Slides
Page 1
Institutional Presentation
Page 2
Log Overview One of the main developers and lessors of high-standard logistics warehouses in Brazil A leading company in the sector, as it is the only one that offers geographic reach, modularity, and a unique and integrated solution. Vertically integrated company, operating from land identification to eventual asset recycling. Growth sustained by equity through the asset recycling strategy. Notes: Values refer to 1Q25. Values refer to the % Total share of assets, unless otherwise indicated. The Company • Log 2 Milhões Startingin 2025 114.6 thdsqm Gross Absorptionin 1Q25 100% pre-lease rate of deliveries in 1Q25 1.55% stabilized vacancy Operational Highlights 102.1thdsqm of GLA delivered in 1Q25 Expansion Plan (2025-2028) Strategic Pillars • Modular Warehouses • GeographicalDiversification • IntegratedOperation 44% 35% 5% 16% Deliveries "LOG 2 MM" Development "LOG 2 MM" Landbank "LOG 2 MM" To be accomplished
Page 3
Extraordinary Advancement in Value Generation Log Foundation 1st launch: LOG Contagem I in Contagem/MG 2008 2011 2016/17 2019 2021 2023 2009/10 2012/13 2018 2020 2022 2024 Renamed LOG Commercial Properties 1st round of Private Equity – R$250 million with Starwood Aumento de capital de R$558 milhões Follow On (R$638 million) 1st asset recycling (R$165 million) Launch of the “Todos por 1.0" plan Asset recycling (R$272 million) BTS Extrema Plan upgrade to "All for 1.5" Operating in 38 cities, 17 states and the Federal District (all regions of Brazil) Asset recycling (R$ 1.2 billion) Seattle I and II, Toronto Launch of the “LOG 2 milhões” Plan 2nd round of Private Equity R$278 million with 2bCapital IPO on B3 Novo Mercado (ticker LOGG3) Asset recycling (R$ 91 million) Plan upgrade to "All for 1.4" Asset recycling (R$ 429 million) LOG PIB Meli + Torino Asset recycling (R$ 1.5 billion): LOG Viana I and II, LOG Betim, LOG Gaiolli, LOG São Bernardo do Campo, LOG Goiânia I, LOG Fortaleza III and LOG Salvador
Page 4
LOG BELÉM | GLA: 62.465 sqm LOG BRASÍLIA | GLA: 48.687 sqm LOG CAMPO GRANDE | GLA: 35.457sqm LOG CAMPOS DOS GOYTACAZES | GLA: 36.144 sqm LOG CONTAGEM I | GLA: 31.399 sqm LOG CONTAGEM II | GLA: 14.685 sqm LOG CONTAGEM III | GLA: 21.864 sqm LOG CONTAGEM IV |GLA: 30.793 sqm LOG CUIABÁ | GLA: 32.847 sqm LOG GUARULHOS GAIOLLI | GLA: 6.598 sqm LOG GUARULHOS PAPA | GLA: 13.969 sqm LOG FEIRA DE SANTANA | GLA: 17.725sqm LOG FORTALEZA I | GLA: 99.697 sqm Warehouse Portfolio LOG ITAPEVA | GLA: 29.674 sqm LOG ITATIAIA|GLA: 25.740 sqm LOG JUIZ DE FORA | GLA: 49.575 sqmLOG HORTOLÂNDIA | GLA: 53.492sqm LOG JUDIAÍ | GLA: 33.743 sqm LOG LIVORNO | GLA: 4.739 sqm LOG LIVORNO II | GLA: 3.757 sqm
Page 5
LOG MACEIÓ | GLA: 35.911 sqm LOG NATAL|GLA: 28.842sqm LOG RECIFE | GLA: 72.601 sqm LOG RECIFE II | GLA: 48.003 sqm LOG RIB. PRETO|GLA: 48.086 sqm LOG RIO CAMPO GRANDE|GLA: 41.116 sqm LOG SJP| GLA: 40.981 sqmLOG SUMARÉ | GLA: 43.588 sqm LOG UBERABA | GLA: 19.256 sqm LOG VIANA I| GLA: 12.198 sqm LOG SIM BH I | GLA: 43.755 sqm LOG PIB BTS | GLA: 10.968 sqm. Warehouse Portfolio
Page 6
Representation of the Portfolio Delivered by Region Southeast: 56.1% Northeast: 22.4% West: 11.4% North: 6.1% South: 4.0% LOG CONTAGEM IV LOG RECIFE II LOG CUIABÁ LOG BELÉM
Page 7
Strategic Pillars
Page 8
