•

•
 70.000 20,0%
200.000 15,0%
60.000
15,0%
150.000
50.000
10,0%
40.000 10,0%
100.000
30.000
20.000 5,0% 5,0%
50.000
10.000
0,0%
0 0 0,0%
-10.000 -5,0%
∆
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25

⁴
 ∆

∆ ∆

∆
 II
A
III
IV
IV
Earnings Release

4Q
2018
Shopping Estação Cuiabá - MT
 Index 1.
2.
3.
MANAGEMENT LETTER
MAIN FINANCIAL AND OPERATIONAL INDICATORS
MANAGEMENT COMMENTS ON THE 4Q18 RESULTS
3
5
8
4. REVENUES 8
5. COSTS 11
6. NOI 12
7. TOP 25 NOI 13
8. DETAILS ON MAIN MALL VARIATIONS 14

4Q 9.
10.
SALES, GENERAL AND ADMINISTRATIVE EXPENSES
EBITDA
15
17

2018 11.
12.
FINANCIAL RESULT AND TAXES
NET INCOME AND FFO
18
19
Earnings 13. CAPITAL STRUCTURE 20
Release 14. HISTORICAL FINANCIAL PERFORMANCE 21
15. OPERATIONAL INDICATORS 22
16. OPERATIONAL PERFORMANCE 25
17. LEASING ACTIVITY 27
18. PROJECTS UNDER DEVELOPMENT 28
19. RETROFITS 29
20. CAPITAL MARKETS 30
21. APPENDIX 32

2

brMalls
ANNOUNCES THE
RESULTS FOR THE
FOURTH QUARTER
OF 2018
Rio de Janeiro, March 14th, 2018 –
BRMALLS Participações S.A. (B3:
BRML3), the largest integrated
shopping mall company in Brazil,
announces its results for the
fourth quarter of 2018.
Management Letter
2018 proved to be another challenging year for retailers, with
unusual events such as the truckers' strike and election
uncertainty, but ended with expectations of major structural
improvements for the coming years. For brMalls, 2018 was a
year of important advancements in the short and long term
objectives.
In the short term, we had significant improvements in
operational indicators, such as sales from our tenants,
occupancy rate and delinquency. Throughout 2017 and the
first half of 2018 we conducted a significant replacement of
low-performance tenants and ended the year with a healthier
and better performance tenant mix. This tenant turnover
effort required us to lower rent levels in some malls at first,
but considerably improved the level of delinquency and
provision for bad debt, proving to be the right decision both
from a consumer and a financial standpoint, when we analyze
the bottom-line of the shopping malls. As a consequence, in
addition to the liability management efforts conducted over
the last quarters, we presented improvements in different
financial metrics, most notably on Adjusted Ebitda and
Adjusted FFO, which reached the highest annual figure in the
company's history.
At the same time, we have taken important steps towards our
long-term goals, of which we highlight:
Portfolio Strengthening - the retrofits of 10 of our main
assets will bring important improvements to the
attractiveness and long-term performance. After the initial
delay, in 2018 we achieved important progress in
NorteShopping and in 2019 we will move forward with the
constructions in Villa Lobos, Tijuca, Plaza Niterói and Center
Shopping Uberlândia.
4Q
2018
Earnings
Release
With regards to our portfolio, we have explained that we are
"sculpting" it - reducing exposure to non-core assets (smaller malls
in smaller cities and in which we do not provide active
management) and increasing exposure to core assets (via
acquisitions, expansions of existing malls or acquisitions of larger
malls, in large cities and where we can provide active management).
As for asset divestment perspective, 2017 was an important year,
while in 2018 we completed the acquisition of the Alvear portfolio
and in 2019, with a greater visibility on the outlook for of the long-
term interest rates, we expect to advance both in non-core
divestments (we concluded the sale of Shopping Sete Lagoas in
February, 2019) and in acquisitions of core assets. Our portfolio
allows us to divest while still maintaining a relevant scale, and at
the same time our strong balance sheet puts us in a privileged
position to analyze new acquisition opportunities.
In 4Q18 we inaugurated our most recent greenfield, Shopping
Estação Cuiabá, with a strong tenant mix, high occupancy rate and
sales. This inauguration, besides representing a source of growth
for the Company in a region of favorable relative performance in
the country, has brought new experiences that we are piloting for
other shopping malls such as Taste Lab (gourmet culinary
experience – food hall), Pet park, playgrounds and automated
parking.
Operational recovery - for 2019 and subsequent years we expect
more favorable operating results, due to the post-recession
macroeconomic recovery and the supply and demand dynamics for
GLA. In the coming years, a limited level of new GLA is expected to
be open in Brazil, while at the same time we notice a significant
increase in the demand from retailers for additional store openings,
either for the expansion of existing brands or to launch new brands.
3

brMalls
ANNOUNCES THE
RESULTS FOR THE
FOURTH QUARTER
OF 2018
Rio de Janeiro, March 14th, 2018 –
BRMALLS Participações S.A. (B3:
BRML3), the largest integrated
shopping mall company in Brazil,
announces its results for the
fourth quarter of 2018.
Management Letter
This scenario should bring a medium-term recovery in rents,
first through an increase in the occupancy rate and later
through more favorable leasing spreads. Other revenues that
have proven to be more volatile during the recession, such as
media and key money/commercial revenues, should also
recover in the coming years. In recent years we prepared
ourselves by strengthening the tenant mix and the experience
of our shopping malls and internally reinforced our leasing
team, improving the relationship with our tenants and
initiating the process of media digitization.
Culture - in 2018 we updated our Culture, recognizing a world
in rapid transformation and aiming to create a stronger
Company for all stakeholders. We created our Sense of
Purpose: "Transform shopping malls into destinations of
Happiness and Opportunity" and the updated Values reinforce
a Customer orientation, Long Term and Collaboration, while at
the same time maintaining a focus on people excellence and
meritocracy, which are key pillars to high performance. These
changes have been carefully planned and are essential for the
Company's long term objectives. We have received promising
feedback from our retailers and consumers (we obtained our
highest level of satisfaction as measured by NPS) and also by
our employees (engagement level rose and we had the best
semester of employee turnover after updating our Culture).
Innovation and Omnichannel - we see a great opportunity to
influence the evolution of retail in Brazil and to create new
business models incorporating innovation and embracing
omnichannel.
4Q
2018
Earnings
Release
Having this in mind, we started a Digital Transformation journey,
involving in 2018 all of our Executive Officers, Board of Directors
and revisiting the Strategic Plan. We started the rollout of the
Delivery Center solution, which opens new horizons for our
consumers and tenants through same-hour delivery solutions,
and accelerated the search for new solutions through our open-
innovation partnership with Cubo Itaú, the largest center of
technological entrepreneurship in Latin America.
Fortress Balance Sheet and Capital Allocation - The
adjustments made in recent years, mainly related to
deleveraging, changes in the debt profile and portfolio strategy,
provided brMalls a greater solidity and long-term investment
capacity, recognized by Fitch's AAA rating for the first time in the
history of the Company. We also reaffirm our commitment to
capital allocation. Looking forward, we will allocate capital to
strengthen core assets and invest in an accretive manner for our
shareholders. Nonetheless, we look forward to returning more
capital to our shareholders if we do not find investment
opportunities that fit the profile of desired malls and required
returns. In 2018, we took advantage of a moment of market
opportunity to execute approximately R$ 300 million in our share
repurchase program, at an average cap rate of 10.7%, and
distributed part of our net income (we made the first payment of
Interest on Capital in the Company's history, in the amount of R$
80 million). The management proposed the payment of dividends
in the total amount of R$ 119.3 million to be ratified at the 2019
General Meeting.
We are confident in the future perspectives and committed to
the Company's strategy. We appreciate the trust of our clients,
our shareholders and the dedication of all our employees.
Ruy Kameyama, brMalls CEO
4
 4Q
2018
Main Financial and Operational Indicators Earnings
Release

MAIN INDICATORS
• Net Revenue decreased 0.5% in 4Q18 and remained stable over the previous year, reaching R$ 1.3 billion in 2018, excluding the divestments
effects.

