Morning everyone. Now I'm gonna start the presentation of the results of the third quarter of 2025 of Moura Dubeux. I am Allan Aquino, and I'm presenting the results, is Diego Villar, CEO of the company, Diego Wanderley CFO, and Diogo Barral, Director of Investor Relations. Just for questions, if you would like to make your point, to speak verbally, use the Raise Hand something, or if you would like to write your question, use the Q&A, the option Q&A on the screen. I would like to remind all of you that any declarations that may be made during this conference are based on premises of the management of Moura Dubeux. The future considerations are not guarantees of performance as they involve risks and uncertainties, which depend on factors which may or may not occur.
After this disclaimer, I pass it over to Villar. Villar, please go ahead.
Good morning to everyone. A pleasure to be here again with all of you. Now, the third quarter of 2025, but we still have lots of year. We're in the middle of November, but the company still has lots of work to do, lots to deliver. I'm gonna show you what we call it, the new bar, the new level. These are the numbers that I want to bring, a few highlights. We're closing the third quarter with launches of BRL 1.3 billion in launches. I said that this would be the new standard of the company. On average, it's what we hoped to try to guide the guidance for you in the market.
At the beginning of the year, that you could expect this new dynamic of the size and depth of demand here. When we look at the last twelve months, based on the data that we see in Dec-Sep, we see BRL 4.1 billion, which is exactly the goal, the target that we had shared with the IR folks and our CFO, Diogo Barral, had said, explained to the market, which was the level at which the company should be analyzed and projected for coming years. What's interesting is that BRL 3 billion of this BRL 4.1 billion or 73% came from the regime of pro-condominiums. The contribution going forward, when we look at this, could be BRL 2 billion. Very soon, I'll explain about that.
BRL 1.1 billion or 27% came from the model of incorporation or development. The significant part, which is Mood products. Over time, we're gonna see this going towards BRL 2 billion with the development of our business plan for Única. Two billion of Moura Dubeux in condominiums and BRL 1 billion in Mood and BRL 1 billion in Única. This is the rationale that we are establishing. Again, since it's a business model of low leverage and cash generation, a model which Moura Dubeux has been running very well, if the market year by year is able to behave in a dynamic of more condominiums, then it makes sense. It doesn't make sense for us to not occupy that demand. We've shown that it is a business, a winning model.
A model which differentiates Moura Dubeux, and we have no doubts. In the sixth cycle of this business cycle, where it has been bringing the performance and with the financial earnings for the company, as you see. It's a highlight that we have been occupying little by little of the listed companies. In the last 12 months, we see we've been doing very well in our business model, and this is our strength. As you can, this is what highlights us, differentiates us from the other high-level companies in this area. BRL 1.1 billion has had a performance should have been even bigger than Moura Dubeux in the last 12 months. In the case of 12%, about 60%.
Our launch is in the quarter, BRL 1.1 billion in sales. We've sold almost everything that we launched. The dynamic here is more based on our paradigm in relation to the operational capacity of generating products with its cost controls and ensuring the satisfaction of the client with low leverage. As we've seen in this quarter, that said, more with demand, which has been with the sales accompanying this double. When we look at these twelve months, we accumulate BRL 3.3 billion in sales and net sales. It's not reaching the BRL 4.1 billion because the dynamic of launches was not every month and also didn't start from zero.
Quarter by quarter, we have been improving this new level of the net sales for next year will go up more, and during the rest of this year, we will accumulate more than that when we close the year. BRL 2.2 billion or 65% came from the condominium model, very close to what our business plan was for. BRL 1.1 billion exactly what came from the development. The condominium is longer, but the PSV is not as strong, and it has a shorter cycle like Mood. The stronger one wins, and the condominium continues to sell more. It was following its own dynamic.
Wanderley is gonna talk a little bit more about this, but we reached a level in the quarter of BRL 548 million of net revenue. I'm gonna jump over to this side to get over to the gross margin, which brings the company to a level of BRL 2 billion in net revenue for the last twelve months. Again, it's growing. We've been improving and adding revenue to the company. BRL 1 billion of this revenue comes from the condominiums, BRL 1 billion comes from development. It's never. Reminding everyone that we're never going to have the equal revenue, what we consider the launches of the condominium, because the revenue comes in four from the land sale, from the administration fees, the adhesion fees, and also the disposing of the sales. It never adds up to the exact PSV of the launch.
However, the most important thing is that we have grown revenue and gross margins grew up by 43%. The letter from the administration, in which I recommend you read, I spoke clearly about the chronology of a dynamic of a sport, of an athlete. The game isn't here for who does the most volume. It's who does the best performance. Our objective is that very clearly for any collaborator, anybody that's in the company, any one of our activities. Enchant the client with our client, with our products, be the company that generates the best return for our stockholders, because these are the two principal dynamics that guarantee our perpetuity. 43% of gross margin adjusted, which is another moment that we're living, delivering more volume and more profitability.
We get to BRL 118 million in net revenue in the third quarter. It's very recently, that was the profit of our whole year, but now we're earning that in just one quarter. For the last twelve months, we've accumulated BRL 353 million in net revenue, which is a new level, growing quarter by quarter, and we closed the year. We've already done more than we did last year and just in all twelve months, this will be a record profit year. The highlight, which are the most important numbers in this presentation, are the operational and financial. 21% net margin and 21% average return on equity. We're guiding the company to a level of 25% quarter by quarter. We've been raising our return on our equity.
