CVC Posts US$9.5 Million Adjusted Loss as High Interest Costs Bite

CVC, Brazil's leading tour operator and travel agency group, reported an adjusted net loss of R$51.3 million (approximately US$9.5 million) for the second quarter of 2026. Contrary to expectations, the company maintained steady tour sales, selling almost as many trips as a year ago. However, high interest rates in Brazil proved costly, leading to the loss.

CVC's borrowing for operating expenses and customer installment payments was heavily impacted by the country's benchmark interest rate, which sits at around 15%, one of the highest among major economies. Despite this, travel demand remained robust, with confirmed bookings reaching R$4.09 billion (about US$760 million), a slight 0.2% increase from the previous year.

The company's net debt decreased to R$215 million (around US$40 million), marking the lowest level in years, and leverage against earnings also dropped to 0.5 times. The loss primarily stemmed from interest costs, with adjusted EBITDA falling 8.1% to R$84.9 million (approximately US$16 million). Despite the loss, CVC's financial position appears stronger, with a reduced debt burden and improved leverage.