• Adjusted EBITDA increased by 6.0% in 4Q18 and 11.5% in 2018, reaching R$ 914.0 million excluding the divestments effects.

• Adjusted FFO increased by 25.4% in 4Q18 and 36.3% in 2018, reaching R$ 580.6 million in the year, the largest AFFO in the Company's
history. The AFFO per share indicator increased by 33.3% in the quarter and 30.8% in the year, mainly due to the share repurchase program.

• Total Sales increased by 7.7% in 4Q18 and 4.1% in 2018, excluding the divestments effects.

• Same Store Sales (SSS) grew by 3.7% in the quarter and 2.0% in the year. Same Store Rent (SSR) increased by 4.9% in the quarter and 2.0%
in the year.

• Occupancy Rate of 4Q18 was 96.7%, or 0.5pp higher than 4Q17. In the full year comparison, the indicator registered 96.4%, or 0.9 pp higher
than 2017.

• Net delinquency rate recorded 0.4% in the quarter and 2.1% in the year, 0.9 pp and 1.2 pp lower than the respective periods of the previous
year. The late payments registered 6.1% in 4Q18 and 7.6% in the year, both 3.5pp lower than in the same period of the previous year.

5
 4Q
2018
Main financial indicators Earnings
Release

4Q17 Ex 2017 Ex
4Q18 4Q17 % % 2018 2017 % %
Divestments ¹ Divestments ¹
Net Revenues 351,668 370,552 -5.1% 353,337 -0.5% 1,266,267 1,347,967 -6.1% 1,266,356 0.0%

S, G & A Expenses (63,223) (82,622) -23.5% * * (195,304) (303,324) -35.6% * *

S, G & A Expenses (% of Net Revenues) -18.0% -22.3% 4.3 p.p. * * -15.4% -22.5% 7.1 p.p. * *

NOI 316,879 335,057 -5.4% 319,436 -0.8% 1,125,546 1,200,171 -6.2% 1,127,601 -0.2%
margin% 87.3% 89.6% -2.3 p.p. 89.6% -2.3 p.p. 87.6% 88.4% -0.8 p.p. 88.5% -0.9 p.p.
Gross Profit 306,417 334,026 -8.3% * * 1,110,113 1,198,452 -7.4% * *
margin % 87.1% 90.1% -3.0 p.p. * * 87.7% 88.9% -1.2 p.p. * *
EBITDA 1,070,668 (985,813) - * * 1,685,042 (917,758) - * *
Adjusted EBITDA 234,973 235,398 -0.2% 221,697 6.0% 913,975 875,996 4.3% 819,777 11.5%
margin% 66.8% 63.5% 3.3 p.p. 62.7% 4.1 p.p. 72.2% 65.0% 7.2 p.p. 64.7% 7.4 p.p.
Net Income 727,734 (652,469) - * * 1,014,087 (796,281) - * *
Adjusted Net Income 162,837 129,267 26.0% * * 563,159 409,105 37.7% * *
margin % 46.3% 34.9% 11.4 p.p. * * 44.5% 30.3% 14.1 p.p. * *
FFO 732,357 (648,217) - * * 1,031,489 (779,441) - * *
Adjusted FFO 167,460 133,519 25.4% * * 580,561 425,946 36.3% * *
margin % 47.6% 36.0% 11.6 p.p. * * 45.8% 31.6% 14.2 p.p. * *
Adjusted FFO per share ² 0.20 0.15 33.3% * * 0.68 0.52 30.8% * *

¹ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures, we also
exclude ItaúPower, divested in Mar/17.
² Number of shares considers the repurchase program and is adjusted by stock-bonus.
6
 4Q
2018
Main operational indicators Earnings
Release

4Q18 4Q17 % 2018 2017 %

Total GLA (m²) ¹ 1,492,642 1,445,536 3.3% 1,492,642 1,445,536 3.3%

Owned GLA (m²) ¹ 949,639 877,111 8.3% 949,639 877,111 8.3%

Adjusted GLA (m²) ² 1,333,567 1,412,609 -5.6% 1,294,760 1,425,063 -9.1%

Same Store Sales 3.7% 1.6% 2.1 p.p. 2.0% 2.8% -0.8 p.p.

Total Sales (R$ million) 6,543 6,708 -2.5% 20,799 22,246 -6.5%

Total Sales Ex Divestments (R$ million) ³ 6,543 6,075 7.7% 20,799 19,989 4.1%

Sales per m² 1,635 1,583 3.3% 1,339 1,301 2.9%

Same Store Rent 4.9% 1.7% 3.2 p.p. 2.0% 4.9% -2.9 p.p.

Rent per m² (monthly average) 100 104 -3.8% 93 93 -

NOI per m² (monthly average) 117 123 -4.9% 108 109 -0.9%

Occupancy Cost (% of sales) 10.0% 10.3% -0.3 p.p. 10.7% 11.0% -0.3 p.p.

(+) Rent (% of sales) 6.2% 6.4% -0.2 p.p. 6.2% 6.5% -0.3 p.p.

(+) Condominium and Marketing Expenses (% of sales) 3.8% 3.9% -0.1 p.p. 4.5% 4.5% -.

Occupancy Rate (monthly average) 96.7% 96.2% 0.5 p.p. 96.4% 95.5% 0.9 p.p.

Net Late Payments 0.4% 1.3% -0.9 p.p. 2.1% 3.3% -1.2 p.p.

Late Payments - (monthly average) 6.1% 9.6% -3.5 p.p. 7.6% 11.1% -3.5 p.p.
Tenant Turnover 7.6% 9.1% -1.5 p.p. 7.6% 9.1% -1.5 p.p.

¹ Between 4Q17 and 4Q18 we acquired 30% stake at Alvear (Catuaí Londrina, Catuaí Maringá and Londrina Norte) and launched our greenfield Shopping Estação Cuiabá.
² Only considers stores that report their sales. Adjusted GLA is used to calculate Sales/m².
³ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD
figures, we also exclude ItaúPower, divested in Mar/17.
7