In one way, we have been surprising the market with these levels of margin. We believe that we have nominally more than we expected, but I believe that we can deliver even more than what we have been promising. Distribution of dividends, close to BRL 51 million. We're gonna distribute right now in November BRL 0.60 per share. We're looking at the question of the tax, though not today, but initiating. I'm gonna show what we're thinking about doing due to this tax reform question. We're looking at the details about that. We're guaranteeing with that we're gonna do what we promised, not less than BRL 100 million in dividends paid this year. We've already reached this level, the level that we've committed with you.
On the next slide, we're gonna look at the highlights. It's what we've seen. We are confident with our demand for the region, with the capacity of the company to produce new launches, produce new sales performance, and add even more to our results. There's nothing on our radar in the short term that shows a change in direction. We should be moving towards a third quarter which is similar in terms of financial performance. Operational, I believe will be the same as the last two months level. However, obviously, there'll be a few more days. We'll have a good closing in October, and we're doing well in November. Again, we're also with a cycle of launches that is closing, so we don't have lots of new projects to present right now.
We're more focused right now on selling the stock that we have, and this is going very well for the company. For next year, what I said to you, the level of launches, level of sales, and we expect great efficiency so that we can add to the net revenue of the company. Now pass over to the next slide. The highlights of Mood. Wanna give a little more visibility. In 2022, we started with this business. In 2023 we gained mass, and in 2024 we grew, and now we have products delivered. Parque das Dunas. We have clients living in these buildings now. We have an NPS of satisfaction, which is very high. Soon, we're gonna be delivering the Miraflor in Ceará.
We also have Mood Aurora, Mood Parque do Cocó, Mood Candelária, Parque Azul, Costa Azul, Pátio do Futuro in Fortaleza, Olinda, Farol, Copan and Vivace. This year, we're gonna be presenting Mood Club in Salvador, which is almost 400 ready to go. 13 projects launched, two ready to deliver, BRL 1.2 billion just in Mood sales, 62% of VSO, and BRL 2.1 billion is our land bank for this product. This business didn't exist when we opened our capital.
Built up a new business inside the company, which, if the scenario of next year with the reduction of interest rate, reduction of interest rates beyond what the government has been practicing in the level four of the use of the savings for the middle-class property will create a huge space for Mood. It's a model, and so we're very, very assertive in periods of delivery and costs and has good margins, always improving every quarter. Mood is a vehicle which in very little time, little one, two years, three years, we have transformed it into a reality of this size, and we're gonna see what we can do for the next four years just with this company, which we have inside the company.
Besides Única, which we've talked a lot about, and we've talked a lot about the new Única joint venture we've set up with the Direcional, we're very optimistic, and we have a lot of things in-house already to launch next year, and the financial results is still timid for 2026, but the operation will come showing the strength of this market in the Northeast, and in 2027 and 2028, we're gonna be able to see this on the balance of the company, both on our side as well as in Direcional's balance sheet. Here is the launch, which we've already done in the fourth quarter. It's helped to push our sales of October, BRL 382 million in PSV net, PSV. One more hotel which we purchased, which was very in the best spot on Boa Viagem Avenue. It's the old Recife Palace.
We purchased it. It's the biggest price per square meter for condominium that we have in our history, more than BRL 26,000 per square meter. People that know the condominium model, condominium usually is 80% of the price of a development or a 20% discount. A product which is going very well. It's been selling very well. Something that has only been last 30 days ago and has already helped to bring good sales to Recife as well as Fortaleza, where we have done very well with the launches there, the other cities. This is the major highlight of our of our launches in the fourth quarter already, which is already underway. We have other launches as well, Fortaleza with our Casa Macêdo, and we have also the Beach Class.
Here, Casa Macêdo, a closed condominium, standard, high standard, building in Fortaleza, 382 PSV. In the first month, more than 20 apartments have already been sold. Not a little because these are big apartments, two per floor of a tall building, and it shows our capacity to continue operating in the condominium market, in a high standard condominium market in the Northeast, which has a deep market, as we've shown to you. We BRL have 4.3 million. We have BRL 30 billion, BRL 7,100 million. As I said a little earlier, we're heading towards four. If we have demand, we're gonna continue putting these products out there. We're gonna continue to do this type of development. Of this movement, and we're here doing more than that. One more.
Here, I pass the word over to Diogo Barral. We're gonna talk about the highlights in Wanderley about the financial highlights. I'll come back to you for the end for Q&A. Thank you all, and I'll see you at the end of the presentation.
Thank you, Villar. Good morning to everyone. I'm gonna go through the operational details, starting with our launches of the company. We launched BRL 1.3 billion in the third quarter. Five projects all so involved in condominium model. This presented an advance of 22% in relation to the third quarter of last year, and a reduction of 28% in relation to the second quarter of this year, basically because we had already had this in our, in our plan, planning a higher volume of launches in the second quarter.
