Morning, ladies and gentlemen. Welcome to Helbor's conference call to discuss the results for the second quarter of 2026. This conference is being recorded, and a replay will be available on the company's investor relations website, and the presentation will also be available for download. Please note that all participants will be in listen-only mode during the presentation. We will then begin the Q&A session when further instruction will be provided. Before proceeding, I would like to remind you that the forward-looking statements are based on beliefs and assumptions of Helbor's management and on information currently available to the company. These statements may involve risks and uncertainties as they relate to future events and therefore depend on circumstances that may or may not occur.
Investors, analysts, and journalists should bear in mind that events relating to the macroeconomic environment, the industry, and other factors may cause actual results to differ materially from those expressed in the respective forward-looking statements. Joining us are Mr. Henry Borenstein, Chief Executive Officer, Roberval Toffoli , Chief Financial Officer, and Marcelo Bonanata, Sales Executive Officer of the company. I would like to turn the floor to Mr. Henry, who will begin the presentation. Please, Mr. Borenstein, you may proceed.
Welcome to Helbor's earnings conference for the second quarter of 2026. It's a pleasure to be here with you. Joining me today, I have our Chief Financial Officer, Roberval Toffoli , and the Sales Executive Officer, Marcelo Bonanata, will be participating in today's presentation, will join us for the Q&A session at the end of the call. I will begin the presentation by highlighting the key developments of the quarter.
First, the gross total sales of the second quarter reached BRL 339 million, a reduction of 27% of the same period. This reduction can be explained by the absence of launches in the quarter. The participation of Helbor in this volume was of 73%. In the year to date, the gross sales total BRL 759 million, 30% less than the first half. Helbor's corresponded to 28%. The SoS of the second quarter reached 11.43% in the second quarter 2026. In the total, SoS reached in relation to the percentage points in the comparison of the second quarter 2025. In the second quarter, it was impacted by the performance of the sales in the second quarter of 2025. In this semester, it reached 22%, a 12.4% reduction from the same period of the previous year.
Helbor's SoS stood at 21.2%, a decrease of 10.1 percentage points compared with the first half 2025. The company did not launch any projects during the quarter. However, it's worth recalling the launches carried out in the first quarter 2026, which are included in the first half figures. Two projects were launched at Nova Vivere in São Paulo and Parque Clube Ipoema in Osasco, with a combined net GDV of BRL 470 million, of which Helbor share was 33%. At the end of the second quarter 2026, the company's land bank represented potential growth PSV of BRL 11.6 billion, 74% of which corresponded to Helbor share. The total mortgage transfer reached BRL 205 million in the quarter, with Helbor accounting for 62%. Year to date, mortgage transfer totaled BRL 482 million, with Helbor shares at 65%.
Finally, I would like to comment. I would like to invite Marcelo Bonanata to provide his, and will be available at the end of our Q&A session.
Thank you, Henry Borenstein . On the first screen, we have Helbor's land bank, and is strategically well-positioned. We have a total land bank of BRL 11.6 billion, 74% Helbor stake. I think that we always talk about the land bank, and this is the greatest asset the company has. Its land bank is raw material, and we can see in the highlight that in addition to the quality of the land lots or the location, we can also have a very well-distributed land bank as regards the income. We have the ultra-high, medium, high, and the economic standard too. This is the greatest wealth we have in the same company. A very robust land bank and very well-positioned.
Now, in terms of launches in the second quarter, we did not have any launch. We had two in the first quarter, which was the Nova Vivere. We are involved since 2016, this at Lapa, and we always like to highlight this project. This is something very important. We have been developed to have over 2,000 units delivered and with a high potential of growth and appreciation in the region. We have another phase and also at Parque Clube Ipoema in Mogi das Cruzes in the metropolitan region. We operate in ABC, Mogi das Cruzes, Guarulhos, and Campinas. We also like to spread. Mogi is our city, and we have a very large SoS where we can develop new neighborhoods. Just to give you an idea, in the first quarter, we have over 50% of the units.