brMalls
Except where stated otherwise, the following financial and
operating information is presented on a consolidated basis
and in Brazilian Real (R$) and the comparisons are with the
fourth quarter of 2017 and the full year of 2017. The
financial information is presented in accordance with the
practices adopted in Brazil based on the pronouncements
issued by the Accounting Pronouncements Committee
(CPC) and the standards approved by the Securities and
Exchange Commission of Brazil (CVM) and the International
Financial Reporting Standards (IFRS), except the effects
from the adoption of the pronouncements CPC 19 (R2) and
CPC 36 (R3) – IFRS 10 and 11.
Therefore, the adjusted financial information presented
herein reflects the proportional consolidation of the jointly
controlled companies, as presented prior to the adoption
of said standards, since it is considered by the management
of the Company as the best way to analyze its operations.
The adjusted financial information was not audited and/or
reviewed by the independent auditors and the
reconciliations with the audited financial information in
accordance with the applicable accounting practices are
available at the end of this document.
4Q
2018
Management comments on Earnings
Release
the 4Q18 results
-5.1%
-0.5%
NET REVENUE
Net revenues in 4Q18 totaled R$ 351.7 million, a reduction of 5.1% 370,552 353,337 351,668
when compared to 4Q17. Excluding the effects of assets
divestments¹, the variation was -0.5%.
Net Revenues were negatively impacted during the quarter by a
lawsuit provision related to PIS/COFINS over rental revenue. This
lawsuit totaled approximately R$ 7.0 million.
BASE RENT 4Q17 4Q17¹ 4Q18
This line totaled R$ 195.1 million in the quarter, representing a 5.8% reduction when compared to 4Q17. However,
excluding the effects of asset divestments¹, this variation was negative by 0.6%, mainly due to the negative straight-
lining effect generated by Shopping Estação Cuiabá, which amounted to a negative value of R$ 2.9 million. The mall
generated a negative straight-lining since the straight-lining on the minimum rent revenues are booked based on
the average rent and given the fact that the mall was recently inaugurated and, in the month of December, a double
rent is charged these factors combined led to a more negative straight-lining effect.
Although the level of discounts remains above the Company's historical average, in recent quarters we have observed
a trend towards a better balance on GLA supply and demand, along with a considerable reduction in the concession of
discounts.
MALL & MEDIA
The Mall & Media line presented a 3.7% reduction compared to the same quarter of the previous year, totaling
R$ 48.5 million. Excluding the effects of asset divestments¹, however, the line grew by 0.6% when compared to 4Q17.
Regarding future perspectives, we believe that the digital media panels strategy will be an important revenue growth
driver. In 2018, digital media panels were installed in 11 malls and by the end of the first half of 2019 they should be
present in 3 more malls, allowing for greater value extraction on the Company's Media line.
¹ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela,
Natal Shopping and Maceió Shopping).
8
 4Q
2018
Revenues Earnings
Release

Rent Revenue Breakdown (R$ 4Q17 Ex 2017 Ex

4Q18 4Q17 % % 2018 2017 % %
thousand) Divestments¹ Divestments¹
Base Rent 195,109 207,153 -5.8% 196,262 -0.6% 754,322 807,576 -6.6% 754,739 -0.1%
Mall & Media 48,489 50,353 -3.7% 48,195 0.6% 144,016 150,951 -4.6% 142,626 1.0%
Overage Rent 26,055 25,168 3.5% 24,031 8.4% 69,177 71,637 -3.4% 67,363 2.7%
Rents 269,653 282,674 -4.6% 268,488 0.4% 967,515 1,030,164 -6.1% 964,728 0.3%

Gross Revenues Breakdown 4Q17 Ex 2017 Ex

4Q18 4Q17 % % 2018 2017 % %
(R$ thousand) Divestments¹ Divestments¹

Rents 269,653 282,674 -4.6% 268,488 0.4% 967,515 1,030,164 -6.1% 964,728 0.3%
Parking 80,496 80,442 0.1% 77,010 4.5% 278,737 283,207 -1.6% 266,421 4.6%
Services 29,221 29,118 0.4% 27,965 4.5% 101,946 100,289 1.7% 95,412 6.8%
Key Money 6,772 6,130 10.5% 6,550 3.4% 23,781 29,587 -19.6% 28,789 -17.4%
Transfer Fee 3,607 2,677 34.7% 2,621 37.6% 7,355 6,131 20.0% 6,017 22.2%
Others 2,283 2,043 11.7% 1,912 19.4% 7,799 9,089 -14.2% 8,769 -11.1%
Gross Revenue 392,032 403,084 -2.7% 384,546 1.9% 1,387,133 1,458,467 -4.9% 1,370,136 1.2%

(-)Taxes and Contributions (40,364) (32,532) 24.1% (31,209) 29.3% (120,866) (110,500) 9.4% (103,780) 16.5%

Net Revenue 351,668 370,552 -5.1% 353,337 -0.5% 1,266,267 1,347,967 -6.1% 1,266,356 0.0%

¹ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures, we
also exclude ItaúPower, divested in Mar/17.

9
 4Q
2018
Revenues Earnings
Release

Rents Breakdown 4Q18 4Q17 % 2018 2017 % OVERAGE RENT

Base Rent 49.8% 51.4% -1.6 p.p. 54.4% 55.4% -1.0 p.p. Totaling R$ 26.1 million in 4Q18, overage rent revenues increased
by 3.5% when compared to the same period of the previous year.
Mall & Media 12.4% 12.5% -0.1 p.p. 10.4% 10.3% 0.1 p.p. Excluding the effects of assets divestments¹, it increased by 8.4%.
This revenue line was positively impacted by the gradual recovery of
Overage Rent 6.6% 6.2% 0.4 p.p. 5.0% 4.9% 0.1 p.p. the economy and by a larger number of stores that reached the
Rents 68.8% 70.1% -1.3 p.p. 69.8% 70.6% -0.8 p.p. equilibrium point set in their contracts.

Gross Revenues Breakdown 4Q18 4Q17 % 2018 2017 % PARKING

Rents 68.8% 70.1% -1.3 p.p. 69.8% 70.6% -0.8 p.p. Parking revenues presented a 0.1% growth when compared to
4Q17, totaling R$ 80.5 million. Excluding the effects of assets
Parking 20.5% 20.0% 0.5 p.p. 20.1% 19.4% 0.7 p.p. divestments¹, the revenue grew by 4.5%, which is partly explained
Services 7.5% 7.2% 0.3 p.p. 7.3% 6.9% 0.4 p.p. by the 3.2% increase in the flow of vehicles during the quarter.

Key Money 1.7% 1.5% 0.2 p.p. 1.7% 2.1% -0.4 p.p. The year over year growth deceleration compared to 3Q18 is mainly
due to the tariff readjustment dynamics. There were 9
Transfer Fee 0.9% 0.7% 0.2 p.p. 0.5% 0.4% 0.1 p.p. readjustments made in the fourth quarter of 2017, while tariffs
Others 0.6% 0.5% 0.1 p.p. 0.6% 0.6% -. were increased in only 3 malls in 4Q18. In addition, Shopping Villa-
Lobos had a reduction in vehicle flow due to the overpass problem
Gross Revenue 100.0% 100.0% - 100.0% 100.0% - in the vicinity of the asset.

¹ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures, we also
exclude ItaúPower, divested in Mar/17.

10
 4Q
2018
Earnings
SERVICES Costs Release
We reported service revenues of R$ 29.2 million in 4Q18, an increase
of 0.4%, mainly due to the migration of mall employees to the shared
cost structure, which generated an increase in Backoffice services 4Q18 4Q17 % 2018 2017 %
fees.
Payroll (8,264) (6,216) 32.9% (30,957) (25,477) 21.5%
The migration occurred due to the maturing process of the
Backoffice, which now provides more services to the malls, Services Provided (5,537) (5,089) 8.8% (17,011) (19,665) -13.5%
contributing to an increase in revenues, that conversely increased the Common Costs (14,396) (12,548) 14.7% (55,803) (53,723) 3.9%
administrative personnel expenses.
Merchandising Costs (2,780) (2,040) 36.3% (9,550) (9,226) 3.5%
Excluding the effects of assets divestments¹, the increase in service
Other Costs (14,274) (10,633) 34.2% (42,833) (41,424) 3.4%
revenues was of 4.5%, or R$ 1.3 million.
Costs (45,251) (36,526) 23.9% (156,154) (149,515) 4.4%
The leasing fees were also impacted by the portfolio reduction and by
the 38.6% decrease in the number of leased stores compared to Costs Ex Divestments ¹ (45,251) (34,762) 30.2% (156,154) (138,630) 12.6%
4Q17.
During this quarter, costs totaled R$ 45.3 million, 23.9% higher than in 4Q17. In 2018, it posted a 4.4% increase
when compared to 2017. The main changes in the cost were due to the following factors:
KEY MONEY
Key Money revenues in 4Q18 totaled R$ 6.8 million, an increase of PERSONNEL COSTS COMMON COSTS
10.5% when compared to 4Q17. The variation in this line is associated We recorded a 32.9% increase in personnel costs, Common costs presented a positive variation of
with the higher amount of Key Money collected during the quarter as which totaled R$ 8.3 million in 4Q18. The main 14.7% when compared to 4Q17. This growth is
a result of the opening of Shopping Estação Cuiabá on October 23rd, impact was the Personnel Costs line, with the associated with the increase in the number of
2018, and by the slight recovery in the level of Key Money in the entire objective of centralizing controls and processes. special contracts, in which the Company is
portfolio compared to 4Q17. responsible for the tenant’s contributions towards
the condominium.
TRANSFER FEES
Regarding transfer fees, we observed a 34.7% growth when
OTHER COSTS
compared to 4Q17, totaling R$ 3.6 million. The increase is mainly Other costs increased 34.2% compared to 4Q17,
associated with tenant changes that occurred in Shopping Tijuca, mainly due to the implementation of the
which generated revenues of approximately R$ 0.9 million in 4Q18. Company's digital media strategy, which had its
costs concentrated in the quarter.

