Slides
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Conference Call 2Q26 August 07 , 2026
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Esta teleconferência possui tradução simultânea. Para acessar, basta clicar no botão Interpretação através do ícone do globo na parte inferior da tela. O Release de Resultados e a Apresentação, versões português e inglês, estão disponíveis para download no site de RI: ri.magazineluiza.com.br A apresentação em inglês também está disponível no link enviado no chat. ------------------------------------------------------------------------------------------------------------------------------------------------ This conference call has simultaneous translation. To gain access, please click the Interpretation button on the globe icon at the bottom of the screen. The Earnings Release and the Presentation, Portuguese and English versions, are available for download on the Investor Relations website: ri.magazineluiza.com.br The presentation in English is also available on the link sent in the chat.
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3 2026: Entering a new strategic cycle for Magalu Consolidate AI Omnichannel leadership • Accelerate physical store growth for durable goods (core) as well as sports, beauty, and gaming (extended core) • Expand online reach through partnerships with third-party platforms • Redefine digital positioning with experience, curation, and AI (including AI commerce) 1 Accelerate Services monetization • Boost Fintech, especially with the new license • Consolidate the omnichannel Ads (Advertising) offering • Scale third-party Logistics • Lead in National Cloud services 2
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● Increase in buy now pay later share of sales ● Gross Revenue of R$11 billion ● Strict expense control ● SG&A dilution ● Excellent performance at Luizacred and Magalupay ● R$5.2 billion in sales ● 9.7% Same-Store Sales growth ● Strong market share gain 30.6% R$ 709 Mi10% +0.1 p.p. vs 2Q25 8.0% margin 2Q26: Preserved margins and consistent financial discipline reinforce Magalu's solid foundation in the quarter Gross Margin Adjusted EBITDAPhysical Stores Stores sales growth
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Magalu continues its trajectory of strong market share gains in physical stores, reaching R$ 5.2 billion in 2Q26 sales 2Q23 2Q24 2Q252Q22 2Q26 Evolution of physical store sales [Billion R$] 3.9 4.0 4.6 4.7 5.2 +3% +14% +3% +10% In June alone, physical store sales recorded 18% growth. 9.7% Same-Store Sales Growth in Physical Stores [2Q26 - 2Q25] ● Ecosystem Acceleration: Physical presence of Netshoes, KaBuM! and Época brands. ● Quarter Opening: Opening of the new Magalu store in Ceilândia (DF). +39% Televisions +15% White Goods +10% Furniture Highlights (Sales growth 2Q26 vs 2Q25)
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R$9.3 Billion ● Cost Pass-Through: Price adjustments due to the global increase in the cost of memory chips (mobile phones, computing and hardware) R$5.8 Billion 1P R$3.6 Billion 1P 3P E-commerce: Margin preservation comes first Online sales contraction in the quarter, even with TV sales growth, reflects commercial discipline Online Sales
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7 Position beyond proprietary channels is a strategic pillar for Magalu 2016 2022 2024 Accelerating sales through partner platforms is a way to resume online sales growth with profitability The core premises for agreements with third-party platforms are: (i) achieve profitability above the average of Magalu's online channels; (ii) obtain reciprocity for Magalu Ecosystem services. Densify Magalu’s logistics by increasing scale while using Magalog and its proprietary logistics hubs Increase exposure to new audiences outside of Magalu’s core 50M active monthly users Consolidate leadership in 1P core through channel diversification 2026
