I GO GERDAU Shape the future * * * * ＊ *Quarterly results * 2¤ quarter of 2021 EBITDA 663 2,537 3,634 18.6% 36.9% 40.7% 03% 08% 13% 18% 23% 28% 33% 38% 400,0 900,0 1400,0 1900,0 2400,0 2900,0 3400,0 3900,0 4400,0 2Q20 1Q21 2Q21 20.5% North America BD 418 843 1,352 10.5% 14.3% 20.4% 00% 01% 02% 03% 04% 05% 06% 07% 08% 09% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19% 20% 21% 22% ,0 50,0 100,0 150,0 200,0 250,0 300,0 350,0 400,0 450,0 500,0 550,0 600,0 650,0 700,0 750,0 800,0 850,0 900,0 950,0 1000,0 1050,0 1100,0 ...

Financial Data and Key Metrics Changes - Gerdau reported a record EBITDA of BRL 5.9 billion in Q2 2021, up from BRL 4.3 billion in Q1 2021, marking a significant increase [8][25]. - The net debt decreased to BRL 10.2 billion, down by BRL 600 million from March 2021, reflecting effective debt management [20][22]. - The EBITDA to net debt ratio improved from 0.96x in Q1 to 0.65x in Q2, indicating strong financial leverage [25][26]. - The cash conversion cycle increased from 57 days in March to 60 days in June, primarily due to rising accounts receivable and inventory levels [19]. Business Line Data and Key Metrics Changes - North America operations achieved an EBITDA of BRL 1.4 billion, over three times higher than the previous year, with a margin of 20% [10]. - Brazil's operations posted an EBITDA of BRL 3.6 billion with a record margin of 40.7% [12]. - South America operations reported an EBITDA of BRL 494 million and a margin of 38% [14]. - Special Steel operations generated an EBITDA of BRL 495 million with a margin of 18.7% [15]. Market Data and Key Metrics Changes - North America saw steel capacity utilization exceed 90%, compared to less than 75% in the same quarter last year [11]. - Brazil's steel capacity utilization surpassed 80%, up from about 60% in Q2 2020 [13]. - The civil construction sector in Argentina grew 6.5% monthly and 31% year-on-year [57]. - In Peru, steel consumption remained strong, driven by public investments in construction, with a growth of 20.5% year-on-year [58]. Company Strategy and Development Direction - Gerdau is focusing on domestic market prioritization, with only 10% of shipments earmarked for exports, compared to 30%-40% in previous years [12]. - The company is investing in modernization and expansion of production capacity, with a total CapEx of BRL 3.5 billion estimated for 2021 [59][60]. - Gerdau is committed to sustainability, including a photovoltaic power station project to enhance energy self-sufficiency [33][34]. Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the second half of 2021, anticipating strong market demand, particularly in construction [68][79]. - The company is well-prepared for potential energy risks due to its self-generation capabilities, which cover 80% of its energy needs [100][102]. - Management noted that while prices in Brazil are stabilizing, there is still room for margin improvement [80][81]. Other Important Information - Gerdau's dividend yield increased from 0.7% in 2017 to over 8% in the last 12 months [28]. - The company has made significant progress in diversity and inclusion, increasing the percentage of women in leadership positions from 17% in 2018 to 23% in 2021 [36][37]. Q&A Session Summary Question: Working capital strategy and preparation for the second half - Management indicated that the working capital strategy is aligned with preparing for a strong market in the second half, emphasizing the importance of maintaining adequate inventories [68][75]. Question: Business environment in Brazil regarding prices - Management acknowledged that price increases have stabilized but emphasized the need to pursue additional margins [67][80]. Question: Potential prepayment of extraordinary dividend payout - Management confirmed the intention to maintain a 30% dividend payout policy while monitoring the tax reform developments [85][87]. Question: Cash cost and scrap prices outlook - Management expects volatility in scrap prices but believes in maintaining profitability through effective cost management [91][93]. Question: Share of civil construction in Brazil operations - Management stated that civil construction accounts for approximately 60% of their business in Brazil, with a focus on serving end consumers [106]. Question: Energy crisis preparedness - Management highlighted their self-generation capacity and increased inventory levels to mitigate potential energy risks [100][102].

