CONSOLIDATED FINANCIAL STATEMENTS (Tables)

12 Months Ended

Dec. 31, 2025

Schedule of significant consolidated subsidiaries


				Equity Interests
Consolidated company		Country		Total capital ^(*)
				2025		2024		2023
Gerdau GTL Spain S.L.		Spain		100.00		100.00		100.00
Gerdau Internacional Empreendimentos Ltda. - Grupo Gerdau		Brazil		100.00		100.00		100.00
Gerdau Ameristeel Corporation and subsidiaries ⁽¹⁾		USA/Canada		100.00		100.00		100.00
Gerdau Açominas S.A. and subsidiary⁽²⁾		Brazil		99.89		99.86		99.86
Gerdau Aços Longos S.A. and subsidiaries ⁽³⁾		Brazil		99.84		99.83		99.83
Gerdau Steel Inc.		Canada		100.00		100.00		100.00
Paraopeba - Fixed-income investment fund ⁽⁴⁾		Brazil		77.83		84.49		75.36
Gerdau Hungria Holdings Limited Liability Company		Hungary		100.00		100.00		100.00
GTL Equity Investments Corp.		British Virgin Islands		100.00		100.00		100.00
Empresa Siderúrgica del Perú S.A.A. - Siderperú		Peru		90.03		90.03		90.03
Gerdau GTL México, S.A. de C.V.		Mexico		100.00		100.00		100.00
Seiva S.A. - Florestas e Indústrias		Brazil		97.73		97.73		97.73
Gerdau Laisa S.A.		Uruguai		100.00		100.00		100.00
Sipar Gerdau Inversiones S.A.		Argentina		99.99		99.99		99.99
Sipar Aceros S.A. and subsidiary ⁽⁵⁾		Argentina		99.98		99.98		99.98
Gerdau Trade Inc.		British Virgin Islands		100.00		100.00		100.00
Gerdau Next S.A. and subsidiaries ⁽⁶⁾		Brazil		100.00		100.00		100.00

(*)The voting capital is substantially equal to the total capital. The interests reported represent the ownership percentage held directly and indirectly in the subsidiary.

(1)Subsidiaries: Gerdau Ameristeel US Inc., GUSAP III LLP, GNA Financing Inc., Gerdau Macsteel Inc. and Chaparral Steel Company and Gerdau Steel North America Two Corporation.

(2)Subsidiary: Gerdau Açominas Overseas Ltd.

(3)Subsidiaries: SPEs Barro Alto Solar Park (SPE Barro Alto V, SPE Barro Alto VI and SPE Barro Alto VII), Paranatinga Energia S.A., Comercial Gerdau Aços Planos Ltda., Sul Renováveis Participações S.A. and Rio do Sangue Energia S.A..

(4)Fixed-income investment fund managed by Santander Bank. The participation shown refers to the balances applied by the Company in relation to the total fund each year.

(5)Subsidiary: Siderco S.A.

(6)Subsidiaries: G2L Logística S.A., G2base Fundações e Contenções Ltda, G2 Adições Minerais e Químicas Ltda. and Circulabi S.A.

Schedule of interests in joint ventures


				Equity Interests
Joint ventures		Country		Total capital^(*)
				2025		2024		2023
Bradley Steel Processors (Note 3.4)		Canada		—		50.00		50.00
MRM Guide Rail		Canada		50.00		50.00		50.00
Gerdau Corsa S.A.P.I. de CV		Mexico		75.00		75.00		75.00
Gerdau Summit Aços Fundidos e Forjados S.A. (Note 3.4)		Brazil		—		58.73		58.73
Juntos Somos Mais Fidelização S.A.		Brazil		27.48		27.47		27.16
Addiante S.A.		Brazil		50.00		50.00		50.00
Brasil ao Cubo S.A.		Brazil		44.66		44.66		44.66
MRS Logística S.A.		Brazil		1.32		1.32		1.32
Ubiratã Tecnologia S.A.		Brazil		—		—		50.00
Gerdau Metaldom Corp. (Note 3.4)		Dominican Rep.		—		—		50.00
Diaco S.A. (Note 3.4)		Colombia		—		—		49.85

(*) The voting capital is substantially equal to the total capital. The interests reported represent the ownership percentage held directly and indirectly held in the joint venture.