If we look at the accumulated for the first nine months of the year, we did BRL 3.6 billion in launches, an increase of 73% compared to the same period of last year. On this screen here, we're giving a summary of the sales, cancellations in VSO. On the left-hand side, we have the sales. The company sold a little more than BRL 1 billion in the third quarter, an advance of more than 6% compared to the third quarter of last year, and a fall 10% in relation to the second quarter, basically because of what I mentioned earlier, but a higher level of launches in the second quarter. Looking at the year to date, the company sold BRL 2.8 billion, an expressive advance, more than 50% higher than in the first nine months of 2024.
The right-hand side, in the upper right-hand corner, we have the cancellation. What's important to mention here is that when we look at the evolution over this year of 2025, indicators have shown a fall quarter by quarter, and we're closing the third quarter with the cancellations reaching only 5% of our gross sales, a very healthy level. We look at this number, the adjusted number, eliminating the exchange of ownership or changes in units, the indicator goes to half that. It becomes only 2.5% of cancellations of our sales. That is our VSO on the left-hand side, the consolidated VSO of the company. It's a trace that we've seen in the last 12 months. Also very interesting because we have a vision of 5 quarters.
The company has been presenting in a resilient way this PSV above the level of 50%, very much due to what we say the dynamic of the real estate market in the region and our leadership. There's a low level of competition compared to what we're able to do with this velocity, and we're moving very strongly in the cycle of sales. In the lower right-hand corner, the launches in the last 12 months, which was very close to 60%. When we look at the quarter, the company sold almost 52% of everything that we launched in the third quarter. On the next slide, we have a stock and a land bank projects underway. On the stock, we have two important points for us to comment.
First, we have been able to maintain an indicator of coverage very healthy. We go through the third quarter with 11 months of coverage. The other point in relation to our stock of ready to sell goes from BRL 150 million in the second quarter to BRL 140 million in the third quarter, representing a painless 4.5% of our total PSV in stock, unsold stock. About our land bank, today it has 56 sites, BRL 9.7 billion in potential PSV. Once again, our leadership talks about that. We have been launching strongly every quarter, and we've been able to recompose the stock very quickly. Considering this BRL 9.7 billion, almost 70% was acquired through swaps and 30% by cash.
We closed the third quarter of this year with 60 projects underway, 20 of them in regime of incorporation and 20 in the condominium model. To close our operational part of the presentation, we also bring the projection of the deliveries during this year. During the year, we delivered 12 projects. To close this, last few months of the year, we have a projection of eight projects, two of them in incorporation, in development, and six in the condominium model. I'm gonna pass it over to Wanderley to give you the numbers, our accounting numbers.
Good morning, everyone.
Starting here with the financial results due to our beginning with revenue, we delivered approximately BRL 550 million in the third quarter, a growth of 9.3% in relation to the third quarter of last year, and a reduction of 37.5% compared to the second quarter. You can see that the revenue of development, which is very much in line with the last quarter and the variation of revenue, the lowering of this revenue in the condominium segment. We always remember that the revenue of a condominium is not as linear as a development revenue. It depends on the number of land that we have sold in a quarter and how we acquired that land.
In this case, in the third quarter, the majority of our land were purchased principally through physical swaps. We have a revenue, a nominal revenue, which is smaller, but a higher margin, which we're gonna see in the sequence. In the second quarter when we purchased more land in cash, and therefore we have a higher revenue with a margin a little bit lower. When we look at the year to date for 2025, we're at BRL 1.6 billion of net revenue. This represents 37.5% above of what we had in 2024, with both segments growing in revenue. When we look at the size of the operation of the company that we've been running, as Villar said, about BRL 4 billion of PSV per year.
You can see that even though the year has not ended, we're still not close to the stabilization of the amount of revenue as we should be 'cause of the size of the operation that we're running in. We expect that with the passage of these next few quarters, especially with the projects of Mood, that this revenue will go above BRL 3 billion per year, BRL 3.5 billion as we see here. That's what we have an increase in future revenue. Looking at the gross revenue, we delivered BRL 333 billion, which is what we impacted with interest, capitalized interest, a margin of 43%. This gross profit was a growth of 37% compared to last year and very much in line with the second quarter of this year.
The revenue falls, but the margin goes up, and the nominal gross doesn't change. It's that dynamic of the depending on the way the land was acquired. We look at the year to date, we delivered BRL 660 million growth. Compared to last year from the IPO, it's basically what the company has been growing, quarter by quarter, 40%-45% a year. The important thing is that the gross margin has grown up two percentage points when we compared to 2024. Looking at the adjusted EBITDA, we delivered BRL 130 million, very close to the second quarter. The margin was even a little bit better, 23.7%.
When we look at the BRL 105 million of EBITDA margin of 20%, and we look at the year of 2025, it's growth of 50% in relation to last year, BRL 325 million of EBITDA and margin of 21%, a gain of almost two percentage points. Very relevant, the operation growing each quarter. Looking at the net profit, we delivered BRL 138 million in the quarter with a margin of. We accumulated in the last twelve months, BRL 323 million of profit with a net margin of 17.5%. The most important thing is the return, which is above reaching 21% and is the principal indicator when we look at our results.
Part of the strategy of the company, if the company be a company which operates without leverage, bringing the biggest possible revenue to our stockholders, to our shareholders, and we have been receiving the fruits of these results and the strategy that was taken not in this quarter, but at the end of 2022 and beginning of 2023, and accelerate our launches and that the business, the model would consume less cash, and then we'll be able to grow the operation and have a low level of leverage under control. Natural that the ROE has been growing, and we see space for still further improvements when we change our model going forward.
