I n s t i t u c i o n a l P r e s e n t a t i o n

November/ 2020

Company

O V E R V I E W

Vulcabras Azaleia at a Glance

Company Description

  • Founded in 1952, Vulcabras Azaleia is one of the largest footwear and sporting goods companies in Latin America.
  • Manager of brands specialized in athletic footwear and women footwear in Brazil with a vertically-integrated production model that ensures a competitive advantage versus other players.
  • Owns two brands: Olympikus, the largest athletic footwear brand of Brazil and Azaleia, the top of mind brand among women consumers (1). Exclusive representative of Under Armour in Brazil, one of the largest brands in the world.
  • Its products are distributed throughout Brazil to more than 12,000 clients as well as in several countries in Latin America.
  • Exports accounted for 9.4% of net revenues in 9M20
  • Publicly held Company in Novo Mercado (highest governance standards of B3).

Financial Highlights

EBITDA and EBITDA margin (R$ million and %)

(1) Ex- Non-Recurring items and IFRS 16 ajust.

Market Leadership

Main Brands by segment

Largest sporting brands in Brazil in volume (4Q18)

ATHLETIC FOOTWEAR

WOMEN'S FOOTWEAR

OTHERS

Internacional

Brand 1

Internacional

Brand 2

Brand of high-performance

Shoes and sandals targeting the

footwear, with world-class materials

Boots for industry.

middle-income segment

and technology.

Source: Kantar WorldPanel, Focal Pesquisas.

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How we got here?

What we have achieved?

Unique brand

positioning

Olympikus

  • Largest sporting footwear brand in Brazil.
  • Smart choice: balance of high-quality and affordable prices.

Under Armour

  • One of the largest sports brands of the world.
  • Premium brand with innovation and performance focus.

Azaleia

  • Top of mind women shoes in Brazil.
  • Large room for expansion.

Capillarity of

Distribution

  • Very fragmented client base in Brazil: more than 12,000 clients.
  • Well-definedstrategy to serve each sales channel.
  • Largest sales team in Brazil: 52 representative offices and more than 300 people (all segments).
  • Best sporting footwear supplier for retailers.

Integrated production

  • Vertically-integratedmodel ensuring superior sales execution compared to international brands.
  1. Lower average delivery time (5 weeks vs 6 months).
  1. Faster time to market (4 months vs 12 months).
  1. Lower risk of inventory liquidation.

Strong

Innovation

culture

  • Largest R&D center in Latin America.
  • + 550 people dedicated to R&D.
  • + than 800 new models/year.
  • Award-winningproducts.
  • Performance tests made by professional athletes scores compared to international brands.

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Disclaimer

Vulcabras|azaleia SA published this content on 23 November 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 November 2020 13:18:06 UTC