Schedule of summarized financial information of the joint ventures


		Joint ventures
Joint ventures		2025		2024		2023
Cash and cash equivalents		5,268,140		4,885,784		4,946,614
Total current assets		8,204,754		8,646,770		10,830,003
Total non-current assets		24,726,193		19,743,779		19,799,735
Short-term debt		1,363,974		947,126		1,387,985
Total current liabilities		4,760,141		5,063,501		7,153,365
Long-term debt		9,796,171		8,952,910		6,509,894
Total non-current liabilities		14,146,451		11,436,979		9,547,371
Net sales		13,125,426		13,996,168		20,054,786
Cost of sales		(8,715,528)		(9,659,890)		(12,364,560)
Income before financial income (expences) and taxes		3,283,628		3,404,073		4,516,140
Financial income		1,450,250		1,526,541		736,790
Financial expenses		(2,300,243)		(2,039,335)		(1,585,142)
Income and social contribution taxes		(774,075)		(870,477)		(827,060)
Net income		1,658,916		1,945,071		2,573,019
Depreciation and amortization		(1,693,717)		(1,314,812)		(1,241,155)
Total comprehensive income for the year, net of tax		1,658,916		1,945,071		2,580,649

Schedule of interests in associate companies


				Equity interests
Associate companies		Country		Total capital^(*)
				2025		2024		2023
Dona Francisca Energética S.A.		Brazil		53.94		53.94		51.82
Newave Energia S.A.		Brazil		40.00		40.00		33.33

(*) The voting capital is substantially equal to the total capital. The interests reported represent the ownership percentage held directly and indirectly.

Schedule of summarized financial information of the associate companies


		Associate companies
Associate companies		2025		2024		2023
Cash and cash equivalents		19,489		89,078		138,389
Total current assets		159,054		173,927		165,048
Total non-current assets		1,330,910		1,064,426		424,053
Total current liabilities		156,974		54,664		122,308
Total non-current liabilities		131,565		53,305		7,965
Net sales		743,021		231,495		80,312
Cost of sales		(724,339)		(136,254)		(41,022)
Income before financial income (expences) and taxes		(14,439)		50,805		(15,033)
Financial income		14,097		2,685		33,528
Financial expenses		(98,037)		(2,619)		(4,793)
Income and social contribution taxes		21,868		(16,617)		(2,557)
Net income		(76,512)		34,254		9,134
Depreciation and amortization		(54,803)		(16,165)		(10,329)
Total comprehensive income for the year, net of tax		(76,512)		34,254		9,134

Dales Recycling Partnership

CONSOLIDATED FINANCIAL STATEMENTS

Schedule of fair value of the assets and liabilities at the date of acquisition


				Acquisition’s
		Book Value		adjustments		Fair Value
Inventories		2,524		—		2,524
Property, plant and equipament, net		200,268		12,677		212,945
Assets		202,792		12,677		215,469
Goodwill		—		116,396		116,396
Total assets		202,792		129,073		331,865

Gerdau Summit Acos Fundidos e Forjados S.A.

CONSOLIDATED FINANCIAL STATEMENTS

Schedule of fair value of the assets and liabilities at the date of acquisition


				Acquisition’s
		Book Value		adjustments		Fair Value
Cash and cash equivalents		49,311		—		49,311
Short-term investiments		2,079		—		2,079
Trade accounts receivable - net		108,989		—		108,989
Inventories		195,266		—		195,266
Other current assets		34,317		—		34,317
Property, plant and equipament, net		323,038		30,743		353,781
Other non-current assets		72,910		—		72,910
Current liabilities		(275,028)		—		(275,028)
Non-current liabilities		(36,943)		—		(36,943)
Assets (Liabilities)		473,939		30,743		504,682
Negative Goodwill (Bargain Purchase)		—		(37,706)		(37,706)
Deferred income taxes		—		12,820		12,820
Assets (Liabilities), net		473,939		5,857		479,796

Rio do Sangue Energia S.A.

CONSOLIDATED FINANCIAL STATEMENTS

Schedule of fair value of the assets and liabilities at the date of acquisition


				Acquisition’s
		Book Value		adjustments		Fair Value
Current assets		1,205		—		1,205
Property, plant and equipament, net		32,112		—		32,112
Other intangibles		1,949		210,209		212,158
Other non-current assets		400		—		400
Current liabilities		(1,244)		—		(1,244)
Non-current liabilities		(83)		—		(83)
Assets (Liabilities), net		34,339		210,209		244,548

Purchase price						244,548

Paranatinga Energia S.A.

CONSOLIDATED FINANCIAL STATEMENTS

Schedule of fair value of the assets and liabilities at the date of acquisition


				Acquisition’s
		Book Value		adjustments		Fair Value
Cash and cash equivalents		32,805		—		32,805
Other current assets		3,318		—		3,318
Property, plant and equipament, net		59,818		—		59,818
Other intangibles		7,322		129,069		136,391
Other non-current assets		159		—		159
Current liabilities		(2,318)		—		(2,318)
Non-current liabilities		(203)		—		(203)
Assets (Liabilities), net		100,901		129,069		229,970

Purchase price						229,970

Bradley Steel Processors Inc

CONSOLIDATED FINANCIAL STATEMENTS

Schedule of fair value of the assets and liabilities at the date of acquisition


				Acquisition’s
		Book Value		adjustments		Fair Value
Current assets		10,944		—		10,944
Property, plant and equipament, net		2,316		10,498		12,814
Goodwill		—		11,024		11,024
Current liabilities		(3,284)		—		(3,284)
Non-current liabilities		(88)		—		(88)
Assets (Liabilities), net		9,888		21,522		31,410

Fair value of the existing shares						4,311

Purchase price						27,099