Slide 1: 1Q25 Earnings Release
1Q25 Earnings Release April 29, 2025
Slide 2: Disclaimer
DISCLAIMER This document maycontain forward-looking statements. These statements are based on estimates and information that may be incorrect or inaccurate andthat may not occur. These estimates are also subject to risks, uncertainties, and assumptions that include, among other factors, general econ
Slide 3: Highlights
HIGHLIGHTS COMMITMENT TO SAFETY IRMA CERTIFICATION FOR MIGUEL BURNIER 0.70 Initiative for Responsible Mining Frequency 0.59 0.61 Assurance rate One of the world’s most Nº of accidents per million of hours rigorous and prestigious worked by each sustainability Gerdau’s employee 2023 2024 1Q25 certifi
Slide 4: Financial Performance
FINANCIAL PERFORMANCE STEEL SHIPMENTS: ADJUSTED EBITDA: 2.9 M R$2.4 b QoQ and YoY growth, despite the steel oversupply Upturn of volumes in the North America and scenario a challenging macro-environment contributing to resilience of results NET INCOME: EARNINGS PER SHARE: CAPEX: R$758 m R$0.37 R$1.4
Slide 5: Outlook
OUTLOOK* NORTH 2Q25: Margins upturn BRAZIL 2Q25: Margins stability AMERICA ▪ Resilient volumes, with backlogs ▪ Volumes upturn in the domestic market, above historical levels (>70 days); especially flat steel, with the BQ2 start- up; ▪ Higher spread due to better steel prices and stable scrap costs;
Slide 6: Q&A
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Slide 7: Appendices
Appendices
Slide 8: Workplace Safety
WORKPLACE SAFETY Continued focus on people’s safety Accident Frequency Rate 0.61 in 1Q25 1.28 1.16 1.10 1.08 0.99 0.87 0.83 0.76 0.70 0.59 0.61 // 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1Q25 Number of Accidents per Million Hours Worked per each Gerdau Employee 8
Slide 9: Brazil
UTILIZATION BRAZIL Rolled steel 57% Crude Steel 73% RATE QUARTERLY OVERVIEW EBITDA EBITDA Shipments Net Sales (1,000 tonnes) (R$ million) (R$ million) Margin ◼ Penetration rate of imports reached 22% in -3.5% 1Q25, up 3.7 p.p from 1Q24; +0.1% -23.4% 7,769 7,494 1,435 1,429 1,431 7,354 1,376 ◼ Long s
Slide 10: North America
UTILIZATION NORTH AMERICA RATE Rolled steel 86% Crude Steel 81% QUARTERLY OVERVIEW EBITDA EBITDA Shipments Net Sales (1,000 tonnes) (R$ million) (R$ million) Margin +14.6% +16.3% ◼ Improved shipment volume, reflecting the typical seasonal upturn and higher customer 1,229 8,768 1,774 1,139 7,914 +47.
Slide 11: South America
UTILIZATION SOUTH AMERICA Rolled steel 63% Crude Steel 63% RATE QUARTERLY OVERVIEW Net Sales EBITDA EBITDA Shipments (1,000 tonnes) (R$ million) (R$ million) Margin ARGENTINA -12.5% -20.2% ◼ Still weak demand and greater competition in the local market leading to lower prices, 271 1,711 285 -17.2% e
Slide 12: Operational Performance
OPERATIONAL PERFORMANCE FUNDAMENTAL GEOGRAPHIC DIVERSIFICATION TO ENSURE RESILIENT RESULTS ADJUSTED EBITDA (R$ million) and ADJUSTED EBITDA MARGIN¹ NET SALES² (R$ million) 1Q25 1Q25 0.4% 3.3% 2,391 2,402 -274 17,375 385 -322 16,822 1,233 -345 -60 14.2% 13.8% -38 -15 812 7,536 8,768 1,198 1,376 -171
Slide 13: Cash Flow & Net Cash Variation
CASH FLOW & NET CASH VARIATION CASH FLOW (R$ million) -767 - 317 2,402 -1,839 - 115 -128 -1,252 -150 -338 1Q25 Working Income CAPEX³ Juros 4 Interest EBITDA JVs Intangibles & var 7 Other 1Q25 Free Adjusted Capital1 Tax2 proporcional Proportional Leasing6 Cash Flow EBITDA JV’s EBITDA5 NET CASH VARIAT
Slide 14: Liquidity & Indebtedness
LIQUIDITY & INDEBTEDNESS CASH, DEBT AND LEVERAGE LIQUIDITY POSITION AND DEBT AMORTIZATION1 (R$ billion) (R$ billion) 0.40x 0.53x 0.69x 11.9 0.32x 0.48x AVERAGE TERM AVERAGE COST 6.4 BRL: 103.9% CDI Y/Y 14.5 5.0 YEARS USD: 5.5% Y/Y 13.6 11.0 12.5 12.5 6.9 6.6 8.3 D 5.9 8.8 6.9 5.9 7.6 0.2 5.1 3.7 5.4
Slide 15: Return to Shareholders
RETURN TO SHAREHOLDERS DISTRIBUTION OF DIVIDENDS ABOVE THE MANDATORY MINIMUM AND SOLID IMPLEMENTATION OF THE SHARE BUYBACK PROGRAM DIVIDENDS 2025 SHARE BUYBACK PROGRAM (R$ million) 349.4% GGBR GOAU 73.7% ◼ Total program: up to 64.5 million shares ◼ Total program: up to 6 million shares 75.7% 30.3% 3
Slide 16: Capex
CAPEX STRATEGIC CAPEX 1Q25 | ~R$0.7 billion INVESTMENTS IN BUSINESS GROWTH AND COMPETITIVENES 2025e | ~R$2.8 billion 1Q25¹ STRATEGIC CAPEX NORTH AMERICA BRAZIL TOTAL 40% R$1.4 bi 60% 500 250 350 9,200 1,750 1,550 3,398 2025e¹ 3,200 250 400 5,803 450 1,500 ~R$1.6 b 50% R$6.0 b 50% Midlothian Downstre
Slide 17: Strategic Capex
STRATEGIC CAPEX MAIN PROJECTS MIDLOTHIAN EXPANSION “PHASE 1” MIGUEL BURNIER MINING HOT-ROLLED COIL EXPANSION PHYSICAL FINANCIAL PHYSICAL FINANCIAL PHYSICAL FINANCIAL ADVANCE ADVANCE ADVANCE ADVANCE ADVANCE ADVANCE 45% 55% 65% 60% 100% 94% START-UP (PHASE 1): 2ND SEMESTER OF 2025 START-UP: 4TH QUARTE
Slide 18: 2Q25 Earnings Release and Videoconference
inform@gerdau.com | ri.gerdau.com Earnings Videoconference Release 2Q25 August 1,2025 July 31,2025 Follow Gerdau on social media.