For the year to date, BRL 308 million, which is 50% above what it was last year, and we're going strongly to deliver BRL 400 million that we understand is the model of the company, ready to generate. The net margin of almost 19% net margin. Looking at the expenses, this quarter, both commercial as well as administrative expenses had increases. On the commercial expenses, we released BRL 66 million, and in revenue, we also had a growth of 5.8%. It's good to mention that we did lots of launches in the end of the second quarter and/or during the third quarter.
When these launch, it's natural that the investment in commercialization increases, which leaves us comfortable with the indicator that in all the viability that we look at, we look at 7% for this line, 4% for commission and 3% for marketing and expenses. That's why we've been running at a level well below that. It's logical that we're not happy to be below. We always wanna be more or less optimized. It's natural that, with more launches, this line would grow. It's to be expected. On the administrative side, the growth was less. We did BRL 33 million, a little bit above the second quarter. This, the percentage of revenue grew a little bit due to the dynamic of the variation of revenue that I mentioned.
This amount also grew due to the company continuing to deliver its best results in the history of the company, any year. With that, naturally, the team bonuses will overrun, the goals will be reached, and we've already provisioned during the year the bonus which will be paid next year. This generates an impact on our G&A, but nothing that wasn't foreseen if the company were to overcome all of its goals. Looking at the results, the appropriate results, there was no variation. The same BRL 378 million for the last quarter, also with a gain in margins of almost one percentage point. It's important to see that the innovation with the launch to bring improvements in results in the future. It's all an expectation based on the analysis of today.
We always accompany this closely. The fact that we're always correcting our projects, which makes our margin very stable. The important thing, I would like to be very transparent, that this is the margin with which we're very comfortable with the current moment. In the condominium, there was no variation. The margin was very much in line with the amount of BRL 40 million to be recognized in the results. The administrative fees went up by 14%, reaching BRL 400 million as the condominiums are delivered. We have lots of condominiums, and this brings more fees to be recognized as these, as the construction progresses. To close the financial numbers, we look at debt. It grew by BRL 35 million.
We accumulated BRL 246 million in net debt, which is only 13.6% of our net equity. The trajectory, we accelerated the growth starting from 2023. With that, it was expected that with this, with burning this cash, that we'd be running the company between 15%- 20% on net debt. This has been happening, however, it's going faster than we thought. We look at our model at the end of last year. What we expected for this time this year, we should be a little more leveraged than we are, basically because the company has been running very strongly. We're still flying at the same rate.
We're gonna burn some cash in this quarter, in the fourth quarter, in the first quarter of 2026, and in the second quarter of 2026. The third quarter is when we'll start to stabilize and begin to generate cash. We also announced, as Villar said a few minutes ago, BRL 15 million in dividends, which we're gonna pay now in the fourth quarter. This is already in our account of debt. With that, we close the financial highlights, and we're gonna continue with the Q&A. Thank you all.
Very well. Now begin the question-and-answer sessions. In case you would like to speak your question, make your question, please use the option of Raise Hand. If you'd like to write your question, use the Q&A button. Our first question from Gustavo Cambauva from BTG.
Gustavo, please go ahead. Your microphone is open.
Hi. Good morning. I just wanna make two questions. The first, if you could comment a bit on the opening, Villar spoke about the projects for the fourth quarter. If you could comment, how is the pipeline of 2026? Falar um pouquinho mais sobre, vamos dizer, esse ramp up no Minha Casa, Minha Vida, né? Esse modelo de condomínio.
Of the ramp up of the Minha Casa, Minha Vida. The condominium model, you have very solid results, but I want to understand a little bit what do you see eventually, and how much you think that you can grow in launch in the Única and eventually in Mood as well for 2026.
My second question is in relation to the gross margin which you presented, a very high margin in the third quarter. To understand a little bit what happened there. Were there any non-recurring factors, something that we should take or something that could be repeated in the fourth quarter with a high volume of condominiums coming online? How do you see this gross margin evolving in the next quarters? Thank you all very much. Have a good day.
Cambauva, bom dia a você, bom dia a todos. Good morning to everyone. Cambauva, thank you for your questions. I'm gonna explain here your first, and Wanderley will take care of the second one. The first about launches. We have guided to BRL 4 billion.
It's probable that we will do a little bit more than that because the condominium we have not had any signs of deceleration. Over the year, we've been perceiving this dimension as dynamic. We're gonna try to do a little bit less than we did this year, but above BRL 2 billion. As far as Mood, that's it. We're guiding for BRL 1 billion. I don't believe in a significant short-term lowering of rates. This is the real level that Mood operates. As far as Única, it's where I deposit my greatest optimism. We have a market which has a demand which is not being met by the competition. It has been the case for five years differently from São Paulo. The supply and demand are very close.
In the last five years, this is what happened and with high prices going up. That's not what we see here in our region, especially in the level three, where we decided that Única would position itself. We have a business plan, the land that is relatively used for Única, and over the year we're gonna be guiding you. However, we should not do from Única less than BRL 1 billion for Única. I think that's where we can come to surprises, positive surprises. Condominium should be above BRL 2 billion. Mood shouldn't be above BRL 1 billion, and Única should be at least BRL 1 billion. We believe that it could be even more than that. In summary, that gives the BRL 4 billion that you're working with.