Highlighting the medium standard in São Paulo, this is very important. We have talked a lot, so it's a city close to the capital city and with a high potential of appreciation and value and at a lower price where we have a great migration, Mogi and also the ABC, and we should also highlight that. The higher sales, we had a total of BRL 339 million. In the second quarter, we had a drop concerning the second quarter 2025 of about 27%, and in the same semester, we had a drop of 30%. Henry highlighted that we had no launches in the second Q 2026, and due to our strategies. We had a very important event, the World Cup, and we have sometimes expectations that this has not affected sales, but it does.
We decided to wait a little longer, and we are going to do that the second half. In the next one, we talk of VSO. The total VSO had a decline last year in the second Q. We started with 18%. In the first Q this year, it's 12.4%, and in the second quarter, 11.3%. The VSO of this semester last year, we had 35%. We went to 22% at the Helbor's VSO. Last year, we had 18%. In the first Q, 10.9%, and we had an increase of 11.3% in the second quarter of this year in the Helbor's share in the semester from 31% to 21%. In the total inventory, we have BRL 2.9 billion, 99% concentrated in the Southeastern region.
Helbor's share is BRL 1.7 billion, and it is distributed, as I mentioned, in our land bank and our inventory we have in the upper medium, and we have a flexibility not only in the capital, in the metropolitan region of São Paulo and also in some other regions. We do not concentrate the same typology both in our inventory and land bank. We can scatter that around, and we can work at different standards and classes. In the next slide, we talk about the completed units, and it is always very important was the legacy, the period from 2015, where the termination contracts crisis and the market was very well affected. Last year, we had from 24 to over BRL 50 billion inventory of the legacy. In 2023, we have only BRL 2 million. We are at the end of it.
It is important to highlight that our completed units, last year, we have BRL 509 million, and today we have BRL 549 million. The completed units below 20%, a very healthy position. It is worth mentioning that our completed is below 20% of the total. In the completed units, we have two projects. One is Figueira Leopoldo Itaim and the W Residences. We are talking about two project concentration of over 70% of the PSV. The ready units inventory is very healthy, and we are working hard to sell it, both the completed units and under construction. Talking about the own lending and due to the deliveries this year we have a smaller amount of delivery. We had a drop of the on landing or the shift. We closed the second half of BRL 240 million. In the financial, we have BRL 482 million.
In the next slide, we distribute the projects that will be delivered. We have three projects to be delivered. One is the Vila Nova in Curitiba and our land lot closing, land lot in Itapeti. They correspond to 80% of the units sold, all of them very well. The majority of them, we are already in the transfers phase, and we are going to deliver these three. In 2027, we have four projects. We should give BRL 896 million, and well sold, about 77%. In 2028, we have seven projects to be delivered, BRL 1.2 billion deliveries to be made, and 55% of the total units sold, and we should reach for 2028 in the sales and deliveries. In 2029, we have three projects with 65% sold units, and we have just launched it. In 2030, we have one project, which is in Nova Azeredo.
We are monitoring closely this inventory, both the under construction and completed units, so we can have the lowest inventory possible. Now I am going to give the floor to Roberval. He will give you the financial information.
Okay, let us move on to the financial results of Helbor. On slide 14, on the net earnings in the second half, we have 207, a reduction of 25.5% as compared to second quarter 2025, and 38% in the comparison with the first quarter of 2026. This performance reflects the lower sales volume between the periods, combined with changes in the sales mix. During the quarter, 70% of sales consisted of units under construction, 18% of completed units, and 12% of units from projects launched during the first half of the year, compared with 68%, 25%, and 7%, respectively, in the second quarter 2025.
In the first half 2026, net operating revenue totals BRL 559.3 million, representing a 4.4% decrease compared with the first half 2025. This change was primarily driven by the shift in the sales mix over the period. During the first half, the sales mix consists of 62% units under construction, 22% completed units, and 17% launches, compared with 50%, 25%, and 25%, respectively, in the first half 2025. Moving to the right-hand side of the slide, we have gross profit and gross margin. In the second Q 2026, gross profit totaled BRL 65.8 million, down 28% from the second Q 2025, when it reached BRL 91.4 million. Compared with the first Q 2026, gross profit decreased by 34%. Gross margin stood at 30.9% in the second Q 2026, therefore stable.