¹ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures, we also
exclude ItaúPower, divested in Mar/17.

11
 4Q
2018
NOI Earnings
Release

4Q18 4Q17 % 2018 2017 %

During the quarter, we recorded on NOI of
R$ 316.9 million, which represents a Gross Revenue 392,032 403,084 -2.7% 1,387,133 1,458,467 -4.9%
negative variation of 5.4% when compared
(-) Services (29,221) (29,118) 0.4% (101,946) (100,289) 1.7%
to 4Q17. Excluding the effects of assets
divestments², the NOI varied by -0.8% in (+) Costs (45,251) (36,526) 23.9% (156,154) (149,515) 4.4%
the quarter. The NOI margin reached (+) Araguaia Debenture¹ 1,786 - - 6,328 1,689 274.7%
87.3%.
(-) Credit PIS/COFINS (2,467) (2,383) 3.5% (9,815) (10,181) -3.6%
When we consider the 25 most NOI 316,879 335,057 -5.4% 1,125,546 1,200,171 -6.2%
representative malls in terms of NOI, their
NOI amounted to R$ 288.8 million during Margin % 87.3% 89.6% -2.3 p.p. 87.6% 88.4% -0.8 p.p.
the quarter, a 1.0% reduction. NOI Ex Divestments² 316,879 319,436 -0.8% 1,125,546 1,127,601 -0.2%
Margin % 87.3% 89.6% -2.3 p.p. 87.6% 88.5% -0.9 p.p.

¹ After being withheld for a few months, the flow of remittances has been normalized due to common agreement between shareholders.
² For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures, we
also exclude ItaúPower, divested in Mar/17.
12
 4Q
2018
Top 25 NOI Earnings
Release

Company's Consolidated View Full Results (100%)

NOI 4Q18¹ NOI 4Q17¹ % NOI 2018¹ NOI 2017¹ % NOI 4Q18 NOI 2018 NOI/m² 4Q18¹ Rent/m² 4Q18¹
1 Plaza Niterói 29,898 32,842 -9.0% 113,952 120,789 -5.7% 29,898 113,952 226 192
2 Tijuca 29,611 31,007 -4.5% 105,339 110,205 -4.4% 29,611 105,339 278 242
3 NorteShopping 25,488 26,323 -3.2% 89,631 88,942 0.8% 42,261 148,618 181 146
4 Tamboré 19,534 19,264 1.4% 69,604 70,815 -1.7% 19,534 69,604 131 99
5 Uberlândia 17,215 17,996 -4.3% 64,457 61,345 5.1% 17,215 64,457 109 91
6 Londrina 15,730 16,118 -2.4% 56,021 57,220 -2.1% 16,914 60,238 89 73
7 Shopping Recife 13,475 13,648 -1.3% 48,231 46,611 3.5% 43,707 156,440 194 163
8 Mooca 13,010 11,676 11.4% 42,467 41,122 3.3% 21,683 70,779 172 112
9 Estação 12,150 11,048 10.0% 43,251 41,337 4.6% 12,150 43,251 119 101
10 Campo Grande 12,111 11,720 3.3% 41,219 40,561 1.6% 17,399 59,214 148 106
11 Villa-Lobos 10,623 11,328 -6.2% 39,346 40,867 -3.7% 18,187 67,362 226 186
12 Metrô Santa Cruz 9,900 10,159 -2.5% 36,745 36,383 1.0% 9,900 36,745 172 205
13 Campinas Shopping 9,151 10,402 -12.0% 34,085 38,735 -12.0% 9,151 34,085 88 59
14 Independência Shopping 8,278 8,725 -5.1% 27,716 27,704 0.0% 8,278 27,716 115 87
15 Del Rey 8,004 8,316 -3.8% 27,554 28,969 -4.9% 12,314 42,390 111 86
16 Estação BH 7,984 8,055 -0.9% 29,192 27,426 6.4% 7,984 29,192 78 79
17 São Bernardo 7,197 6,710 7.3% 24,194 22,959 5.4% 11,995 40,322 93 59
18 Jardim Sul 6,781 5,319 27.5% 23,552 22,603 4.2% 11,301 39,252 122 98
19 Maringá 6,518 5,878 10.9% 21,866 22,781 -4.0% 6,518 21,866 67 57
20 Goiânia 5,022 4,410 13.9% 17,164 15,458 11.0% 10,312 35,246 154 127
21 Shopping Piracicaba 4,540 4,199 8.1% 16,116 14,269 12.9% 12,308 43,686 94 72
22 Capim Dourado 4,478 4,780 -6.3% 15,103 16,937 -10.8% 4,478 15,103 41 42
23 Amazonas Shopping 4,336 4,103 5.7% 14,748 14,546 1.4% 15,199 51,693 148 125
24 Ilha Plaza 3,951 3,705 6.6% 12,043 12,063 -0.2% 7,748 23,613 119 100
25 Shopping Curitiba 3,814 3,856 -1.1% 14,092 14,668 -3.9% 7,784 28,759 113 92
TOTAL TOP 25 288,799 291,587 -1.0% 1,027,688 1,035,315 -0.7% 403,829 1,428,922 139 112
Divested Assets³ - 15,621 - - 72,570 - - - - -
Others 28,080 27,849 0.8% 97,858 92,286 6.0% 62,185 248,606 - -
Total 316,879 335,057 -5.4% 1,125,546 1,200,171 -6.2% 466,014 1,677,528 - -
TOTAL EX-DIVESTED ASSETS 316,879 319,436 -0.8% 1,125,546 1,127,601 -0.2% 466,014 1,677,528 - -
TOP15/Total 234,178 240,572 -2.7% 839,618 851,605 -1.4% 308,202 1,100,190 157 133
TOP20/Total 267,680 270,944 -1.2% 955,586 962,832 -0.8% 356,312 1,266,068 150 118
TOP25/Total 288,799 291,587 -1.0% 1,027,688 1,035,315 -0.7% 403,829 1,428,922 139 112

¹ Straight Lined NOI (NOI + Base Rent Straight-Lining + Key Money Straight-Lining) regarding brMalls’ interest in each asset.
² Straight-lined Base rents + Mall + Media, excluding discounts.
³ For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the
2017 YTD figures, we also exclude ItaúPower, divested in Mar/17.
13
 4Q
2018
Details on main mall variations¹ Earnings
Release

(+) Jardim Sul: (+) Estação:

In 4Q17, the mall suffered non-recurring expenses related to a lawsuit in the amount of R $ 1.3 Mall management was able to reduce discount concessions in the period and also reduced the
million. condominium cost that was being charged. Media was also a positive revenue contributor.

