LWSA accelerates net revenue growth with margin expansion and strong operational cash generation

LWSA released its 2Q25 financial results, demonstrating a consistent recovery in performance and a return to double-digit revenue growth, particularly in the commerce segment, driven by both subscription and ecosystem revenues.

During the period, Ecosystem GMV grew 15.1%, reaching a total of R$19.4 billion, while TPV increased by 19.1% (R$2.1 billion). Own Store GMV advanced 13.3%, reaching R$1.5 billion.

Consolidated Net Revenue grew 10.4% in the quarter (R$370.8 million). In the Commerce segment, net revenue reached R$266 million in the second quarter, a 15.4% increase compared to the same period last year. Platform subscription revenue within the commerce segment grew 17.7%.

LWSA's Adjusted EBITDA for 2Q25 was R$75.9 million, an amount 16.1% higher than 2Q24, with the Adjusted EBITDA Margin expanding by 1.0 p.p. in the same period.

Net Income for 2Q25 was R$15.8 million. Adjusting the result for the effects of stock option plans, amortization of PPA intangibles, acquisition earnout adjustments, as well as Deferred Income Tax and Social Contribution, the Adjusted Net Income for the period was R$44.2 million. In the first six months of 2025, Adjusted Net Income was R$79.0 million (+8.7% vs. 6M24).

In 2Q25, operational cash generation was R$102.7 million in Free Cash Flow – After Capex, with no increase in financial expenses related to receivables anticipation compared to the previous quarter. For the semester ended June/25, Free Cash Flow – After Capex was R$90.6 million (or 12.6% of Net Revenue).

"In 2025, we have demonstrated a trajectory of consistent recovery in delivering results, based on execution discipline and commitment to the strategic drivers we agreed upon with the Board of Directors in building the budget and the 5-Year Plan," states Rafael Chamas, CEO of LWSA.

Company advances with AI application

In the first half of 2025, LWSA accelerated the integration of Artificial Intelligence into its products, operations, and channels. Highlights include the automation of product registration in e-commerce, eliminating thousands of manual tasks, and the adoption of intelligent features in new store onboarding to reduce churn.

In customer service, Octadesk's WOZ agent reduced the ticket volume in the Be Online segment by 50% and also began performing sentiment analysis. Generative AI was incorporated into features such as domain suggestions and content creation, increasing organic traffic by up to 30%.

For Enterprise customers, a multi-agent server was developed for automation and personalization, along with improvements to the CRM and store app with a direct impact on performance and user experience. Internally, AI-powered code generation increased productivity in some cases by up to 80%, and LWSA remains committed to expanding the use of the technology with a focus on productivity, scalability, and customer experience.