In the first half of 2026, gross profit totaled BRL 165.5 million, representing a 10.9% decrease compared with the same period of 2025, also reflecting the lower volume of sales recognized during the period. Gross margin for the first half stood at 29.6%. Moving on to the next slide. We have the results to be recognized. That will represent the recognition of sold profits that are still under construction and whose results will be recognized the company's income statement as construction progress. The gross revenue to be recognized totals BRL 786.5 million at the end of the second Q 2026, an increase of 62.4% compared with the second Q 2025. The largest amounts of revenue to be recognized relate to the following projects: Alegria Patteo Mogilar, launched in the fourth Q 2024. Neo Concept, launched in the fourth Q 2025.
Helbor Patteo Vila Mariana, with the first phase launched in the second Q 2024, and the second phase in fourth Q 2024. Helbor Open Mind, launched in the second Q 2023. Helbor Collage Bela Vista launched in the second Q 2025. Together, these projects account for 78% of revenue to be recognized from units sold. Gross margin to be recognized to the 28.3% in the second Q 2026. Moving now to slide 16 and looking at expenses in the second Q 2026, general and administrative expenses, excluding depreciation and amortization, totaled BRL 21.7 million, down 22.9% from the second Q 2025. This performance mainly reflects lower personnel expenses as a result of a leaner organization structure in 2026, as well as lower professional services and legal expenses. In the first half 2026, G&A expenses excluding depreciation, amortization totaled BRL 46.2 million, representing a 16.9% decrease compared with the first half 2025.
The decrease recorded in the first half was driven by the same factors observed in the quarter. On the right-hand side of the slide, we present selling expenses. In the second Q 2026, selling expenses totaled BRL 7.0 million, down 39.6% from the second Q 2025 and 16.6% compared with the first Q 2026. This decrease was mainly due to the lower advertising and sales commission expenses, reflecting the absence of project launches during the quarter and the lower sales volume. In the first half of the year, selling expenses totaled BRL 37.4 million, representing a 30.1% decrease compared with the first half 2025. On slide 17, the consolidated net income for the second Q 2026 was BRL 5.3 million. Net income attributed to the parent company amounted to BRL 0.6 million. In the first half 2026, consolidated net income reached BRL 29.5 million, of which BRL 2.5 million was attributed to the parent company.
Now, on slide 18, we are going to talk about the debt profile. At the end of the second quarter 2026, consolidated gross debt totaled BRL 2 billion and 11 million, 51% of which was self-liquidating, representing an increase of 7.9% compared with the year-end 2025 and 2.8% compared with the end of the first quarter 2026. This increase was mainly driven by the new borrowings of BRL 150.8 million in the Plano Empresário real estate development financing program during the quarter, particularly for the Helbor Clube Patteo São Bernardo, BRK by Helbor and Alegria projects. This effect was partially offset by a higher volume of repayments of real estate development financing by the repayment of working capital installments contracted with Bradesco that matured during this period.
Cash and cash equivalents at the end of the second quarter 2026 totaled BRL 238.5 million, resulting in a net debt of BRL 1.7730 billion, equivalent to 62.6% of the consolidated shareholders' equity. Finally, I would like to highlight that we are at the end of this partnership between Helbor and [audio distortion] for the development of the old CENU Toshiba that for sure will have an impact in the leverage for the second half. Now, moving on to slide 19, we present the cash generation. In the second quarter 2026, consolidated operations recorded cash consumption of BRL 104.4 million, mainly reflecting the new real estate development financing raised during the period, and the payment of financial expenses and the lower volume of mortgage transfers during the period due to the absence of project deliveries in the quarter.
Cash consumption by non-consolidated SPEs totaled BRL 19.6 million in the second quarter 2026, mainly driven by the raising of construction financing for the Nova Vivere and Garden Design Private Park Residence projects. Considering both consolidated and non-consolidated companies, the second quarter 2026 ended with a total cash consumption of BRL 123.9 million. To conclude the presentation, moving on to the last slide, I would like to reiterate our priorities for the second half of this year. Maintaining the focus on active sales management and the effective management of our land bank for the second half.
