Revenue declined due to product unavailability and lower productivity among beauty consultants
Net debt and leverage improved, driven by cash generation and FIDC inflows
New CEO Ale Carlucci highlighted the transition period and key initiatives to unlock the company's "full potential"

SÃO PAULO, Nov. 12, 2026 /PRNewswire/ --Natura announced today its results for the third quarter of 2026 (3Q26). The company ended the period with consolidated net revenue of BRL 5 billion (-3% in BRL and -5.9% in constant currency). In Brazil, revenue declined by -9%, marking an improvement compared to the previous quarter but falling short of the company's expectations. The result also reflects product unavailability and a loss of productivity among beauty consultants, in addition to the decline in the relationship selling channel.

At Hispanic markets, revenue remained stable in constant currency (-0.9%). The performance reflects a slowdown in Mexico compared with the second quarter, mainly due to revenue phasing, as a sales cycle was brought forward from the third to the second quarter of this year. It also reflects Argentina's continued but still slow recovery following the integration with Avon.

Consolidated EBITDA was BRL 460 million, with a margin of 9.1% (+20 bps YoY). Excluding non-operating effects, EBITDA would have reached BRL 636 million, with a margin of 12.6%.

Net income was BRL 49 million, reversing the net loss of BRL 119 million recorded in the same period last year. One of the key highlights of 3Q26 was the company's strong cash generation of BRL 268 million, which, combined with the FIDC inflows, reduced net debt to BRL 3.4 billion. As a result, leverage fell to 1.83x, from 2.06x in 2Q26, underscoring the resilience and cash-generating capacity of the business model, even amid operational challenges.

In his message to shareholders and the market, CEO Ale Carlucci, who took the helm at Natura on October 1, shared his initial assessment of the company and outlined the key areas of focus for its return to sustainable growth. "Achieving our objectives requires strengthening and adjusting our foundational levers rather than relying on targeted short-term initiatives and superficial fixes," he said.

The CEO announced three priority areas for this new chapter in the company's history:

Improve service levels by resolving supply bottlenecks and product unavailability.
Redesign and modernize relationship selling by revising the value proposition for consultants and leveraging the potential of emerging technologies and digital tools.
Strengthen Natura as a brand ahead of its time, with impactful innovations.

Carlucci also stated that resolving internal bottlenecks and adjusting structural levers in Brazil will take time to yield results, but this short- to medium-term transition is the necessary step for Natura to realize its full potential. "Our resilient business, underpinned by an asset-light model, allows us to navigate this transition while maintaining sound cash generation. Ultimately, a robust balance sheet, disciplined capital allocation, and cash preservation remain king across our entire strategy."

"These priorities can only be delivered through a strong, focused culture, driven by collaborative teams with a sense of ownership and the ability to make tough decisions," the CEO added.

About Natura
Founded in 1969, Natura is a leading Brazilian multinational in beauty and personal care in Latin America, ranked as Brazil's most reputable company and ESG leader by the Merco ranking for 12 consecutive years. A pioneer for over 25 years in the cosmetic use of bioactive ingredients from Brazilian socio-biodiversity through partnerships with Amazonian extractive communities, Natura today benefits thousands of families and helps conserve 2.2 million hectares of forest. Products are available through more than 2.8 million consultants across the region, e-commerce, the Natura app, and over 1,000 stores. For more information, visit www.natura.com.br or follow the company on social media: LinkedIn, Facebook, and Instagram.

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