Retail finance costs climbed to an average of 12.3% of revenue by 2026
A study of thirty Brazilian retail firms shows that interest expenses rose significantly over the last decade as central bank rates fell.
Interest expenses as a share of net revenue reached 12.3% on average for a group of thirty Brazilian retail and consumption companies in 2026, according to a financial analysis by Málaga & Associados. In this same year, interest costs represented only 5.1% of revenue for the less affected half of the studied firms. The study tracked financial statements from 2018 through 2026, with annualized figures for the current period. Analysts noted that while central bank rate cuts in August lowered the Selic rate to 14% annually, this did not uniformly reduce financial burdens for all companies. The sample included sectors adjacent to traditional retail such as tourism, energy, and agriculture. Overall expenses in the group ranged from 1.3% to 23% of net revenue in 2026.
