Lukas Lage's questions to Gerdau SA (GGB) leadership • Q2 2025
Question
Lukas Lage inquired about Gerdau's capital expenditure plans, asking for specifics on the mining project's expected EBITDA contribution and the company's broader capital allocation strategy given the contrasting business environments in Brazil and North America.
Answer
CEO Gustavo Ferneki stated that due to the challenging regulatory environment in Brazil, Gerdau will reduce its global CapEx from 2026 onwards, primarily by cutting investments in Brazil while maintaining its North American projects. CFO Rafael Japur confirmed the mining project's BRL 1.1 billion incremental EBITDA guidance remains robust and noted the project is 72% complete.