B3 S A Brasil Bolsa Balcão : Earnings Release

B3 ANNOUNCES RESULTS FOR THE FOURTH QUARTER OF 2020

São Paulo, March 4, 2021 - B3 S.A. - Brasil, Bolsa, Balcão ("B3" or "Company"; ticker: B3SA3 reports today its fourth quarter (4Q20) earnings. Total revenues reached R$2,537.7 million, a 44.3% increase over the same period of the previous year (4Q19), while recurring EBITDA totaled R$1,728.9 million, up by 46.5% year-over-year (yoy). The Company's recurring net income1 totaled R$1,159.6 million.

MESSAGE FROM B3'S MANAGEMENT

2020 will go down as one of the most challenging periods in history, with the spread of Covid-19 causing deep impacts on the economy and society. In 4Q20 there were still concerns regarding how and when the pandemic would be completely overcome, however, progress on immunization tests in Brazil and around the world brought relative optimism to the economic recovery, which reflected in the capital, credit, and vehicle markets. The return of the foreign capital into Brazilian equities represented a net inflow of R$62.9 billion in this segment. In the quarter, the sale of financed vehicles grew by 16.9% when compared to the previous quarter (3Q20). Notwithstanding the challenges of the Covid-19 scenario, we continue to be in an attractive structural environment for the development of the capital markets, with inflation under control and the basic interest rate at 2% p.a., its lowest historical level. Companies continue to tap the equities and debt capital markets to raise funds, motivated by the low cost of capital, and by local investors' willingness to seek alternatives to diversify their portfolios. In 4Q20, 16 IPOs and follow-ons raised R$38.8 billion, 20.5% more than in 4Q19. We also observed a recovery in credit activity, especially in the last few months of the year. The volume of new issues of bank funding instruments totaled R$3.5 trillion in 4Q20, growing 40.1% year-over-year.

Our commitment to operational excellence and resilience allowed B3 to handle a much larger volume of transactions with stability in our platforms. This reinforces our position as a robust infrastructure for our customers and the market.

B3 will continue to support transformation and growth for the capital market, by offering new products and improving the solutions available to our clients and by honoring the market's confidence in the quality of our infrastructure, especially at this time of market expansion and increased demand. Our main product launches were: in the listed segment i) automatic exercise of options, ii) BDRs; on the OTC market iii) Energy Platform and, in the Financing segment, iv) new services on the real estate platform.

We also announced a new pricing policy in the cash equities market, whose implementation started through an intermediate model in effect since the beginning of February 2021. The changes adopted in this model aim at supporting the growth of individual investors through the retail brokers and bringing adjustments to the fees of day traders. This is consistent with B3's commitment of sharing with clients the benefits of scale and operating leverage provided by the Company's business model.

In 4Q20 we continued to execute on our corporate philanthropy actions focused on mitigating the effects of coronavirus on society, through donations made both by B3 and B3 Social. During 2020 we donated a total of R$50 million for health, food, and micro and small business social projects.

The high volumes traded on our platforms throughout the year contributed to a solid financial performance and strong cash generation, which totaled R$6.1 billion2 in the year. Distributions to shareholders reached R$6.2 billion through dividends (R$4.1 billion), interest on capital (R$1.2 billion), and share repurchase (R$0.9 billion).

In line with our objective of having an adequate capital structure for the Company, we ended the year with gross debt of approximately R$7.0 billion, equivalent to 1.1x recurring EBITDA. During the year, we diversified our sources of funding, tapping the market through bank loans (in Brazil and abroad), local bonds (debentures), and a recent transaction of R$200 million in Real Estate Receivables Certificates (CRI).

