Lojas Americanas : Earnings Release 4Q18 and 2018

4Q18 and 2018

PARENT COMPANY´S NET REVENUE OF R$ 11.3 BILLION (+11.4%) IN 2018

PARENT COMPANY´S EBITDA OF R$ 2.4 BILLION (+7.4%) IN THE YEAR

Rio de Janeiro, March 20th of 2018-Lojas Americanas S.A. [B3: LAME3 (common) and LAME4 (preferred)], a company that operates in the environment of physical stores (traditional, express and convenience - Local) and digital platform (B2W Digital with the brands Americanas.com, Submarino, Shoptime and Sou Barato) announces today its results for the 4thquarter of 2018 (4Q18) and for the year of 2018.The accounting information that serves as the basis for the comments that follow are presented in accordance with the international financial reporting standards (IFRS), and the rules issued by the Brazilian Securities Exchange Commission (CVM) and in Reais (R$). The comparisons refer to the 4thquarter of 2017 (4Q17) and the year of 2017.

2018	2017	Var. (%)	Financial Highlights (R$ MM)	2018	Var. (%)
12,959.5	11,626.4	11.5%	Gross Revenue	20,842.8	8.3%
11,349.9	10,192.4	11.4%	Net Revenue	17,689.8	8.2%
4,403.9	4,047.0	8.8%	Gross Profit	6,059.6	13.0%
38.8%	39.7%	-0.9 p.p.	Gross Margin (%NR)	34.3%	32.8%	+1.5 p.p.
2,361.1	2,197.5	7.4%	Adjusted EBITDA	2,791.8	2,580.3	8.2%
20.8%	21.6%	-0.8 p.p.	Adjusted EBITDA Margin (%NR)	15.8%	15.8%	-
380.5	237.6	60.1%	Net Income	380.5	237.6	60.1%
3.4%	2.3%	+1.1 p.p.	Net Margin (%NR)	2.2%	1.5%	+0.7 p.p.

Consolidated201719,249.4 16,345.5 5,360.9

Parent Company

The table includes the CPC 47/IFRS 15 and CPC 48/ IFRS 9 adjustments, as indicated in page 3 (accounting changes).

• "Same Stores" Net Revenue

  The growth in "same stores" net revenue was of8.2% in 2018.

• Expansion:"85 anos em 5 - Somos Mais Brasil"

  In 2018, we reached a record number in oppenings, 196 new stores, finishing the year with 1,490 stores in 595 cities. In 2019, we will finish the plan with 800 new stores oppenings between 2015 and 2019.

• +AQUI

  In 2018, we started the operation of Americanas.com kiosks and we signed seven new partnerships.

• Convenience store: Local

  During the year, we inaugurated 31Localstores in the cities of Rio de Janeiro and São Paulo.

• O2O Inititiaves (Online to Offline)

  The initiatives have been enhancing our customers' shopping experience, with increasingly surprising results. The click and collect, click and collect now, Lojas Americanas in B2W Marketplace and customer purchases through Americanas.com kiosks within physical stores, impacted more than 1.2 million clients in the last 12 months.

• IF-Inovation and Future

  • oAme reached the mark of 1.8 milion downloads in 9 months of operation;

  • oAme expanded the operation to more than 500 Lojas Americanas throughout Brazil;

  • oAme launched new features in Mar/19: payment of bills (invoices), mobile recharge, cash in LASA (deposit in Ame viaLASA'sPOS), cash in and cash out (transfer from bank account to Ame or Ame to the bank account);

  • oLaunching of the Ame Go prototype (Mar/19), one more IF initiative:

    • oLocal, Lojas Americanas convenience store format, launched Ame Go, an innovative way to buy and pay in the physical world. Grab and go.

    • oThe client, when entering the store, authenticates with the Ame app, chooses the products and when leaving the store their purchases are debited from the digital account with no line and no checkout.

• B2W Digital

  B2W Digital announces the growth of 32% of Total GMV and positive cash generation of 4Q18.

