#Brazil #São Paulo #EBITDA #Gerdau S.A. #2Q26

Gerdau S.A. Reports Strong Performance in 2Q26

Gerdau S.A., one of Brazil's leading steel producers, has recently unveiled its financial performance for the second quarter of 2026. The company reported an adjusted EBITDA of R$3.4 billion, marking a significant increase of 16% compared to the previous quarter. This impressive growth highlights the strengthening of Gerdau's position in the industry, particularly with North America contributing a substantial 74% of the consolidated EBITDA this quarter.

In addition to the strong EBITDA figures, Gerdau's adjusted net income reached R$1.5 billion, showcasing a remarkable increase of 45% from the first quarter and a whopping 70% year-on-year. These figures illustrate the effective operational and financial strategies being implemented by the company, which have contributed to this favorable outcome.

The company's investments, totaling R$1.0 billion in the second quarter, accounted for 45% of its annual investment guidance of R$4.7 billion for 2026. This commitment to capital expenditure underlines Gerdau's strategy to enhance its operational capabilities and to support its growth trajectory.

Return to Shareholders and Growth Initiatives

In an effort to return value to shareholders, Gerdau has approved a dividend distribution of R$0.23 per share, totaling R$451.3 million, scheduled for payment on September 11, 2026. Furthermore, Gerdau continued its share buyback program, having repurchased 31% of the shares authorized under this initiative. Such actions not only reflect the company's healthy cash flow but also its commitment to enhancing shareholder value.

The company is also progressing towards acquiring Dona Francisca Energética (DFESA), which could significantly boost its self-generated energy capacity in Brazil to over 50% of its total consumption. This acquisition aligns with Gerdau's ongoing efforts to increase sustainability and optimize energy costs, vital in today's economic environment.

Future Outlook

Gerdau's results for 2Q26 illustrate not only a robust performance in terms of financial metrics but also a clear vision for sustainable growth moving forward. By focusing on investment in core operational areas, strategic acquisitions, and shareholder returns, Gerdau aims to fortify its market position and drive long-term value. As the steel industry continues to evolve, Gerdau's proactive strategies may well serve as a benchmark for others in the sector, confirming its role as a leader in the market.

Looking ahead, Gerdau's commitment to innovation and efficiency will be crucial as it navigates challenges and seizes opportunities in a rapidly changing economic landscape.