Edenred: Brazilian Decision Against the Stay of the Decree on Meal Vouchers
The president of the Brazilian federal court has confirmed the applicability of the presidential decree of November 12, 2025, regarding meal and food vouchers in Brazil, thereby overturning the stay that Edenred had been enjoying since January 20, 2026. This decision follows an appeal by the Brazilian government and commits the company to implement the regulation in the coming days.
Federal Court's Decision on Meal Voucher Regulation
On February 25, 2026, Edenred was informed of the decision by the president of the Brazilian federal court confirming the applicability of the presidential decree of November 12, 2025. This decree concerns regulatory changes to the meal and food voucher system in Brazil, under the Worker's Food Program (PAT). This decision invalidates the stay that the company had obtained on January 20, 2026, following an emergency appeal filed on January 15, 2026. This temporary suspension also benefited eight other market players. The Brazilian government initiated an action at the federal court of Sao Paulo in early February 2026 to challenge the interim decisions and enforce the presidential decree.
Legal Responses and Business Impact
Edenred and the professional association ABBT reserve the right to appeal this decision. Additionally, the company has initiated a substantive action, with a decision expected no earlier than the end of 2026. Edenred is preparing to implement the decree upon receipt of the official notification, expected in the coming days. The business of meal and food vouchers in Brazil accounted for 10% of Edenred's global operational revenue in 2025.
Financial Outlook Remains Unchanged
Edenred indicates that the impact of the implementation of the decree starting from February 2026 had already been incorporated into its 2026 EBITDA targets announced on November 12, 2025, and confirmed on February 24, 2026, during the publication of its annual results. The guidance remains unchanged: a decrease in EBITDA ranging from -8% to -12% in comparable data, corresponding to an intrinsic EBITDA growth of +8% to +12%. A free cash flow conversion rate / EBITDA 2026 target ? 35% (corresponding to an intrinsic conversion rate ? 65%) was also specified, aligned with the objectives for 2027 and 2028. Thus, the decision of the president of the federal court does not alter the guidance communicated for 2026, 2027, and 2028.
