The company's financial foundation appears increasingly fragile, characterized by a debt-to-equity ratio of 1.72 and a current ratio that has compressed to 0.95 as of 2025Q1.
| Total Current Assets | 7.02B | 617.29M | 6.22B | 5.54B | 4.38B | 3.47B | 2.1B |
| Cash & Short-Term Investments | 510.86M | 94.29M | 911.34M | 564.29M | 254.41M | 459.46M | 158.5M |
| Cash Only | 510.86M | 94.29M | 911.34M | 564.29M | 254.41M | 459.46M | 158.5M |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 3.41B | 272M | 2.87B | 2.67B | 1.79B | 1.47B | 1.08B |
| Days Sales Outstanding | 160.58 | 87.18 | 111.67 | 104.14 | 84.56 | 105.04 | 145.72 |
| Inventory | 2.18B | 217.69M | 1.78B | 1.87B | 1.75B | 849.14M | 431.47M |
| Days Inventory Outstanding | 101.4 | 81.04 | 80.67 | 89.53 | 99.42 | 71.04 | 66.06 |
| Other Current Assets | 500.89M | 33.32M | 403.34M | 437.09M | 577.62M | 690.32M | 429.35M |
| Total Non-Current Assets | 2.04B | 170.49M | 2.13B | 1.99B | 1.31B | 935.45M | 562.78M |
| Property, Plant & Equipment | 431.82M | 59.28M | 439M | 370.27M | 286.38M | 157.56M | 93.64M |
| Fixed Asset Turnover | 21.25x | 19.21x | 21.39x | 25.25x | 27.05x | 32.36x | 28.90x |
| Goodwill | 700.78M | 7.46M | 700.16M | 546.66M | 451.97M | 396.72M | 259.53M |
| Intangible Assets | 259.29M | 14.61M | 271.18M | 260.53M | 272.35M | 260.09M | 122.96M |
| Long-Term Investments | 18.94M | 16.22M | 4.49M | 324.39M | 1.34M | 0 | 0 |
| Other Non-Current Assets | 367.11M | 63.04M | 377.86M | 156.41M | 97.05M | 6.34M | 86.67M |
| Total Assets | 9.06B | 787.77M | 8.35B | 7.52B | 5.69B | 4.4B | 2.66B |
| Asset Turnover | 0.94x | 1.45x | 1.12x | 1.24x | 1.36x | 1.16x | 1.02x |
| Asset Growth % | 34.66% | -90.56% | 10.96% | 32.33% | 29.18% | 65.32% | - |
| Total Current Liabilities | 7.37B | 1.04B | 6.37B | 5.05B | 3.84B | 2.87B | 1.76B |
| Accounts Payable | 4.25B | 529.83M | 3.84B | 2.58B | 2.3B | 1.56B | 1.02B |
| Days Payables Outstanding | 217.08 | 197.26 | 174.21 | 123.43 | 130.84 | 130.82 | 155.6 |
| Short-Term Debt | 1.23B | 365.07M | 1.19B | 922.64M | 681.22M | 221.77M | 160.29M |
| Deferred Revenue (Current) | 1.12B | 15.38M | 235.04M | 0 | 320.56M | 509.4M | 0 |
| Other Current Liabilities | 992.84M | 78.25M | 603.52M | 1.25B | 276.36M | 450.32M | 537.96M |
| Current Ratio | 0.95x | 0.59x | 0.98x | 1.10x | 1.14x | 1.21x | 1.19x |
| Quick Ratio | 0.66x | 0.38x | 0.70x | 0.73x | 0.68x | 0.91x | 0.95x |
| Cash Conversion Cycle | 44.91 | -29.03 | 18.13 | 70.24 | 53.14 | 45.26 | 56.18 |
| Total Non-Current Liabilities | 597.06M | 22.33M | 616.52M | 359.15M | 179.69M | 65.33M | 42.12M |
| Long-Term Debt | 437.35M | 3.64M | 439.26M | 42.84M | 29.34M | 20.63M | 8.28M |
| Capital Lease Obligations | 464.76M | 11.62M | 120.52M | 98.55M | 86.03M | 40.61M | 32.78M |
| Deferred Tax Liabilities | 28.05M | 1.76M | 12.42M | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 34.03M | 5.31M | 44.32M | 151.71M | 8.61M | 4.09M | 1.05M |
| Total Liabilities | 7.97B | 1.07B | 6.99B | 5.41B | 4.02B | 2.93B | 1.81B |
| Total Debt | 1.87B | 380.33M | 1.85B | 1.15B | 865.8M | 317.54M | 210.18M |
| Net Debt | 1.36B | 286.04M | 936.55M | 585.6M | 611.39M | -141.92M | 51.68M |
| Debt / Equity | 1.72x | - | 1.36x | 0.54x | 0.52x | 0.22x | 0.25x |
| Debt / EBITDA | 7.99x | - | 9.68x | 3.13x | 1.81x | 1.92x | - |
| Net Debt / EBITDA | 5.80x | - | 4.91x | 1.59x | 1.28x | -0.86x | - |
| Interest Coverage | 0.20x | -3.31x | 0.01x | 0.27x | 0.61x | 0.45x | -0.88x |
| Total Equity | 1.09B | -277.69M | 1.36B | 2.11B | 1.67B | 1.47B | 856.63M |