However, I believe that if the macro dynamic continues as it is, and the demand continues to respond positively, that we could post the price positively, both in the condominiums of Moura Dubeux and the Mood and Única delivering more than is foreseen. I'm gonna, as I did this year, we get to the beginning of the second quarter, we'll guide you if this level is coming in higher than what we expected. We will show you how the rest of the year should be as we did this year. It is positioning. We wait to see how is the humor of the company, how the demand is responding. The size is not our biggest objective. As I said at the highlights, we're interested in margins.
As Wanderley will answer you, I would rather wait and have a more specificity. It's the election year, a year in which we're always, or as I said a long time, we're very optimistic, but it's a cautious optimism. That's where we're gonna go forward. Wanderley, please go ahead.
Olá, Cambaúva. Bom dia. Obrigado pela pergunta. Okay, thank you for your question. I think I commented a bit about the margin in the third quarter. We had the land that was recognized and had a lot of swaps in these negotiations. The cost of the swap doesn't show up in our results, and the gross margin is higher than in the other quarters.
When we look at the stabilized numbers, we hope that this margin will come back to the levels that we have been presenting in the last quarters, and that will come back to the normality and the consolidated between 34% and 35%. This was more an effect of properties being, well, almost all in swaps. We have good land. Some of them are in swaps. So, for several quarters, we're gonna have a little bit of growth in our margins. When we look at the average in the fourth quarter, addressing your question is we expect that the margin will come back to what it has been in these quarters. The most important is the profitability. Tá ótimo, gente. Muito obrigado.
Okay, very good. Thank you.
Thank you. Next question is from Herman Lee. Herman Lee from Bradesco BBI. Herman Lee, please go ahead. Microphone is yours is open.
Thank you, Moura Dubeux team. Thank you for the space. Two questions from our side. First is about the VSO, the PSV, which has a very high level, very healthy level the last months. We look at this number, it came with seasonality, the launches. A little more detail. The second question is about the level of condominiums. I want to understand a little bit more about the growth that we have seen in the recent quarters. If this is more of the investors, if there's a city which is not doing as well as another, and how it has been this model. Without having to explain, as you explained frequently, it's not surprising the volume. If you could give us a little more information about this dynamic.
Herman Lee, good morning. Thank you for your questions.
The falloff in PSV quarter-to-quarter. I understand that the market is anxious to see results that are quarter-by-quarter. We talk about a marathon in our administration. The last five kilometers are slower than the previous five, but just a little bit more slowly. It's irrelevant at the end of the day, in the cycle of a long journey. It's normal. There's no reason, no explicit reason that justifies this. In fact, we had good sales, a level of launches versus sales. The gap was smaller, [BRL 1.3] of launches and [BRL 1.3] of sales, when last year the delta was a little different. We have products that explode and sell very quickly. We have other products that follow our viability plans in terms of sales prospectus.
The truth is, when Moura Dubeux has for a long time was the strongest in the medium to high level of sales that will go to the viability, people ask the question. There's nothing, absolutely nothing to worry about. Why we launched 80 projects since the open capital, one or another may have a dynamic which is a little slower than some which were very huge successes. I don't see anything to worry about in this point of view. As far as demand for condominiums, the level at which the company is performing, an explanation, it's a little long, but it's simple to understand what happens today, Brazil. I'm gonna look at this from the point of view of higher income. In 2021, we have performed economic growth combined with three and a half years of a cycle of very high interest rates. It's a paradox.
Central Bank first performing these very high interest rates of 10% and Brazil with low unemployment. Explain that to me. You had a research from our bank. Explain it to a gringo that you can understand. This combination generates an important favorable wind which favor the market of a high-income market. The business, basically high income is associated with liberal, with business people and professionals. That's good for lowering unemployment growth in the country, certain level of economic confidence and a real life economy with a dynamic of commerce and industry which is positive and service provision. The business is doing well. The majority of the developers see this paradoxical situation. However, 15% interest rates never been so easy for anybody that has money to make profit on that.
There's no way to lose. The public papers, they're performing on demand every day higher than the other, which has favored the greater accumulation of wealth and wealth. However, there has been a change in our age pyramid, looking at the geometric pyramid, so we can have an inclusion of the population in the age of 35 to 45 years of age. It combines with the second time they exchange their real estate. There's no deficit. There are new attributes, better localization, which favors this exchange. This is the second pillar adding to the first one which favors this segment. The third and last is specific to the Northeast. For many years, we have lots of years of demand, not many competitive places.
It generated a huge demand for the segment and we're taking advantage. Looking at the condominium specifically is that normally here in the Northeast and in São Paulo as well, you can look at any company that has results. Look at the dynamic of their portfolio of the high level, high luxury business trade. Look at the price of financing is low. Let me give you a number. I know this because yesterday as Mario Leão, he said that seven point two years is the average period of time in a portfolio of real estate. Santander works in all segments. The high-income client finances 30%, 40%, 50% of his much of it during the constructions. Condominium is 80% of our incorporation.
