BALM4: quote, dividends and indicators for Baumer

Baumer S.A. is a publicly traded corporation incorporated on July 5, 1952, in Brazil, with its industrial headquarters in Mogi Mirim, in the state of São Paulo. Originally, investments and production were controlled by Baumer & Cia Ltda. until 1970, when the group underwent a restructuring and turned to the capital markets with an IPO, adopting the name Baumer Equipamento Médico Hospitalar S.A. In 1988 the holding company Baumer S.A. was created, responsible for strategic planning, financial control, corporate marketing, human resources policy, investment policy and the central hub for development and research. As of September 1996, the holding company took control of Baumer Ortopedia Ltda. and Baumer Hospitalar Ltda., which began operating as the Orthopedics Division and Hospital Division, integrated into the group’s industrial complex in Mogi Mirim.

The company’s shares are traded on B3 under the tickers BALM3 (common shares) and BALM4 (preferred shares), representing a publicly held company with a relevant presence in the medical device and medical-hospital equipment sector. Baumer’s capital structure includes both common and preferred shares, reflecting its trajectory of accessing the capital markets that began in the 1970s. The holding company organizes and oversees industrial and commercial operations, guiding the growth strategy both organically and through affiliates in Brazil and abroad. With a built area of approximately eighteen thousand square meters in its industrial complex, the company allocates on average 4.29% of its annual gross revenue to research and development, demonstrating a continuous focus on technological updating of products and processes.

Baumer’s business model is based on the industrialization, production, trade, import, export and technical assistance of medical, hospital, general healthcare, scientific and hospitality equipment, operating both in the domestic market and in several international markets. The company operates in the medical device segment, supplying products and services to hospitals, clinics, laboratories, health insurers, healthcare industries and professionals in the sector. Its portfolio ranges from orthopedic implants and biomaterials to sterilization systems, hospital laundry, water treatment, healthcare waste treatment, air purifiers, operating room equipment and clinical engineering services. The company structures its operating segments in a way that is consistent with the management model adopted by the administration, grouping businesses with synergies around serving healthcare providers.

The Orthopedics Division represents one of the historical origins of the group, focusing on the production of orthopedic prostheses and trauma solutions and special products. This division is organized into three main areas: Prosthesis, Trauma and Special Products. Its portfolio includes conventional and non-conventional prostheses for hip, knee, shoulder, upper and lower limbs, as well as internal, external and intramedullary fixation systems, products for the spine and neurosurgery, fixation devices, interbody devices, corpectomy devices and bone cement. The Genius brand covers biomaterials such as biphasic calcium phosphate ceramics and bone grafts for orthopedic use, while the dental line offers grafts and membranes. The special products area deals with complex cases such as bone tumors (endoprostheses) and situations that require customized solutions. Sales are carried out through a network of agents distributed across all Brazilian states and in several countries, aimed at supplying both emergencies and scheduled procedures.

The Hospital Division, originating from the former Baumer Castanho and Baumer Hospitalar Ltda., is dedicated to the production and commercialization of medical-hospital equipment and products focusing on cross-infection prevention systems, hospital, industrial and commercial laundry, as well as operating room, central sterile services department (CSSD) and sterilization equipment. The offering includes general and specific operating tables, surgical lights, auxiliary furniture, accessories, anesthesia equipment, sterilizers, autoclaves, ovens, steam generators, washer-disinfectors, ultrasonic washers, water treatment systems, reverse osmosis systems and air purifiers, grouped into lines such as Avenxx and Triaxx. The division also offers associated services such as preventive and corrective technical assistance, user training, technical information support, project design, sizing and financing support. The affiliate Medixx complements the scope with preventive and corrective maintenance, inspection and calibration of chambers, inspections of water and steam systems, as well as supply of spare parts, reinforcing Baumer’s presence in the clinical engineering services chain.

In terms of markets served, Baumer operates along two major axes: healthcare and life science. In healthcare, it supplies products and solutions for hospitals, clinics, blood centers, universities, public health services and health insurers. In life science, it serves the pharmaceutical, food, cosmetics industries, research institutes and laboratories, including those with biosafety requirements. The company uses a network of representatives in all Brazilian states for distribution, allowing proximity to customers and greater agility in service. There is no significant revenue concentration in a single buyer, as the company reports not having any customers responsible for more than 10% of total net revenue, which suggests a diversified customer base across different institutions and segments of the healthcare and life science chain.

Baumer’s geographic footprint combines a strong presence in the domestic market with growing participation in international markets. In 2025, Brazil accounted for 198.3 million reais in net revenue, representing 92.8% of total revenue, while foreign markets contributed 15.3 million reais, equivalent to 7.2% of net revenue. Exports have been viewed internally as an expansion alternative, with activities in countries in Latin America, Europe, Asia and Africa. To enable this presence, the company invests in obtaining international certifications required in regulated markets, such as CE and FDA marks, and maintains affiliates such as AM Internacional in Chile, dedicated to import, representation, export and technical services, with a network of representatives in various Chilean regions.

Baumer’s operations are intensive in industrial processes for transforming metals and other materials, with stages of cutting, machining, milling, welding, heat and surface treatments, as well as assembly using components purchased on the market. The main inputs used include steel profiles, tubes and sheets, electrical materials, cast parts and titanium. The relationship with suppliers is based on criteria of evaluation, accreditation, certification and performance monitoring, focusing on developing long-term partnerships. As a manufacturer of capital goods for healthcare, the company is subject to investment cycles in the public and private sectors, which may create some correlation between its performance and the growth of the national and international economy, since demand for equipment depends on investment decisions in infrastructure and technological renewal.

From a regulatory standpoint, Baumer and its affiliates are inspected and licensed by the competent authorities and are subject to the specific laws of each country where they operate, including product registration and technical certification requirements. In Brazil, activities are subject to broad environmental legislation at the federal, state and municipal levels, with supervision by governmental bodies and agencies that may impose sanctions in case of non-compliance. The company states that it seeks to carry out its activities in accordance with current environmental legislation, maintaining the necessary licenses and authorizations and properly treating industrial waste generated at its manufacturing complex. Regarding governance and conduct, Baumer adopts a code of ethics applicable to employees, suppliers, agent network, customers, shareholders and other related parties, and reports that it does not make financial contributions to candidates, political officeholders or parties, nor to fund activities aimed at influencing public policy decisions. Although it does not publish a specific sustainability report or a greenhouse gas emissions inventory, it develops internal initiatives related to job creation, educational opportunities, gender equity, occupational health and safety, and conscious disposal and treatment of waste, integrating environmental, social and governance practices into its industrial and corporate operating model.