(+) Goiânia: (-) Campinas Shopping:

The mall NOI increased 13.9% when compared to 4Q17. Sales contributed to this result,
growing 13.1% in the period. The increase in the occupancy rate was another factor that
contributed positively to a base rent growth of 8.9% over the same period in 2017. Media was
also a positive lever in the period as well as negotiations regarding key money. Another
important factor was the increase in the flow of vehicles of 9.3% in the period.
(+) Mooca:
Mall is undergoing a strong maturation process. The improvement in the tenant mix with
opening stores, such as Zara, contributed to a 17.9% sales growth and a 37.4% increase in
overage rent compared to the same period of the previous year. Another factor was the
increase in the flow of vehicles of 6.5% when compared to the same period in 2017.
(+) Maringá:
The improvement in the tenant mix with the addition of anchor tenants, such as the opening
of the Super Muffato supermarket, along with the reduction of discounts concessions by
approximately R$ 0.4 million when compared to 4Q17, contributed to the result of the mall
that presented sales growth of 30.9% in the period. In addition, new contracts contributed to
media revenue as well as sponsorship for the mall's Christmas event.
Mall is going through a tenant mix qualification strategy which, as a consequence, has reduced
the short term rental revenue and increased the number of special contracts.
(-) Plaza Niterói:
Mall adjusted its rental base, mainly through new leases, that seeked a tenant mix
improvement and healthier occupancy cost. Another effect, which was non-recurring, was the
expenses with legal services in 4Q18, which did not occur in the previous year.
(-) Capim Dourado:
Mall is still going through a tenant mix qualification process, which led to an increased in the
number of special contracts.
(-) Villa-Lobos:
Impacted by a drop in local traffic due to car blockades in the primary area of influence as a
result the overpass in Marginal Pinheiros that collapsed in the vicinity of the asset. The flow of
vehicles had a decrease of 13.9% in the period compared to the same period in the previous
year.
(-) Independência Shopping:

Going through tenant mix qualification strategy that had a negative impact on the base rent.
In addition, there was a decrease in the occupancy rate levels when compared to the previous
year.

¹ Variations based on brMalls’s interest in each malls

14
 4Q
2018
Sales, general and administrative expenses Earnings
Release
We recorded sales, general and administrative expenses of R$ 63.2 million in 4Q18, down by 23.5% when compared to 4Q17. In 2018, this reduction was of 35.6%, or R$
108.0 million. The main variations are explained below:
4Q18 4Q17 % 2018 2017 %
Sales Expenses (21,329) (68,302) -68.8% (66,942) (207,783) -67.8%
G&A Expenses (41,894) (14,320) 192.6% (128,362) (95,541) 34.4%
Sales Expenses (63,223) (82,622) -23.5% (195,304) (303,324) -35.6%

SALES EXPENSES
Sales expenses decreased R$ 47.0 million in the quarter, reducing from R$ 68.3 million in 4Q17 to R$ 21.3 million in 4Q18. The reduction year to date was R$ 140.9 million,
decreasing from R$ 207.8 million in 2017 to R$ 66.9 million in 2018. This reduction is mainly explained by the recovery in the provision for bad debt and by the reduction in the
level of delinquency in the period (as highlighted in the operating indicators section of this release), as a result of the Company’s tenant mix strategy.
4Q18 4Q17 % 2018 2017 %
Provision for Bad Debt and Debt Waiver (14,148) (61,916) -77.1% (41,663) (184,679) -77.4%
Leasing Comission (7,181) (6,386) 12.4% (25,279) (23,104) 9.4%
Sales Expenses (21,329) (68,302) -68.8% (66,942) (207,783) -67.8%
PROVISION FOR BAD DEBT AND DEBT WAIVER
When compared to 4Q17, provisions for bad debt and debt waiver presented a 77.1% (or R$ 47.8 million) reduction and in 2018 this reduction totaled 77.4% (or
R$ 143.0 million). We attribute the reduction of the provision rate to the reduction of the net delinquency rate of tenants during the last quarters.
As explained in the 1Q18 earnings release, as of January 1st, 2018, we began to record the debtors' balances in accordance with the IFRS9 / CPC 48 accounting criteria.

PROVISION FOR BAD DEBT AND DEBT WAIVERS (R$ THOUSANDS)

80,000 16.7% 20.0%

200,000 13.7% 15.0%
60,000 15.0%
150,000
7.1% 10.0%
40,000 5.8% 10.0%
4.0% 100,000
20,000 0.6% 5.0% 1.0% 3.3% 5.0%
0.0% 2,452 61,916
50,000
-177
22,620 14,148 13,652 1.4%
0 0.0% 19,567
97,217 184,680 41,663
4Q14 4Q15 4Q16 4Q17 4Q18 0 0.0%
-20,000 -5.0% 2014 2015 2016 2017 2018
Provision for Bad Debt % of Net Revenue Provision for Bad Debt % of Net Revenue
LEASING COMISSIONS
Leasing commissions increased by 12.4% when compared to 4Q17 due to the increase in leasing activity, resulting in a 0.5 p.p. increase in the occupancy rate, and also due to
a higher leasing rate in Shopping Estação Cuiabá.
15
 4Q
2018
Sales, general and administrative expenses Earnings
Release
GENERAL AND ADMINISTRATIVE EXPENSES
Totaling R$ 41.9 million in 4Q18, general and administrative expenses increased by 192.6% when compared to 4Q17. The expenses were mainly impacted by non-recurring
events in 4Q17 and 4Q18 related to provisions, reversals as well as an increase in headcount. In 2018, they increased by 34.4%.

4Q18 4Q17 % 2018 2017 %

Administrative Expenses (24,706) (14,257) 73.3% (89,614) (59,442) 50.8%
Expenditures on wages, charges and benefits (16,260) (12,200) 33.3% (62,332) (46,335) 34.5%
Profit Sharing (8,446) (2,057) 310.6% (27,282) (13,107) 108.1%
Stock-Based Compensation (2,680) (855) 213.5% (6,871) (28,893) -76.2%
Services Hired (5,069) (4,136) 22.6% (14,429) (9,510) 51.7%
Other Expenses (9,439) 4,928 -291.5% (17,448) 2,304 -857.3%
Contingency Expenses (7,248) 7,224 -200.3% (9,363) 9,020 -203.8%
Other Expenses (2,191) (2,296) -4.6% (8,085) (6,716) 20.4%
G&A Expenses (41,894) (14,320) 192.6% (128,362) (95,541) 34.4%

ADMINISTRATIVE EXPENSES
The administrative expenses increased by 73.3% during the quarter and by 50.8% in 2018. The expenditures on wages, charges and benefits increased 33.3% when compared
to 4Q17, mainly due to the headcount increase during the year in order to enable the execution of the undergoing retrofit projects and also due to the adequacy of the
compensation model aligned with the company's momentum.
Another factor, as explained in the service revenues section, was the increase in administrative expenses due to the migration of Backoffice employee’s payroll, which
contributed to a proportional increase in Backoffice service revenues.
Profit sharing expenses increased 310.6% in the quarter. This growth was due to the improvement in the company's goals compared to 2017 and also due to the increase in the
number of employees during 2018, as explained above.
STOCK-BASED COMPENSATION
The R$ 1.8 million (or 213.5%) growth presented in stock-based compensation expenses during the quarter is explained by the increase in the Performance Factor of the long-
term incentive plan, as a result of the performance of BRML3 versus its peers. In 2018, however, there was a decrease of 76.2% in this expense line due to the lower impact of
the new long-term incentive plan, which currently has 2 active grants, approved in June/2017 and June/2018, respectively, compared to the old stock option plan.
SERVICES HIRED
Services hired increased by 22.6% in the quarter when compared to 4Q17. The increase is partly explained by the consulting firm hired by R$ 2.5 million to assist in the
company’s long term strategic plan.
OTHER EXPENSES
The negative variation from 4Q17 to 4Q18 in other expenses is explained by two main non-recurring effects: i) In 4Q17, reversals of civil contingencies positively impacted
expenses by approximately R$ 7.2 million; ii) In 4Q18, civil and labor contingencies negatively impacted expenses by approximately R$ 7.2 million.
16
 4Q
2018
EBITDA Earnings
Release