People are able to, since it's not 36, it's 42, 48, 54 months on average. It's even easier for the high-income individual. It fits inside of his budget and the same project is the same as the incorporation product. We took advantage of all this combination which favor us and also the expansion for other models of business such as, which is the Beach Class beach, and the expansion. We have an expansion in the Northeast. We're not just in Recife, but also in Salvador and Fortaleza. That's why we're very optimistic with a minimum size of BRL 2 billion. If these conditions perpetuate, and I'm not sure exactly how much of this demand has been attended, we need a longer cycle to have this information. The dynamic of high interest rates combining with the growth.
I'm not an economist, but to be able to know how much this is going to still perpetuate in Brazil. This has favored this change in the age pyramid of purchasers. There won't be so many young people. That's the tendency will be to be more people, older people entering the market. This will give us depth to the market. I said it was a longer explanation, but it's easy to understand. It's very simple to understand. It's a long explanation, but you can understand.
Very clear. Thank you. Have a good day.
Thank you.
Herman,
Any other question, Herman?
Thank you for the answer. It was very clear.
Next question is from Ygor Altero of XP. Ygor, please go ahead. Your microphone is open. Thank you.
Let's understand a little bit with these changes in the program. What do you think could help you, both income as well as increase in subsidies? What's your position of Mood in the lower income? When you look at these lower incomes, levels, do you think it's have an impact? This is perspective. Afterwards, I'll come back with the second question.
Hi, Igor. Hi to everyone at XP. Listen, we're not gonna operate in level two. We're not looking at it that way. This alteration. We always see apartments in level three was not being announced, but we have the expectation that it won't be a change in the level which will favor even more Única. We have some properties from Mood might even be in that fit into that type of financing.
For the 12% for savings, SELIC 62%, it hasn't been easy to convince clients to leave a portfolio, in that case of Mood is a subsidy, subsidized interest rates to go from a 7% to go connected with a bank at 12%. That it's better to wait for, in Brazil, for a reduction in interest rates than migrate 11% or 12% going forward. That doesn't mean we're stopped. We're not gonna sit here and wait for that to happen. We're doing an active migration on the Mood. It has been successful. For Arborê, Miraflor, we've had irrelevant cancellations with transfers to the Caixa Econômica. Looking at Única, we're not exposed. We're gonna be exposed starting next month. We have a portfolio for the product.
I think it will be a success of sales. Unica Benfica, which already has Direcional with us, a product which is going to be sold on this, on the project just as they do on the level three, exactly because we're doing it together. I'm very optimistic that during the year of 2026, there will be lots of space for two reasons. One, because the demand is very clear. In a percentage of between demand and supply, compared to any other region in Brazil, we have the biggest space, the biggest possibility to grow. Second is because the federal government in election year is going to stimulate even more this program, whether it be increasing the level for level three, more subsidies. It should also favor us.
Third, the change in the exemption of income tax, informal income will start to become formal because they won't have to pay income tax, and this will facilitate the provision of credit in some way. If you get 10, 11, 1,000 with this increase, because it will take this income out of the informality. In our region, we have a lot of informal income. I believe this also favors. Second part of your question is in relation to the RE. What are the principal levers that you see to extract more value in terms of ROE and looking forward? I'm gonna divide this with Vanderlei. First, I'm gonna have part answer and which is Única itself. It will tend to be a business model of low, with low equity and strong cash generation.
We're gonna be doing this in a joint venture with Direcional. It's not what we see in this project. It doesn't make sense for our joint venture to deliver lower results than Direcional performs in [audio distortion]. This business model is what you can expect there. That's one way forward to increase our business. The second is the natural dynamic, the payment of dividends, and we're paying attention to RPL. We're gonna be paying on our equity. With that, we're gonna be able to increase the profitability of the company, as we hope next year which will bring in an increase in ROE, and we should stabilize somewhere around 25%, but Wanderley can also add on.
Igor.
What Villar said, it's natural that with the entrance of Única, it's a lot better than the development in the high level in development which we have in our results. It's natural that the ROI will get better by itself. However, the margin, especially as well as the cycle, has a much shorter cycle, and with the cash generation starting right from the beginning with the contracting of the financing by the client. This will also push our ROE, and we've been growing a lot in recent years, and we haven't yet been able to overcome all of this profitability and growth because of this growth. Once we stabilize the company, which as we see at around 2027, we're gonna be able to release a lot more capital from our equity and optimize even more our ROE.
We're not doing that yet to not leverage the company too much. Since we're in a growth phase, we're limiting the dividends to what we consider a healthy level. We hope that, as we expected, that the ROE will grow at a healthy level. The new business that have better ROEs than what we have in the past, and with the stabilization of growth, we're gonna have a little more capital coming in, and we're gonna be a little bit lighter. Naturally, this will bring more return on investment for our stock shareholder. Thank you very much.
Next question is from Elvis Credendio, Itaú BBA. Elvis, go ahead. Your microphone is open.
Good morning, everyone. Two questions from my side. Just wanna talk a little bit about this topic of Minha Casa, Minha Vida.
Looking at these points of attention, which we see as a challenge for this operation to go well, to understand overcoming these challenges, these points of attention, what do you think could be the size of the opportunity for Itaú BBA is very relevant in the places in which you operate? If this could be with a partnership with Direcional, have a share in these level three and level four, if you could even get to the five. As far as the cash flow, you mentioned the cash flow is coming better than was expected, and we wanted to know what are the perspectives going forward for this cash flow and how do you see this strategy of allocation of capital of the company. That's it. Thank you.