  B2W's marketplace continues to grow rapidly and reached GMV of R$2.9 billion (+61.3%) in the 4Q18, with a stake of 57.1% in the Total GMV.

EBITDA Ajustado (LAJIDA)-Lucro operacional antes de juros, impostos, depreciação e amortização, outras receitas/despesas operacionais, equivalência patrimonial e participação minoritária e participação estatutária.

MESSAGE FROM THE MANAGEMENT

The year of 2018 was marked by a series of events in the spheres of political, economic and social life that influencied the country development. The retailer continues in a profound transformation.

In thie context of accelerated transformation, in 2018, we created IF-Inovação e Futuro, out of Lojas Americanas and B2W operations, with the mission to build disruptive businesses, in addition to leverage various initiatives of the Companies. As the main verticals of this new unity, we should highlight: incubate new businesses, accelerate existing initiatives, invest in startups, lead the O2O fronts and prospect new opportunities. We have a conviction that the adoption of this initiative will give us an organizational agility compatible with the current time.

One of the IF-Inovaçõa e Futuro's first initiatives is Ame, that will revolutionize the way people relate to money. With only 9 months of operation, the number of downloads of the app Ame already reached 1.7 million, allowing the customers to pay for their purchases with the app in all B2W's sitesand more than 500 Lojas Americanas. To 2019, Ame will have an incredible roadmap of news and features, transforming the relationship of Lojas Americanas and B2W with their customers.

Throughout the year, according to our expansion plan "85 anos em 5-Somos mais Brasil", we inaugurated a record number of 196 new stores, totaling 1,490 stores in the end of the year, in 595 cities througout the country. As a basis for reflection, since the beginning of the program - in 2015 - the number of stores grew 57% and our capilarity in diferente cities grew 71%, generating more than 17 thousand direct and indirect jobs.

In 2018, the gross revenue in he parente company reached R$ 13.0 billion, a growth of 11.5%, compared to 2017. In Addition, in the same store sales concept, we registered a net revenue growth of 8.2%, a superior performance compared to the period inflation, and a growth of 3.7 p.p. in relation to the same period of last year. The net income was R$ 380.5 MM, a growth of 60% in relation to 2017.

B2W had the year of 2018 marked by the resumption of the GMV growth, that reached R$ 15 billion (+26.8% vs 11.5% of the market, source: Ebit). The Marketplace, important front of growth, reached a new record, with sales of R$ 7.7 billion in 2018 (+71% vs 2017) and representing 51.6% of GMV. As a consequence, the Company presented again a strong reduction in cash consumption (improvement of R$ 716 MM vs 2017).

LET'S- shared management platform for the logistics and distribution assets of Lojas Americanas and B2W-presented expressive results, surpassing the expectation initially contemplated in its original business plan.

The year was also marked by the acceleration of importante O2O-online to off-line initiatives, that through the sinergies between Lojas Americanas and B2W Digital, allow the Companies to serve the clients in a fast and convenient way. Lojas Americanas as a seller in B2W Marketplace reached all the Brazilian states during the year and expanded the assortment for a lot of categories. The Click and Collect, that in the beginig of 2018 was presente in 400 stores, now is available in more than 1,100 stores (all the elegible for this type of service), and expanded the assortment for the sellers that are in B2W Entrega (85% of the base). The Click and Collect Now, launched in june, is available in all Lojas Americanas in Brazil and offers selected assortment in each store for withdrawal within 1 hour.

In 2018, we figured by the fifth consecutive year in the Corporate Sustainability Index (ISE) of B3-Brasil, Bolsa e Balcão, and advanced in the adoption of intiatives aligned with the agenda 2030, of the Sustaineble Development Objectives of United Nations. The Company continues contributing to a future even more sustainable and prosperous to the society.

In this year of 2019, we are very happy with the 90th anniversary of Lojas Americanas and the 20th anniversary of Americanas.com and Submarino.

We take the opportunity to thank our customers, associates, suppliers and shareholders all of whom were a part of these achievements and motivate us to continue evolving day by day.

