INSTITUTIONAL PRESENTATION

JUNE 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.

1

MARKET OUTLOOK

Sizeable and High Growth Market

The Brazilian pet market is one of the largest in the world, with secular trends driving strong growth

Pet Products Market and Annual Spend per Pet¹

(R$ bn, R$ per pet, 2020)

1,124.4

554.4

153.5

per pet

per pet

per pet

301.7

32.127.8

United States

UK

Brazil

Pet Products Market Evolution in Brazil¹

(R$ bn)

CAGR21E-25E: 16.0%

CAGR16-21E: 13.3%

CAGR21E-25E: 4.3%

66.6

CAGR16-21E: 6.4%

57.8

50.0

43.2

37.2

31.7

27.8

20.9

23.0

17.0

18.6

Cresc. de

~4x

16-26E

2016

2017

2018

2019

2020

2021E

2022E

2023E

2024E

2025E

2026E

Trends

  • Humanization: pet as a family member
  • Access to information
  • Couples having children later and reduction in the number of children per family
  • Aging of Baby Boomers population, which are now more likely to have pets
  • Verticalization of urban centers

Number of Dogs and Cats vs Children under 14²

(Brazil, in millions)

97

116

80

45

44

44

2016

2021E

2026E

¹ Source: Euromonitor International Limited, Pet Care 2022, formal sales to the end consumer including taxes, local currency, in current terms; and Euromonitor International Limited, Population 2020, in number of inhabitants. ² Source: IBGE on

4

April 6, 2021.

Highly Fragmented Market

Market consolidation at an early stage in Brazil, as mom-and-pop players still have a significant share

Pet Products Sales by Channel¹

(% Pet Market)

2019

11%

55%

20%

3%

12%

2020

11%

50%

21%

7%

11%

2019

15%

25%

43%

11%

7%

2020

17%

22%

40%

14%

6%

2019

22%

8%

31%

19%

20%

2020

19%

7%

29%

26%

19%

Pet Superstores

Hyper, Supermarkets and Markets

Others

Pet Shops and Vet Clinics

E-Commerce

Value Proposition

Assortment

Vet

Grooming

Online

Plataform

Omnichannel

Expertise/

Content

Curation

Location

Convenience

Price

Mom-and-

Food

Online

Pop

Retailers

Pet Shops

O

X

X

O

X

X

X

X

O

X

X

O

O

O

X

X

=

=

=

=

¹ Source: Euromonitor International Limited, Pet Care Survey 2022, retail sales including tax, in local currency, in current terms.

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Disclaimer

Pet Center Comercio e Participações SA published this content on 08 June 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 June 2021 22:04:03 UTC.