Income statement summary:

(in R$ millions)	4Q20	4Q19	4Q20/4Q19 (%)	3Q20	4Q20/3Q20 (%)
Total revenues	2,537.7	1,758.2	44.3%	2,535.5	0.1%
Net revenues	2,280.3	1,578.7	44.4%	2,288.8	-0.4%
Expenses	(722.5)	(656.6)	10.0%	(648.5)	11.4%
Financial result	63.5	36.0	76.4%	(26.4)	-
Net income	1,097.3	732.9	49.7%	1,136.5	-3.4%
Adjusted expenses	(341.7)	(311.8)	9.6%	(283.8)	20.4%
Recurring EBITDA	1,728.9	1,179.9	46.5%	1,665.7	3.8%
EBITDA margin (recurring)	78.7%	74.7%	396bps	79.2%	-53 bps
Recurring net income	1,159.6	864.5	34.1%	1,143.2	1.4%
Guidances for 2021:

B3 announced its guidances for 2021, according to theMaterial fact disclosed on December 10, 2020

• • Indebtedness (YE21): up to 1.5x Gross Debt / recurring EBITDA for the last 12 months (1.1x in Dec/20)

• • Capital expenditures: R$420 - R$460 million (R$423 million in 2020);

• • Revenue-linked expenses: R$225 - R$265 million (R$192 million in 2020);

• • Adjusted expenses: R$1,225 - R$1,275 million (R$1,175 million in 2020);

• • Depreciation and amortization: R$1,060 - R$1,110 million (R$1,041 million in 2020); and

• • Distributions to shareholders: 120% - 150% of corporate net income (150% in 2020).

• 1 Reconciliation on page 6.

• 2 Cash flowINfroFmOoRpMeraAtioÇnÃs,OadPjuÚsteBdLfIoCr Athe variation in financial investments and collateral for operations.

- PUBLIC INFORMATION

OPERATIONAL PERFORMANCE

All comparisons in this document are in relation to the fourth quarter of 2019 (4Q19), unless otherwise stated.

Listed

In the fourth quarter of 2020 (4Q20), the performance of the listed segment continued to be mainly driven the low interest rate environment, and by the volatility in financial and capital markets arising from the effects of the COVID-19 pandemic.

Equities

4Q20 4Q19 4Q20/4Q19 (%) 3Q20 4Q20/3Q20 (%)

ADTV (R$ million)

Cash market

31,570.5

18,874.2

67.3%

28,759.7

9.8%

Margin (bps)

Average market capitalization Turnover velocity

(R$ billion) Annualized (%)

3.899 4,529.3

4.224 4,390.4

-0.325 bps

3.2%

3.992 4,233.8

-0.093 bps

7.0%

173.6%

ADTV (R$ million)

824.0

106.6% 400.7

6,695 bps

105.6%

169.1% 606.1

442 bps

36.0%

Options market (stock/indices)

Margin (bps)

12.366

• 13.731 -1.366 bps

• 12.732 -0.366 bps

ADTV (R$ million)

228.6

216.2

5.7%

207.9

9.9%

Forward market

Margin (bps)

12.967

• 12.777 0.190 bps

• 13.004 -0.037 bps

ADV (thousands of contracts)

2,962.2

1,602.4

Future stock indices

Average RPC (R$)

0.976

1.052

84.9% -7.2%

2,659.2

0.994

11.4% -1.8%

Number of investors Securities lendingAverage (thousand)

Average open positions (R$ billion)

3,215.5 84.1

1,614.3 64.7

99.2% 29.9%

2,980.1 7.9%

75.1 12.0%

Note: ADTV stands for Average Daily Traded Value; ADV stands for Average Daily Volume; RPC stands for Revenue per Contract; bps stands for basis points; turnover velocity results from dividing the volume traded on the spot market in the period by the average market capitalization for the year.

The equities segment experienced a 67.3% growth in the cash equities market's ADTV and an 84.9% increase in stock indices futures contracts' volumes. In the cash equities market, this increase reflects a higher turnover velocity, which reached 173.6% in the quarter. For the stock indices futures contracts' market, the performance can be attributed to the continued growth in the trading of mini contracts, particularly by individual investors and by High Frequency Traders (HFT).

The trading/post-trading margin in cash equities was 3.899 bps. The 0.325 bps decrease is mostly explained by the discounts given to the market in accordance with B3's pricing policy3 and by the greater participation of day traders, who pay lower fees. The average RPC of the stock indices futures contracts fell by 7.2%, as a result of higher participation of day traders and higher volumes of mini contracts traded by local investors.