| Equity Growth % | -90.48% | -120.43% | -35.6% | 26.39% | 13.73% | 71.39% | - |
| Book Value per Share | 9.58 | -2.46 | 11.96 | 18.58 | 12.62 | 11.10 | 6.48 |
| Total Shareholders' Equity | 870.12M | -283.29M | 1.12B | 1.86B | 1.45B | 1.35B | 787.71M |
| Common Stock | 591K | 108.65K | 591K | 591K | 1.45B | 1.35B | 787.71M |
| Retained Earnings | -1.27B | -676.21M | -1.02B | -260.71M | 0 | 0 | 0 |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | 31.66M | 8.24M | 35.62M | -14.1M | 0 | 0 | 0 |
| Minority Interest | 218.21M | 5.6M | 236.4M | 250.24M | 218.08M | 123.06M | 68.92M |
High credit delinquency exposure
As reported in recent financial filings, Lavoro's total assets have fluctuated significantly, reaching $9.1 billion in 2025Q1, while the accumulation of a $1.3 billion deficit in retained earnings suggests that the company's aggressive growth strategy has yet to translate into a strengthening financial foundation.
The trajectory of the balance sheet appears increasingly strained as the company continues to absorb losses while expanding its asset base. Investors should monitor whether the persistent negative retained earnings indicate a structural inability to generate internal capital to support the ongoing roll-up strategy.
According to the company's balance sheet data, the debt-to-equity ratio has climbed to 1.72 in 2025Q1, up from 0.52 in 2022Q4, indicating that Lavoro is increasingly relying on external financing to fund its operations and acquisition-led growth in a high-interest-rate environment.
The rapid escalation in leverage suggests that the company's debt burden is becoming a primary constraint on financial flexibility. This reliance on debt, combined with negative operating margins, warrants further investigation into the sustainability of the company's interest coverage and refinancing capabilities.
Based on reported figures, Lavoro's current ratio has compressed to 0.95 in 2025Q1, signaling that the company's ability to cover short-term obligations with current assets is narrowing significantly compared to the 1.20 ratio observed in 2022Q3.
A current ratio below unity suggests that the company may face liquidity pressure if seasonal working capital requirements exceed available cash reserves. This tight buffer appears particularly concerning given the company's reliance on barter arrangements, which may limit the speed at which current assets can be converted into cash.
As evidenced by the latest financial statements, goodwill has grown to $700.8 million, representing a substantial portion of the company's equity base, which may indicate that the balance sheet is sensitive to potential impairment charges if acquired retail units fail to meet performance expectations.
The reliance on intangible assets to support the book value of the company suggests that the reported equity may be overstated if the integration of acquired entities does not yield the anticipated synergies. Investors should consider the risk that future write-downs could further erode the already strained capital position.
Quick answers to the most common questions about buying LVRO stock.
As of 2025, Lavoro Limited (LVRO) had total assets of $787.8M including $617.3M in current assets.
Lavoro Limited (LVRO) carries total debt of $380.3M, offset by $94.3M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Lavoro Limited (LVRO) has total shareholders' equity (book value) of $-283.3M ($-2.46 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Lavoro Limited (LVRO) reported a current ratio of 0.59x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.