THE MANAGEMENT

"We Always Want More"

ACCOUNTING CHANGES

From 2018 onwards, the CPC 47/IFRS 15-Revenues from Customer Contracts-and CPC 48/IFRS 9-Financial Instruments-came into effect. In order to facilitate the analysis of the results presented in this report, as well as to guarantee transparency, the Company opted to restate the results for the same period of 2017 (Annex III - 2017 new criteria vs. 2017 old criteria and Annex IV-4Q17 new criteria vs. 4Q17 old criteria), following the CPCs/IFRS orientations. The main impacts in the 4Q18 results are described below:

• Services:Previously, sales revenue, taxes and cost of sales were registered, currently, only commission on sales and taxes are recorded.

• Intercompany operations:Previously, sales revenue, taxes and cost of sales were recorded and currently only the comission on sales and taxes are registered.

• Commercial Agreements with Suppliers (related parties):Previously were recorded as a deduction from selling expenses and currently recorded as a deduction from cost of sales.

• Conditional Discounts:Previously registered as financial expenses and, currently, registered as a deduction from gross revenue.

The 4Q18, 4Q17, 2018 and 2017 data are presented over the press release in accordance with the new accountingstandards.

COMMENTS ON OPERATIONAL PERFORMANCE

GROSS MERCHANDISE VOLUME (GMV)

The Gross Merchandise Volume (GMV) presents consolidated gross sales and service revenue plus sales made on B2W Digital'sMarketplace platforms.

In the 4Q18, the consolidated GMV reached R$ 9.5 billion, a growth of 20.6% compared to the 4Q17. In 2018, the consolidated GMV reached R$ 27.8 billion, a growth of 19.2% compared to 2017.

GROSS REVENUE

In the 4Q18, the parentcompany's gross revenue was ofR$ 4.5 billion, an increase of 10.0% compared to the 4Q17. For the consolidated, the gross revenue reached R$ 6.9 billion, a growth of 10.2% compared to the same period of the previous year. In 2018, the parent company's gross revenue was of R$13.0 billion, an expansion of 11.5% in relation to 2017 and, regarding the consolidated, the gross revenue reached R$ 20.8 billion, a growth of 8.3% in relation to 2017.

Parent Company Gross Revenue (R$ million)Consolidated Gross Revenue (R$ million)

2017

2018

2017

2018

NET REVENUE

In the 4Q18,the parent company's net revenue was ofR$ 4.0 billion, a growth of 10.2% compared to the 4T17. In the consolidated, the net revenue was R$ 5.9 billion, an expansion of 9.7% compared to 4Q17. In 2018, the parentcompany's net revenue was R$11.3 billion, an expansion of 11.4% in relation to 2017, and in the consolidated, the net revenue reached R$ 17.7 billion, an increase of 8.2% in relation to 2017.

For the 4Q18, the growth in the net revenue regardingthe "same store" concept was of7.3% in comparison to 4Q17 and 8.2% against the year of 2017.

Parent Company Net Revenue (R$ million)Consolidated Net Revenue (R$ million)

2017

2018

2017

2018

GROSS PROFIT AND GROSS MARGIN

In the 4Q18, the parent company's gross profit totaledR$ 1.5 billion, a growth of 7.6%, with a margin of 37.6% of the net revenue (NR). In the consolidated view, the gross profit was of R$ 2.0 billion, a growth of 10.8%, with a margin of 34.6% of NR, an expansion of 0.4 p.p. compared to the 4Q17due to the growth of B2W Digital's marketplaceoperation.

For 2018, the parent company's grossprofit was R$ 4.4 billion, a growth of 8.8%, with gross margin of 38.8% of NR, a variation of -0.9 p.p. in relation to 2017. In the consolidated view, the gross profit reached R$ 6.1 billion in 2018, with gross margin of 34.3% of NR, an expansion of 1.5 p.p. in relation to 2017.

Parent Company Gross Profit and Gross MarginConsolidated Gross Profit and Gross Margin

4,047

5,3614,404

6,060

2017

2018

2017

2018

Gross Profit (R$ MM)

Gross Margin (%NR)

Gross Profit (R$ MM)

Gross Margin (%NR)