The average number of active investors in the equities depository grew 99.2%, mainly due to the increased interest in diversifying investments in a lower interest rate environment. Through our incentive programs and pricing mechanisms, B3 continued to support brokerage firms that focus on attracting new clients to the market.

FICC

4Q20 4Q19 4Q20/4Q19 (%) 3Q20 4Q20/3Q20 (%)

ADV (thousands of contracts)

Interest rates in BRL

2,788.2

3,495.8

-20.2%

2,718.6 2.6%

Average RPC (R$)

0.978

0.843

16.1%

0.954 2.5%

Interest rates in USD

ADV (thousands of contracts)

395.9

249.3

58.8%

Average RPC (R$)

2.213

1.791

23.5%

238.5 2.371

66.0% -6.6%

FX rates

ADV (thousands of contracts)

1,027.5

761.7

34.9%

1,015.4 1.2%

Average RPC (R$)

5.743

4.179

37.4%

5.265 9.1%

Commodities

ADV (thousands of contracts)

17.7

13.1

35.0%

15.9 11.0%

Average RPC (R$)

2.307

2.538

-9.1%

2.203 4.7%

Total

ADV total (thousands of contracts)

4,229.3

4,520.0

-6.4%

3,988.4 6.0%

Average RPC (R$)

2.257

1.462

54.3%

2.142 5.4%

The average daily traded volume totaled 4.2 million contracts, down 6.4%, reflecting mainly the decrease of 20.2% in ADV of interest rate contracts in BRL, which was partially offset by the 34.9% growth in ADV of the exchange rate contracts, particularly the mini version of these contracts. Average RPC for the segment grew 54.3%, influenced primarily (i) by the 28.9% appreciation of the USD against the BRL in the period, with a positive impact on the RPC of FX rates and interest rate contracts in USD, since they are priced in US dollars, (ii) by the higher share of FX rate contracts in the mix in the period and (iii) by the increase in longer-term interest rate contracts in BRL, which have a higher RPC.

3 According to the table of fees in force in 2020, marginal discounts are granted to the entire market whenever the month's average daily traded volume (ADTV) exceeds R$9 b illion, R$11 billion

and R$13 billion.

OTC

Fixed Income Instruments

4Q20

4Q19

4Q20/4Q19 (%)

3Q20

4Q20/3Q20 (%)

Bank funding (total in R$ billions)

3,511.1

2,505.4

40.1%

3,289.0 6.8%New Issues

Other (total in billions)

192.3

130.0

47.9%

179.2 7.3%

Bank funding (average in R$ billions)

2,163.9

1,495.9

44.7%

2,044.1 5.9%

Outstanding balance

Corporate debt (average in R$ billions)

691.4

663.1

4.3%

697.1 -0.8%

Other (average in R$ billions)

693.0

660.0

5.0%

711.1 -2.5%

Number of investors (average in thousands)

1,392.7

1,181.8

17.8%

Treasury Direct

Stock (average in R$ billions)

67.0

67.2

-0.3%

1,343.1 67.6

3.7% -0.8%

During the quarter, the volume of new issues and the outstanding positions of bank funding instruments showed a 40.1% and 44.7% increase, respectively, mainly as a result of the growth in issues of Bank Deposit Certificates and Interbank Deposit Certificates, which represented 65.2% and 30.3% of new issues, respectively. Additionally, the average outstanding balance of corporate debt increased by 4.3%, with debentures of leasing companies accounting for 27.0% of the outstanding balance in 4Q20 (vs. 31.0% in 4Q19).

Treasury Direct's results in the quarter were similar to the previous year, with average stock decreasing 0.3%, despite the increase of 17.8% in the number of investors. B3 offers an incentive program for brokerage firms to increase the number of investors and outstanding positions in this product. This program is revised on a yearly basis, and the targets established for the year were adjusted to consider the results obtained in 2019. Additionally, as B3 and the National Treasury announced, as of August 2020 the Treasury Selic custody fee has been waived for the first R$10 thousand invested.

