MNDL3

Mundial S.A. – Produtos de Consumo is a publicly held corporation with shares traded on B3 under the ticker MNDL3 and 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, in addition to 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 under the Mundial, Impala, Hercules Service, and Syllent brands. Consolidated net revenue in 2024 was R$ 969.98 million, distributed among 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 manufacture and trade of motors, machines, and electrical and mechanical equipment for industrial and domestic use, metal belongings and tableware, cutlery, adornment, hygiene and beauty items, as well as metal and plastic items and components aimed at the footwear, leather, plastic, apparel, and electronics industries. It also performs ferrous and non-ferrous metal casting, production of metal parts for agricultural machinery, furniture, school and office supplies, dies for stamping and plastic or metal injection, as well as nail polishes, makeup, and cosmetic products. Complementing this scope are the import, export, and sale 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 operating line. 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, comprises personal care products for professional and household 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 innovation in colors, effects, and fashion trends. The Cosmétics unit, based at Laboratório Avamiller in Guarulhos, specializes in chemical processes for nail polishes and cosmetics, under ANVISA oversight, serving both adult and children’s markets.

In the Metal Fasteners segment, Mundial operates through the Eberle brand, a traditional manufacturer of metal trims for the fashion, footwear, and apparel industries, including buttons, eyelets, labels, and embellishments. About 70% of this unit’s production is destined for the clothing and footwear industries, with the remainder supplied to notions shops, for both domestic and foreign markets, distributed through commercial representatives. The Food Service segment offers a portfolio that includes pots, cutlery, servingware, stamped and forged knives, forks, honing steels, machines, saws, and scissors, marketed under the Mundial and Hercules brands. Approximately 60% of these products are directed to slaughterhouses and butcher shops via commercial representatives, while 40% go to the end consumer through distributors and large retailers. In 2024, the Food Service unit had one material customer that 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, intended for use in whirlpools, swimming pools, nautical systems, hydro leisure, and pressurization of residential plumbing systems. The portfolio includes motor pumps with pre-filters, sand filters, and chlorine generators for 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, comprises a line of scissors manufactured in Brazil and abroad, ranging from traditional sewing and cutting models to school and craft scissors. This division seeks to serve different user profiles, with an emphasis on ergonomics, suitability for the type of cut, and 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 products from the Personal Care and Cosmétics units is centralized in a distribution center in Extrema (MG), with 8,000 square meters, responsible for supplying large distributors, specialized retail chains, perfume shops, and, complementarily, the company’s own e-commerce channel aimed 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. Own sales offices in Argentina and Portugal are designed 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 foreign operations 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 bodies 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 authorities. The Company reports 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 transactions 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. adopts an Environmental Policy supported by an Environmental Management System aimed at the continuous improvement of products and processes. Notable actions include treatment of industrial and sanitary effluents, solid waste management, rational use of natural resources, substitution of highly toxic substances, implementation of reverse logistics, and training of employees in good environmental and social practices. The Company has prepared annual greenhouse gas emission inventories at two of its manufacturing units since 2021, using these diagnostics 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, environment, and social responsibility, still without independent auditing or formal adoption of materiality matrices, SDGs, or TCFD recommendations, but with a stated commitment to evolve in this direction in line with CVM regulatory requirements from 2026 onward.

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 the fashion, footwear, and food sectors. Its revenue generation is predominantly domestic, with international operations still not very significant, but supported by a structure of subsidiaries and sales offices in South America and Europe. The business is subject to environmental, health, and safety regulatory requirements, as well as to 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.