Geographical Diversification: Relevant competitive advantage in the sector, with presence in all strategic markets and demanded by its own client base, which ensures commercial intelligence to define the location and pricing of assets. 102.1 thousand sqm of GLA delivered in the quarter in three different states Pre-lease of 100% of deliveries Gross absorption of 114.6 thousand sqm of GLA Integrated Operation: LOG has a verticalized structure, participating in the entire project development cycle, from identification, land acquisition, warehouse construction, leasing, administration and management and even the recycling of selected assets. Lower national construction costs Nationalization of prices Flight to Quality as a growth driver Modular Warehouses: Ability to serve logistics operations of all sizes at different stages of customer business, from different sectors and with high absorption speed. 161 clients in 211 active contracts Concentration by sector below 21% Stabilized vacancy of 1.55% Average ticket of R$ 21.09 per sqm of GLA Price transfer above inflation for the 11th consecutive quarter with SCR of 0.35% StrategicPillars
Page 9
Business Cycle
Page 10
Recurring Value Generation in the Business Cycle 01 Real Estate Development 02 Construction 03 Leasing 04 AssetManagement and Administration 05 Recycling of Assets
Page 11
The LOG team works from identifying land to prospecting and approving projects A multidisciplinary and specialized team leads the 2 main phases of development:Equipe multidisciplinar e especializada conduz as 2 fases principais do desenvolvimento: Identification of demand and prospecting for land • Identification of potential clients • Analysis of local dynamics: local competitors, prices charged, vacancy rates, among others • Search for land in strategic locations, with commercial attractiveness and potential for appreciationo Land Regularization • Conducting a thorough due diligence process • Mapping potential technical and legal constraints • Obtaining all permits and approvals for the project 9 to 12 months AverageregularizationperiodReal EstateDevelopment
Page 12
12 months Averageconstructiontime Standardized, modular and scalable construction process • Projects designed to optimize storage and minimize deterioration of the client's equipment • Cost control and optimization throughout the entire process, Log's own team executing the works and a supply chain with national reach • Evolution of the cost of Log's works considerably below the evolution of the INCC Strategic Location Laser leveled floor Resistant 6t/sqm Sprinkler system Distance between pillars (22.5m) High ceiling (12 meters) Parking and Maneuvering Yard Suitable footage Modules from 1,500 sqm Reinforced security 24-hour armored gatehouse and CCTV Convenience with changing room, dining room, pantry and rest area Log Differentials Construction
Page 13
Diversified and robust client portfolio with high levels of pre-leasing and low vacancy • Flight to Quality + customer expansion • Split customer base: sector concentration below 21%, and the largest customer representing only 9% of the portfolio • Log enjoys the ability to pass on prices above inflation, a result of the quality of its assets combined with strong demand • Prices continue to rise and the stabilized vacancy rate remains below 1%, a figure well below the industry average of 9% • The commercial efficiency and strong demand for LOG's warehouses is evidenced by the majority of assets already stabilized being delivered Tenantsbase 161 Active tenants 211 Active Contracts’Leasing 1Q24 2Q24 3Q24 4Q24 1Q25 19.53 20.62 20.33 21.76 21.09 24.79 +17.5% Average Ticket (R$) Average ticket requested (R$)
Page 14
