement • May 07
Lupatech S.A., Annual General Meeting, Jun 02, 2026 Lupatech S.A., Annual General Meeting, Jun 02, 2026. Location: rodovia anhanguera, km 119, predio c, esquina com a rua arnaldo j. mauerberg, bairro distrito industrial, state of sao paulo, nova odessa Brazil New Risk • Mar 17
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: R$41.2m (US$7.92m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (14% average weekly change). Market cap is less than US$10m (R$41.2m market cap, or US$7.92m). New Risk • Dec 30
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Brazilian stocks, typically moving 6.8% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Market cap is less than US$10m (R$45.3m market cap, or US$8.13m). Minor Risk Share price has been volatile over the past 3 months (6.8% average weekly change). Reported Earnings • Nov 20
Third quarter 2025 earnings released Third quarter 2025 results: Revenue: R$13.4m (down 56% from 3Q 2024). Net income: R$5.12m (up R$14.9m from 3Q 2024). Profit margin: 38% (up from net loss in 3Q 2024). Over the last 3 years on average, earnings per share has fallen by 30% per year but the company’s share price has fallen by 36% per year, which means it is performing significantly worse than earnings. Reported Earnings • Sep 08
Second quarter 2025 earnings released: R$0.29 loss per share (vs R$0.56 loss in 2Q 2024) Second quarter 2025 results: R$0.29 loss per share (improved from R$0.56 loss in 2Q 2024). Revenue: R$13.6m (down 60% from 2Q 2024). Net loss: R$12.6m (loss narrowed 46% from 2Q 2024). Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has fallen by 34% per year, which means it is performing significantly worse than earnings. Reported Earnings • May 17
First quarter 2025 earnings released First quarter 2025 results: Revenue: R$18.4m (down 47% from 1Q 2024). Net loss: R$11.4m (loss widened 54% from 1Q 2024). New Risk • May 05
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Brazilian stocks, typically moving 7.1% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Market cap is less than US$10m (R$50.1m market cap, or US$8.80m). Minor Risk Share price has been volatile over the past 3 months (7.1% average weekly change). Announcement • Apr 02
Lupatech S.A., Annual General Meeting, Apr 30, 2025 Lupatech S.A., Annual General Meeting, Apr 30, 2025. Location: anhanguera highway, km 119, towardsthecity centre, building c, corner of arnaldo j. mauerberg street, distrito industrial neighbourhood, nova odessa, state of sao paulo., Brazil Reported Earnings • Nov 17
Third quarter 2024 earnings released: R$0.23 loss per share (vs R$0.54 loss in 3Q 2023) Third quarter 2024 results: R$0.23 loss per share (improved from R$0.54 loss in 3Q 2023). Revenue: R$30.7m (up 22% from 3Q 2023). Net loss: R$9.82m (loss narrowed 54% from 3Q 2023). Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has fallen by 37% per year, which means it is significantly lagging earnings. New Risk • Nov 14
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: R$55.2m (US$9.55m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (28% accrual ratio). Market cap is less than US$10m (R$55.2m market cap, or US$9.55m). Minor Risk Shareholders have been diluted in the past year (7.3% increase in shares outstanding). Reported Earnings • Aug 17
Second quarter 2024 earnings released: R$0.56 loss per share (vs R$0.43 loss in 2Q 2023) Second quarter 2024 results: R$0.56 loss per share (further deteriorated from R$0.43 loss in 2Q 2023). Revenue: R$33.9m (up 73% from 2Q 2023). Net loss: R$23.3m (loss widened 60% from 2Q 2023). Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has fallen by 34% per year, which means it is performing significantly worse than earnings. Reported Earnings • May 18
First quarter 2024 earnings released: R$0.18 loss per share (vs R$0.33 loss in 1Q 2023) First quarter 2024 results: R$0.18 loss per share (improved from R$0.33 loss in 1Q 2023). Revenue: R$35.0m (up 64% from 1Q 2023). Net loss: R$7.40m (loss narrowed 27% from 1Q 2023). Over the last 3 years on average, earnings per share has fallen by 14% per year but the company’s share price has fallen by 42% per year, which means it is performing significantly worse than earnings. New Risk • Mar 28
