Good morning, everyone. The first quarter of 2026 was marked by a business environment that is still challenging, especially in the domestic market, with a reflex in microeconomic factors that impacted the demand for commercial vehicles in Brazil. On screen, as you can see, there's the data of production, sales, and export of trucks and trailers in the first quarter of 2026, and the comparison to 2025. We managed to notice that pretty much all of the volumes in this quarter presented some decrease in comparison to 2025. We know that the beginning of the year is a seasonal period that usually starts low, and then it gets back to normal after March. The fact is that our markets, in general, are still impacted by the high interest rate, that reduced in this period, but not in a relevant way.
Besides that, we have some geopolitical conflicts that generated more instability, especially in relation to the prices of fuel and shipping. In the moment, we still have the context of a lot of uncertainty, but even before this complexity, we move on generating businesses. I might share with you some important topics here. First, we have a solid portfolio in the OEM vertical with the best demand in agribusiness. Second, we can see initial signs of a possible resumption in the North American market, even though this improvement has not been converted into sales yet. Third, in the aftermarket, the demand remains resilient in Brazil, even though there was a slight retraction, especially because of the stock adjustments in the distributors considering the high capital costs.
In the first quarter of 2026, we also had Move Brasil, a program that boosted the sales of trucks by releasing BRL 10 million in credit that were quickly consumed. Last week, there has been announced a new phase expanding their resources in BRL 20 billion, we always also included buses and highway implements. Even though it's a positive news, we want to follow up in the next few months, we validate the real impacts in the demand. In short, there is a lot of volatility in the market now, which demands a management that is even more careful for our operations and our capital. Even considering these challenges, we move forward consistently, doing fundamental movements for Randoncorp. We kept the focus in optimizing the resources in the de-leveraging and the sustainable value generation, we move on executing our strategic plan.
In this sense, as a highlight, I bring here the premiere of the operations in Mogi Guaçu with a new unit of Suspensys and the new logistics centers for aftermarket, for auto parts. Suspensys, for example, has added considerable revenue, compensating the drop in sales for OEM. The new logistics center is totally aligned with our goal of continuing to grow in aftermarket. We also have a considerable expansion in our portfolio in OEM systems. They now count on robots and cutting-edge technology for manufacturing our products, that decreases the dependency of imported products and generate more solutions made in U.S.A. In the mobility phase, we wrap up important phase of migration for our ERP, and a new system of logistics automation in this Extrema site. These structural projects bring efficiency, scalability and better operational control in medium and long-range.
With this good posture, balancing strategic investments and preserving the financial health of the company that we move on, always aligned to the business moment and the conditions of the market. Talking about the next few months, we have positive news to share with you, such as the stability of the demand in auto parts and a good portfolio for trailers along the second quarter of 2026. We have the beginning of supplying the railroad wagons that are gonna be happening until November 2027. The new orders for containers from the United States, up to 1,200 products for the ports in the South Carolina. The normalization of the deliveries and the revenue in reposition in the mobility phase. Searching for synergies with Dacomsa, which might contribute to the expansion of the results in the motion control vertical.
The follow-up for the good development in the business, they're gonna have more potential in medium and long range with our strategic partnership with Pátria. In terms of investment, we're gonna keep an adequate level considering the current position of the company. Always looking for decent deleverage, financial discipline and generating value in the long term. Our annual guidance shared in March covers all of these topics that I've just mentioned in my presentation. Now I'm gonna give the microphone to Esteban, and he's gonna be talking about some operational highlights in this quarter.
Thank you, Daniel, and good morning, everyone. Well, I wanna get started explaining the performance of our net revenue in the first quarter of 2026. As you can see on screen, the indicator presents a slight retraction in comparison to the same period last year.
Some of the reasons why, the implementation of mobility phase projects in Extrema that Daniel just mentioned, ended up affecting the revenue in this part of the year. The valorization of BRL in comparison to dollar, decreasing the revenues in some parts, the lesser demand of trailers and auto parts for trucks in comparison to the first quarter in 2025 in Brazil and U.S., the mix of products sold with a lower average ticket. It's important to highlight that we also had positive effects in this period, such as the addition of revenues and Suspensys, Mogi Guaçu, in the beginning of last year. The unit was due, starting operation, and now it's already in full operation, in normal operation. Growth in financial services, especially in consortium.