Own asset management through Log Adm • Log's logistics condominiums are managed and administered by Log Adm, a business unit launched in 2019 that already manages more than 2.0 million sqm of GLA, including assets that have already been sold. • This service provides the client with a high standard of quality in services, greater ease and operational stability, so that they can focus solely on their business. • The Log Adm team maintains a direct and close relationship with the client, which translates into high levels of NPS and portfolio loyalty. Benefits of LogAdm Operational Control Center (CCO) Low Energy: Free Energy Market Log Shop: Marketplace for Services and Suppliers Cond 21: Billing Managem ent App Chatbot on Log+ Key Access: Access System AssetManagement and Administration
Page 15
Main source of resources for the company's growth and the greatest way to generate value for its shareholders • The capital from the sale is “recycled”, that is, reinvested in the construction of new assets and in the payment of dividends • R$ 1.5 billion recycled with the sale of assets in 2024 • Favorable YoC and Cap Rate conditions result in high return margins Consolidatedannualsalesmargin AssetRecycling R$424 33% 38% 2022 30% 2023 2024 R$1,210 R$1,498 Gross margin of Sales Sales (R$ MN)
Page 16
Expansion Plan
Page 17
Evolution ofGrowth Plans 2 0 2 5 - 2 0 2 8 Release: SEP/2023 • Delivery of 2 million sqm of GLA. • 20 locations where the Company already has operations, covering the 5 regions of the country. • Metropolitan regions with over 1 million inhabitants. GOAL • Starting in 2025 until 2028, focusing on large-scale projects to meet the growing logistics and e-commerce demand. LAUNCH • LOG already has 65% of the Plan contracted, including deliveries, projects under development and landbank. EVOLUTION Release: OCT/2021 EXPANDING THE GOAL ________ • Expanded to 1.5 million sqm, driven by the growth of e- commerce. ASSET SALES • High margin sales, reinforcing the capital recycling strategy to finance growth. HISTORICAL LEASING RECORD___ • High volume of leases combined with low stabilized vacancy. ACCELERATION OF WORKS AND DELIVERIES_____________________ • Increase in sqm of GLA under construction and deliveries in the short term. Release: OCT/2019 G O A L • 1 million sqm of additional GLA to be delivered from 2020 to 2024. • 450,000 sqm of owned land. • ~700,000 sqm of new land to be acquired. PLAN FOCUS • Logistics condominiums in strategic regions, leveraged by the demand for “fly to quality” and growth in e- commerce. RESOURCES • Subsequent offering of shares (R$637.9 million). • Partial sale of 3 assets to FII LOGCP (R$202 million). Release: DEC/2020 EXPANDING THE GOAL ________ • The original plan (1.0 million sqm) was revised to 1.4 million sqm — an increase of 40%. ACCELERATED CURVE • Faster and more robust delivery, resulting in an acceleration of the production pace over the years. LANDBANK EXPANSION • In 2020, the company acquired land totaling 1 million sqm, guaranteeing the next 3 years of development.
Page 18
Growth Plan Based on Strong Results • Completed production of 1.5 million sqm of GLA from 2020 to 2024 • New production level of 500 thousand sqm GLA from 2024 • R$ 464 million in dividends paid in the period “TODOS POR 1,5” PLAN (2020 - 2024) “LOG 2 MILHÕES” PLAN (2025 - 2028) Completion of the plan confirms the production capacity... ...and support a new growth cycle until 2028 • Construction of +2 million sqm of GLA from 2025 to 2028 • Operations in all regions of the country • Landbank mapped and 65% acquired with available capital source and operational structure ready without the need for G&A growth 2020 230 72 2021 415 303 2022 263 718 2023 443 981 2024 72 303 718 981 1,423 Deliveries per year (thd sqm GLA) Accumulated previous periods (thd sqm GLA) 16% 44% 35% 5% Deliveries "LOG 2 MM" Development "LOG 2 MM" Landbank "LOG 2 MM" To be accomplished
