Vulcabras S.A., Brazil’s largest athletic footwear maker with licenses in the region for Mizuno and Under Armour, reported revenue in the second quarter rose 11.2 percent to R$994.8 million ($196 million).
Gross volume increased 3.7 percent to 8.8 million pairs/pieces.
Vulcabras said in its quarterly press release, “In 2Q06, the company operated in a challenging retail environment, characterized by continued intense competition across both physical and digital channels. This scenario was further intensified by lower consumer traffic on the days of the Brazilian National Team’s FIFA World Cup matches, which affected retail activity, particularly through June.
“Despite this more challenging environment, the company’s billed volume maintained its growth trajectory in 2Q06, reflecting the consistent execution of its commercial strategy and the strong acceptance of its product portfolio.”
By category, gross volume of athletic footwear grew 5.7 percent to 5.8 million pairs. Vulcabras said “athletic footwear’s performance was supported by robust growth in the domestic market, which more than offset the decline in the international market. This result reflects strong demand for the company’s brands and reinforced the category’s importance within the overall billed volume.”
Volume of Other Footwear and Others (including flip-flops, boots, women’s footwear, and components) grew 2.3 percent to 2.4 million pairs/pieces, primarily driven by gains in flip-flops and work boots. Apparel and accessories volume slid 0.9 percent to 3.3 million, with the category “most affected by the weaker consumer environment.”
By channel, e-commerce recorded 16.1 percent growth to R$153.3 million, representing 15.4 percent of sales.
Recurring net income totaled R$143.7 million ($28 million), essentially flat with a 0.8 percent decline from the same period of 2025. Gross margins declined 40 basis points to 40.4 percent
Recurring EBITDA grew 9.3 percent to R$208.6 million (US$41 million), with a recurring EBITDA margin of 21.0 percent.
Vulcabras owns the exclusive rights for manufacturing, distributing, licensing, and marketing Mizuno footwear, apparel, and accessories in Brazil. Under Armour’s license agreement with Vulcabras covers operations, distribution, and marketing license for the brand’s footwear, apparel, and accessories in Brazil. Vulcabras also makes athletic products under its owned Olympikus label.
Management Commentary
In its management commentary, Vulcabras said the quarter marked the company’s 24th consecutive quarter of growth. Management said the 11.2 percent revenue growth in the period “reflects the combination of volume expansion, an improved product mix, and a higher share of higher value-added products, supported by stronger brands and disciplined commercial execution.”
Vulcabras said the 21.1 percent EBITDA margin demonstrates “the strength of the company’s operations, management efficiency, and its ability to convert growth into consistent earnings generation.”
The company added, “In an increasingly dynamic market, our integrated operating structure enables us to respond quickly to changes in consumer behavior, rapidly adjust our commercial strategies, develop products aligned with market trends, and capture growth opportunities while preserving operating efficiency.”
The volume gains were again led by athletic footwear, “driven by the combination of product development, stronger brands and deeper consumer engagement,” according to Vulcabras.
Discussing its brands, management stated, “One of the highlights was Olympikus’ running lineup, led by the Corre family, whose innovation, technology and performance attributes extend across other models within the category.
Vulcabras added, “Each of our brands continued to strengthen its position within its respective strategic market. Olympikus reinforced its leadership in running, winning the Sao Paolo and Porto Alegre Marathons with the Corre Pace, introducing new models with the Corre family, and further strengthening its connection with the running community. Mizuno maintained its multisport positioning across key categories such as running, football and sportsstyle. Meanwhile, Under Armour continued its strategic expansion in Brazil’s performance running segment throughout 2Q26, introducing new product and further strengthening its connection with athletes at different stages of their training journey.”
Vulcabras concluded in its management commentary, “Despite the more challenging environment, the results delivered this quarter reinforce our confidence in the company’s long-term trajectory and demonstrate that 24 consecutive quarters of growth are the outcome of a resilient, vertically integrated and disciplined operating model capable of transforming adaptation into a sustainable competitive advantage.
We remain supported by a solid operational foundation, balanced manufacturing capacity, efficient inventory management and an operating structure capable of responding quickly to changing market dynamics.”
“Vulcabras remains confident in its ability to deliver sustainable growth while creating value for consumers, customers, employees, business partners and shareholders. We remain committed to the disciplined execution of our long-term strategy, the continued strengthening of our brands, and the ongoing innovation of our product portfolio, contributing to the development of the Brazilian sporting goods market.”
Image courtesy Vulcabras S.A.
