On Tuesday, August 4, 2026, Gerdau (GGBR4, GGBR3) reported adjusted net income of R$ 1.466 bn in the second quarter of 2026 (2Q26), an increase of 44.7% compared to 1Q26 and 69.7% versus 2Q25. Net revenue totaled R$ 17.871 bn in 2Q26, growth of 6.9% on a quarterly comparison and 2% over twelve months.
In the period, adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) reached R$ 3.430 bn, 15.9% above 1Q26 and 33.9% higher than 2Q25, with an adjusted EBITDA margin of 19.2%. Steel sales totaled 2.908 mn tons, an increase of 3.4% over the previous quarter and 3% compared to the same period in 2025.
Gross profit in 2Q26 was R$ 2.829 bn, with a gross margin of 15.8%, versus R$ 2.294 bn and a margin of 13.7% in 1Q26. Selling, general and administrative expenses came to R$ 517 mn, representing 2.9% of net revenue, a decline in relative terms compared to 3.1% in the previous quarter and 3.2% in 2Q25.
In terms of capital structure, gross debt ended June 2026 at R$ 13.6 bn, while the cash, cash equivalents and financial investments position was R$ 5.4 bn. As a result, net debt stood at R$ 8.1 bn and the net debt/adjusted EBITDA ratio for the last 12 months reached 0.69x, below 0.74x in 1Q26 and 0.85x in 2Q25.
Free cash flow was positive at R$ 237 mn in 2Q26, versus R$ 16 mn in 1Q26 and a use of R$ 772 mn in 2Q25. CAPEX investments totaled R$ 1.008 bn in the quarter and R$ 2.232 bn in the six-month period of 2026, equivalent to 45% of the annual projection of R$ 4.7 bn. Based on the 2Q26 results, the board approved dividends of R$ 0.23 per share, totaling R$ 451.3 mn, to be paid on September 11, 2026, with shares trading ex-dividend as of August 20, 2026.