Page 19
Financial and OperationalHighlights
Page 20
Operational Performance that Sets New Industry Standards of Excellence 102.1 THD SQM GLA Solid foundation for sustainable development and expansion in the Brazilian logistics market Deliveries Pre-leasing: 100% Demonstration of strong market demand and confidence Stabilized Vacancy: 1.55% Much lower than the industry average of 8% 114.6 THD SQM GLA Maintaining a high level of absorption Gross Absorption
Page 21
Financial Highlights Represent Asset Attractiveness Sales Margin 2024: 38% Recycling margins ensure LOG’s growing value generation as a Greenfield Asset developer LeaseEBITDA Margin +86.4% High rental margin demonstrates LOG’s operational efficiency Dividend Distribution R$20.5MM Distribution of approximately R$0.24 per share, referring to the 1Q25 result. Net Profit Growth +56.2% 96.5% growth in profit/share, reaching R$4.31/share
Page 22
2018 752 Portfolio (thdsqm) +4.0% 2024 2018 952 105 Net Revenue (R$ MN) +13.1% 2024 2018 2024 220 85 EBITDA (R$ MN) +44.0% 47 Net Profit (R$ MN) 2018 2024 +39.3% 3,763344 1,934 NAV (R$ MN) 2018 2024 +11.7% Performance Evolution CAGR (%)
Page 23
CAPEX InvestmentEvolution Top Sellers 644 879 554 819 2021 2022 2023 2024 Ø 724 177 196 160 2018 2019 2020 Ø 177 AVERAGE CAPEX: R$ 490 MN TOTAL CAPEX: R$ 3,428 MN
Page 24
Sales Evolution 165 91 273 424 1.235 1.498 30 77 151 383 414 44% 33% 31% 38% 2019 2020 2021 2022 2023 2024 51 Price (R$ million) GLA (Thousand sqm) Margin Annual SaleofAssets
Page 25
DividendDistribution (cash) DividendDistribution History 10.3 2019 21.4 2020 33.2 2021 87.6 2022 5.6% 91.7 2023 220.0 2024 20.5 2025 YTD 3.5% 0.9% 1.0% 1.2% 12.7% 1.3% Dividend Yield Dividend Distribution (R$ million) Low High214 166 Guidance
Page 26
Financial Indicators: ResultandIP Notes: 1Q25 values refer to the last 12 months (LTM), except equity positions. 93 97 100 105 128 142 149 217 220 220 221 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 LTM 2015 56.5% 2016 72.5% 2017 79.8% 2018 141.3% 2019 177.7% 2020 277.5% 2021 230.1% 2022 120.4% 47.9% 224.6% 2024 244.3% 2025 LTM 45 55 72 84 181 251 415 500 265 495 540 2023 EBITDA Margin EBITDA 2015 36.8% 2016 37.6% 2017 44.9% 2018 72.9% 2019 100.7% 2020 256.6% 2021 184.5% 2022 88.6% 18.5% 156.7% 2024 17 36 37 47 93 143 383 401 195 344 2025 LTM 375 169.7% 2023 Net Margin Net Profit Net Income and Margin in R$ million and % EBITDA and Margin in R$ million and % Net Revenue in R$ million 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 YTD 2,174 2,299 2,398 2,485 2,611 2,995 3,773 4,879 4,308 4,372 4,605 Investment Properties in R$ million
Page 27
Notes: 1Q25 values refer to the last 12 months (LTM), except equity positions. Financial Indicators: Indebtness 948 842 715 784 76 56 371 887 496 400 664 21.2x 2015 15.4x 2016 9.9x 2017 9.4x 2018 0.4x 2019 0.1x 2020 0.8x 2021 1.8x 2022 1.9x 2023 0.8x 2024 2025 YTD 1.2x Adjusted Net Debt/LTM EBITDA Adjusted Net Debt CDI+1.8% CDI+1.5% 1Q24 CDI+1.7% CDI+1.4% 2Q24 CDI+1.7% CDI+1.4% 3Q24 CDI+1.6% CDI+1.2% 4Q24 1Q25 CDI+1.5% CDI+1.1% Effective Cost Face Cost 2025 2026 2027 2028 2029 2030 After 2030 166.8 567.1 534.2 256.5 298.3 133.9 52.8 Debt amortization schedule (R$ million) 43.1% 16.4% 1Q24 45.9% 11.9% 2Q24 43.8% 9.9% 3Q24 47.3% 9.1% 4Q24 43.6% 14.4% 1Q25 Gross LTV Net LTV adj. by receivable of sales Adjusted Net Debt and Adjusted Net Debt/LTM EBITDA in R$ million Debt Amortization Schedule in R$ million Cost of Debt Loan to Value
