Exhibit 99.1

São Paulo, February 23, 2022 – Gerdau S.A. (B3: / NYSE: GGB) announces its results for the fourth quarter of 2021. The consolidated financial statements of the Company are presented in Brazilian real (R$), in accordance with International Financial Reporting Standards (IFRS) and the accounting practices adopted in Brazil. The information in this report does not include the data of associates and jointly controlled entities, except where stated otherwise.

GERDAU’S PERFORMANCE IN 4Q21

Operating Results

1 – Non-accounting measure calculated by the Company. The Company presents Adjusted EBITDA to provide additional information on cash generation in the period.

Production & Shipments

In 4Q21, crude steel production and volumes shipped decreased slightly in relation to 4Q20 and 3Q21 in Gerdau’s main business divisions. Gerdau’s production capacity utilization rate of 74% reflects the seasonally weaker quarter, especially in the domestic market of the Brazil BD, as well as the scheduled maintenance typically carried out at some units of the Company during this time of year.

Net Sales

Net sales increased in 4Q21 compared to 4Q20, reflecting the commodities global growth through 2021 and the positive impact from the translation of net sales from our operations in North America influenced by the weaker Brazilian real. Compared to 3Q21, net sales were relatively stable, which offset the slight decrease in consolidated steel shipments.

Cost of Goods Sold

The main factors driving the increase in cost of goods sold in 4Q21 compared to 4Q20 were the higher costs for the main raw materials used by the Company, such as scrap consumed and iron ore, which registered price increases in the comparison period of 55% and 82%, respectively. In relation to 3Q21, the increase in cost of goods sold is explained mainly by the 28% increase in coal costs. Another important factor was the cost of the special bonus of R$204 million paid in 4Q21 to recognize the contribution made by operational employees – facing the challenges posed by the pandemic - to the record-high results in the year, when the Company commemorated its 120^th anniversary.

Gross Profit

Gross profit and gross margin increased in the quarter compared to 4Q20, driven mainly by the good performance of the construction industry in the U.S. and Brazilian markets and by the performance of sales to the industrial sector in Brazil. In relation to 3Q21, the highlight was the growth in gross profit at the North America BD. The metals spread remained high in the period, supported by higher steel prices.

Selling, General & Administrative Expenses

Selling, general and administrative expenses as a ratio of net sales decreased to 2.9% in 2021, compared to 3.5% in 2020.

EBITDA & EBITDA Margin

1 – Non-accounting measure calculated in accordance with CVM Instruction 527.

2 – Non-accounting measure calculated by the Company. The Company presents Adjusted EBITDA to provide additional information on cash generation in the period.

3 - Accounting measure reported in the consolidated Income Statement.

Gerdau’s Adjusted EBITDA and adjusted EBITDA margin in 4Q21 set all-time highs for a fourth quarter. The results reflect the scenario of strong demand for steel in all countries where the Company operates, combined with the teams’ capacity to seize the opportunities arising in the market.

EBITDA (R$ million) & EBITDA Margin (%)

Financial Result & Net Income

1 - Accounting measure disclosed in the consolidated Income Statement.

2 - Non-accounting measure calculated by the Company to show net profit adjusted by non-recurring events that influenced the result.

The financial result in 4Q21, adjusted by non-recurring items, improved due to the negative exchange variation, which benefitted the Company’s foreign-denominated liabilities. Compared to 3Q21, the financial expense was affected by the bond repurchase operation to reduce the Company’s exposure to foreign-denominated debt.

Adjusted net income in 4Q21 also set a new record for the Company for a fourth quarter, supported by EBITDA growth.

Dividends and Interest on Equity

On February 22, 2022, the Board of Directors of Gerdau S.A. approved the distribution of dividends in the amount of R$ 341.1 million (R$ 0.20 per share), to be paid as an advance on the minimum mandatory dividend for 2021, as stipulated in the Bylaws.

Record date: shareholding position on March 7, 2022.

Ex-dividend date:  March 8, 2022.

Payment date: March 16, 2022.

In 2021, Gerdau S.A. distributed dividends and interest on equity of R$ 5.4 billion (R$ 3.14 per share), with the amount, which set a new record for a fiscal year, corresponding to 37.3% of net income after all allocations to reserves required by the Bylaws.

