3Q21 Earnings Results Video Conference Presentation

3Q21 RESULTS

Video Conference

November 12, 2021 1 pm (BR) / 11 am (US-EST)

The videoconference will

be held in Portuguese, with simultaneous translation into English. To access, click hereor use the QR Code >>>

Relevant increase in net revenue from merchandise sales versus 3Q20 and 3Q19 and the tendency continues in the coming months, with significant gain in market share in the period.

Net Revenue from Merchandise Sales and Same Store Sales

CAGR 3Q17 - 3Q21 = 11.9%

60.1% 5,990.9

56.6%

		43.5%	3,741.0
		2,369.6
	1,711.5	1,931.9
1,512.6	1,651.2
			39.5%
13.4%	6.9%	8.3%	-35.8%
		-17.2%

3Q17		3Q18	3Q19	3Q20		3Q21	9M20	9M21
		Net Revenue (R$ MM)			SSS - Same Store Sales (%)

22.7%

of growth vs 3Q19

• Lower traffic, but recovering
• Higher ticket, with more items per shopping bag
• Great acceptance of the collection
• Precise execution of operations

- 2 -

Growth of Digital GMV, based on record comparison and even with the effects of cyber attack and normalization of offline operation

Digital GMV and Growth

377.4

348.9

201.4%

115.8
41.6%
		8.2%
3Q19	3Q20		3Q21
	GMV Digital		Growth

+ 30%

in October

- 3 -

12.2%

of penetration

Most searched

brand

68%

app participation

on digital sales

3MM

of active customers, +40%

Online base

retention

5p.p.

Absolute

leadership in MAU among national players

Healthy gross margin, higher than expected for the period

CAGR 3Q17 - 3Q21 = 11.6%

70.2%	3,215.1

5.6p.p.	-1.0p.p.
of growth in	of reduction in
margin vs 3Q20	margin vs 3Q19

Gross Profit and Gross Margin from the Retailing Operation

815.8

53.9%

3Q17

60.4%	1,264.2

1,049.9 929.1

788.2

54.3%	54.3%	47.7%	53.3%
3Q18	3Q19	3Q20	3Q21
	Gross Profit (R$ MM)		Gross Margin (%)

1,888.9

50.5%	53.7%

9M20

9M21

- 4 -

• Well-composedand balanced inventory
• Challenges on exchange rate, raw materials and freights inflation
• Greater channel integration
• Use of data for product allocation and markdown engine

Markdowns reaching its lowest levels

% of markdowns

3Q13

3Q14

3Q15

3Q16

3Q17

3Q18

3Q19

3Q20

3Q21

- 5 -