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Partnership between platforms enhances access to new customers, scales sales, and leverages the efficiency of our logistics network. Partnership signed and sales launch jun/26 First month of operation with sales exceeding initial expectations jul/26 Magalog certified as Amazon's logistics partner Magalu products carrying the Prime badge, with potential to boost sales in the fourth quarter oct/26 Magalog will begin offering logistics services to Amazon, especially for heavy items
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Lu's WhatsApp: the most complete AI Commerce shopping experience on WhatsApp, from search to payment Authentication Discovery Checkout Post-Sales Human touch – you talk to someone you know – Lu – who understands your context Multimodal user experience – understands videos, audio, pictures, etc. Embedded payments in the platform – zero outside links (paying via PIX or credit card) Purchase tracking without leaving WhatsApp 84 Customer Satisfaction NPS 3x Lu's WhatsApp conversion rate vs. other channels 18M Conversations since launch 20% Of customers return to shop on Lu's WhatsApp +R$100M GMV on Lu's WhatsApp Cannes Lion Bronze
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Contributing to the diversification of the ecosystem's revenue and results Hyundai partnership, launch of the i20 Available spaces on e-commerce, Galeria Magalu, and across more than 20k TVs in all stores +13% vs 2Q25 +51% vs 2Q25 Lu of Magalu Multichannel Ads Active Sellers Sponsored Products CTR
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Full regulatory structure to scale the financial services offering at Magalu, with profitability. IF IP Credit Card Portfolio 2Q26 R$20bi (+2.2% vs 2Q25) Net Income 2Q26 R$135mi (+32.8% vs 2Q25) TPV 2Q26 R$15bi (+1.0% vs 2Q25) 100% of Consumer Credit (CDC) originations in the new financial institution Consumer Credit Portfolio (retail + SCFI) R$2,0bi (+ 33% vs 2Q25) Net Income 2Q26 R$17mi Insurance premiums totaled R$385 mi in 2Q26 (+8.3% vs 2Q25) Active Insurance Contracts 2Q26 11 mi Digital Account, Acquiring, and Insurance Net Income 2Q26 R$15mi (+7.4% vs 2Q25) Sales 2Q26 R$2,0 bi (+30.6% vs 2Q25) Active Portfolios under Management 2Q26 R$11,7bi (+34.5% vs 2Q25)
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27 new hubs, surpassing 200 operational units Revenue Expansion 15% increase in orders delivered for third parties vs 2Q25 New Clients in the Quarter Expansion of the external clients base, contributing to increase our logistics density Logistics Network Expansion Operations Expansion Higher operational efficiency with massive use of technology
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The first Brazilian Cloud with global scale Consistent commercial performance driven by external clients Large-scale infrastructure, now accelerated by BNDES Advanced innovation in AI, infrastructure expansion, and governance 58% of Magalu's workloads are in Magalu Cloud R$ 300 mi Raised for research and development Key Security and Governance Certifications. Expansion contract signed for the 3 Availability Zones in the Southeast, along with Data Center expansion. AI in focus Testing of Magalu Cloud's proprietary AI platform ISO 27001 NIST CSF 2.0 SOC 2 +24% Revenue growth from external clients 1.700 External clients In Sep '26, Cloud Futures brings together technology leaders to discuss the future of the cloud in Brazil.
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Financial Highlights
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Physical Stores Sales Growth (9.7% in same-store sales) Financial Highlights of 2Q26 R$11.1 Billion in Gross Revenue 10.3% 30.6% Gross Margin (30.5% in 2Q25) R$709 Million Adjusted EBITDA (8.0% margin) R$5.8 Billion Total Cash (R$0.8 billion Net Cash) R$(50) Million Adjusted Net Result
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Adjusted EBITDA [% of Net Revenue; Million R$] Quarterly EBITDA margin evolution: rigorous financial and operational discipline reflected in the consistency of our margins. 3Q252Q25 709 4Q25 726 1Q26 8.0% 7.9% 7.8%7.8% 16 Key Levers Expansion of fulfillment and omnichannel strategy Market share and profitability gains in physical stores Profitability at Luizacred and MagaluPay Gross margin expansion: ● Increase in merchandise margin ● Services contribution SG&A control 2Q26 8.0%