Management reaffirms its understanding that the best way to increase absolute dividends is through strong cash generation, which it has been delivering, enabling it to maintain its policy of distributing at least 30% of adjusted net income.

Working Capital & Cash Conversion Cycle

The cash conversion cycle (working capital divided by daily net sales in the quarter) decreased from 63 days in September 2021 to 60 days in December 2021, reflecting the increase of 8% in inventories and decrease of 16% in accounts receivable. Note that these are natural adjustments given the normalization of inventories throughout the chain, influenced by the higher net sales in the comparison period.

Working Capital (R$ million) & Cash Conversion Cycle (days)

Financial Liabilities

On December 31, 2021, 13% of gross debt was due in the short term while 87% was concentrated in the long term, with the consolidated exposure of total gross debt denominated in U.S. dollar at 78%, in Brazilian real at 21% and in other currencies at 1%.

On December 31, 2021, 52% of cash was denominated in U.S. dollar. The evolution in key debt indicators is shown below:

1 - Total capitalization = shareholders' equity + gross debt – interest on debt.

2 – Net debt = gross debt – interest on debt – cash, cash equivalents and financial investments.

3 – Adjusted EBITDA in the last 12 months.

The reduction in the net debt/EBITDA ratio from 0.41x, on September 30, 2021, to 0.30x on December 31, 2021, is explained by the Company’s robust EBITDA generation and deleveraging actions in 4Q21.

Gross Debt Maturity Schedule

(R$ billion)

At the end of December 2021, the weighted average nominal cost of gross debt was 6.58%, with 9.78% for the portion denominated in BRL, 5.85% plus foreign-exchange variation for the portion denominated in USD contracted by companies in Brazil and 4.96% for the portion contracted by subsidiaries abroad. On December 31, 2021, the average gross debt term was 8.3 years, with the debt maturity schedule well balanced and well distributed over the coming years.

Investments

Capital expenditures amounted to R$ 1,216 million in 4Q21, with R$ 961 million allocated to general maintenance and R$ 255 million to technological expansion and updating. Of the amount invested in the quarter, 57% was allocated to the Brazil BD, 23% to the North America BD, 17% to the Special Steel BD and 3% to the South America BD.

On February 24, 2021, the Company announced capex's projection for 2021 in the amount of R$ 3.5 billion. Disbursements made in 2021 totaled R$ 3.0 billion. With the worsening of the pandemic in the first half of 2021 and the difficulties caused by bottlenecks in some global supply chains, approximately R$ 500 million have not been disbursed and will be implemented in 2022.

Of the total capex, more than R$ 600 million represents investments in implementing technologies to improve the environmental control and performance of existing facilities, with these expenditures surpassing by 53% the amount invested in environmental improvements in 2020.

The environmental benefits obtained included:

On February 22, 2022, Gerdau S.A. approved its new investment plan in the amount of R$ 4.5 billion for 2022, which includes the amount postponed in 2021.

The investment plan is divided into two fronts: Maintenance and Expansion and Technological Updating.

Maintenance projects are associated with the concept of reinvestment of depreciation over the years to ensure the good functioning of plants.

Meanwhile, Expansion and Technological Updating projects are related to the growth, technological updating and modernization of the business divisions, with a focus on improving Environmental, Social and Governance (ESG) practices and sustainable development.

Of the total planned for 2022, investments that return environmental benefits will surpass R$ 800 million, which is 33% higher than the amount invested in 2021. These investments include expanding forest assets, updating and improving environmental controls, technological improvements that increase energy efficiency and reduce greenhouse gas emissions, as well as new projects in the approval phase.

Gerdau S.A. has been demonstrating its capacity to adapt to changing scenarios, and the expenditures in its investment plan will be directly related to the safety of our operations and to the pace of demand in our markets, as well as based on criteria involving the return on capital invested and the consequent cash generation.

Free Cash Flow

Free cash flow in 4Q21 was positive R$ 3.4 billion, which reflects the contribution from EBITDA and the lower use of working capital. In 2021, the Company generated positive free cash flow of R$ 9.6 billion, which reinforced its liquidity position.