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 151% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). Share price has been highly volatile over the past 3 months (8.0% average weekly change). Minor Risks Large one-off items impacting financial results. Shareholders have been diluted in the past year (32% increase in shares outstanding). Market cap is less than US$100m (R$77.7m market cap, or US$15.6m). Reported Earnings • Mar 24
Full year 2023 earnings released: EPS: R$1.28 (vs R$1.81 in FY 2022) Full year 2023 results: EPS: R$1.28 (down from R$1.81 in FY 2022). Revenue: R$86.3m (down 22% from FY 2022). Net income: R$52.6m (down 4.0% from FY 2022). Profit margin: 61% (up from 50% in FY 2022). The increase in margin was driven by lower expenses. Over the last 3 years on average, earnings per share has fallen by 17% per year but the company’s share price has fallen by 27% per year, which means it is performing significantly worse than earnings. New Risk • Feb 07
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Brazilian stocks, typically moving 7.6% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (currently running at an operating cash loss). Minor Risks Share price has been volatile over the past 3 months (7.6% average weekly change). Shareholders have been diluted in the past year (29% increase in shares outstanding). Market cap is less than US$100m (R$80.9m market cap, or US$16.3m). Reported Earnings • Nov 17
Third quarter 2023 earnings released: R$0.094 loss per share (vs R$0.60 loss in 3Q 2022) Third quarter 2023 results: R$0.094 loss per share. Revenue: R$25.2m (down 14% from 3Q 2022). Net loss: R$21.2m (loss widened 17% from 3Q 2022). New Risk • Nov 04
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Brazilian stocks, typically moving 9.2% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). Share price has been highly volatile over the past 3 months (9.2% average weekly change). High level of non-cash earnings (20% accrual ratio). Minor Risks Shareholders have been diluted in the past year (11% increase in shares outstanding). Market cap is less than US$100m (R$78.9m market cap, or US$16.1m). New Risk • Aug 18
New major risk - Earnings quality The company has a high level of non-cash earnings. Accrual ratio: 20% This is considered a major risk. Non-cash earnings can arise from many different things. However, if a company consistently has a high level of non-cash earnings, it may be a sign that they are recognizing revenue from customers before the full value of the sales are received as cash or they are not depreciating the value of their assets appropriately. These are practices that inflate earnings, while not providing a similar increase to cash flows. Companies in some select industries naturally have a high level of non-cash earnings and it is not a major concern. However, in the worst case scenario it can be an early sign of performance manipulation by management. Currently, the following risks have been identified for the company: Major Risks Debt is not well covered by operating cash flow (currently running at an operating cash loss). High level of non-cash earnings (20% accrual ratio). Minor Risks Shareholders have been diluted in the past year (6.3% increase in shares outstanding). Market cap is less than US$100m (R$81.6m market cap, or US$16.4m). Reported Earnings • Aug 18
Second quarter 2023 earnings released: R$0.18 loss per share (vs R$1.43 loss in 2Q 2022) Second quarter 2023 results: R$0.18 loss per share (improved from R$1.43 loss in 2Q 2022). Revenue: R$19.7m (down 23% from 2Q 2022). Net loss: R$14.5m (loss narrowed 39% from 2Q 2022). Over the last 3 years on average, earnings per share has increased by 52% per year but the company’s share price has only increased by 6% per year, which means it is significantly lagging earnings growth. Reported Earnings • May 20
First quarter 2023 earnings released: R$0.33 loss per share (vs R$0.51 profit in 1Q 2022) First quarter 2023 results: R$0.33 loss per share (down from R$0.51 profit in 1Q 2022). Revenue: R$21.4m (down 29% from 1Q 2022). Net loss: R$10.1m (down 168% from profit in 1Q 2022). Over the last 3 years on average, earnings per share has increased by 62% per year but the company’s share price has only increased by 31% per year, which means it is significantly lagging earnings growth. Reported Earnings • Apr 14