OTC Derivatives and Structured Operations

4Q20 4Q19 4Q20/4Q19 (%) 3Q20 4Q20/3Q20 (%)

Issues	(total in R$ billions)	3,047.7	3,081.9	-1.1%	2,409.5	26.5%
Outstanding balance	(average in R$ billions)	4,569.0	2,828.0	61.6%	4,137.1	10.4%

Note: does not include outstanding positions of OTC derivatives with CCP.

The registration of new issues on the OTC derivatives and structured notes market fell by 1.1%, mainly due to a reduction in registration of swap contracts and other derivatives4, being partially offset by the growth in the registration of currency forward contracts. Despite the fall in new issues, the average outstanding balance increased grew by 61.6% in the quarter, since most of these contracts are referenced in US dollars.

Infrastructure for Financing

4Q20 4Q19 4Q20/4Q19 (%) 3Q20 4Q20/3Q20 (%)

Number of vehicles sold (thousands) Number of vehicles financed (thousands) % vehicles financed / vehicles sold Contracts added (thousands)

SNG

5,491.4 1,708.1

4,926.4 1,656.5

11.5%

• 4,697.2 16.9%

  3.1%

• 1,527.0 11.9%

31.1% 977.8

33.6% 1,006.1

-2.5 pp

32.5%

-1.4 pp

-2.8%

875.6

Contracts System

% Contracts added / vehicles financed

57.2%

60.7%

-3.5 pp

57.3%

11.7% -0.1 pp

The number of additions to the National Lien System (SNG) increased by 3.1%, driven by the rebound in economic activity Brazil in 4Q20. When compared to 3Q20, we see an increase of 16.9% in the number of vehicles sold, showing signs of recovery in a sector that was a strongly contraction in the beginning of the year. The growth of only 3.1% in the number of vehicles financed reflects the greater share of used vehicles in the total number of vehicles sold, since credit penetration in these transactions is lower. In the Contracts System, the number of transactions in 4Q20 fell by 2.8%, reflecting B3's lower market share in the period, which totaled 57.2% in the quarter.

Technology, data and services

4Q20 4Q19 4Q20/4Q19 (%)

3Q20 4Q20/3Q20 (%)

Monthly utilization

Average number of customers

14,606

13,722

6.4%

14,176

3.0%

CIP

Number of electronic cash transfers (TEDs) processed thousands)

399,811

244,978

63.2%

372,533

7.3%

The average number of customers that pay for the monthly utilization of OTC segment systems increased by 6.4% in the period, a result mainly attributed to the continuous growth of the fund management industry in Brazil. The number of TEDs processed increased by 63.2%, mainly due to the change in habits of bank customers during the COVID-19 pandemic.

4 Includes BOX, Flexible Options, Derivatives Contracted Abroad and Derivatives Linked to Loans

INCOME STATEMENT

Revenue

Total revenues R$2,537.7 million, up by 44.3%, with growth in revenues for all our segments, except OTC.

Listed: R$1,741.7 million (68.6% of the total), up by 50.4%.

• ▪ Equities and equity instruments: R$1,157.0 million (45.6% of the total), a 54.2% increase in the period.

  • ▪ Trading and post-trading: R$1,006.8 million (39.7% of the total), an increase of 57.3%, reflecting the growth in volumes traded in cash equities and stock indices futures contracts.

  • ▪ Depository: R$55.5 million (2.2% of the total), up by 47.5% in the period. The 99.2% increase in the average number of accounts in the depository was partially offset by revenue reductions generated by the incentive program to expand the individual investor base in the equities market, which totaled R$31.5 million in 4Q205 (against R$21.9 million in 4Q19).

  • ▪ Securities lending: R$52.9 million (2.1% of the total), a 36.3% increase resulting from 29.9% higher average financial volume of outstanding positions.