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(2Q21) 2Q26 Adjusted 2Q25 Adjusted 0.4% Provision for Loan Losses Equity Income SG&AGross Margin 8.0% 0.1% 8.0% Others 0.1% 0.0% 30.6%30.5% 2Q26 2Q25 23.1% 7.4% Merchandise Gross Margin Services contribution to margin Total Gross Margin 23.3% 7.3% 0.2% Adjusted EBITDA margin breakdown in 2Q26
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(2Q21) Working capital improvement mitigating the effect of interest rates on financial expenses Adjusted Working Capital (Billion R$) Working Capital Improvement R$ 560 million reduction in inventory in 2Q26 R$0.5 bi Jun-25 Sep-25 1.9 Dec-25 2.0 Mar-26 3.9 2.3 496 Adjusted Net Financial Expenses (Million R$) CDI average %Net RevenueAdjusted Net Financial Expenses 2Q25 3Q25 4Q25 14.7% 488 15.0% 572 15.0% 569 14.9% 1Q26 5.4% 5.4% 5.1% 6.2% Jun-26 2.3 572 14.4% 2Q26 6.4% Financial Expenses R$ 773 million reduction in suppliers balance in 2Q26
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5.8 0.1 (2Q21) 0.2 Adjusted Final Cash mar/26 0.3 4.6 1.6 6.2 0.2 Adjusted Final Cash jun/26 1.8 0.3 Total Cash Position of R$5.8 billion in Jun/26 Operational Cash Flow of R$0.3 billion in the last quarter 4.0 Operating Cash Flow temporarily impacted by the R$773 million reduction in suppliers balance Receivables CashCash Flow LTM (Billion R$) Capex and Luizacred Operational Cash Flow Leasing Interest Dividend Payment
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0.7 We ended 2Q26 with a total cash position of R$5.8 billion and an adjusted net cash position of R$0.8 billion. 2026 1.3 20282027 1.7 0.9 0.3 2029 2030 Debt Schedule (Billion R$) Caixa Dívida Bruta Change in Net Cash + Credit Portfolio (Billion R$) 1.2 1.0 mar/26 jun/26 Final Adjusted Cash 06/30/2026 4.0 1.8 Receivables Cash Gross Debt 4.9 0.8 Cash and Debt (Billion R$) 06/30/2026 5.8 Net Cash (Billion R$) Adjusted Net Cash Change in Net Cash + Credit Portfolio 06/30/2026 0.3 0.4 Credit Portfolio Time Deposits 0.8 1.0
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(2Q21) Percent of the Portfolio Overdue (%) NPL 15-90 NPL > 90 153% Jun-26 2.5% 7.3% 2.7% 8.4% 156% Jun-25 Luizacred Delinquency rates remain at historically low levels alongside expanding profitability Credit Portfolio [2% growth vs jun/25 R$ 20.2 Bi Credit Cards [jun/26] 5.7 Mi IFRS Adjusted Net Income 3Q25 102 4Q25 68 1Q26 271 2Q26 75 2Q25 ROE [2Q26 - anualizado] 23.5% 135 Adjusted Net Profit [R$ million] Coverage (%)
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Consolidation of credit origination, acceleration of CDB fundraising, and financial efficiency gains MagaluPay SCFI Credit portfolio R$ 429 mi Jun/26 51% Jun/26 Basel Ratio R$ 239 mi Through end-June Funding & CDB Net Income R$ 17 mi in 2Q26 100% of Consumer Credit (CDC) originations in the new financial institution since May
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INVESTOR RELATIONS RI@MAGAZINELUIZA.COM.BR MAGAZINELUIZA.COM.BR/RI Statements contained in this document regarding business outlooks, projections of operating and financial results, and growth prospects for Magazine Luiza are forward-looking statements. As such, they are based exclusively on management's expectations regarding the future of the business. These expectations substantially depend on required approvals and licenses for project validation, market conditions, the performance of the Brazilian economy, the industry, and international markets; therefore, they are subject to change without prior notice. This document may include accounting and non-accounting data, such as operational and pro-forma financial figures, as well as projections based on the expectations of the Company's Management. Non-accounting data have not been reviewed by the Company’s independent auditors.
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Magalu ecosystem