Two concerns are on the radar of businessman Eduardo Peres, CEO of the Multiplan Group. One is the fiscal imbalance of the public sector. The other, and more current, is the progress of the discussion on reducing the 6x1 work schedule, from 44 hours to 40 hours per week.
According to Peres, if the project under discussion in Brasília and championed by the Luiz Inácio Lula da Silva government goes ahead, Brazil's growth will be affected. The businessman believes the issue needs to be better discussed by society, with a detailed analysis by sector. In the case of retail, according to the CEO, the impact will be very negative.
The government's idea is to move forward with the proposal by the end of May, to serve as an electoral showcase, while the business sector has been pressuring for the measure to only be voted on after the October election and preferably in 2027, with a new composition of the National Congress.
“No country can evolve by working less and without investing in education. Shopping malls are open every day. If a person wants to work every day, can't they? It's not reducing working hours that will bring productivity to the country,” says Peres, in an interview with NeoFeed , after a public meeting of the company on Tuesday, April 7th.
A recent study by the National Confederation of Commerce of Goods, Services and Tourism (CNC) shows that a possible adjustment to the new 40-hour work week rule could generate R$ 122.4 billion in annual costs for the retail sector, increasing payroll by 21%. The price increase passed on to consumers could reach 13%.
According to Peres, in the shopping mall sector, the direct impact will be precisely the increase in prices by retailers, should the measure actually move forward and be implemented. "If costs increase, they will increase prices. And if costs increase, will Brazil become more efficient? No," he states.
Given this scenario and the uncertainty surrounding the prospect of a real interest rate cut cycle, exacerbated by the Iran-Iran and US wars, Multiplan has been focusing on expansion and revitalization projects, which are faster and generate higher profitability for the shopping malls. As a result, greenfield (zero-construction) new building projects remain off the radar.
On March 18th, Multiplan delivered the sixth expansion of Morumbi Shopping, adding 13,000 square meters (m²) of gross leasable area (GLA) and 40 new stores distributed across two floors. The investment totaled R$ 400 million.
With the new area, the shopping mall in the southern zone of São Paulo surpassed Barra Shopping in Rio de Janeiro and, for the first time in its history, became the company's leading sales unit. During this period, revenue growth was 30%.
For 2026, the company is still expected to deliver expansions of BH Shopping (on June 2nd), with an additional 2,000 m² of GLA and capex of R$ 30 million; Barra Shopping (in the third quarter), with an additional 2,000 m² of GLA and investments of R$ 35 million; and ParkShopping Brasília (on November 18th), with an increase of 9,000 m² of GLA and capex of R$ 300 million.
In 2027, expansions will be carried out at ParkShopping São Caetano (an additional 9,000 m² of GLA), JundiaíShopping (an additional 8,000 m² of GLA), and another at BH Shopping (an additional 13,000 m² of GLA). Between 2023 and 2025, the company invested R$ 540 million in the modernization of 19 of its 20 shopping malls.
Over the past five years, the company has allocated R$ 7.8 billion, distributed among investments in improvements, expansions and new construction (R$ 3 billion), and in dividend payments and share buybacks (R$ 4.8 billion).
Multiplan closed 2025 with EBITDA of R$2 billion (up 8.4%) and R$25.9 billion in sales from retailers. Net profit was R$1.14 billion, maintaining the level above R$1 billion for the third consecutive year.
Over the past 12 months, MULT3 shares have appreciated by 40.8% on the B3 stock exchange. Multiplan has a market capitalization of R$ 16.3 billion.
Below are excerpts from Eduardo Peres' interview with NeoFeed and the topics discussed in the conversation:
Reduction of working hours
I'm very concerned about this issue of reducing working hours. It will affect everyone. It's not just my business. It will affect everyone. No country can progress by working less and without investing in education. I don't know of any. I don't think this can be done this way, in a quick way. It needs to be studied. Is it feasible? Can it be done? Can all sectors be included and work this way? In my view, the way the government is presenting it will be bad for Brazil. My sector doesn't close. Shopping malls are open every day. If someone wants to work every day, can't they? It's not reducing working hours that will bring productivity to the country.