Financial Data and Key Metrics Changes - Gerdau's consolidated EBITDA increased from BRL 3.1 billion in Q4 2020 to BRL 4.3 billion in Q1 2021, marking a record EBITDA for the company in a single quarter [10] - The EBITDA margin for North American operations reached 14.3%, approximately 4 percentage points higher than the previous quarter [11] - Brazil's EBITDA was BRL 2.5 billion with an EBITDA margin of 36.9%, another record for a single quarter [13] - The company's net debt at the end of March was BRL 10.8 billion, slightly higher than the end of 2020 due to exchange rate impacts [20] - The financial leverage ratio (EBITDA/net debt) improved from 1.25x in Q4 2020 to 0.96x in Q1 2021 [24] Business Line Data and Key Metrics Changes - North American business unit's EBITDA was BRL 843 million, a 50% increase from the last quarter of 2020 [11] - South America business unit posted an EBITDA of BRL 550 million with a margin of 38% [14] - Special steel operations achieved an EBITDA of BRL 409 million with a margin of 16.8% [14] - The steel utilization capacity for special steels improved to 83% compared to 78% in the previous quarter [15] Market Data and Key Metrics Changes - Global crude steel production grew by 10% in the first half of 2021 compared to the same period last year [35] - Demand for steel is expected to grow by 5.8% in 2021 and 2.7% in 2022 [35] - In Brazil, apparent steel consumption increased by 32.8% in Q1 year-on-year, with domestic sales growing by 29% [53] - The construction sector in Brazil is experiencing a strong recovery, with mortgage loans expected to increase by 27% this year [54] Company Strategy and Development Direction - Gerdau is focusing on simplifying operations, with SG&A expenses reduced to less than 3% of net revenue, down from 6% five years ago [32] - The company is investing in modernization and technological upgrades in North America to expand its product mix [38] - Gerdau is committed to sustainability, with a focus on reducing greenhouse gas emissions and improving production efficiency [76][78] Management's Comments on Operating Environment and Future Outlook - Management sees positive signs for demand growth in both Brazil and the U.S., particularly in the construction sector [82] - The company anticipates strong results in the second half of 2021, driven by infrastructure investments and a robust order backlog [81][84] - There is optimism regarding the impact of the Biden administration's infrastructure investment package on steel demand [41] Other Important Information - Gerdau's return on capital employed reached 14.2%, higher than the previous four years [26] - The company plans to invest BRL 3.5 billion in CapEx for 2021, focusing on high-return projects [65][92] - Gerdau Graphene was launched to develop products with graphene applications, expanding the company's portfolio beyond steel [71] Q&A Session Summary Question: Is there potential for further improvement in 2021 and special dividends? - Management sees potential for expanding results in the second half of 2021, with strong demand in various markets [81][82] Question: What is the likelihood of dropping leverage further and capital allocation going forward? - The company plans to maintain strong cash generation while executing a robust CapEx program [91][92] Question: Can margins above 35% be sustainable going forward? - Management believes that structural conditions will support maintaining margins, influenced by changes in the global steel market [95][96] Question: How is the order portfolio and inventory levels in Brazil? - The inflow of orders remains strong, and inventories are expected to normalize by mid-2021 [110][111] Question: What is the strategy behind the restart of the Araucaria unit in Paraná? - The restart aims to increase crude steel availability, with current utilization around 75% in Brazil [121][122]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 1-14878 GERDAU S.A. (Exact name of Registrant as specified in its charter) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR ...

4 th quarter of 2020 Quarterly Results * Working Capital 6.6 8.6 9.2 8.5 7.5 4T19 2,327 -441 205 2,330 2,402 4Q19 1Q20 2Q20 3Q20 4Q20 FCF Working Capital (R$ billion) Financial Cycle (days) 62 83 95 63 Free Cash Flow and Financial Cycle R$ Million 1T20 2T20 3T20 4T20 Dec | 19 Mar | 20 Jun | 20 Sep | 20 Dec| 20 49 long profile Cost of Debt Debt Maturity | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |----------|------------|------------|--------------------------------------- ...