Page 28
Income Statement (in R$ Thousands) In thousand BRL 1Q25 1Q24 VAR. % Net revenue 55.327 53.841 2,8% Costs of services provided (1.304) (1.453) -10,2% Gross profit 54.023 52.388 3,1% Operating expenses 64.261 18.650 244,6% Selling expenses (2.401) (2.548) -5,8% General and administrative expenses (12.534) (12.079) 3,8% Other operating expenses (1.301) (1.003) 29,7% Development of assets 80.497 34.280 134,8% Equity interest 744 1.823 -59,2% EBIT 119.028 72.855 63,4% Financial Result (26.046) (9.123) 185,5% Financial expenses (57.292) (39.622) 44,6% Financial income 31.246 30.499 2,4% EBT 92.982 63.732 45,9% Income tax and social contribution (6.617) (8.438) -21,6% Current (9.833) (4.810) 104,4% Deferred 3.216 (3.628) -188,6% Net profit 86.365 55.294 56,2% Net profit of controlling shareholders 86.313 55.155 56,5% Net profit of non controlling shareholders 52 145 -64,1%
Page 29
Balance Sheet (in R$ Thousands) ASSETS 1Q25 1Q24 VAR. % LIABILITIES 1Q25 1Q24 VAR. % Current assets Current liabilities Cash and cash equivalents 92.066 194.025 -52,5% Suppliers 61.747 47.595 29,7% Marketable securities 225.123 180.912 24,4% Loans and debentures 211.053 196.826 7,2% Inventory 222.680 - 0,0% Derivative instruments - - 0,0% Accounts receivable 311.659 320.766 -2,8% Salaries, charges and benefits 14.780 12.920 14,4% Tax to recover 34.302 37.758 -9,2% Taxes and contributions payable 39.093 28.942 35,1% Derivative instruments - 17.550 -100,0% Land payables 77.454 32.400 139,1% Other current assets 11.877 6.253 89,9% Swap 58.426 96.392 -39,4% Total current assets 897.707 757.264 18,5% Advances from customers 251.395 1.213 20625,1% Dividends payable - - 0,0% Non-current assets held for sale - - 0,0% Others 44.199 36.180 22,2% Total current liabilities 758.147 452.468 67,6% Noncurrent assets Noncurrent liabilities Marketable securities 247.558 229.079 8,1% Lease liability 184.270 119.314 54,4% Derivative instruments 75.708 69.821 8,4% Loans and debentures 1.798.517 1.766.407 1,8% Receivables 545.287 359.259 51,8% Derivative instruments 13.094 - 0,0% Credits with related companies - - 0,0% Land payables 17.420 21.392 -18,6% Prepaid expenses 12.278 12.521 -1,9% Land Swap 120.076 43.635 175,2% Recoverable taxes 36.513 34.819 4,9% Deferred taxes 146.347 149.523 -2,1% Deferred Income tax and social contribution 114.024 113.557 0,4% Provision - - 0,0% Others 18.476 22.144 -16,6% Others 7.421 11.800 -37,1% Investment in joint ventures 157.331 154.839 1,6% Total noncurrent liabilities 2.287.145 2.112.071 8,3% Investment property 4.605.328 4.550.496 1,2% Equity VAR. % Property and equipment 14.844 16.238 -8,6% Shareholders of the company 3.672.919 3.754.332 -2,2% Intangible assets 12.575 9.931 26,6% Noncontrolling interests 19.418 11.097 75,0% TOTAL NONCURRENT ASSETS 5.839.922 5.572.704 4,8% TOTAL EQUITY 3.692.337 3.765.429 -1,9% TOTAL ASSETS 6.737.629 6.329.968 6,4% TOTAL LIABILITIES & EQUITY 6.737.629 6.329.968 6,4%
Page 30
