WEG SA (WEGE3) Q3 2026 Earnings Report
BR:WEGE3 Q3 2026 EPS Results
- Actual EPS
- BRL 0.40
- Consensus EPS
- BRL 0.41
- Beat/Miss
- Missed by -BRL 0.01
- One Year Ago EPS
- BRL 0.39
BR:WEGE3 Q3 2026 Revenue Results
- Actual Revenue
- BRL 10.86B
- Expected Revenue
- BRL 10.86B
- Beat/Miss
- Missed by -BRL 1.09M
- YoY Revenue Growth
- +5.74%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/21/2026
- Time
- Before Open
- Conference Call
- Wednesday, October 21, 2026
WEG SA's next earnings date is estimated for February 24, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
No earnings call audio is available for this earnings event.
Q3 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q3 2026 Earnings Call Summary
The call was broadly positive. Revenue returned to growth, international operations delivered double-digit growth, EBITDA and ROIC remained strong, order intake was healthy, and management highlighted substantial growth opportunities in T&D, generators, data centers, energy storage, and new production capacity. The main challenges were weaker and postponed demand in parts of Brazil, raw-material and freight inflation, U.S. tariffs, elevated pre-operational personnel costs, softer international paints and varnishes demand, and uncertainty around tariff reimbursements and the BESS auction. Highlights significantly outweighed the lowlights.
For the rest of the year, WEG remains confident in a favorable environment for continued revenue growth, supported by the strong performance of its traditional businesses and opportunities in new business areas, while raw material costs could put pressure on operating margins. The company is maintaining a robust investment plan, including total estimated investments of BRL 330 million and an annual production capacity of four gigawatt-hours for the Itajaí battery energy storage systems plant, which should be ready in the second half of the coming year, and approximately BRL 840 million to expand generation production capacity in North America. The Mexico and Colombia plants are expected to come into operation in the first quarter of 2027, while the BESS auction has been set for the beginning of December and could have a significant contribution in 2027.
- North American T&D and Generator DemandThe North American T&D business continued to perform well, supported by growing demand for generators. Opportunities to strengthen U.S. power-grid infrastructure continue to support growth, and Marathon's generator business performed strongly by supplying backup power generation for data centers.
- Industrial Equipment GrowthInternational demand remained positive for short-cycle products such as low-voltage electric motors and standard automation products, particularly in oil and gas, mining, and data-center ventilation and cooling systems. Long-cycle products, including high-voltage motors and automation panels, also contributed to performance.
- Data-Center Cooling Business Nearly DoubledThe cooling business for data centers grew substantially and was described as having practically doubled compared with last year, with a very positive dynamic going forward.
- Healthy EBITDA and MarginEBITDA reached BRL 2.3 billion, an increase of 3.1% compared with the third quarter of 2025. EBITDA margin closed the quarter at 21.6%, mainly supported by a favorable sales mix.
- ROIC Increased to 33.2%ROIC increased by 0.8 percentage points to 33.2% at the end of the quarter, remaining at a high level and reinforcing management's stated discipline in capital allocation and long-term investment strategy.
- Nine-Month Margin ImprovedThe accrued EBITDA margin for the first nine months was 20.9% in 2026, compared with 20% in the first nine months of 2025.
- Brazilian T&D Delivery MomentumBrazil's T&D business had another positive quarter, driven by transformer deliveries for transmission-auction projects and distribution networks. Automation systems also recorded strong delivery volumes, especially in the pulp and paper segment.
- Expanded Betim Plant Began OperatingWEG began operating the expanded Betim plant during the quarter, strengthening production capacity for large power transformers in the generation business.
- Strong International Order IntakeThe company recorded strong order intake in international markets, building what management described as a healthy order backlog for the coming quarters.
- Positive Paints and Varnishes Demand in BrazilSales of the main paints and varnishes products remained strong in Brazil, especially demand for liquid coatings in the oil and gas segment.
- Revenue Returned to GrowthNet operating revenue increased 5.7% compared with the third quarter of 2025. Brazil resumed growth, reflecting continued deliveries of long-cycle projects, particularly in transmission, distribution, and automation systems.
- Strong International PerformanceInternational revenue delivered another quarter of double-digit growth in U.S. dollars and represented 62.5% of total revenue, the highest level ever in energy generation, transmission, and distribution.
- Capital Expenditure Continued at a High LevelCapital expenditures totaled BRL 905 million, with 40% invested in Brazil and 60% abroad. Investments included T&D capacity in Brazil, production capacity in Jaraguá do Sul and Guaramirim, vertical integration in Linhares, transformer plants in Mexico, Colombia, and the U.S., and high-voltage motor capacity in China.
- Battery Energy Storage ExpansionWEG expanded its battery energy storage systems plant under construction in Itajaí, Santa Catarina. Total estimated investment is BRL 330 million, with annual production capacity of 4 gigawatt-hours. The plant is expected to be ready in the second half of the coming year.
- North American Generation InvestmentWEG announced approximately BRL 840 million of new investment to expand generation production capacity in North America, aimed at meeting growing demand for power-generation solutions for critical applications in the U.S., particularly from data-center expansion.
- Positive Growth OutlookManagement remained confident in a favorable environment for continued revenue growth, supported by traditional businesses and new business areas, healthy operating performance, and a favorable sales mix.
- Domestic T&D Growth Expected to AccelerateManagement expects the domestic T&D business to increase its pace of growth as new capacity from the Betim expansion ramps up. An expansion at the Gravataí plant is also planned for the coming year, representing an important investment for Brazil's T&D business.
- Energy Storage and Other Generation OpportunitiesEnergy storage has already presented good growth, although it remains a small business. Management said the expected auction could provide a significant contribution in 2027, while thermal and hydro generation businesses are also expected to have a positive impact.
- Competitive Positioning and InnovationManagement highlighted WEG's brand recognition, technical expertise, engineering capabilities, scale, verticalization, and innovation culture as competitive advantages. WEG also created a dedicated research and development center in China and has global technology partnerships.
- Long-Term ROIC FocusManagement stated that new greenfield operations can begin with somewhat lower ROIC, but the objective after maturation and growth is to achieve a high ROIC above the market average.
- Succession Plan AnnouncedThe company highlighted its succession plan, including Carlos Prinz and João Paulo Gualberto da Silva's contributions and the preparation of successors, as well as the appointments of Sergio Scarpinelli and Paulo Sinoti to continue the company leadership.
BR:WEGE3 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 24, 2027 | 2026 (Q4) | 0.41- | 0.38 | ― | ― |
| Oct 21, 2026 | 2026 (Q3) | 0.410.40 | 0.39 | 1.02% (+0.00) | |
| Jul 22, 2026 | 2026 (Q2) | 0.360.37 | 0.38 | -2.11% (-0.01) | |
| Apr 29, 2026 | 2026 (Q1) | 0.370.35 | 0.37 | -5.71% (-0.02) | |
| Feb 25, 2026 | 2025 (Q4) | 0.380.38 | 0.4 | -6.44% (-0.03) | |
| Oct 22, 2025 | 2025 (Q3) | 0.390.39 | 0.38 | 4.52% (+0.02) | |
| Jul 23, 2025 | 2025 (Q2) | 0.420.38 | 0.34 | 10.17% (+0.04) | |
| Apr 30, 2025 | 2025 (Q1) | 0.420.37 | 0.32 | 16.09% (+0.05) | |
| Feb 26, 2025 | 2024 (Q4) | 0.400.40 | 0.42 | -2.88% (-0.01) | |
| Oct 30, 2024 | 2024 (Q3) | 0.390.38 | 0.31 | 20.13% (+0.06) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
