Brazilian Homebuilders "Receivables under the microscope" Costa

Research evidence excerpt

Brazilian Homebuilders "Receivables under the microscope" Costa

Global Research

13 July 2026ab

Brazilian Homebuilders Equities

AmericasReceivables under the microscope

Real Estate

Tainan Costa

HBs Receivables Quality: No Clear Signs of Structural Deterioration Analyst

Credit conditions in Brazil have been gradually worsening across consumer and tainan.costa@ubs.com

corporate, reflecting elevated household leverage and higher-for-longer interest +55-11-2767 6091

rates (here and here). That said, we took a deeper look at the receivables portfolios Ana Julia Zerkowski

of the HBs under our coverage to assess whether a softer macro environment has Associate Analyst

started to impact fundamentals. So far, we find little evidence of deterioration. ana-julia.zerkowski@ubs.com

Whether through 90-180 days NPLs in MBS portfolios, receivables aging metrics, +55-11-2767 6303

provisioning levels or overdue balances, no indicator currently points to meaningful

stress up to 1Q26. Ahead, receivables quality remains an important variable to

monitor, particularly given potential implications for earnings, cash generation and

even credit availability under MCMV program. For while, we reiterate our positive

outlook for the sector, specially post the normalization of costs prices.

Tenda: Pro soluto risk exists but even stressed scenarios still points to an

attractive valuation

Recently, concerns around receivables quality have dominated discussions, with

TEND often cited as the most exposed to a potential credit conditions deterioration.

While we acknowledge the risks associated with its post-keys pro-soluto portfolio,

we continue to see limited downside to the thesis:

i. TEND has delivered solid results despite having one of the most conservative