We have three projects totaling BRL 782 million in PSV. We are also conduct strategic project launches in the Greater São Paulo and Mogi das Cruzes aligned with the most attractive market opportunities. Finally, we remain firmly committed to cost management discipline and reducing leverage, ensuring profitability and sustainability. I conclude the presentation, and I would like to open for Q&A.
Thank you. We are going to begin the Q&A session for investors and analysts. If you wish to ask a question, please type your question in the Q&A, followed by your name and the name of your company. Please wait a few seconds until we collect the questions. Last question, just type your question in the Q&A section, followed by your name and company. Please wait a few seconds until we collect all the questions.
I'm going to begin with the first question from Mariana Echer. Good morning. Could you please talk more about HBR? What is the volume of the mid and the mid-high?
Good morning, Mariana. Concerning the deal, this is an operation that HBR has made an offer to the minority shareholders, and we are following the legal terms. HBR, a month ago, made all the Securities Commission issue. It's important to remind that this is a transaction that is approved by the minority shareholders of Helbor. From the company's point of view, we understand it's going to be a very good deal with many reasons. Synergy between the two companies. The two companies are development companies. They have an expertise at what we do here at Helbor and HBR.
The difference between them, Helbor is a development company, and HBR sells its project at their maturity. For sure, as we mentioned, it's also a matter of synergy of land bank between the two companies. It's following the normal course. It's an offer that requires some time, but everything is going very smoothly.
Hello, Mariana. Marcelo speaking. Concerning the performance of the mid and the high projects in São Paulo, our inventory of mid and medium-high is very low. It's practically zero. It's important to highlight the mid and the mid-high in the metropolitan region. We have two important projects, one in Mogi das Cruzes. We have two projects, mid and mid-high, they are performing very well. In São Bernardo, we have a large land lot. We made a launch three years ago, and we delivered recently.
We had another launch last year, apartments with 100 sq m, and they are performing very well. It's important to highlight the mid and medium-high. Even in Caminhos da Lapa, we launch apartments with the medium standard, they're performing very well. Wherever we can have the price of square meter that can fit in the income of the profile of this buyer, we are doing very well. The high, we had some launches in the city of São Paulo for the high and ultra-high standard. What's important is the product and the location where you can combine attributions so that this sharing of income. We pay that the buyers of mid and mid-high live very well. They're more demanding. With the launch of offers, we have to be attentive.
We have stocks in the high and ultra-high concerning the location, the products, and also what we have in land bank. We have land lots that are located in good place, is very attractive. We are very attentive then to the high and ultra-high, but we also have very good land lots and projects.
Henry speaking. The buyer of Standard. He chooses where he wants to buy and live. We are talking about location. In our opinion, this is basic for any development company to have a good location. The major differentiating factor are the products. I usually tell Marcelo, you have to generate expectation of the urgency sales as what we are doing with Canário and República do Líbano. We have a partnership with a company that's very well recognized. Whoever wants to live in this project, in this location, we have this project.
We have different products and well-located. There are two land lots that are also very important. One is on Pamplona, together with Lorena, which is a large land lot with 6,000 sq m, and we have the possibility of adding some land lots in this area. We are going to have an area that is very large and in the heart of the Jardins neighborhood. A land lot of the Rodeio Restaurant, which is very well known at Oscar Freire. We have another project in this location, and we think it is a differentiating land lot. The company is more focused in reducing its leverage in each launch. We are very concerned about the macroeconomics, what is happening. We are looking inwards to the launch and to be sure of what we are going to launch.
Bear in mind that if you want to ask questions, just type your question in the Q&A, followed by your name and company. Please wait a few seconds until we collect the questions.
The Q&A session is closed, and now we would like to give the floor to Mr. Henry for his final remarks.
I would like to thank Marcelo, Roberval, our team, and all of those who participated in our teleconference. We are available to make any other clarifications that may be needed. Helbor's earnings call is closed. We thank you all for your participation, and have a very good afternoon.