During this quarter, Adjusted EBITDA totaled R$ 235.0 million, a 4Q18 4Q17 % 2018 2017 %
negative variation of 0.2% when compared to 4Q17. In 2018, Net Revenue 351,668 370,552 -5.1% 1,266,267 1,347,967 -6.1%
the indicator grew by 4.3%, or R$ 38.0 million.
(-) Costs and Expenses (113,097) (123,400) -8.3% (368,860) (469,679) -21.5%
The Adjusted EBITDA margin totaled 66.8%, 3.3 p.p. above the (+) Depreciation and Amortization 4,623 4,252 8.7% 17,402 16,840 3.3%
margin presented in 4Q17. Excluding the effects of assets (+) Other Operating Revenues 830,972 (1,237,217) -167.2% 772,312 (1,812,886) -142.6%
divestments¹, Adjusted EBITDA increased by 6.0% margin (+) Revenue Based on Equity Revenue (3,498) - - (2,079) - -
increased by 4.1 p.p.
EBITDA 1,070,668 (985,813) -208.6% 1,685,042 (917,758) -283.6%
In 2018 our Adjusted EBITDA margin registered 72.2%, 7.2p.p. (+) Araguaia Debenture 1,786 - - 6,328 1,689 274.7%
above the 2017 margin. Excluding the effects of assets (+) Investment Properties Tax Effect (837,481) 1,221,211 -168.6% (777,395) 1,792,065 -143.4%
divestments¹, Adjusted EBITDA grew by 11.5% and the margin
Adjusted EBITDA 234,973 235,398 -0.2% 913,975 875,996 4.3%
improved 7.4 p.p.
Margin % 66.8% 63.5% 3.3 p.p. 72.2% 65.0% 7.2 p.p.
Our Adjusted EBITDA margin was positively impacted by Adjusted EBITDA Ex Divestments ¹ 234,973 221,697 6.0% 913,975 819,777 11.5%
provisions for bad debt, which decreased by 77.1% when
compared to 4Q17. Margin % 66.8% 62.7% 4.1 p.p. 72.2% 64.7% 7.4 p.p.

¹ In order to calculate the Ex Divestments analysis, we deducted the divested assets’ (mentioned on previous pages) NOI and provisions for bad debt and debt waiver.

17
 4Q
2018
Financial result Earnings
Release
Revenues 4Q18 4Q17 % 2018 2017 %
The cash financial result recorded a net expense of R$ 43.9 million, 33.1% lower than
Financial Investments 16,590 23,208 -28.5% 86,304 89,426 -3.5%
that presented in 4Q17. The main factors responsible for this impact are described
FX Variation 28 1,198 -97.7% 5,842 164,191 -96.4%
below:
Swap Curve - 13,478 -100.0% 736 265,465 -99.7%
FINANCIAL INVESTMENTS Swap mark to market 2,494 2,336 6.8% 5,508 119,865 -95.4%
Revenues from financial investments decreased by 28.5%, amounting to R$ 16.6 Others 9,208 3,796 142.6% 19,519 12,785 52.7%
million. This variation is associated with the reduction of the Company’s cash position, Total 28,320 44,016 -35.7% 117,909 651,732 -81.9%
mainly due to the investment of approximately R$ 300 million in the share buyback
program in 2018 and the higher CAPEX, with the opening of Shopping Estação Cuiabá Despesas 4Q18 4Q17 % 2018 2017 %
and Redevelopments. In addition, the total cash return was influenced by the
reduction in interest rates (CDI) in the period. Interest (67,456) (78,278) -13.8% (298,476) (337,670) -11.6%
FX Variation (52) (15,517) -99.7% (129) (143,800) -99.9%
INTEREST Swap Curve (386) (4,157) -90.7% (13,516) (349,081) -96.1%
Interest expenses decreased by 13.8% in the quarter, totaling R$ 67.5 million. The Swap mark to market (1,529) (2,400) -36.3% (5,117) (105,445) -95.1%
reduction in interest expenses is mainly due to the 16.2% reduction in the Company's Others (1,859) (9,420) -80.3% (11,663) (25,501) -54.3%
gross debt and the liability management efforts conducted throughout the year Total (71,282) (109,772) -35.1% (328,901) (961,497) -65.4%
whereby the TR linked debt was renegotiated, reducing its average cost in 0.9p.p.

SWAP CURVE Financial Result (42,962) (65,756) -34.7% (210,992) (309,765) -31.9%
The Citi 4131 and JP Morgan 4131 debt swaps negatively affected 4Q17 results.
After the amortization of these debts, their effects are no longer reflected on the Cash Financial Result (43,927) (65,692) -33.1% (211,384) (324,185) -34.8%
swap curve line.

Taxes IR / CSLL PROVISIONS

Income tax and social contribution (IR/CSLL) provisions decreased by 64.1% when compared to
the same period of the previous year (4Q17). This was mainly due to the payment of Interest on
4Q18 4Q17 % 2018 2017 %
Capital, that generated the reversal of the IR / CSLL expense that had already been provisioned
Gross Revenue 392,032 403,084 -2.7% 1,387,133 1,458,467 -4.9% throughout 2018.
IR / CSLL Provisions (8,397) (23,403) -64.1% (87,327) (92,109) -5.2%
Deferred Taxes (230,485) 358,721 - (265,616) 460,425 -
DEFERRED TAXES
Deferred taxes in 2018 was negative compared to the positive value presented in the previous
Effective Tax Rate 60.9% -83.2% 144.1 p.p. 25.4% -25.3% 50.7 p.p.
year as a result of the reversal of deferred tax liability over the loss of the fair value of investment
property (PPI), since the Company recorded a negative adjustment for its mall’s fair value during
4Q17, while in 2018 we registered a gain of the PPI generating a negative deferred tax impact. 18
 4Q
2018
Net income and FFO Earnings
Release

Adjusted Net Income totaled R$ 162.8 million in 4Q18, representing a 26.0% increase over the adjusted net income reported in 4Q17. In 2018, the increase was of 37.7%
(or R$ 154.0 million). The main contributions to the growth of the adjusted net income came from the cash financial result, which improved by 33.1% compared to 4Q17,
the tenant mix strategy that consequently decreased the level of provisions for doubtful accounts and the tax benefit from the interest on capital distributed.

During the same period, adjusted FFO (AFFO) amounted to R$ 167.5 million, a 25.4% increase when compared to the same quarter of the previous year. AFFO margin
reached 47.6%, 11.6 p.p. above the 4Q17 margin. During the year, AFFO increased by 36.3% to R$ 580.6 million.

The combination of provision for doubtful accounts improvement with liability management efforts enabled the Company to present an AFFO of R$ 580.6 million in
2018, the largest AFFO in its history, even after the sale of some assets.

As one of the Company's main goals that reflects the value generated for our shareholders, AFFO per share¹ presented a 33.3% growth in 4Q18 and 30.8% in the year.
Among the main factors that explain the variation are the improvement in operating margin, liability management efforts, as well as the investment in the share
repurchase program.