Financial Data and Key Metrics Changes - Positive free cash flow was BRL2.4 billion in Q4 2020, a 43% increase in EBITDA quarter-on-quarter [9][15] - Year-to-date free cash flow was BRL4.5 billion for the second consecutive year, with a cash conversion cycle reduced from 63 days in September 2020 to 49 days in December 2020 [11] - Net debt decreased to BRL9.9 billion, with a net debt to EBITDA ratio improving from 2.07x in Q3 2020 to 1.25x in Q4 2020 [12][14] Business Line Data and Key Metrics Changes - Consolidated EBITDA increased from BRL2.1 billion in Q3 to BRL3.1 billion in Q4 2020, marking the best EBITDA in Gerdau's history for Q4 [15] - Brazilian operations generated approximately BRL1.8 billion in EBITDA, driven by strong demand from civil construction and industry [16] - Special Steel operations showed improvement, with capacity utilization rising from 50% in Q3 2020 to 70% in Q4 2020 [22] Market Data and Key Metrics Changes - Shipments of longs and flats in Brazil increased by 22% year-on-year between October and December 2020 [26] - Civil construction confidence in Brazil rose from 65 points in April to 93 points by December 2020, indicating a positive outlook for the sector [18][33] - In North America, EBITDA margins remained above 10%, the best performance since 2007, despite seasonal impacts [19] Company Strategy and Development Direction - Gerdau aims to become a more agile, simpler, and digital company to capture opportunities in challenging environments [25] - The company is focusing on the Brazilian domestic market, reducing exports to ensure full supply to local demand [32] - Investments in infrastructure are expected to exceed BRL126 billion in 2021, providing opportunities for Gerdau [34] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding the Brazilian market, anticipating further economic recovery and growth in civil construction [33] - The automotive sector is expected to see a 25% increase in vehicle production in 2021, positively impacting Special Steel operations [35] - The company is committed to maintaining a positive cash flow and a disciplined approach to capital allocation [67][69] Other Important Information - Gerdau celebrated its 120th anniversary, emphasizing its commitment to sustainability and customer-centric operations [55] - The company is actively engaging in digital initiatives and partnerships to enhance its logistics and renewable energy sectors [52][53] Q&A Session Summary Question: Landscape in Brazil and Demand Drivers - Management anticipates an 8% to 10% growth in shipments, driven by strong demand from civil construction and retail sectors [61][62] Question: Capital Allocation and Dividends - The company maintains a dividend policy of 30%, with dividends expected to increase as leverage improves [70] Question: Price Transfer and EBITDA Margin Sustainability - Management sees strong demand and balanced prices, with an EBITDA margin of 31% in Q4 2020, and anticipates stability in costs despite increases in raw material prices [74][80] Question: Heavy Plate Utilization and U.S. Market Impact - Heavy plate utilization is around 60%, with expectations for improvement as demand continues to recover [84] Question: Imports and Future Growth Phase - No signs of increased imports are expected, with capital allocation focused on efficiency and marginal production expansion [92][94]

Gerdau SA (NYSE:GGB) Q3 2020 Results Conference Call October 28, 2020 1:00 PM ET Company Participants Gustavo Werneck - President and Chief Executive Officer Harley Scardoelli - Vice President and Chief Financial Officer Conference Call Participants Leonardo Correa - Banco BTG Pactual. Daniel Sasson - Itaú Corretora de Valores Rodolfo De Angele - JPMorgan Thiago Lofiego - Banco Bradesco BBI Caio Ribeiro - Crédit Suisse AG Carlos De Alba - Morgan Stanley Timna Beth Tanners - BofA Merrill Lynch Andreas Bokken ...

Gerdau S.A. (NYSE:GGB) Q2 2020 Earnings Conference Call August 5, 2020 1:00 PM ET Company Participants Gustavo Werneck - Director, President and Chief Executive Officer Harley Scardoelli - Vice President and Chief Financial Officer Conference Call Participants Daniel Sasson - Itaú BBA Thiago Ojea - Goldman Sachs Caio Ribeiro - Credit Suisse Thiago Lofiego - Bradesco BBI Rodolfo Angele - JPMorgan Leonardo Correa - BTG Pactual Carlos De Alba - Morgan Stanley Marcelo Audi - Cardinal Partners Operator Good afte ...