Full year 2022 earnings released: EPS: R$1.81 (vs R$1.43 loss in FY 2021) Full year 2022 results: EPS: R$1.81 (up from R$1.43 loss in FY 2021). Revenue: R$110.4m (up 18% from FY 2021). Net income: R$54.9m (up R$96.2m from FY 2021). Profit margin: 50% (up from net loss in FY 2021). The move to profitability was primarily driven by lower expenses. Over the last 3 years on average, earnings per share has increased by 61% per year but the company’s share price has only increased by 38% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 17
Third quarter 2022 earnings released Third quarter 2022 results: Revenue: R$29.3m (up 23% from 3Q 2021). Net loss: R$18.1m (down R$18.2m from profit in 3Q 2021). Over the last 3 years on average, earnings per share has increased by 67% per year but the company’s share price has only increased by 25% per year, which means it is significantly lagging earnings growth. Board Change • Nov 16
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 3 experienced directors. 2 highly experienced directors. 2 independent directors (3 non-independent directors). Independent Director Celso Lucchesi was the last independent director to join the board, commencing their role in 2012. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Valuation Update With 7 Day Price Move • Aug 23
Investor sentiment deteriorated over the past week After last week's 21% share price decline to R$3.40, the stock trades at a trailing P/E ratio of 6.1x. Average trailing P/E is 19x in the Energy Services industry globally. Total returns to shareholders of 172% over the past three years. Valuation Update With 7 Day Price Move • Jun 29
Investor sentiment deteriorated over the past week After last week's 15% share price decline to R$3.05, the stock trades at a trailing P/E ratio of 5.5x. Average trailing P/E is 20x in the Energy Services industry globally. Total returns to shareholders of 103% over the past three years. Valuation Update With 7 Day Price Move • Jun 13
Investor sentiment deteriorated over the past week After last week's 16% share price decline to R$3.85, the stock trades at a trailing P/E ratio of 6.9x. Average trailing P/E is 22x in the Energy Services industry globally. Total returns to shareholders of 175% over the past three years. Reported Earnings • May 30
First quarter 2022 earnings released First quarter 2022 results: Revenue: R$30.1m (up 58% from 1Q 2021). Net income: R$14.9m (up R$57.7m from 1Q 2021). Profit margin: 50% (up from net loss in 1Q 2021). Over the last 3 years on average, earnings per share has increased by 88% per year but the company’s share price has only increased by 41% per year, which means it is significantly lagging earnings growth. Announcement • May 12
Lupatech S.A. to Report Q1, 2022 Results on May 18, 2022 Lupatech S.A. announced that they will report Q1, 2022 results After-Market on May 18, 2022 Board Change • Apr 26
Less than half of directors are independent No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 3 experienced directors. 2 highly experienced directors. 2 independent directors (3 non-independent directors). Independent Director Celso Lucchesi was the last independent director to join the board, commencing their role in 2012. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Mar 29
Full year 2021 earnings released: R$1.43 loss per share (vs R$0.90 profit in FY 2020) Full year 2021 results: R$1.43 loss per share (down from R$0.90 profit in FY 2020). Revenue: R$93.6m (up 71% from FY 2020). Net loss: R$41.3m (down 301% from profit in FY 2020). Over the last 3 years on average, earnings per share has increased by 84% per year but the company’s share price has only increased by 44% per year, which means it is significantly lagging earnings growth. Reported Earnings • Nov 17
Third quarter 2021 earnings released The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: R$23.8m (up 62% from 3Q 2020). Net income: R$121.0k (up R$22.5m from 3Q 2020). Profit margin: 0.5% (up from net loss in 3Q 2020). Over the last 3 years on average, earnings per share has increased by 87% per year but the company’s share price has only increased by 37% per year, which means it is significantly lagging earnings growth. Valuation Update With 7 Day Price Move • Nov 04