4Q18 4Q17 % 2018 2017 %

Net Income 727,734 (652,469) - 1,014,087 (796,281) -

(+) Swap mark to market (965) 64 - (391) (14,420) -97.3%
(+) Non-cash taxes adjustment 229,374 (361,496) - 289,087 (451,597) -
(-) Investment Properties (837,481) 1,221,211 - (777,395) 1,792,065 -
(-) Minority Interest (Investment Prop.) 44,175 (78,043) - 37,771 (120,662) -
Adjusted Net Income 162,837 129,267 26.0% 563,159 409,105 37.7%
Margin % 46.3% 34.9% 11.4 p.p. 44.5% 30.3% 14.1 p.p.
(+) Depreciation and Amortization 4,623 4,252 8.7% 17,402 16,840 3.3%
FFO (Net Income + Depretiation and Amortization) 732,357 (648,217) - 1,031,489 (779,441) -
Adjusted FFO 167,460 133,519 25.4% 580,561 425,945 36.3%
Margin % 47.6% 36.0% 11.6 p.p. 45.8% 31.6% 14.2 p.p.
AFFO per Share 0.20 0.15 33.3% 0.68 0.55 23.6%
AFFO per Share Adjusted by Stock-Bonus ¹ 0.20 0.15 33.3% 0.68 0.52 30.8%

¹ Number of shares considers the repurchase program and is adjusted by stock-bonus..

19
 4Q
2018
Capital structure Earnings
Release
4Q18 3Q18 4Q17
Debt and DEBT AMORTIZATION SCHEDULE (R$ MILLION)
Avg. Cost
Swaps Average
Cash Position 935,319 1,002,343 1,700,814 per year Debt Balance
Index Indices Duration
(Debt & (R$ Thousand)
Exposure (% (Years)
Swaps) ¹
of the total) 582
Average Yield (% of CDI) 100.4% 100.0% 100.5%
417 452
390 372
TR 8.9% 59.2% 1,654,883 3.2
Gross Debt (R$ thousand) 2,796,551 2,847,402 3,338,172 261
160 162
Duration (years) 3.1 3.2 3.6
CDI 7.6% 19.6% 546,683 3.6
Average Cost 8.8% 9.2% 9.2%
2019 2020 2021 2022 2023 2024 2025 2026
IPCA 10.5% 20.6% 576,690 2.7 onwards
Net Debt (R$ thousand) 1,861,232 1,872,059 1,637,358

Net Debt / annualized quarter Adjusted EBITDA 12M / Financial Net Net Debt / LTM Adjusted EBITDA ²
2.0x 2.1x 1,7x IGP-M 16.7% 0.6% 17,470 2.1
Adjusted EBITDA Debt 4.4x
4.3x
4.6x5.0x 4.0x
Net Debt / LTM Adjusted 4.0x
2.0x 2.0x 1,9x Fixed 3.5% 0.0% 823 0.1
EBITDA 2.8x 3.0x 2.0x
3.5x 2.5x 2.3x 1.9x
1.9x 2.0x
Adjusted EBITDA LTM / Net
4.6x 3.8x 2,8x Total 8.8% 100.0% 2,796,551 3.1 1.5x 1.0x
Financial Expense
4Q14 4Q15 4Q16 4Q17 4Q18 4Q14 4Q15 4Q16 4Q17 4Q18
By the end of the fourth quarter of 2018, our gross debt totaled R$ 2,796.6 million, down 16.2% versus the previous year, or 2.7% below 3Q18. When compared to 4Q17, the reduction in the gross debt
balance occurred due to the amortization of the Citi 4131, JP Morgan 4131 and part of the amortization of Debenture Series II debts.
The Company ended the fourth quarter with a cash position of R$ 935.3 million, a 45.0% reduction when compared to 4Q17 and a 6.7% reduction compared to 3Q18. The year-over-year change is
mainly explained by the investment of approximately R$ 300 million in the share repurchase program, the increase in stake in the Alvear portfolio with an investment of approximately R$ 190 million
(1st of 3 installments), also the investment in the recently opened greenfield, Shopping Estação Cuiabá, which opened in October, 2018 and the interest on capital distributed in December, 2018,
totaling R$ 70 million. The quarterly reduction is mainly explained by the amortization schedule of the Company's debts and the payment of Interest on Capital as mentioned previously.
As a result, we reported a net debt of R$ 1,861.2 million in 4Q18, which represents a reduction of 0.6% compared to 3Q18, maintaining the Net Debt / LTM Adjusted EBITDA level stable at 2.0x in 4Q18.
The liability management efforts conducted in 2018 was one the main factors that led to an interest expense reduction, after a 0.9p.p. reduction at the TR linked debt average cost. As a result of the
fortress balance sheet , Fitch upgraded the Company’s local rating in September, 2018, to the highest level (AAA).
As a subsequent event, in March 2019, the Company approved the 7th issue of simple, non-convertible, single series debentures in the total amount of at least R$ 500 million and a maximum of R$ 600
million with a maturity of 6 years from the issue date. The rate to be paid is 107.5% of the CDI p.a., the interest payment will be semi-annual and the principal will be amortized in a single installment,
on the maturity date.
¹ Fixed interest based on the index’s LTM performance.
² The covenants did not consider the perpetual bond until 1Q17, therefore the leverage calculated for covenant purpose was lower than the presented in the chart above, and also lower than the 3.8x covenant limit.
20
 4Q
2018
Historical financial performance Earnings
Release

R$ MILLION 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 CAGR ('06 - '18) 4Q18
Gross Revenue 97.4 222.7 350.0 439.3 595.2 931.5 1220.2 1411.7 1508.1 1566.1 1480.5 1458.5 1387.1 24.8% 392.0
Services 6.3 25.2 28.0 35.1 51.1 74.9 85.8 94.5 95.4 98.4 89.3 100.3 101.9 26.1% 29.2
Net Revenues 91.1 207.0 319.0 392.6 546.4 861.5 1,123.6 1,303.7 1,395.2 1,446.8 1,370.3 1,348.0 1,266.3 24.5% 351.7
NOI 73.7 171.2 287.6 362.1 485.9 772.8 1,035.2 1,207.2 1,297.3 1,348.0 1,255.2 1,200.2 1,125.5 25.5% 316.9
NOI Margin 80.9% 86.7% 90.4% 91.9% 89.3% 90.2% 91.3% 91.7% 91.8% 91.8% 90.2% 88.4% 87.6% * 87.3%
Adjusted EBITDA 58 140 243 327 431 685 910 1,055 1,120 1,153 1,016 876 914 25.9% 235.0
Adjusted EBITDA Margin 63.4% 67.8% 74.9% 75.3% 81.4% 79.5% 81.0% 81.0% 80.3% 79.7% 74.2% 65.0% 72.2% * 66.8%
Adjusted FFO 39.7 78.8 139.2 233.0 285.0 331.0 420.2 497.0 469.5 413.2 299.3 425.9 580.6 25.1% 167.5
Adjusted FFO Margin 43.6% 38.1% 43.6% 59.3% 52.2% 38.4% 37.4% 38.1% 33.7% 28.6% 21.8% 31.6% 45.8% * 47.6%
Adjusted FFO per share - 0.17 0.28 0.43 0.47 0.50 0.62 0.73 0.65 0.60 0.43 0.52 0.68 13.4% 0.20
Adjusted Net Income 32.1 -3.0 56.3 284.4 263.7 308.9 409.5 487.0 459.3 402.9 279.9 409.1 563.2 27.0% 162.8
Adjusted Net Income Margin 35.2% -1.4% 17.6% 72.4% 48.3% 35.9% 36.4% 37.4% 32.9% 27.8% 20.4% 30.3% 44.5% * 46.3%
Total GLA (m²) 212,776 872,336 984,131 1,032,586 1,197,146 1,433,524 1,620,625 1,688,603 1,690,953 1,638,072 1,645,672 1,445,536 1,492,642 17.6% 1,492,642
Added GLA (m²) - 659,560 111,795 48,455 164,560 236,378 187,101 67,978 2,351 -52,881 7,600 -200,136 47,106 * 47,106

NOI ADJUSTED EBITDA ADJUSTED FFO AFFO PER SHARE

580,6 0,68
1125.5
914.0

0.17
57.7 39.7
73.7

2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018

2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018

¹ Considera os valores dos indicadores nos últimos 12 meses até set/2018.

