BDLL4: quote, dividends and indicators for Bardella Indústrias Mecânicas

Bardella Indústrias Mecânicas, formally Bardella S.A. Indústrias Mecânicas, is a traditional company in Brazil’s mechanical capital goods sector, with origins dating back to 1911 in the state of São Paulo. Founded by Italian immigrant Antonio Bardella from a small blacksmith shop, the company began its activities producing and repairing transmission elements such as bearings, coupling sleeves, shafts, and pulleys. Over the following decades, it followed Brazil’s industrialization process, expanding its production capacity through the acquisition of machine tools and the implementation of its own foundry in 1916. By the 1920s, it was manufacturing sawmill machines on a scale considered significant for the time and, in 1927, it designed and produced the first overhead crane manufactured in Brazil, consolidating its role in load-handling equipment.

Bardella’s corporate evolution culminated in 1942 with the adoption of its current name, Bardella S.A. Indústrias Mecânicas, adding rebar and drawn steel to its product line in response to domestic market demand for materials that had previously been imported. In the 1950s and 1960s, the company diversified its portfolio and entered segments of greater technological complexity, such as overhead cranes for the steel industry, hydraulic turbines, and hydromechanical equipment. To support its growth, it acquired a large plot of land in Cumbica, in Guarulhos (SP), where it installed a large-scale industrial park. It later expanded its industrial footprint with a plant in Sorocaba (SP) and formed associated and controlled companies such as Barefame Instalações Industriais, Energo Agro Industrial, the joint venture IMMA Indústria Metalúrgica e Mecânica da Amazônia Ltda., and, later, the full acquisition of Duraferro Indústria e Comércio Ltda., strengthening its presence in overhead cranes and metallurgical equipment.

Bardella’s current activities focus on the manufacture of made-to-order capital goods and the provision of industrial services, organized into two operating segments: mechanics, dedicated to equipment production, and services, related to maintenance, machining, and other associated activities. The company operates in the design, engineering, manufacturing, assembly, and delivery of lifting and load-handling equipment, with emphasis on overhead cranes of various sizes and applications, hydromechanical equipment for hydroelectric plants, steel structures, and solutions for capital-intensive sectors. The business model is based on project-specific contracts arising from tenders and invitations, with no mass production and no significant inventories of finished goods, which requires strong engineering capabilities, project management, and supply chain integration.

Bardella Indústrias Mecânicas’ main markets include mining, metallurgy and steelmaking, oil and gas, and power generation. In mining, the company supplies load-handling equipment and components associated with iron ore and other mineral operations. In metallurgy, it operates with heavy-duty overhead cranes for steel mills, gantry cranes for steelmaking processes, parts for coke ovens and rolling mills, transfer cars for slabs, coils, and ladles of pig iron and liquid steel, among other items. In the energy segment, it produces gates, trash racks, trash rack cleaning machines, penstocks, overhead and gantry cranes, servomotors, and parts for hydroelectric plants, as well as components for nuclear power plants and for wind and hydropower generation. In the oil and gas chain, it supplies process equipment for offshore facilities and refineries, following investments by operators such as Petrobras and private companies.

Bardella’s client base is composed predominantly of large companies in infrastructure and heavy industry. Key clients in recent years have included Companhia Siderúrgica Nacional (CSN), Jirau Energia S.A., Companhia de Ferroligas da Bahia (Ferbasa), Centrais Elétricas do Norte do Brasil (Eletrobras Eletronorte), Eletrobras Eletronuclear, and public infrastructure agencies, in addition to various industrial customers. Recent consolidated operating revenue has come from supplying overhead cranes for general industry, lifting and load-handling equipment, spare parts, and maintenance and machining services, with a consolidated gross margin of around 10.6% in 2025. Bardella’s shares, traded on B3 under the tickers BDLL3 and BDLL4, reflect a business exposed to investment cycles in infrastructure, steelmaking, mining, and energy, segments that have historically influenced its order book and revenue volatility.

From an organizational and operational standpoint, Bardella structures its production flow in integrated processes ranging from sales and engineering to supply, manufacturing, delivery, and after-sales activities, supported by administrative, financial, human resources, and leadership areas. Contracts are executed based on a critical analysis of technical specifications, development of engineering designs, definition of manufacturing methods, production planning, procurement of materials, manufacturing, assembly, factory testing, delivery, commissioning, and technical assistance during the warranty period. The manufacturing process involves cutting, boilerwork, welding, heat treatment, machining, pre-assembly, painting, and testing, supported by an Integrated Management System certified under ISO 9001:2015 (quality) and ISO 14001:2008 (environment). The equipment produced is shipped mainly by road to the domestic market and Southern Cone countries, and by sea for occasional exports, although the company currently does not record significant revenue abroad.

The corporate structure includes subsidiaries with roles that complement the core business. Duraferro Indústria e Comércio Ltda., located in Araras (SP), manufactures overhead cranes and metallurgical equipment, accounting for a relevant portion of consolidated revenue and concentrating most of Bardella’s recent operating activities. Barefame Instalações Industriais Ltda., which is under court-supervised reorganization, operates in the installation of industrial machinery and equipment and, more recently, has not recorded operating revenue. Bardella Administradora de Bens e Empresas e Corretora de Seguros Ltda. provides insurance brokerage services to the parent company and other group companies. The joint venture IMMA, in Rondônia, was created to supply hydromechanical and lifting equipment for hydroelectric plants, although it has shown low operating activity and no order backlog in recent years. Consolidated activity is mainly concentrated in the Araras unit, with utilization still considered low relative to installed capacity.

The company entered court-supervised reorganization proceedings starting in 2019 due to difficulties honoring commitments in a context of low operating activity and restricted credit. The reorganization plan, approved at creditors’ meetings in 2021, included the sale of isolated production units (UPIs), such as the mechanical plant and the steel unit in Guarulhos, as well as a property known as Casa Itajobi, with the proceeds allocated to creditor payments. Bardella and its subsidiaries under court-supervised reorganization also executed, in 2025, an Individual Tax Settlement Agreement with the Office of the Attorney General of the National Treasury, seeking to address tax liabilities. Management reports that the reorganization plan is being executed with compliance with the assumed obligations, while focusing efforts on cost reduction, adjustment of headcount, recovery of receivables from customers, and rebuilding the order book.

Regarding environmental, social, and governance aspects, Bardella Indústrias Mecânicas adopts an environmental management policy focused on respect for the environment and the prevention and combat of pollution, with an emphasis on controlling significant environmental aspects of its activities, products, and services. The Integrated Management System, certified under international quality and environmental standards, guides production processes, waste treatment, and use of natural resources at its industrial plants. The company states that it does not face significant difficulties in obtaining environmental and operating licenses and ensures that it is not technologically dependent on foreign companies for the development of its product line. However, there is no systematic disclosure of social and environmental information or structured sustainability reports, which limits public transparency regarding social, environmental, and governance indicators beyond the scope of the stated certifications and policies.