CSN Mineração (CMIN3) investor relations material

Executive summary

• Achieved record annual production and sales volumes in 2025, surpassing 45 million tons for the first time and exceeding guidance by 4.6%, with operational excellence and logistics improvements driving results.

• Fourth quarter 2025 marked the best Q4 ever for production and sales, with sales reaching 11.9 million tons and net income rising 72% sequentially to R$1.2 billion.

• Full-year net income for 2025 was R$1.65 billion, down 63.6% year-over-year due to adverse foreign exchange impacts despite operational records.

• Adjusted EBITDA for 2025 reached R$6.448 billion, up 9.4% year-over-year, with a margin of 42.1%.

• Since the 2021 IPO, volume CAGR stands at 8.4%, reflecting sustained operational and logistics improvements.

Financial highlights

• Annual revenue for 2025 grew 17.9% year-over-year to R$15.3 billion, driven by record volumes and higher net revenue per unit.

• Cost of goods sold rose over 22% to R$6.9 billion, reflecting higher sales and third-party purchases.

• Adjusted EBITDA in Q4 2025 was R$1.76 billion, with a margin of 42.9%, down from Q3 due to seasonality.

• Adjusted free cash flow in Q4 2025 was R$253 million, down 10% sequentially due to higher CapEx.

• Gross profit for 2025 was R$5.48 billion, up 10% year-over-year, though gross margin declined to 35.8%.

Outlook and guidance

• Production plus procurement guidance for 2026 is 45–47 million tons, maintaining high efficiency and similar third-party ore purchase volumes.

• Cost guidance for 2026 is $22–$23.5/ton, slightly above 2025 due to higher transportation and diesel costs.

• C1 cash cost for 2025 was US$21.5/t, at the lower end of guidance.

• Optimism for 2026 is driven by continued production, shipment improvements, and cost control.

• Iron ore market outlook remains positive, supported by resilient Chinese demand and supply diversification.