Pet Center Comercio e Participações S A : 4Q20 Results Presentation

VIDEO CONFERENCE 4Q20 RESULTS

MARCH 9TH, 2021

DISCLAIMER

The statements contained in this document regarding outlooks for the business, forecasts of operations, financial results, and growth outlooks for Petz are mere projections. They are solely based on the expectations of management regarding the future of the business. These expectations substantially depend on market conditions, performance of Brazilian economy, the industry. and international markets. Therefore expectations are subject to change without prior notice. All changes presented herein are calculated based on figures in thousands of reais, as well as rounded numbers.

This performance report includes accounting and non-accounting data, such as operational, pro-forma financial data, and forecasts based on management's expectations. Non-accounting data was not reviewed by the company's independent auditors.

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HOW DID WE GET HERE?

Creation of our Vision
" p ra	Become the largest and be t shop chan in Latin Ameri king among the top 5 larg	t a, st
perations globally by 2020

2014

Foundation of

"Adote Petz"

Creation of the new brand "Petz" aiming at nationwide expansion

Creation of

"Seres" brand in the Vet segmentStart of investments and consolidation of the Omnichannel platform

2020

IPO

Leader in the Pet sector in

Brazil:

•  R$1.7bn revenues in 2020

  (+46.6% yoy or +R$540mm)

•  133 stores portfolio

  (28 openings in 2020)

•  Presence in 16 States

  (3 new States in 2020)

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5. People, Culture and ESG

PETZ STRATEGIC PILLARS

1. Expansion of Store Portfolio and "Seres" Brand

2. Digital Platform

3. Customer Experience and Petz Solution

4. Exclusive Products & "Petz" Brand

1. Expansion of Store

Portfolio and "Seres" Brand

Entry in new markets and regions across Brazil and leverage to Omnichannel strategy

• • Annual record for store openings (28 units), with 4Q20 reaching a new quarterly record (13 units)

• • Entry into 3 new states

• • 133 stores in 16 States

• • 3 new Seres Hospitals

• • 114 Veterinary Centers Seres / 10 Hospitals in 8 UFs

AGENDA 2021

• • Acceleration of the pace of store openings

• • Expansion to new states and regions

• • Expansion of Seres hospital network in the capitals and cities across the country

2. Digital Platform

The platform that gained the highest market share in Brazil's Pet sector in 2020

• • ~R$400mm revenues (+342% yoy or +R$300 mm)

• • 27% Market share, more than 2x vs. 2019

• • 23% share of Total Revenues, with new record of 26% in 4Q20

• • Omnichannel Ratio of 80% in 2020, with new record of 84% in

  4Q20

• • Petz App: +50% from digital sales

• • Subscriber base 5x larger yoy, representing 15% of total revenues in Dec/20 (vs. ~10% in 3T20)

AGENDA 2021

• • Investments in UX and data analytics

• • Digitalization not only in products, but also in services

• • Initiatives for efficiency gains and service level improvement in ​logistics

9

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3. Customer Experience and Petz Solution

Increase in product and services offering through Omnichannel platform

• • Triple Crown - Reclame Aqui Award 2020

• • New building of "Alô Petz"

• • Detailed tracking of startups

• • Weekly forums with top management about Petz Solution

AGENDA 2021

• • Integration of new solutions into the ecosystem

• • Greater integration across segments and channels

• • Implementation of new tools to ensure better service agility and efficiency

4. Exclusive Products &

"Petz" Brand

Important profitability and customer loyalty leverage

• • Sucessfull launches in 2020: treats, bentonite cat litter and activated carbon pad

• • Around 300 SKUs in ~25 categories, in which we are leader or vice-leader in most of them

• • "Petz" Brand penetration in products sales 2x higher yoy in

  4Q20

• • Digital Long Tail: ~15k SKUs available on our website, leadership in the Pet sector

2021 AGENDA

• • Robust pipeline of launches under "Petz" brand

• • Monthly addition of hundreds of SKUs in the Digital Platform

5. People, Culture and ESG

Petz DNA

• • Commitment not to lay off due to the pandemic scenario

• • Creation of 1.3k new jobs, representing a headcount increase of 35% yoy

• • +40% of leadership positions occupied by women

• • +45k cats and dogs adopted

• • +R$2mm donation in cash and product to NGOs in partnership with Editora Mol and Arredondar Institute

• • R$1mm donation to COVID-19

• • Launch of "Adote Petz" digital platform

  Data as of March 1, 2021.