Free Cash Flow (R$ million)

Free Cash Flow, Quarterly (R$ million)

PERFORMANCE BY BUSINESS DIVISION (BD)

The information in this report is divided into four Business Divisions (BD) in accordance with Gerdau’s corporate governance, as follows:

EBITDA & EBITDA MARGIN

BRAZIL BD

1 – Includes iron ore sales.

2 – Non-accounting measure calculated by the Company. The Company presents Adjusted EBITDA to provide additional information on cash generation in the period.

Production & Shipments

According to data from the Brazilian Steel Institute (IABr), the domestic market contracted 16% in 4Q21 compared to 3Q21. Crude steel production and shipments at the Brazil BD decreased in 4Q21, reflecting the seasonality of the period. This quarter, the Company directed 25% of its shipments to export markets, compared to 12% in 3Q21.

The fourth quarter was influenced by the seasonality of the industry, when demand usually stabilizes. Supply and inventories in the chains have normalized.

Shipments in the domestic market were marked by lower volumes of reinforced concrete, drawn steel and bars and profiles. Demand from the construction retail sector, driven by the work-from-home trend and government assistance, has stabilized at high levels. In flat steel, the highlight was the demand for heavy plates to serve the wind power and infrastructure sectors.

In 4Q21, 201,000 tonnes of iron ore were sold to third parties and 787,000 tonnes were consumed internally.

Operating Result

Net sales increased in 4Q21 compared to 4Q20, explained by the higher prices practiced in the period and higher exports with positive exchange variation. The decline in relation to 3Q21 is due to the lower volumes shipped in the domestic market and the change in the domestic and export market sales mix, with higher sales of semi-finished products.

The cost of goods sold in 4Q21 increased compared to 4Q20, due to the high costs of raw materials: iron ore rose 82% and metallurgical coal rose 59%. In December, occurred some seasonal maintenance stoppages.

Given the changes in the scenario for the international steel industry and the costs of key inputs, the Company has been working to rebuild and protect its margins given the upcycle in the costs of its main raw materials.

Gross profit and gross margin increased in 4Q21 compared to 4Q20, since the increase in revenue per tonne sold surpassed the increase in costs per tonne sold.

In 4Q21, the Brazil BD delivered its highest EBITDA ever for a fourth quarter, with the result reflecting the good scenario for both the local and global steel industry combined with the capacity of Gerdau’s teams in seizing the opportunities arising from this scenario.

EBITDA (R$ million) & EBITDA Margin (%)

NORTH AMERICA BD

1 – Non-accounting measure calculated by the Company. The Company presents Adjusted EBITDA to provide additional information on cash generation in the period.

Production & Shipments

Steel production increased in 4Q21 in relation to 4Q20, driven by strong demand from the construction and industrial sectors. Note that the North America BD currently is operating near its full capacity, with the rolling mills running at over 90% capacity.

Shipments in 4Q21 were slightly affected by the seasonality of the comparison periods. Demand from the non-residential construction and industrial sectors remained at strong levels. Total investments in construction (CPIP) grew by 10.6% in the 12 months to December, to US$ 1.6 trillion. Note that the leading indicator for non-residential construction (ABI) recovered to strong expansion territory, reaching 52 in December 2021. The industrial sector also remained strong, as shown by the Institute for Supply Management (ISM) index, which reached 59 points in December.

Operating Result

The growth in net sales in 4Q21 compared to 4Q20 and 3Q21 is explained by the increases in net sales per tonne sold recorded in the comparison periods.

Cost of goods sold increased in 4Q21 in relation to 4Q20, affected mainly by higher scrap and alloy costs.

Gross profit and gross margin increased significantly in 4Q21 in relation to 4Q20, explained by the better metals spread and by the initiatives to reduce costs with production at full capacity (above 90% utilization).

EBITDA and EBITDA margin set all-time highs, accompanying the better performances of gross profit and gross margin.