Financial Performance - Net sales for 2019 were R$39,644,010, a decrease of 14% compared to R$46,159,478 in 2018[22] - Gross profit for 2019 was R$4,203,284, down from R$6,149,378 in 2018, reflecting a gross margin decline[22] - Net income for 2019 was R$1,216,887, compared to R$2,326,382 in 2018, indicating a 48% decrease year-over-year[22] - Basic earnings per share for common and preferred shares in 2019 were R$0.71, down from R$1.35 in 2018[23] - Gerdau's total consolidated net sales were R$ 39.6 billion, a decrease of 14% from R$ 46.2 billion in 2018[201] - The company reported a total consolidated net income of R$ 1.22 billion for the year ended December 31, 2019[194] Cash and Assets - Cash and cash equivalents as of December 31, 2019, were R$2,641,652, a decrease from R$2,890,144 in 2018[25] - Total assets increased to R$54,002,970 in 2019 from R$51,281,029 in 2018, showing a growth of 3.4%[25] - Current liabilities decreased to R$7,424,537 in 2019 from R$8,504,253 in 2018, a reduction of 12.7%[25] - The company reported a net working capital of R$10,811,176 in 2019, up from R$8,998,829 in 2018, indicating improved liquidity[25] Market and Industry Conditions - The company is exposed to cyclical demand for steel, which could significantly impact financial performance due to price volatility[34] - The steel industry is facing challenges due to excess global capacity, particularly from China, which has led to increased competition and pressure on prices[36] - The company's financial condition is adversely affected by global economic instability, including the impact of BREXIT and trade protection measures[38] - The company is subject to regulatory risks, including potential trade restrictions on steel products that could increase costs and reduce competitiveness in international markets[93] - The Brazilian economy is influenced by international economic conditions, particularly those in the United States, which can affect share prices on the B3[118] Production and Operations - The company's largest mill, Ouro Branco, accounts for 48.8% of total crude steel output in Brazil, making it vulnerable to fluctuations in iron ore prices[46] - The company has invested in expanding iron ore production capacity to meet 100% of the demand from the Ouro Branco mill since 2012[47] - Higher steel scrap prices or reduced supply could negatively impact production costs and operating margins, affecting profitability[44] - The company relies on imported coking coal for its operations, and any supply shortages or price increases could adversely affect production capacity and profit margins[48] - The company operates 39 steel producing facilities globally, including three integrated steel mills in Brazil[193] Risks and Challenges - Unexpected equipment failures could lead to production curtailments, increasing costs and reducing shipments and earnings[52] - The company is subject to risks from labor disruptions, which could adversely affect operations and project completion timelines[56] - Climate change and regulatory responses to it may increase operational costs and require additional investments, negatively impacting financial performance[54] - The company is subject to information technology risks, including potential breaches that could lead to operational disruptions and financial losses[60] - The company is currently under investigation regarding potential illegal conduct related to political contributions, with uncertain outcomes[90][105] Debt and Financial Obligations - The company held R$13 billion in foreign currency-denominated debt, representing 80.8% of its consolidated gross debt, exposing it to exchange rate risks[85] - The Brazilian real depreciated by 24.1% against the U.S. dollar through March 2020, which could adversely affect the company's ability to service foreign currency obligations[84][85] - The company's credit ratings are classified as "investment grade," which allows access to more attractive borrowing rates; however, any downgrade could increase capital costs and affect financial condition[75][77] Legal and Compliance Issues - The Company is involved in several tax, civil, and labor disputes that may negatively impact its financial condition and results of operations[88] - The Company and its subsidiaries face lawsuits related to ICMS (state VAT) totaling R$ 631,940, and other tax claims amounting to R$ 2,077,262, including IPI, PIS, COFINS, and social security contributions[14][95]. - The Company is involved in administrative proceedings related to withholding income tax and goodwill amortization, with total updated amounts of R$ 754,215 and R$ 431,718, respectively[95]. - Brazil's sovereign credit rating has been downgraded multiple times, currently rated below investment grade, which negatively affects the prices of securities issued by Brazilian companies[108][109]. - Political instability in Brazil continues to impact investor confidence and economic performance, contributing to heightened volatility in the securities market[110][111]. Acquisitions and Investments - The company has a history of acquisitions, including the purchase of Companhia Paraibuna de Metais for US$30 million in 2003, enhancing its iron ore self-sufficiency[137] - In 2005, the company acquired a 57% interest in Diaco S.A., Colombia's largest rebar manufacturer, for an additional investment of US$107.2 million[138] - The company acquired 40% of Corporación Sidenor S.A. for US$219.2 million in 2006, later increasing its stake to 100%[140] - The company acquired Siderúrgica Tultitlán in Mexico for US$259 million in 2007, expanding its production capabilities[142] - Gerdau's acquisition of MacSteel in November 2007 was valued at US$ 1.5 billion, including the assumption of debts and liabilities[148] Sales and Consumption Trends - Gerdau's total sales of Brazilian steel products reached 30.9 million tonnes in 2019, with flat steel products accounting for 66.7% of total sales[171] - In 2019, Brazilian steel consumption decreased by 3% despite a GDP increase of 1.1%, indicating significant variations in domestic demand[173] - Steel shipments in 2019 decreased compared to 2018 primarily due to the sale of certain production assets in the United States, while remaining operations showed stable shipment levels[212] - The company is continuously developing new products in the Special Steel Business Segment, including high-resistance steels and clean steel, to meet the needs of demanding markets[214] - In 2019, international steel prices were influenced by slower demand from China and economic protectionism measures in the U.S. and EU, prompting major producers to seek new markets[219]

Gerdau S.A. (NYSE:GGB) Q3 2019 Earnings Conference Call October 30, 2019 1:00 PM ET Company Participants Gustavo Werneck - Director, President & Chief Executive Officer Harley Scardoelli - Executive Vice President & Chief Financial Officer Conference Call Participants Leonardo Correa - BTG Pactual Daniel Sasson - Itaú BBA Timna Tanners - Bank of America Merrill Lynch Carlos De Alba - Morgan Stanley Thiago Lofiego - Bradesco BBI. Caio Ribeiro - Crédit Suisse Marcio Farid - JPMorgan Operator Good afternoon, a ...