Impact for retailers
What I've heard from retailers operating in our group's shopping malls is that if this is implemented, prices will increase. If costs increase, they will increase prices. And if costs increase, will Brazil become more efficient? No. We are exporting inefficiency. When we reduce our working hours, it's the Chinese who work, it's the Americans who work. The CNI (National Confederation of Industry) says that the reduction could decrease GDP by R$ 76 billion. Many people will pass this cost on. There's no way around it. We, as a sector, will contribute to the discussions in Brasília, trying to provide elements so that such a decision is not taken abruptly and will affect the entire country. For the shopping mall sector, this is very bad.
Interest rates and war
I don't know if we'll have a cycle of falling interest rates. Especially because we're now facing the impact of the Iran-Iran war and the war with the United States. It's difficult to imagine where it's going. It seems the United States underestimated the impact of the war. It's lasting much longer than they wanted. And there are already significant impacts. Aviation kerosene is rising, construction costs are increasing. There hasn't been an impact on consumption yet, but if the war continues, it will. And then it will affect shopping malls. But I don't believe it will last much longer.
Fernando Haddad and Dario Durigan
I don't know the new Finance Minister. Just as I didn't know Haddad. I always hope that whoever sits in that chair will have their head on straight, do the right thing, balance the country's accounts, and bring about a better situation for the economy as a whole.
Electoral scenario
Let's see who will be the person to lead Brazil from now on, starting with the October election. What commitment will they have to fiscal balance? That's my concern. I'm not worried about whether it's candidate A or B. I want to know if whoever wins will continue spending endlessly, taxing everyone, or not. Or if they will understand that it's impossible to keep increasing taxes on businesses without reducing the size of the public sector. An administrative reform is needed. We need to pay attention to the issue of legal certainty. When a large company invests in a country, it looks at the economic balance and the state of justice there. I hope things improve next year, in terms of the economic environment, so that more companies can establish themselves here.
Fiscal imbalance
There aren't just two candidates, but two very distinct visions. The left-wing group is more inclined to continue spending. This isn't sustainable. Brazil can't take any more of it. In this scenario, the tax burden has to increase every year to support this excessive spending. This means that, for us to resume the possibility of a greenfield project, there needs to be an atmosphere open to looking outside the company. For now, the best opportunities I can see are looking inside the company, starting with expansion projects. There's no room for new construction.
Shopping mall expansions
Over the years, the company has made these expansion and consolidation moves. When my father [José Isaac Peres, founder of Multiplan] started building shopping malls, he had the opportunity to build 20 instead of five initially. But he reflected on whether it would have been better to have five good ones or 20 weak ones. We still have that thinking. That's why, for now, we're going to move forward and improve the ones we already have. And the current macroeconomic scenario practically pushes us further in this direction. For me, it's much more important to consolidate what has already been done than to start building just to say I'm gaining ground. That's not the point.
Morumbi Shopping takes the lead.
Morumbi is an example of this. Since the inauguration of the sixth expansion [on March 18th], sales have increased by 30%. Without considering the new area, growth was 15%. And for the first time, it surpassed Barra Shopping. That's the strength of São Paulo. It's a good project in a central location. Around Morumbi Shopping, there are 100,000 people working who can walk there. I felt it was a timid shopping mall, with 1980s decor. It needed this sophistication. It needed these new features. And I see these opportunities in Belo Horizonte, São Caetano, and Jundiaí. By 2024, the group will have 50,000 m² of GLA. It's another "Morumbi Shopping." And growing inwards is sometimes more profitable than growing outwards. The company's results prove this.
Outlook for the coming months
My expectations for the rest of the year remain unchanged. I think we're going to have a good year for sales. Election years and World Cup years usually sell more. The big question is about next year, depending on the election results and the economic policies of the new government. If the scenario is like the current one, we'll continue doing what we're already doing. If the scenario is more favorable for progress, we'll do more. That could include new construction projects, if interest rates fall, and if the country allows it.