EBITDA (R$ million) & EBITDA Margin (%)

Corporate reorganization of operations in Mexico

As announced previously, the Company concluded the steps of the corporate restructuring of the operations in Mexico involving its subsidiary Sidertúl, S.A. de C.V. (Sidertúl), the shared-control company Gerdau Corsa, S.A.P.I. de C.V. (Gerdau Corsa) and its subsidiary Aceros Corsa, S.A. de C.V. (Aceros Corsa). The corporate restructuring also reinforces the Company’s commitment to its operations in Mexico, which is an important and strategic geography to its long-term vision in the North America BD. Due to the corporate restructuring, the Company increased its interest in Gerdau Corsa from 70% to 75%, while maintaining joint control of the company with Grupo Córdova. As from December 1, 2021, the results of the operations in Mexico will be presented on an equivalent ratio basis, including EBITDA, proportionately to the 75% interest it holds in the shared-control company Gerdau Corsa.

SOUTH AMERICA BD

1 – Non-accounting measure calculated by the Company. The Company presents Adjusted EBITDA to provide additional information on cash generation in the period.

Production & Shipments

Steel production decreased in 4Q21 compared to 4Q20 and 3Q21, while shipments increased in 4Q21 in both comparison periods, mainly due to the continued good performance of the operations in Peru and Argentina.

Operating Result

Net sales increased considerably in 4Q21 in relation to 4Q20, due to higher shipments and the strong correlation of these countries with international steel prices. In relation to 3Q21, net sales increased, accompanying the higher volumes shipped in the comparison periods.

Cost of goods sold increased in 4Q21 compared to 4Q20, in line with the growth in shipments and higher raw material prices, especially the increase of over 56% in the cost of scrap consumed.

Gross profit increased in 4Q21 compared to 4Q20, due to the same factors that influenced sales and cost of goods sold. Gross margin decreased in the comparison periods due to the higher cost of goods sold.

EBITDA increased in 4Q21 compared to 4Q20, reflecting the higher gross profit and the important contribution from the joint ventures in Colombia and the Dominican Republic. In relation to 3Q21, EBITDA decreased due to the 22% increase in scrap costs.

EBITDA (R$ million) & EBITDA Margin (%)

SPECIAL STEEL BD

1 – Non-accounting measure calculated by the Company. The Company presents Adjusted EBITDA to provide additional information on cash generation in the period.

Production & Shipments

Steel production increased in 4Q21 in relation to 3Q21, but decreased slightly compared to 4Q20.

Shipments remained stable in the comparison periods. Light vehicle production continued to be affected by the supply of semiconductors, which are used in all electronic components installed in vehicles. The good performances of the heavy vehicle sector in Brazil and the oil and gas industry in the United States offset the effects caused by the semiconductor shortage on the light vehicle sector.

Operating Result

The increases in net sales and cost of goods sold in 4Q21 were due to the higher steel prices and raw material costs practiced in the industry.

In 4Q21, gross profit and gross margin accompanied the performance of net sales and cost of goods sold. Note that this division has been posting a gradual recovery in performance, which can be indicated by the production capacity utilization rate, around 70% in 4Q21.

EBITDA and EBITDA margin increased in 4Q21 in comparison with both periods, accompanying the performance of gross profit and gross margin. As a result, the Special Steel BD sustained margin levels not observed since 2018.

EBITDA (R$ million) & EBITDA Margin (%)

THE MANAGEMENT

This document contains forward-looking statements. These statements are based on estimates, information or methods that may be incorrect or inaccurate and that may not occur. These estimates are also subject to risks, uncertainties and assumptions that include, among other factors: general economic, political and commercial conditions in Brazil and in the markets where we operate, as well as existing and future government regulations. Potential investors are cautioned that these forward-looking statements do not constitute guarantees of future performance, given that they involve risks and uncertainties. Gerdau does not undertake and expressly waives any obligation to update any of these forward-looking statements, which are valid only on the date on which they were made.

GERDAU S.A.

CONSOLIDATED BALANCE SHEETS

In thousands of Brazilian reais (R$)  

GERDAU S.A.

CONSOLIDATED BALANCE SHEETS

In thousands of  Brazilian reais (R$)      

GERDAU S.A.

CONSOLIDATED STATEMENTS OF INCOME

In thousands of Brazilian reais (R$)

*Adjusted net income is a non-accounting indicator prepared by the Company, reconciled with the financial statements and consists of net income adjusted for extraordinary events that influenced the net income (loss), without cash effect.

GERDAU S.A.

CONSOLIDATED STATEMENTS OF CASH FLOWS

In thousands of  Brazilian reais (R$)