Increase of trailer exportation for countries in South America that contributed to the advancement of our international revenues in dollar. I'm gonna get into more detail on this in the next slide. You can see in this quarter, we kept the same sales representative in the external market, around 33%. In the sales per region analysis, I highlight the relevance of the United States, Canada, and Mexico, especially given the concept performance, compensating the reduction of sales to the United States. In the Mercosur market, in Chile, we have different dynamics in between the verticals. For OEM, there was a good recovery for sales in the region, but in auto parts and aftermarket, we can see as a retraction, especially in Argentina, and they have a more competitive market, given the opening for international market, compensating the prices.
EBITDA, there was a loss in comparison 2025, in most part, it's a negative for financial solutions. Other factors that this might have been highlighted, better margin EBITDA for auto parts and stabilization of the OEM vertical that even though the reduction of the volumes and mix, there was a gain of efficiency given from the equations done in the other quarters. The current decrease in the margin, given the impact that I mentioned before, and also the commercial pressure in some of the lines. In terms of profitability, even though there was a improvement in operational terms, we can see some indicators here. We are still working to reduce the expenses, with the lower interest, we expect a greater improvement ahead.
The taxes also affected the quarter, and that elevated ROE and ROIC affected our numbers in the last 12 months. I say it again, we are working intensively to expand our future results. Now, give the microphone to Paulo. He's gonna present our financial management.
Good morning, everyone. As Daniel and Esteban mentioned, in fact, business are still challenging in this quarter, but we have many positive milestones to celebrate, especially when we talk about our financial management. Our net leverage has been reducing, and the result is given by many initiatives. We have better performance, operational performance, also the working capital contributing to the better cash flow. As lowered international debt, international currency, and controlling the level of investment, and I laying more comments about this item soon after.
We also had a contribution of the Selic rate that reduced, decreasing the cost of the international debt in national currency and having a better cash flow, giving comfort, financial comfort and flexibility for us to cross one more challenging cycle. Going back to working capital, on this graph on screen, we can see the variations of the accounts in the first quarter of 2026. One of the most relevant points here is that this indicator presents a never-seen dynamics for the first quarter, with the reduction in comparison to the last year, even with the considering how seasonal the period is. With the highlight for this working capital in this part of the year, we have the increase of the accounts receivable, partially compensated by the advancement of suppliers and clients bonded by the current direct for the wagons for cellulose.
The stock level are similar to the fourth quarter in 2025, is average reduce in days since, for the first time since last year, reflecting the optimization initiatives that have been implemented from the second quarter of 2025. The investments done in the period, we kept prioritizing in the ones with greater relevance and impact. You can see on screen, the first quarter of 2025, we had done great acquisitions, especially for Dacomsa in Mexico. In this quarter, the greater amounts were invested in the following way. In Mogi Guaçu, both in the building the new logistics center for auto parts, and also machinery and equipment for Suspensys units. In the expansion of AXN and also stocks acquisition, Aspra and Crontec, paying installments referring to the Dacomsa acquisition. The other values were invested majority in maintenance and improvements for a factory structure.
Before wrapping up, I would like to invite you to participate in Randoncorp Day 2026. It's gonna happen in June 23rd in São Paulo. Very soon our RI team is gonna send you an invitation by email, but you can enroll to that already by accessing the QR code that it's on the screen. We count on your participation. Now, I give the word back to Sérgio L. Carvalho so we can start our question and answer session.
Hello once again, guys. We're gonna get started with our Q&A session. If you are interested in participation, just follow the instructions that are gonna be remaining on screen for a few minutes. Our first question for today comes from the analyst sell-side, Gabriel Tinem from Santander. Good morning, Tinem. Feel free to ask your question.
Good morning, Sérgio L. Carvalho. Good morning, everyone. First question here, more for trailers, if you can lay more comments on how we've been seeing the evolution in the past few months, both in mix and volume expectation. I know you mentioned a few things about industrial side, but I feel like the worst part is already gone. If you can lay comments on the orders. You mentioned 1,200 units for this year. The second question is related to the negative side, the loss that you have. If you could talk about the recurrency that we see and effective tax rate. If you can comment on that, how do you expect this to happen again in the future? That's it. Thank you, guys.