  • ▪ Listing and solutions for issuers: R$41.9 million (1.7% of the total), up by 22.9%, mainly due to the higher number of public offerings in the quarter, which raised R$38.8 billion (10 IPOs and 6 follow-ons) in 4Q20 versus R$32.2 billion (3 IPOs and 15 follow-ons) in 4Q19.

• ▪ FICC: R$584.6 million (23.0% of the total), up by 43.5% reflecting mainly, (i) the 58.8% and 34.9% increase in ADV of interest rate contracts in USD and FX rate contracts, respectively (and despite decrease of 20.2% in Interest Rates in BRL contracts), and (ii) the appreciation of the US dollar, which has a positive impact on the RPC of these contracts.

OTC: R$275.9 million (10.9% of the total), down by 5.4%.

• ▪ Fixed income instruments: R$168.5 million (6.6% of the total), down by 14.0%, mainly due to the revenue shifting from OTC to Technology segment, consequence of the pricing changes announced in the beginning of the year, which aimed to share part of B3's operating leverage with the market. Under the new pricing policy, the Company waived some service fees related to volumes and included these services in the monthly usage service package (reported in the Technology and Access revenue line). Revenues from Treasury Direct (Tesouro Direto) amounted R$38.5 million (market incentives related to this product totaled R$5.9 million in the quarter and are classified as revenue-linked expenses), while in 4Q19, revenues were R$44.0 million (including market incentives6).

• ▪ Derivatives and structured transactions: R$64.4 million (2.5% of the total), up by 24.8%, mainly because of (i) the increase in the number of currency forward contracts, (ii) the appreciation of the dollar against the real, as a significant portion of the OTC derivative contracts' face values are in US dollars, and (iii) a higher average financial volume in the stock of derivatives and structured operations.

• ▪ Other: R$43.0 million (1.7% of the total), down by 2.4%, as a result of the new pricing policy whereby part of the revenue related to the volume of services provided and maintenance of end users was transferred to the monthly utilization service, positively impacting the Technology and Access line.

Infrastructure for financing: R$130.6 million (5.1% of the total), up by 15.2%, explained mainly by (i) the growth in the number of financed vehicles, (ii) the annual adjustment of prices according to inflation (IGP-M) and (iii) the expansion of revenues in Portal de Documentos and the real estate platform.

Technology, data and services: R$305.9 million (12.1% of the total), up by 57.6%.

• ▪ Technology and access: R$195.1 million (7.7% of the total), an increase of 66.7%, especially due to growth in the monthly utilization revenue line, which was driven by (i) the 6.4% increase in the base of customers that access the OTC segment platforms, (ii) changes in pricing for the monthly utilization service package and OTC fees, as previously explained, and (iii) the annual adjustment of prices according to inflation (IGP-M).

• ▪ Data and analytics: R$66.0 million (2.6% of the total), an increase of 42.6%, which is mainly due to the appreciation of the US dollar, given that 43.7% of this revenue was linked to the US dollar in 4Q20.

• ▪ Bank: R$14.9 million (0.6% of the total), a 36.7% increase, explained by (i) the appreciation of the dollar in the period and (ii) the increase in the volume of BDRs traded, mainly due to regulatory changes enabling securities to be traded by non-qualified investors, which came into effect in October 2020.

• ▪ Other: R$29.9 million, (1.2% of the total), up by 50.4%.

Reversal of Provisions: positive R$83.6 million (3.3% of the total), mainly explained by the reclassification of the probability of loss, from probable to possible, of a legal dispute with Vega Participações. Such reclassification resulted in reversal of provision of R$99.6 million in the quarter, which was partially recognized in the revenue line (non-recurring positive impact of R$83.6 million) and partially recognized in the expense line (non-recurring positive impact as expense reversal in the amount of R$16.0 million), in addition to its associated impact in the deferred income tax and social contribution line (R$33.8 million).

5 The incentive program to attract investors to the stock market offers bonuses in the form of partial exemptions of the custody fee for brokers reaching performance targets related to growth in the number of accounts and in the balance deposited by this group of investors. Results of this program are determined and distributed on a semi-annual basis.

6

4Before the change in classification of these incentive programs as from 1Q20.