  2021 AGENDA

• • Culture of excellence through employee training, development and career path

• • Expansion of renewable energy sources in our stores

4Q20 and 2020 Highlights (1/2)

STORE PORTFOLIO

AND SERESTOTAL GROSS REVENUES (TGR)DIGITAL

OMNICHANNEL

RATIO

133 stores in 16 States 13openingsin4Q20 28openingsin2020

R$525.0 M in 4Q20

R$136.6 M in 4Q20

+58.9% yoy

+312.9% yoy

83.8% in 4Q20 79.8% in 2020

SSS +36.8%

26.0% TGR

114 Vet Centers

R$1.7 bn in 2020

R$395.6 M in 2020

+46.6% yoy

+341.8% yoy

10hospitals 3openingsin4Q20

SSS +26.5%

23.2% TGR

4Q20 and 2020 Highlights (2/2)

Store Portfolio

Store opening record with 28 new units in 2020, strictly in line with expectations

Number of Stores	Distribution by Age	Store Mix in São Paulo & Other States
Existing Stores, Openings	% of total stores	% of total stores

133

4Q19

1Q20

2Q20

Existing Stores

3Q20

New Stores

4Q20

4Q19

1Q20

2Q20

3Q20

4Q20

4Q19

1Q20

2Q20

>3 years

3rd year

2nd year

1st year

São Paulo

3Q20

Other States

4Q20

13	53%	of the stores have yet	of the stores
Store openings in 4Q20,
to complete 3 years	located outside
new quarterly record
in operation	São Paulo

39%

Sales Performance

Digital sales boosting Total Gross Revenues

Total Gross Revenue	Total Gross Revenue Growth	Same-Store-Sales Growth
R$ million	% Change, yoy	% Change, yoy

+64% Product Gross

Revenue yoy growth in 4Q20

(+51% in 2020)

+313% Digital sales yoy growth in 4Q20

(+342% in 2020)

+34% Product Gross

Revenue from B&M yoy growth in 4Q20

(+25% in 2020)

+37%

Vet Services'

Revenue yoy growth in 4Q20

(+43% in 2020)

Digital Platform

Digital sales accounting for 26,0% in 4Q20, highest historical level

Digital Gross Revenue and Penetration

R$ million; % Total Gross Revenue

250.0

350.0

300.0

200.0

150.0

100.0

50.0

-

Digital Gross Revenues

#1 Leader in website access¹

6.3

6.4

50.0%

COMPANY A

40.0%

5.1

5.2

5.1

30.0%

20.0%

COMPANY B

2.3

10.0%

Aug/20

Sep/20

Oct/20

Nov/20

Dec/20

0.0%

Digital Penetration

#1 Leader of apps of the pet sector on Google Play and Apple Store²

¹ Source: Similar Web as of March 2021. ² Source: Google Play and Apple Store, as of March 2021

Accelerated Growth with Strong Profitability

Gross Margin in 2020 flat yoy, excluding tax credits, even with substantial increase in Digital Penetration

Gross Profit

R$ million, % Total Gross Revenue

600.0

500.0

400.0

300.0

200.0

100.0

0.0

4Q19

1Q20

2Q20

3Q20

Gross Profit

4Q20

2019

% Total Gross Revenues

180.0

49.0%

160.0

47.0%

140.0

45.0% 120.0

Adjusted EBITDA

R$ million, % Total Gross Revenue

2020

43.0%

41.0%

39.0%

37.0%

35.0%

33.0%

100.0

80.0

60.0

40.0

20.0

0.0

4Q20

20.0%

15.0%

10.0%

5.0%

4Q19

0.0%

1Q20

2Q20

3Q20

Adjusted EBITDA

2019

% Total Gross Revenues

2020

Investments and Indebtedness

NNeewwSSttoorres and HospiittallssTechnology anddDigigitiatallRenovattiioonn,,MMaainintetennaannceceanadndOtOhethrsers

73% In New Stores and

Hospitals in 4Q20

+87%

growth in Investments related to Technology and Digital

Net Debt (Cash) & Leverage

R$ million, x

300.0

276.6

250.0

200.0

150.0

100.0

- -50.0

50.0

Net Debt

3.5x

3.0x

2.5x

2.0x

1.5x

1.0x

0.5x

0.0x

Net Debt/Adjusted EBITDA LTM

-0.5x

https://ri.petz.com.br

[e-mail]

Diogo Bassi CFO & IRO

Matheus Nascimento

Senior IR & New Business Manager

Mirele Aragão

IR Specialist

Natália Esteves

IR Analyst