Thank you, Tinem, for the question. For the OEM, I'm gonna ask Esteban to address two topics. In OEMs, I think Daniel can share some information here. He's been laying, giving lectures in international events in this area. I feel like he can lay comments on the agribusiness side of it. Lastly, Paulo, I ask you to address the effective tax rate and talk about the perspective. Let's do it.
Thank you, Davi and Tinem, for the question. To follow up our results here, in terms of trailer market, first of all, talking about Brazil, we have been seeing the margin a slight improvement in comparison to the demand. A lot of this coming from the need of the client in renovating their fleet. It's the third year that we're getting into agribusiness.
They have been delaying this renovation, and there's a moment in which the product gets obsolete and the cost of operation is justifying renovating the fleet. It is still too early, and Daniel is gonna talk about that. Too early to say that this is a general recovery. Specifically about Brazil and the projections by ANFIR, we're still working on a scenario for stable volumes versus 2025. I think the great improvement here comes from the door inside. Everything that has been done by our teams to get better operational flow. You can see already highlighted in our results in the first quarter of Brazil.
You have to take the hats off for them because the team has been working hard and looking for opportunities in all lines of our results to get better efficiency since last year. We were talking to you about that. It takes some time to get a mature situation and gets to see the results. We are already seeing something in the first quarter. You can see, even with a smaller revenue, we can have a better margin. Talking about Hercules before giving a word to Daniel in the U.S. market as a whole. In Hercules, we had a tough first quarter, and the result of the prediction in Brazil was even better, actually. Basically, that's because the lack of order. The American market is the worst one in the last 20 years.
There has been three years in a row since 2024 that we've been seeing, the volumes are much lower than the average history, in history. At our side, it brings us a better perspective going ahead because the practical one for conquering this 1,200 units for our, for the South Carolina Ports Authority, it starts in April already. We had some units being delivered already. It's gonna be keep going on until the end of the year. The second reason is because we have been seeing, detachment in the relation between trucks and trailers in the United States. Trucks, they have been presenting a recovery in demand. This could be an indicator indicating the recovery of demand in trailers that might start happening in 2027.
The good news is that our unit today is being able to get a breakeven with a minimum volume. Now, with the addition of the other units, we may even get better results. Now with the improvement in the market, which is what we're expecting in the next few months, it's going to be contributing even in a more significant way for the OEM. Now, Daniel is going to talk about the agribusiness part of it.
Well, thank you very much for everyone to be here, the analysts, the investors in our event here. As Davi mentioned, I think it's important to highlight the situation in soy, and it shows the potential, not in the past few years, in which agribusiness has impacted both positively the business, as you said very well.
In the past few years, agribusiness in buying trailers, it has been a little more stable, and it has been presenting some demands in this moment for fleet renewal. What I highlight here as the positive aspects of agribusiness, many investments in the forestation, celluloses in the long term, and also, as we've seen, biofuels. There's a big investment in this area and this, there's a demand to that. The investment is in area for grains, for example. It has been showing some demand potential. Also people has been talking about the free commerce agreement between Europe and Mercosul, and it shows us some potential for growth and exportation in our agribusiness.
On the other side, there's a concern of the volatility of diesel, oil, the geopolitical situation, and also the concern for the high interest rates and the growing number of RJs that are impacting. Even so, we have a concerning or careful positioning for the long term, but the investments are continuing to be strong in agribusiness. That, for sure, puts us in a positive positioning to continuing this trailer market and making it grow in the medium to long term. So there's the challenge, and we'll be very careful for the capital values in this market.
Thank you, Daniel. Now, Paulo, give you the microphone to talk a little bit about the effective tax rate.
Good morning, everyone. Gabriel, thank you for your question. Actually, we have always been saying that, well, of course, we have our posture that is very conservative in relation to the constitution of the tax, the income tax. There's a situation for the results that are under pressure by the high interest rate and also by the operational side of it that, as Daniel and Esteban mentioned, it has been recovering. We, in fact, we do have this effect of the effective tax rate that is greater now by the non-constitution of the income tax in Randon. We are working on it actively to in assessing opportunities for recovering this area, always keeping in mind that this has not been lost, it's just off balance. When we have a better horizon of projections, for sure, we're going to be doing this again.