Investor sentiment improved over the past week After last week's 18% share price gain to R$6.92, the stock trades at a trailing P/E ratio of 2.7x. Average trailing P/E is 15x in the Energy Services industry globally. Total returns to shareholders of 262% over the past three years. Valuation Update With 7 Day Price Move • Oct 20
Investor sentiment improved over the past week After last week's 17% share price gain to R$6.00, the stock trades at a trailing P/E ratio of 2.4x. Average trailing P/E is 16x in the Energy Services industry globally. Total returns to shareholders of 214% over the past three years. Valuation Update With 7 Day Price Move • Sep 25
Investor sentiment improved over the past week After last week's 26% share price gain to R$5.72, the stock trades at a trailing P/E ratio of 2.2x. Average trailing P/E is 15x in the Energy Services industry globally. Total returns to shareholders of 334% over the past three years. Valuation Update With 7 Day Price Move • Aug 17
Investor sentiment deteriorated over the past week After last week's 16% share price decline to R$5.21, the stock trades at a trailing P/E ratio of 3.3x. Average trailing P/E is 16x in the Energy Services industry globally. Total returns to shareholders of 259% over the past three years. Valuation Update With 7 Day Price Move • Jul 27
Investor sentiment improved over the past week After last week's 18% share price gain to R$6.58, the stock trades at a trailing P/E ratio of 4.2x. Average trailing P/E is 15x in the Energy Services industry globally. Total returns to shareholders of 299% over the past three years. Valuation Update With 7 Day Price Move • May 20
Investor sentiment deteriorated over the past week After last week's 30% share price decline to R$7.91, the stock trades at a trailing P/E ratio of 8.8x. Average trailing P/E is 16x in the Energy Services industry globally. Total returns to shareholders of 337% over the past three years. Valuation Update With 7 Day Price Move • May 05
Investor sentiment improved over the past week After last week's 24% share price gain to R$8.94, the stock trades at a trailing P/E ratio of 10x. Average trailing P/E is 16x in the Energy Services industry globally. Total returns to shareholders of 317% over the past three years. Valuation Update With 7 Day Price Move • Mar 27
Investor sentiment improved over the past week After last week's 127% share price gain to R$4.86, the stock trades at a trailing P/E ratio of 5.4x. Average trailing P/E is 16x in the Energy Services industry globally. Total returns to shareholders of 99% over the past three years. Reported Earnings • Mar 23
Full year 2020 earnings released The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: R$54.6m (up 67% from FY 2019). Net income: R$20.6m (up R$51.0m from FY 2019). Profit margin: 38% (up from net loss in FY 2019). The move to profitability was primarily driven by higher revenue. Over the last 3 years on average, earnings per share has fallen by 5% per year whereas the company’s share price has fallen by 4% per year. Is New 90 Day High Low • Mar 04
New 90-day low: R$2.06 The company is down 9.0% from its price of R$2.27 on 03 December 2020. The Brazilian market is flat over the last 90 days, indicating the company underperformed over that time. It also underperformed the Energy Services industry, which is up 20% over the same period. Is New 90 Day High Low • Jan 06
New 90-day high: R$2.59 The company is up 34% from its price of R$1.94 on 08 October 2020. The Brazilian market is up 21% over the last 90 days, indicating the company outperformed over that time. However, it underperformed the Energy Services industry, which is up 35% over the same period. Is New 90 Day High Low • Dec 15
New 90-day high: R$2.53 The company is up 31% from its price of R$1.93 on 15 September 2020. The Brazilian market is up 13% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Energy Services industry, which is up 23% over the same period. Is New 90 Day High Low • Sep 19
New 90-day low: R$1.90 The company is down 3.0% from its price of R$1.95 on 19 June 2020. The Brazilian market is up 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Energy Services industry, which is down 2.0% over the same period.