盖尔道：电话会议直击

研报英文原文证据摘录

J P M O R G A N

Latin America Equity Research

05 August 2026

Gerdau

Straight from the Call

Gerdau just hosted its 2Q26 earnings call. Management's tone was constructive,

with two key messages: (a) North America should remain strong, supported by

resilient demand and solid operational execution; and (b) Brazil remains

challenging under import pressure, but results are gradually improving on the back

of efficiency initiatives, a better sales mix, and the maturation of recent capex

programs. For additional details, please refer to: Strong Quarter; U.S. Backlog Hits

Record. Please see details on the discussed topics in the earnings call below.

Opening remarks from management. Management started the call noting

that North America was the quarter's highlight, with shipments up 7% y/y and

adjusted EBITDA up 15% q/q, reflecting resilient demand in key sectors and

solid operating performance from the region's plants. Brazil posted a slight

improvement, driven by initiatives focused on profitability and productivity,

though it continued to face high levels of imports (which slowed during the

period but remained elevated). Management also flagged that it continues to

await the outcome of anti-dumping investigations into long and flat steel

products, expected to be updated in the second half of the year. The company

also highlighted the increased ownership stake in Dona Francisca Energética,

raising self-generated energy to more than 50% of consumption in Brazil,

supporting competitiveness and its decarbonization strategy.

The North American outlook remains robust: margins are expected to be

stable, but prices could bring upside. Management continues to see steel

demand at high levels with a strong order backlog, driven by solid consumption

in segments such as renewable energy and data centers. On margins,

management guided to maintenance rather than the additional expansion much

of the market expected, framing this as a conservative/realistic stance on the

macro, noting that while the raw price/spread math points to margin expansion,

margins cannot expand indefinitely and should settle at a sustainable level.

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