We're going to keep the market informed on that, on these updates, so that you are able to update your projections. Basically, that is the effect.
Thank you, Paulo. Now to wrap it up, I'll give it back to Esteban to mention other details.
Thank you. We noticed the equivalence in the results comes from three bridges. The lower pricing of the equipment. Of course, going a step back now, the main reason here for the loss in Agente is the result of a great client that was representing a great share of the portfolio. Now this loss is the sum up of three sources. First one is the lower pricing of the equipment. The other one, it has the financial expenses due to the acquisition of this equipment and of installments of this equipments.
The third one, just as is Randon and the taxes. It's important to mention that excluding the result from this client, the operational Agente is standing on its feet. The result is positive. Us and the partners, we are working to solve the situation alongside with Agente, and we continue believing in the business. This leasing business in Brazil that has little penetration, especially when we compare with other markets like the U.S.A., but we believe that there's a lot of opportunity here in Brazil, whether with trucks or trailers or the yellow and green lines.
All right, guys, you made it clear. Thank you very much and have a good day.
Thank you, Tinem. Good day. Let's move on to the next question. It comes from Lucas Laghi, Analyst, XP. Good morning Laghi. Open your microphone and ask your question.
Well, thank you. Good morning, Coin. Good morning, everyone. I have a follow-up in the previous question in the agribusiness. First, I'd like to understand better how much today agribusiness has represented in the consolidated revenue of the company. We know that's around 50% in the OEMs, right? Now thinking about if you have an estimate, I know it's hard to have the final demand for auto parts, but if you have an estimate of how much agribusiness represent in the consolidated revenue today. As Daniel mentioned, there's the cellulose business expansion for Mato Grosso do Sul. There's ethanol business going better. Thinking about the dynamics, a more traditional dynamics in the agribusiness, what do you see that is weighing in the decision-making of the client? Because this context is tough.
You have the interest, the inflation, fertilizers, and then the scenario, there's some uncertainty. Now I'm thinking, trying to have a better reading of the turning point of the sector from March on. April, it was a little worse. How do you see that is the most important metrics for us to think about this turning point of agribusiness, creditor, credits, interest, elections. How can we better monitor this turning point? Just to understand the relevance of agribusiness in our revenue and how you see the timeline of this turning point of the sector moving forward. Thank you.
Thank you, Lucas. As you mentioned, there are many moving parts for us to consider in these evaluations when we look into business, especially connected to every business and to the transportation in Brazil. I'm gonna give a word to Esteban so he can address both topics. Daniel, also, if you could add something, feel free to do so.
Thank you, Lucas, for your question.
I think Esteban had a little problem with his connection, but I think he's getting back already. Just a second. Just need to unmute.
Do you hear me well, just to confirm? Thank you. I have problem with the equipment here. Lucas, thank you for your question. It is complicated. The percentage of the revenue, it represents today 15%. It has been something like 35% in the past.
It's a huge decrease that is relevant for our business. We believe that it go back to the historical high at some point. There are some factors that can unlock this demand in agribusiness. We have our hands are full of options that can unlock this demand here. Is it the harvest and the prices of commodity and the cost for the producer of fertilizers and inputs, credit, the exchange and the freight prices? All of these things are a combination of factors that end up delaying or speeding up the decision of investments by our clients. If I could point three main factors, I would say that first one, the Selic rate. As long as we have interest rates in this level, it's important. The second one is elections.
We have elections this year, and this could lead to a delaying of this scenario. The client wants to take a decision afterwards. Third one is exchange. The real with a better value, it affects the margin of the client. There's a combination of factors that lead to a decision. The other thing that I mentioned in the previous answer, that at some point the equipment needs to be replaced, otherwise it costs more than buying a new equipment for operation. Because of maintenance, of losses, trailers are used for grain transportation. The older the equipment, it is tougher to use in transportation. That affects the margin of the client. Those are the main factors. I had added the three ones that I think that are most important.
Thank you Esteban. Just to confirm, the 15% in the end, the type of trailers, you're also considering your estimate for auto parts that go directly to, for agro, just for us to understand.
It, it's, well, together with the auto parts, they go to agro as well, Lucas.
Okay. Thank you. Got it. All right.
You, you got the answers to your questions, Lucas Laghi?
