Direcional Engenharia (DIRR3) Corporate presentation summary

Company overview and business model

• Founded in 1981, expanded from industrial projects to large-scale low-income housing and later to mid-income segments through subsidiaries Riva and Direto.

• Over 180,000 units delivered and more than 550 projects launched since 2009, with a strong presence in underpenetrated markets.

• Verticalized, industrialized construction model enables fast, standardized, and cost-controlled delivery.

• Focus on high asset turnover, low cash exposure, and risk mitigation through landbank swaps and client financing before construction.

• Diversified geographic operations with leadership in 4 regions and presence in 9 large metropolitan areas.

Financial and operational highlights

• Net sales reached BRL 6.2 billion in the last twelve months, with a 27% YoY net revenue growth in 3Q25.

• Adjusted gross margin at 42.1% and annualized ROE at 35% in 3Q25, both showing significant improvement over the previous year.

• Net income for 3Q25 was BRL 230 million, up 43% YoY, with operating net margin at 17.7%.

• Conservative leverage profile with net debt-to-equity at 3.8% and a brAAA rating from S&P Global Ratings.

• Returned BRL 358 million to shareholders in 2025 YTD through dividends and share buybacks; BRL 2.1 billion since IPO.

Strategic initiatives and market positioning

• Product portfolio covers both low- and mid-income segments, with tailored offerings and experienced sales teams.

• Land and launch committees ensure rigorous project selection and feasibility, with BRL 14.4 billion in land acquired and BRL 5.8 billion in launches in 2024.

• Upgrades to the Minha Casa, Minha Vida (MCMV) program, including new income tiers and higher price caps, have expanded the addressable market and boosted inventory eligibility.

• Industrialized construction and proprietary sales structure drive efficiency, quality, and cost control.

• SG&A expenses as a percentage of net revenue have steadily declined, supporting margin expansion.