Cash Flow Statement (in R$ Thousands) IN THOUSAND BRL 1Q25 1Q24 VAR. % CASH FLOW FROM OPERATING ACTIVITIES Profit for the period 86.365 55.300 56,2% Reconciliation of profit to cash generated by op. activities (52.170) (6.875) 658,8% Decrease (increase) in operating assets (15.842) (8.337) 90,0% Increase (decrease) in operating liabilities (27.977) (7.508) 272,6% Income tax and social contribution paid (14.238) (4.372) 225,7% Net cash generated/used in operating activities (23.862) 28.208 -184,6% CASH FLOW FROM INVESTMENT ACTIVITIES Increase in / acquisition of investments (16) (298) -94,6% Decrease in marketable securities 154.997 410.952 -62,3% Increase in marketable securities (77.007) (453.754) -83,0% Dividends received from subsidiaries 2.000 1.500 33,3% Proceeds from sale of subsidiaries/land 135.438 42.682 217,3% Acquisition of investment properties (169.745) (155.988) 8,8% Others (2.048) (1.822) 12,4% Net cash generated/used in investing activities 43.619 (156.728) -127,8% CASH FLOW FROM FINANCING ACTIVITIES Proceeds from loans, financing and debentures, net - 198.583 -100,0% Amortization of loans, financing and debentures (52.541) (95.844) -45,2% Interest paid (82.698) (88.339) -6,4% Lease payments (201) (178) 12,9% Payment of dividends - (70.000) -100,0% (Payment) receivable from derivative (18.244) (19.694) -7,4% Disposal (acquisition) of treasury shares (244) (2.100) -88,4% Proceeds from the exercise of stock options - - 0,0% Distributions/Investments from noncontrolling shareholders - 3.602 -100,0% Net cash generated/used in financing activities (153.928) (73.970) 108,1% Increase/Decrease in cash and cash equivalents (134.171) (202.490) -33,7% CASH AND CASH EQUIVALENTS At the beginning of the period 226.237 396.515 -42,9% At the end of the period 92.066 194.025 -52,5%
Page 31
Environmental, Social &Governance ESG
Page 32
ESG: Building the Future with Commitment • The Company uses construction methods that promote greater comfort for users and contribute to the preservation of the environment. • A LOG possui dois empreendimentos com o certificado LEED Silver: LOG Viana, LOG Itapeva , enquanto LOG Salvador está passando pelo processo de certificação. LEED certification MSCI ESG Rating Evolution • MSCI ESG Rating, a global organization and reference for institutional investors, specialized in evaluating performance and management in ESG issues, raised LOG's rating in 2023 to "Average", which indicates that LOG has a consistent track record in managing ESG risks and opportunities compared to its industry peers. • LOG develops drainage systems that enable the reuse of water from activities that use it, contributing to environmental sustainability and ensuring greater efficiency and reduced operating costs. • By 2024, LOG will have achieved 100% renewable energy in its projects. This demonstrates our continuous effort to minimize environmental impact and promote the transition to clean energy sources. Environmental LOG Lean´Project LAGGARD AVERAGE B BB LEAN implementation with photo efficiency to build. square meters of GLA built in 5 projects in LEAN Construction Qualified people540,000 +210 51% • High operational standard • Increased productivity • Integration of the production chain • Improved governance reducing the processing time of LEAN Office works orders
Page 33
Institutional Presentation INVESTOR RELATIONS RAFAEL SALIBA CFO & DRI HENRIQUE SCHUFFNER Investor Relations Director Av. Professor Mário Werneck, 621 10º andar, Estoril, Belo Horizonte - MG Zip Code 30455-610 ri.logcp.com.br NATÁLIA VASCONCELOS Investor Relations Manager Av. Pres. Juscelino Kubitschek, 1400 9º andar Itaim, São Paulo - SP Zip Code 04543-000