Yeah, it's clear to me now. Thank you. All right. Very good.
Thank you very much for participating here. Let's move on to the next question today. It comes from Kiepher Kennedy, L.A. sell-side in Banco in Citi. Good morning. Feel free to ask your question.
Can you hear me? Okay.
Yeah. Now we can hear you. Thank you.
All right. Thank you for the opportunity to ask a question. You mentioned something about the initial, you put a stability of the demand for auto parts, a good portfolio for trailers as well. I know that you mentioned a few things about this topics in the on the presentation, do we see any improvement in auto parts in this cycle, in this first quarter in 2026 that is positive? It's even quicker than we predicted last year. I'd like to understand that if this improvement, if we should expect a volatility level of this division, given that it has been a great improvement of, or if this stability in demand brings us a greater level of confidence moving forward. Also for a good portfolio of orders for trailers, if it's this better portfolio means some way better profitability for the division along this year.
I think work has been done internally, as you said, very well done considering the lower volume. Having a good order portfolio, I think we could expect a better margin given, again, the internal work that has been done, adding up to the better portfolio. This comment that you laid in relation to auto parts and trailers, and try to break the impact between two divisions here along the remaining of the year. Thank you.
Thank you, Kiepher. Now moving on with the continuing the previous answer, I think we can merge both topics together, auto parts and portfolio for OEM. I think we managed along the first quarter having orders we could guarantee a portfolio of almost 90 days. Gives us some comfort, but I think we can place some comments on the drivers that has helped. The auto parts, indeed, they have been recovering very well in the last few quarters. Right next to it, we can talk about the Move Brasil program. It has been making the news, it can answer some questions that could be asked about this program related to demand. Yeah, we can lay those comments now.
Thank you, Davi.
Thank you, Kiepher as well for your question. Now talking a little bit about auto parts, I think there's a combination of factors that justifies this improvement. The first one is the comparison. The fourth quarter was very low in the numbers. Usually it's already low, but in 2025 it was specifically very low comparison to the historic average.
Because the OEMs were also trying to decrease the working capital and their stocks because of the Selic rate as well, so the stocks get more expensive in this situation, and that translated into the volumes for our auto parts. The recovery in the first quarter, it comes partially from this replenishment of stocks and partially from Move Brasil. I'm gonna give you more details about this program. From the ramp up in our site in Mogi Guaçu that we premiered along the first quarter of this year. This combination of factors leads us to have better volumes and tied to all the adjustments that have been done last year that I mentioned briefly in the opening, it allows us to have better margins, go after these margins in better levels for us.
Moving forward, I'd say that we are looking for efficiency internally, but I'd say that there is expectation of at least the stability of these volumes in comparison to first quarter. Another detail here, along this year, we are going to also have Fenatran, and traditionally this also brings us some improvement in the volumes. Even before Fenatran, there is this effect of pre-order in comparison to the event. After the event as well, some negotiations that got started in the event are closed after the event. We have this expectation that at least we can maintain the volumes and potentially some upside in the third and fourth quarters. Talking specifically about OEMs. In our operations here, in our industrial activities, OEM might be the one that relies on operational leverage the most.
Even though we have been doing all of these adjustments in the structure, especially focusing in the fixed cost decrease, the margin improvement from now on, it also depends on better volumes and mix, especially that we managed to see the market in this type of trucks going back to the historical highs. So that helps us to boost the margin for OEMs. For this year specifically-Given that it's still too early to talk about the improvement in agribusiness, on the other side, we have the rail cart wagons production with a relevant order that has been signed in the beginning of the year, and they started being delivered the second semester. These products in a serious way with a cost amount, a fixed cost that will give you a nice, a value.
With the volume of wagons coming in and the adjustments done this year, it helps us to get the margin, to keep the margin from OEMs from now on. The Move Brasil program, everybody's on the same page. We had a first stage in the program that the president gave BRL 10 billion of investment for trucks. Recently, they have been releasing the second phase, increasing the program for BRL 20 billion, including, which is more interesting for us, the trailers and buses as well. In all the sectors in Move Brasil, we have some expositions here, whether with trucks, given that we provide the auto parts, or more directly to implements and for buses as well, ones that we supply parts for buses. We cannot identify how much is the how big is the improvement in the trailers.
