Brazilian Retailers "UBS Shopping Cart: GMAT Tax Risks; DPSP expansion;..."

Research evidence excerpt

Brazilian Retailers "UBS Shopping Cart: GMAT Tax Risks; DPSP expansion;..."

Global Research

30 June 2026ab

Brazilian Retailers Equities

AmericasUBS Shopping Cart: GMAT Tax Risks; DPSP

expansion; Pharma Structural Growth; Trade Consumer, Cyclical

confidence Vinicius Strano,AnalystCFA

vinicius.strano@ubs.com

+55-11-2767 6688

Grupo Mateus receives R$1.28bn tax assessment Isabella Lamas

Analyst

GMAT announced that it has been notified of a notice of infraction issued by Brazil's isabella.lamas@ubs.com

Federal Revenue Service against its subsidiary Armazém Mateus, totaling R$1.28bn. +55-11-2767 6836

The assessment relates to the exclusion of presumed ICMS tax credits from the

Lucca Biasi

corporate income tax (IRPJ /CSLL) calculation base for fiscal years 2022 and 2023.

Associate Analyst

Of the total amount, R$492.9m corresponds to the principal, while R$789m relates lucca.biasi@ubs.com

to penalties and interest. The contingency has been classified as a possible loss. +55-11-2767 6173

Why care? In 2026, GMAT has not been provisioning income tax payments on Pedro Perone

ICMS subventions. We model net income of R$1.2bn / R$1.4bn (implying PE Associate Analyst

multiple of 7.5x/6.4x). Excluding the tax shield form ICMS subventions, our pedro.perone@ubs.com

+55-11-2767 6007 net income would be R$813m / R$998m (PE 10.8x/8.8x). All in all, in our DCF

analysis, the tax shield from ICMS subventions, which we keep in our model in

between 2027-32 correspond to 18% of our GMAT's equity value.

DPSP targets 300-500 new stores over the next 3-5 years

In an interview with Exame, Grupo DPSP CEO Marcos Colares highlights the

company's expansion plans, which include +300-500 new stores over the next three

to five years. For 2026, the company expects to open 50 new stores while