Elvis, I'm gonna answer first of all. I'm gonna divide this a little bit with Wanderley.
First of all, I wanna welcome to the Itaú BBA. It's a big challenge to take over for Daniel. Congratulations. I desire great success to you. With the question of the challenges that we face of the Minha Casa, Minha Vida and of Única, I would say the following. The demand is consistent. We have a deficit, a huge deficit, a demand in our region which is very strong, as I explained to you previously. Today, the delta is more open between supply and demand, especially for the third level. As a percentage, the biggest in Brazil is the Nordeste. This is a positive direction. The government is stimulating, deciding to increase more and more the number of units, creating mechanisms and logistics to provide funding. These are the positive. The negatives worries us.
I wouldn't say it's only Minha Casa, Minha Vida. It's the entire construction market in the current moment in Brazil. When I say this, I may not be correctly interpreted. We're talking about labor. Brazil has this low unemployment, strong incentives and subsidies for social Bolsa Família. It's more than 40% of the minimum wage. If you take all of your income in Brazil and distribute it to this segment, showing that the government is stimulating informal employment. Person gets their Bolsa Família, and then they start, and they stay in the informality. It adds their income through various mechanisms that have shown up in the last 10 years, which stimulate the informality, but do not increase the productivity. Not long ago, I was in Itaú itself.
Presenting various studies showed fewer people coming into the market to the formal work labor market, fewer people entering, young people or people of lower qualification in the formal market. We should understand that. It's either fundamentally or not even that. That's exactly the public that would come into the formal market in civil construction. This hasn't happened. We've seen situations of very low productivity well below what we saw in the past. Demands to raise salaries. Of course, the labor in the high-level works for the people in Minha Casa, Minha Vida, which reduces these levels of service, which are much more compact than the system of concrete, and it eliminates whole steps of this process. This is the point that I personally am most concerned about.
On the other hand, it's easier to navigate this kind of construction than the type of construction that we do. Where we bring the protection and the condominium model for these variations, focus on them, meaning it doesn't call for charging extra fees. None that we've launched in the last few years that didn't charge it. The principal impact is the labor cost. I personally participate in various planning why there is this additional fee. In the incorporation of Minha Casa, Minha Vida, we have no option. People who are buying can't afford an extra fee. High level and luxury. Yeah, Minha Casa, Minha Vida has less of that problem, but very little variation, very close to our viability in terms of periods and costs. However, the more we grow in this segment, the more sites and the more demand for labor.
We suffer this in all of the industry in terms of productivity, lack of labor, amount of workers. We need to have more industrialization into these sites and more training of laborers. We'd have no problem with demand. We have to close our margins. We can't be launching and selling without having results. That's what I consider the biggest challenge. In terms of the depth, what we see is always the following. The market has left on its shelf in the last five years, between level 2 and 3, BRL 5 billion per year in the Northeast, between what was offered and what was the demand. The demand, desire to purchase, have income, and have credit approved.
If we applied the share of Moura Dubeux just in that space that was not filled, you can calculate at least BRL 1.5 billion. Which is not the share of the market, it's not a share, just about the part that was unattended. We're very optimistic. Last year, I had a meeting with Ricardo and our team, and we showed them the business plan, what's possible to do next year. The plan is a little bit more bolder than what we presented to you, but we're always very cautious. We always look at the low leverage, low cash burn, and a high level of execution for our projects. I think that in terms of volume, we could surprise you very soon.
Now, Wanderley, as far as dividends and how this could look going forward, I think it's worth giving them a look.
Thank you for the question, Elvis. As far as cash, we should still burn some cash in the fourth quarter. We should wind up getting near with 20%, maybe a little less. In 2026, we're gonna continue at this level in the first quarter, and in the second and third quarter, we're gonna start to generate more cash and be able to pay a little more dividends to finish the year of 2026. We estimate they're gonna have the capacity to pay maybe BRL 150 million in dividends without leveraging the company above what we already would. We're looking at the medium to short term.
Look, due to these models, business models running together, Única and the condominiums and Mood, if we don't grow more, we should be a company of strong generation, cash generation. When we look at 2028 and 2029, we're gonna be generating a lot of cash. Everything, all this, profit will turn into cash, and we're gonna have recurring dividends at that time. That's what we Wee. Thank you.
Thank you, Diego. Wanderley. Next question is from Rafael. From Safra. Rafael, please go ahead. Your microphone is open.
Thank you. I have a question. I wanted to talk a little bit about the question of labor, especially here in São Paulo, we see the companies still with a great deal of difficulty due to the low level of unemployment that we have here.
I wanted to check with you, how do you see this in the Northeast? Do you see this as your company is very verticalized, do you see space for verticalizing even more operations and reduce the need for labor? Also, talk a little bit about your deliveries, stronger deliveries that you have at the end of the year and the beginning of next year. If you're gonna be able to deliver everything in the periods that were foreseen or more or less along those lines.
Thank you, Rafael. I'm totally sincere. I have no problem to tell but talk about the real life. We have difficulty with labor, even though we are very verticalized, differently from the majority of the developers in the high-income level in São Paulo. We have a level of verticalization that we have.