In other items will be affected in this program. We have an expectation for better numbers moving forward.
Thank you, guys. It's pretty clear.
Let's move to the next question today. It comes from (Andreza Veloso), sell-side Analyst in UBS. Good morning, Andreza. We are opening your microphone. Feel free to go on.
Good morning. Thank you for giving me the opportunity. I have two things that I'd like to mention. The first one is working capital and also leverage. As this quarter, we have stability of working capital, keeping all the gains that the company managed to acquire, get in the past few quarters. I'd like to know, in this point, what we could expect for the remainder of the year, and also in relation to leveraging, what do you see? The second thing would be about the financial services vertical after the partnership with Pátria for consortiums. What do you see that can be shared with us already, and what do you expect to see along the year for this vertical, depending as well on the changes that has been happening? Thank you.
Thank you, Andreza, for your questions. Well, three topics: working capital, leveraging, and the consortium, given the partnership with Pátria. For these three topics, I'm gonna ask Paulo to address. We had a working capital that was indeed even reduced a little in the first quarter, which is a little different from the historic average in the company. I think that Paulo can lay some comments in the actions that we have been taking, not only now, but a long time, a long history to get better results here, and the benefits of leverage here, too. Lastly, Paulo, afterwards we can talk a little bit about Pátria and how much the conversations are advanced now in terms of our partnership with them. Thank you.
Good morning, Andreza. Thank you very much for your questions. Since the beginning of last year, we have been talking again and again about the importance of this theme, working capital. Last year, we started with an amount that was quite elevated. We reached almost three months equivalent of revenue in our cycle of cash flow conversion.
With some actions that started in June last year, we managed to reduce this working capital considerably until December last year. The challenge now is for us to maintain the stability in this indicator with a cycle of cash flow conversion around 60-65 days. We don't see now great variations in this working capital. Our idea here for your projection is to maintain this to this level from here to the end of the year. Why? Because in reality, we need to take care so we have enough stock to meet the market's demand. That's extremely important. Have discipline in the accounts receivable.
As we mentioned, last year, we relieved our FIDC alongside with Banco Randon, which has helped us to keep this plateau under control, and a series of initiatives to extend the deadlines for our accounts payable with our suppliers, with the main suppliers in Brazil, and also our external suppliers abroad. Our commitment here from now to the end of the year to keep this under stability. Without a doubt, leverage, financial leveraging is a fundamental point for us. We managed to reduce this leverage a little bit from December to now, March 31st, and we've moved on with this journey and this discipline, and we expect to reach, by the end of the year, a leverage between 2.2-2.5 times the net debt in EBITDA.
We are working so that it happens by the end of this year already. That is the level in which we like to work with. If we have the level of one to two times the EBITDA, that's the level that we understand that is adequate for us to go back to thinking in new investments, new expansions. First, we get to this plateau. Then we start thinking of going back to a new cycle of growth. The focus for this year is having financial discipline, financial discipline all the way. Regarding the Pátria subject, we are very happy with this partnership with them. We have been mapping a series of opportunities. Our partner here, with their knowledge, they have been supporting us on this matter. We have a plan that is quite ambitious for organic growth, inorganic growth as well.
We expect that we can take the next steps on this business, and we're gonna be able to share with you guys as soon as they happen. Okay?
Thank you very much, Paulo.
We appreciate your participation, Andreza. Now we're gonna move on to the next question today. It comes from Gabriel Rezende, sell-side analyst from Itaú. Good morning, Gabriel. We are opening your microphone. Feel free to ask your question.
Good morning. Thank you, Coin. Good morning, everyone. Andreza mentioned the Pátria partnership, and now seeing the current context, I'd like to investigate how the company has been seeing capital allocation and portfolio management when we see Randon as a holding.
We understand that there are big segments that dominate the revenue dynamics, the EBITDA dynamics, but Randon, they have many other boxes that eventually they can generate results and then maybe they're delivering numbers that are lower than what the company expected when doing these businesses and acquisitions. I'd like to understand if the company, they have something, the radar in the pipeline to rethink this current portfolio of companies, below Randon as a whole team. Is there any segment that the company understand that there's not as much synergy as expected? Has it been challenging? Just would like to Be nice to understand how the company sees that. Thank you.
