MNDL3 Mundial S.A.

Mundial S.A. – Produtos de Consumo is a publicly traded corporation, with shares listed on B3 under the ticker MNDL3, headquartered in the city of São Paulo (SP). The Company has a diversified industrial model, with manufacturing units in Caxias do Sul and Gravataí, in the state of Rio Grande do Sul, as well as Laboratório Avamiller de Cosméticos Ltda. in Guarulhos (SP) and Eberle Equipamentos e Processos S.A. in Caxias do Sul (RS). Over the past few years, the company has also structured its international presence through subsidiaries in Argentina, Uruguay, and Portugal, focused on importing, exporting, marketing, and distributing products of the Mundial, Impala, Hercules Service, and Syllent brands. Consolidated net revenue in 2024 was R$ 969.98 million, distributed across five operating segments, reflecting the diversity of product lines and markets served.

Mundial S.A.’s business model combines industrial and commercial activities across different value chains. The Company’s and its subsidiaries’ industrial units operate in the manufacturing and sale of electric and mechanical motors, machines and equipment for industrial and domestic use, metal belongings and tableware, cutlery, adornment, hygiene and beauty products, as well as metal and plastic articles and components aimed at the footwear, leather, plastics, apparel and electrical and electronics industries. It also carries out the casting of ferrous and non-ferrous metals, production of metal parts for agricultural machinery, furniture, school and office supplies, dies for stamping and plastic or metal injection, as well as nail polish, makeup and cosmetic products. This scope is complemented by the import, export and marketing of equipment, products and raw materials related to these activities, in addition to equity interests in other companies.

The Company organizes its operations into five main business units: Personal Care & Cosmetics, Metal Fasteners, Food Service, Pump Solutions and Crafts. In 2024, the Personal Care & Cosmetics segment accounted for 56.6% of consolidated net revenue, making it the main line of business. Metal Fasteners accounted for 14.3% of revenue, Food Service for 12.8%, Pump Solutions for 12.4% and Crafts for 3.9%. The portfolio of the Personal Care & Cosmetics division, under the Mundial brand, includes personal care products for professional and home use, such as cuticle and nail nippers, clippers, scissors for nails, hair and eyebrows, as well as tweezers. The Impala brand, within the same unit, is dedicated to nail polishes and cosmetics, with a focus on color innovation, effects and fashion trends. The Cosmétics unit, based at Laboratório Avamiller in Guarulhos, specializes in chemical processes for nail polishes and cosmetics, audited by ANVISA, serving both adult and children’s markets.

In the Metal Fasteners segment, Mundial operates through the Eberle brand, a traditional manufacturer of metal trimmings for the fashion, footwear and apparel industries, including buttons, eyelets, labels and ornaments. About 70% of this unit’s output is destined for the clothing and footwear industries, with the remainder going to notions stores, for domestic and foreign markets, distributed through commercial representatives. The Food Service segment offers a portfolio that includes pans, cutlery, chafing dishes, stamped and forged knives, forks, honing steels, machines, saws and scissors, sold under the Mundial and Hercules brands. Approximately 60% of these products are directed to meatpackers and butcher shops, via commercial representatives, while 40% are destined for the end consumer, through distributors and major retailers. In 2024, the Food Service unit had one significant customer, which alone accounted for more than 10% of the Company’s consolidated net revenue.

The Pump Solutions unit is responsible for the Syllent brand, dedicated to the production and sale of silent-concept motor pumps, designed for use in whirlpools, swimming pools, nautical systems, leisure hydro systems and pressurization of residential water networks. The portfolio includes motor pumps with pre-filters, sand filters and chlorine generators for swimming pools, reinforcing the Company’s role in leisure and wellness solutions, with a focus on efficiency and safety in water handling and circulation. The Crafts unit, also under the Mundial brand, encompasses a line of scissors manufactured in Brazil and abroad, ranging from traditional cutting and sewing models to school and craft scissors. This division seeks to serve different user profiles, with an emphasis on ergonomics, suitability for each type of cut and a variety of target audiences.

Mundial S.A.’s geographic footprint combines industrial operations concentrated in Brazil with a structured distribution network in the country and abroad. In the domestic market, distribution of Personal Care and Cosmétics unit products is centralized in a distribution center in Extrema (MG), with 8,000 square meters, responsible for supplying large distributors, specialized retail chains, perfume stores and, complementarily, the company’s own e-commerce channel targeted at the end consumer. In the foreign market, the Company serves more than 80 countries through specialized distributors and major retail chains, with no direct sales to the end consumer. Its own sales offices in Argentina and Portugal aim to expand its presence in these markets, serving, in the case of Portugal, not only the European Union but also Eastern Europe and Africa. In 2024, around 4.5% of net revenue was generated by exports from Brazil, and 1.2% by operations abroad, carried out by subsidiaries in Argentina, Uruguay and Portugal.

From a regulatory standpoint, Mundial S.A. and its subsidiaries depend on various government authorizations to operate their industrial activities. The main agencies involved include IBAMA, FEPAM, the Federal Police (for controlled chemical products), ANVISA, municipal governments (permits and sanitary surveillance), the Army Ministry (controlled products), CETESB, FEAM-MG, local Environmental Departments and fire prevention and firefighting agencies. The Company reports that it maintains a regular and satisfactory track record in obtaining and renewing these licenses, operating in compliance with applicable legislation in each jurisdiction in which it operates. Tax aspects have also been relevant in financial management, with the use of installment programs and tax settlement agreements with the Office of the Attorney General of the National Treasury to adjust and extend tax liabilities, in line with specific laws governing these negotiations.

Regarding environmental, social and governance (ESG) practices, Mundial S.A. follows an Environmental Policy supported by an Environmental Management System aimed at the continuous improvement of products and processes. Notable actions include the treatment of industrial and sanitary effluents, solid waste management, rational use of natural resources, replacement of highly toxic substances, application of reverse logistics and training of employees in good environmental and social practices. The Company has carried out annual greenhouse gas emissions inventories at two of its manufacturing units since 2021, using these assessments internally to identify opportunities to reduce climate impacts. In terms of transparency, it publishes an annual Social and Environmental Report on its corporate website, with indicators related to sustainability, people, ethics and compliance, health and safety, the environment and social responsibility, still without independent auditing or formal adoption of materiality matrices, SDGs or TCFD recommendations, but with a declared commitment to move in this direction in line with CVM regulatory requirements starting in 2026.

For investors analyzing MNDL3 shares on B3, Mundial S.A. presents itself as a manufacturing and consumer company with a diversified portfolio, strong exposure to the personal care and cosmetics segment and a relevant role in industrial inputs for fashion, footwear and food. Its revenue generation is predominantly domestic, with an international presence that is still not very significant, but supported by a structure of subsidiaries and commercial offices in South America and Europe. The business is subject to environmental, health and safety regulatory requirements, as well as the management of tax liabilities and the evolution of its sustainability practices, factors that make up the operational and risk context to be considered when analyzing the Company in the Brazilian capital market.