We have 37,000 in for the size of our operation, when you compare it to the other developers, you're gonna see that it's a lot of people because we're more verticalized. Not unproductive. It's because we're more verticalized. We've had difficulty, and this has impacted in the period, time periods for condominiums, which is aligned, does not reflect any problem on our balance because we combined that a project that was set up for 36 months, maybe it's 40 months, there's no fines, no penalties, no for cancellation, not for costs, and neither for the lengthening of periods, of delivery periods. It's because the personalization, it's a different dynamic than in corporations, so it's transparency and showing this to the participants. Mood has no problem of the because it follows the Minha Casa, Minha Vida dynamic.
In a condominium market, even though we made this decision to migrate all of our products to condominiums to not fall in this problem, which I've seen, which is recurring in São Paulo and here as well, the impact of the labor costs. The costs don't get to our balance because we also cover additional fees. To try to give you an idea, a condominium with 8% above, as an additional fee, and we have condominiums with 15% of additional fees. Not just because of labor, there are also other parts of the scope in this process. We're able to pass it. What favors this product is sold 80% cheaper.
Over time, due to our efforts of quality and so forth, ends up to become more, more valued, more highly valued than the clients are then, it's easier for them to follow. I think in the company here, we work with projects that are bigger, which favors also having several sites operating at once. We have a higher level of concentration, such as the Siada, the Autono, The Plaza. If you look at the dimension of these projects, the second is all of these projects, as I can tell you, not have internal finishing. We don't have internal finishing, which also favors the reduction of amount of labor. The third item, many of them are prefabricated facades, which favors the project in the medium to longer term.
Decisions that we've been taking to be able to solve this problem which exists today for the next few years. Beyond that, our strategy of increasing the participation of Mood and Única in our business model, also, we're not gonna just depend on the specialized labor as in Minha Casa, Minha Vida in the same way. Finally, to close the program of training. We're not just sitting and complaining. We have to do our part, which is to go out and train people. How about giving you a little more of a picture?
Yes, very clear. Thank you very much.
Thank you, Villar. The next question is from [Luiz Wald] from Santander. Please go ahead. Your microphone is now open.
Thank you all very much. Two questions from our side. One focuses more on the acquisition of land for Única.
How are you seeing this to do a big launch, for next year, and our expectations? Have you done these acquisitions? Have you had to add more cash up front or is the swap model working well? The second question is focused more on the competition. In the last years since the IPO, we've shown growth. It's calling our attention to the competitors. We see something here, people trying to increase a little bit, run after where you are and to replicate your business model. I think that's it. Thank you.
Good question. To add with [uncertain] , on our side, starting with the second part of your question about the competition. It didn't change much the scenario here.
From what we've seen here, our share in the last five years, every year, Barral always updates in our presentation every six months and present to you. We haven't heard any developer in the meantime coming here in the coming year. What you said is also true. We've had more and more people looking to understand the condominium model in the past. It's good to see that because in 2020 I heard people say, "This is strange seeing this, what you guys do." Some people turn their noses. They didn't understand. They didn't want to hear about it. Today, some companies are seeking us out to understand why what we've proven, what we've said, that this is a great differential here in [via Northeast] . I hope that nobody will start to come and look at our region.
They're not messing us up and leave us together here with the local players that we know how to operate and offer the correct products. Just the first part was the acquisition of land for Única. 15% interest rate, it's hard to buy property and pay cash up front. What we do is the swap, financial swap. That's third. If it's a really premium property, premium because for Única, showing that we can get a little bit above, it's got strong demand and the margin increases, then we can go ahead and pay it out during the process of construction. First payment on the IR and then during the cycle, then we benefit the partial give us the value of the land. We close the project with the generation of cash. That's in our mentality.
When we look at the model and being optimistic, we see cash and cash burn in 2026. Sincerely, when I look at 50%, it's irrelevant. It's relevant for both. It's not gonna change anything Wanderley explained previously, but it comes with strong cash generation in 2026.
Thank you, Diego. We don't have any more questions in the line. I'm gonna pass it over to Villar for his final comment.
Thank you all very much. It's a pleasure to share this presentation with you and Wanderley and Barroso. Thank you all of the IR team for all of the material that was produced and also wanted to thank all of our employees in Moura Dubeux . This great year that we're having, confidence of our stockholders, who follow us in the market. Since 2020, we've been maybe a little different thesis.
We're opening our capital, but we already overcame what we promised. Over time, have stabilized. The stock share has also prepared us. It's already BRL 30. We believe very much that and how much our team can generate in value. We believe really in our region and our business model. Again, when you look at the message from the administration, we have lots of discipline in what we do. We focus strongly at doing well what we do. We don't have the vanity to start keep insisting at something that doesn't work well. Here are the example. High level corporation, we had demand, but we knew it could be a problem in terms of labor, interest rates. We went to the condominium model. It was challenging. It was horrible.
Hard to convince you that we have this deep of a market. We preferred to prove this before we said it at this level. This is the dynamic which will be for you, Única, as well. We're very confident in this partnership that we have created with Direcional. We believe we're gonna surprise in terms of growth, in the dynamic of sales and cash generation. Soon we're gonna have a precious jewel here in Moura Dubeux , and we're gonna be very proud. [Mood] is still growing, and it has a good size, and Única is the next. I suspect before it's gonna pass much because of the macro conditions in Brazil. Thank you all. It's a pleasure to see you all. Thank you for participating in our webcast, and have a good weekend for all of you.
There's lots to do in 2025.