Fras-le (FRAS3) Institutional Presentation summary

Financial performance and market position

• Achieved R$3,965.8M in net revenue and R$729.0M in adjusted EBITDA for 2024, with an 18.4% EBITDA margin and 17%–21% margin guidance for the year.

• Net profit margin reached 9.4% in 2024, with free cash flow of R$198.8M and investments (CAPEX) of R$165.8M, up 24% from 2023.

• Net revenue grew 17% year-over-year, with foreign market sales totaling US$289.7M, up 17.7%.

• Share price appreciated 5.8x since 2016, reaching R$20.50 per share at the end of 2024.

• Return on equity (ROE) and return on invested capital (ROIC) remained strong at 24.7% and 21.7%, respectively.

Market leadership and portfolio

• Holds leading market shares in key categories: 59% in brake linings for automobiles, 53% for heavy vehicles, and 41% in brake pads for automobiles.

• Portfolio includes over 33,000 SKUs across friction, suspension, brake, and engine components.

• 70% of sales come from the aftermarket, with a defensive, non-elective product mix.

• Recognized with multiple industry awards for product quality, brand trust, and technical support.

• Operates as a one-stop shop with iconic brands and a robust distribution platform.

Global footprint and operations

• Presence in over 125 countries, with 12 industrial parks, 9 warehouses, 7 sales offices, and 2 technology centers worldwide.

• Brazil accounts for 60.6% of net revenue, with growing shares in North America (13%) and Europe/Eurasia (8%).

• Part of Randoncorp, leveraging synergies and economies of scale through acquisitions and integration.

• Recent acquisitions (Fremax, Nakata, Juratek) expanded portfolio, global presence, and revenue by over 110% since 2020.

• Digital platforms and apps have increased customer engagement, with 7.9M accesses and 3.9M users in 2024.