Thank you, Gabriel, for your question. I'm gonna give the word to Paulo so he can address that, and Daniel, feel free to lay some comments talking about capital allocation and seeing Randoncorp also a portfolio manager. Paulo, please.
Good morning, Gabriel. Thank you for your question. It's a very important question, and it is closely related to the matter that I mentioned previously about financial discipline. Without a doubt, we look in each and every project a ROIC minimum of 15%, That means that we look into the new projects, We also see the entire portfolio, the current portfolio. That is what we have been doing, especially looking into all of our verticals, looking into our companies, how's the creation of value in each one of them.
That means that we, at some point, we may take other decisions involving this portfolio in a way that those decisions will help us achieving this minimum ROIC of 15%. We are talking about portfolio. Portfolio means you get in and out of business or to think specifically in some of the assets as not movable. We could think of monetizing them. Since last year, we set a crisis committee in the squads and looking into the entire organization, so we can take decisions based on that, as I mentioned, that can take us to a minimum ROIC of 15%. We are also evaluating new partnerships, so the partnership with Pátria has been one of them.
We are also evaluating partnerships with other projects, other businesses, especially those business projects that demand a lot of capital. That we could, for instance, decrease this necessity, this need, and also split the risk. At a given moment, with the opportunity, we're gonna share with you guys. Daniel, if there is something else that I would like to add, feel free to do so.
Oh, thank you very much in the first place. Just to add to it, I thank you for the question. If you look into the past few years, especially the two last big projects, Dacomsa in Mexico, EBS in Europe. Those acquisitions in the auto parts area, the Randoncorp historically has allocated most of its capital. This reinforces it. With the external market now being 1/3 and 45% of the market in aftermarket, gives us a more, more resilience in the commercial side of it and less volatility in the net revenue of Randoncorp. That's what Randoncorp has been doing, just to reinforce what the company has been doing. As Paulo said, we're gonna be looking for projects that we can have a minimum return on investment of 15%, and projects that put Randoncorp in a more resilient position in terms of revenue and margin as well.
Sure. Of course. Thank you very much, Paulo and Daniel.
Thank you, Daniel. We move on to the last question that comes written here, Joel Net from JP Morgan. He's asking about the American market, especially how's the outlook for the second quarter about Hercules and AXN. Now just, you know, getting back to the topic that Daniel and Esteban mentioned already. Joel, what we see here in the American market, we can see some new orders that increase a lot for trucks, especially in March and April. When we see the production, it's not translated in biggest production now. We're gonna be needing more months, recurrent months with high increase, the production is affected considerably. The trend is getting better now, we still need a little bit more time to watch that. In trailers, we still don't see the same trend, or at least not the same level as Esteban mentioned.
There is a delay, there is a gap. We need to do the follow-up and see how it translates into the market. In the operations perspective, we have a close order for up to 1,200 units. Started production in April, it's going up to September. We have two full quarters of production guaranteed. We recently premiered a new business, a new pavilion, new building, gonna help us to take orders from America. To avoid dumping in the market, getting very competitive with a good capacity to take advantage of this recovery in the American market that we know that it's gonna happen. It has been low in two, in three years for trailers and two and a half years for trucks.
We know that this is very low comparison to the history in the American market. We are getting ready for this recovery and to deal with the market along the next few months and quarters. Now I'll give the word back to Carol, so she can do the wrap up of our conference here.
Now we wrap up our session of questions and answer. We appreciate everyone that participated. Now I give the word to Daniel Randon, our CEO, for the final message.
Now we wrap up our results conference. I appreciate once again the presence and the interest of everyone. We move on strong with our operational discipline, with strong focus in execution, control and efficiency, always aligned to our long-term strategy, the consistent, sustainable value generation.
The results presented today reflect not only the resilience of the company, but also its capacity to execute discipline consistently. Even in a challenging business environment like this, in other constraint transformation, we're going to move on, paying attention to the movements in the market, prioritizing the initiatives that reinforce our operational efficiency, boosting innovation, and sustaining growth with profitability and generation of cash. I appreciate the trust and the patience as always in our relation with investors. The team is always at your disposal for further clarification. I wish everyone a fantastic afternoon. Thank you, guys. Thank you very much. See you the next time.