ALPA3: quote, dividends and indicators for Alpargatas

Alpargatas S.A. is a Brazilian company with over a century of operations in the footwear sector, controlling the Havaianas brand and with shares traded on B3 under the tickers ALPA4 and ALPA3. The company’s origins date back to 1900, with the arrival of Scotsman Robert Fraser in Brazil and the founding of Sociedade Anonyma Fábrica Brazileira de Alpargatas e Calçados, later renamed São Paulo Alpargatas Company S.A. The company went public in 1913 on what was then the São Paulo Stock Exchange and, over the course of the 20th century, built a portfolio of relevant brands in the footwear market, including Conga (1950s), Havaianas (launched in 1962), Rainha and Topper (1970s) and, later, Mizuno and Timberland (1990s). From the 2000s onward, the company began a strategic repositioning process, with changes in controlling shareholders, adherence to corporate governance practices, and the creation of Instituto Alpargatas, focused on social initiatives in communities near its manufacturing units.

Alpargatas’ recent trajectory has been marked by corporate restructurings and an increasing focus on lifestyle brands with strong global appeal. In 2002, the Camargo Corrêa group became the controlling shareholder, later succeeded by J&F Investimentos in 2015. In 2017, J&F’s stake was acquired by Itaúsa S.A., Cambuhy I Fundo de Investimento em Ações, and Cambuhy Alpa Holding S.A., which then formed the controlling group. In parallel, the company divested from businesses considered non-strategic, such as Topper and Rainha, as well as terminating the Timberland brand licensing agreement in Brazil. The Osklen brand, in which it held a majority stake, was also sold in 2021, as was the Mizuno brand operation in Brazil, in a transaction completed from 2021 onward. This movement consolidated the transition from a diversified portfolio in sports footwear and textiles to a more focused lifestyle model, with Havaianas as its main asset.

Alpargatas’ activities are centered on the manufacturing and sale of footwear and apparel, with strong specialization in rubber sandals. The company manages its operations by geographic segments, dividing them into domestic (Brazil) and international (United States, Europe, Asia, and Latin America, in addition to direct exports). In 2025, consolidated net operating revenue reached approximately R$ 4.56 billion, with 23.9% coming from international operations. The revenue structure reflects the relevance of Havaianas Brazil, which accounts for around 75% of total net revenue, while Havaianas International accounted for approximately 23.9%. There is no significant customer concentration, as no individual buyer accounted for more than 10% of consolidated net revenue.

The operating portfolio is divided into three major categories: sandals, lifestyle apparel, and accessories. The production of rubber sandals involves a proprietary industrial process that includes weighing and mixing rubber compounds and chemical products, vulcanization or injection to shape the product, thermal stabilization, cutting, and finishing. For printed models, there are additional steps to apply prints and assemble PVC straps, along with possible customization stages with ornaments on the straps. Apparel is developed by in-house design teams and manufactured by third parties, using raw materials such as cotton, polyamide, linen, silk, viscose, polyester, e-fabrics, and organic cotton, featuring exclusive prints. Accessories are also designed by the company’s design teams and produced by specialized suppliers.

Havaianas, created in 1962, is Alpargatas’ main asset and one of the most globally recognized flip-flop brands, positioned in the lifestyle and footwear segment. The brand operates offices in the Americas, Europe, and Asia, and is present in more than 70 countries and hundreds of thousands of points of sale, including more than 360,000 in Brazil. The Havaianas portfolio includes flip-flops, sandals, espadrilles, as well as accessories and apparel items. In the Brazilian flip-flop market, the company estimates it supplies about 49% of domestic consumption, within a universe of approximately 415 million pairs consumed in 2024, which illustrates the scale of its domestic operation. Internationally, the brand shows high spontaneous recall rates in European countries such as Italy, Spain, France, and the United Kingdom and has growing penetration in strategic markets such as the United States and Japan, although it still represents a relatively small fraction of the global flip-flop market.

In addition to Havaianas, Alpargatas participates in other footwear- and technology-related businesses. The company holds a 49% stake in U.S.-based Rothy’s Inc., a brand founded in 2012 in San Francisco and dedicated to the production of footwear and accessories with a focus on sustainability, using recycled plastic and other repurposed materials in its production process. Rothy’s operates its own factory in Dongguan, China, and has a portfolio that includes flats, boots, sneakers, bags, and accessories for both women and men, with high purchase recurrence among its customers. In technology, Alpargatas has full control of Ioasys, acquired in 2021, a Brazilian digital innovation company that operates in digital product and experience development, UX/UI, systems integration, and agile squads. Ioasys was incorporated to accelerate the company’s digital transformation, strengthen omnichannel capabilities, and support recurring sales strategies.

Alpargatas’ geographic footprint is predominantly Brazilian, but with growing relevance of foreign markets. In Brazil, sandal distribution takes place through wholesalers, regional distributors, supermarkets, hypermarkets, footwear chains and stores, multibrand retailers, and exclusive Havaianas stores, both owned and franchised, using contracted carriers to supply around 220,000 points of sale. Abroad, sales are carried out through multibrand footwear retailers, department stores, sporting goods stores, independent boutiques, and exclusive brand points of sale. In markets such as the United States and Canada, the company uses distributors, and in 2025 it signed a supply and distribution agreement with the Eastman Group, which became the exclusive Havaianas distributor in those countries, reinforcing its expansion model via local partners.

From a regulatory standpoint, Alpargatas’ activity is subject to a set of authorizations and licenses typical of industrial and commercial footwear and apparel companies in Brazil. Operation of factories, distribution centers, and stores requires compliance with municipal zoning rules and obtaining operating permits, environmental licenses, authorizations for the use of controlled products, and fire department licenses. Environmental licensing follows federal, state, and municipal legislation, including the need for Preliminary, Installation, and Operating Licenses, where applicable, with technical conditions related to effluent treatment, solid waste management, atmospheric emissions, and noise control. The company is subject to Brazilian environmental legislation, which provides for civil, administrative, and criminal liability in the event of environmental damage, with possible sanctions such as fines, embargoes, suspension of activities, restrictions on financing and contracting with the public sector, as well as personal liability of officers and agents when they contribute to violations.

In terms of governance and environmental, social, and management practices, Alpargatas has a track record of initiatives focused on social responsibility and sustainability. Instituto Alpargatas, created in 2003, runs educational and sports programs in communities surrounding its manufacturing units, reinforcing the social dimension of its corporate activities. The stake in Rothy’s gives the group significant exposure to a business model that is intensive in sustainable innovation, based on plastic recycling and the development of proprietary manufacturing technologies. Internally, the company states its commitment to high governance standards and the ESG agenda, integrating themes such as innovation, digitalization, and sustainability into the strategy of its brands, notably Havaianas. These elements are combined with a capital structure listed on B3, with ALPA4 and ALPA3 shares, defined control, and a history of strategic adjustments in response to changes in the global competitive environment of the footwear sector.