21
 4Q
2018
Operational indicators Earnings
Release

NOI PER m² ¹ RENT PER m²

Our portfolio’s NOI per m² decreased by 4.9% from 4Q17, reaching an average of R$
117/m² in the Company's consolidated view. When we consider the 15 most
representative malls in terms of NOI, their NOI per m² reached R$ 177. When we consider
the 20 most representative malls in terms of NOI, their NOI per m² reached R$ 168. When
we consider the 25 most representative malls in terms of NOI, their NOI per m² reached
the value of R$ 156. Further explanations on the variation of our mall’s NOI is available in
the “Detail on main mall variations” section of this earnings release.
In this quarter, the contraction of NOI was offset by the significant improvement in the
provision for doubtful accounts, which decreased 77.1% in the period. In 2018, there was
a 77.4% reduction or R$ 143.0 million.
Considering straight-line effects, we presented a rent per m² in 4Q18 of R$ 100 in the
Company's consolidated view, a reduction of 3.8% when compared to 4Q17. When
considering only the top 15 assets in terms of NOI, during the quarter, their rent per
square meter totaled R$ 150. When we consider only the top 20 assets in terms of NOI,
their rent per square meter totaled R$ 140. When we consider the top 25 assets in terms
of NOI, their rent per square meter totaled R$ 127.

129
123
117 108
106 106 106 105 104 100
102 102 91 92 93 92
89 88

4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18

¹ Considers base rent and key money straight-lining and the company’s consolidated number.

22
 4Q
2018
Operational indicators Earnings
Release

DELINQUENCY RATE (%) OCCUPANCY RATE

Net late payments declined by 0.9 p.p. when compared to 4Q17, totaling 0.4%, the
lowest level since 2010. The level of late payments maintained a downward trend,
totaling 6.1%, or 3.5 p.p. below the amount reported in 4Q17.
The improvements in these indicators are associated to the better sales
performance presented by tenants in recent quarters, and also due to the efforts of
the credit recovery team.
The level of late payments has a slower reduction process since we charge the oldest
overdue bills first.
During the quarter, the average occupancy rate of our assets improved by 0.5 p.p. when
compared to 4Q17 and by 0.4 p.p. when compared to 3Q18, reaching 96.7%. For our 15 most
representative assets in terms of NOI, we achieved an average occupancy rate of 98.1%.
When considering our 20 most representative assets in terms of NOI, we achieved an average
occupancy rate of 98.0%. For our 25 most representative assets in terms of NOI, we achieved
an average occupancy rate of 98.0%.

13.9%
12.8% 96.5% 96.7%
96.2% 96.1% 96.2% 96.1% 96.3%
10.8%
9.5% 9.6% 9.6% 95.2%
94.7%
7.3% 7.8%
6.4% 6.1%
5.5%
4.8%

1.6% 1.7% 1.3% 1.7%

0.8% 0.4%

4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18
Late Payments (monthly average) Net Late Payments

23
 4Q
2018
Operational indicators Earnings
Release

OCCUPANCY COST
11.8% 11.6%
11.2% 11.2% 11.2% 10.8%
10.7% 10.3% 10.0%

6.6% Occupancy cost as a percentage of our tenant’s sales

7.1% 6.5% 6.4% 6.3% 6.1% decreased by 0.3 p.p. in 4Q18 when compared to 4Q17,
6.8% 6.4% 6.2%
totaling 10.0%, returning to pre-crisis levels. This
reduction is driven by higher sales productivity presented
at the quarter.
4.7% 4.7% 4.8% 5.0% 4.9% 4.7%
3.9% 3.9% 3.8%

4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18

Marketing and Condominium Expenses Rent

4Q 2015-18
4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 ∆
Average
SSS (%) 0.9% 1.2% -1.7% -0.6% -0.6% 0.4% 5.3% 4.6% 1.6% 2.7% -1.3% 2.5% 3.7% 1.4% 2.3 p.p.

SSR (%) 6.4% 7.4% 2.2% 2.6% 5.3% 6.5% 7.5% 4.3% 1.7% 0.4% -1.1% 3.3% 4.9% 4.6% 0.3 p.p.

Sales/m² 1,537 1,126 1,165 1,155 1,546 1,144 1,249 1,233 1,583 1,200 1,241 1,266 1,635 1,575 3.8%

Rent/m² 109 90 87 90 108 91 89 88 104 92 93 92 100 105 -4.8%

NOI/m² 137 109 105 107 129 106 102 102 123 106 106 105 117 127 -7.9%

Occupancy Cost (% Sales) 10.3% 12.1% 11.3% 11.7% 10.7% 11.8% 11.2% 11.2% 10.3% 11.6% 11.2% 10.8% 10.0% 10.3% -0.3 p.p.

Late Payments (monthly average) 5.6% 7.9% 8.9% 9.3% 12.8% 13.9% 10.8% 9.5% 9.6% 9.6% 7.8% 6.4% 6.1% 8.5% -2.4 p.p.

Net Late Payments 1.9% 5.7% 4.8% 3.7% 5.5% 7.3% 1.6% 1.7% 1.3% 4.8% 1.7% 0.8% 0.4% 2.3% -1.9 p.p.

Occupancy (%) 96.9% 96.8% 95.8% 95.5% 96.2% 96.1% 94.7% 95.2% 96.2% 96.5% 96.1% 96.3% 96.7% 96.5% 0.2 p.p.

Tenant Turnover 4.6% 5.1% 4.9% 5.3% 6,6% 7.0% 7.4% 8.0% 9.1% 8.5% 7.6% 8.8% 7.6% 7.1% 0.5 p.p.
24
 4Q
2018
Operational performance Earnings
Release

Sales 4Q18¹ Sales 4Q17¹ % Sales 2018² Sales 2017² % Sales/m² 4Q18² Occupancy Rate 4Q18³
1 Plaza Niterói 334,568 326,590 2.4% 1,093,476 1,063,826 2.8% 2,724 98.5%
2 Tijuca 302,277 293,740 2.9% 973,077 958,749 1.5% 2,977 99.3%
3 NorteShopping 429,807 417,904 2.8% 1,383,284 1,370,092 1.0% 2,121 98.6%
4 Tamboré 242,481 223,305 8.6% 777,049 719,812 8.0% 1,717 98.5%
5 Uberlândia 234,980 226,673 3.7% 777,015 755,970 2.8% 1,495 98.4%
6 Londrina 230,008 209,065 10.0% 736,409 686,291 7.3% 1,492 97.9%
7 Shopping Recife 503,860 484,944 3.9% 1,624,476 1,603,951 1.3% 2,180 98.3%
8 Mooca 220,673 187,127 17.9% 644,797 597,050 8.0% 1,845 99.3%
9 Estação 124,287 117,002 6.2% 404,206 387,715 4.3% 1,569 98.0%
10 Campo Grande 193,657 171,219 13.1% 609,589 562,338 8.4% 1,666 98.9%
11 Villa-Lobos 174,335 184,469 -5.5% 602,999 614,244 -1.8% 2,119 98.0%
12 Metrô Santa Cruz 128,236 121,192 5.8% 449,221 434,122 3.5% 2,396 99.6%
13 Campinas Shopping 102,927 99,145 3.8% 335,198 337,731 -0.8% 1,377 94.5%
14 Independência Shopping 106,652 108,008 -1.3% 339,458 339,707 -0.1% 1,597 96.0%
15 Del Rey 162,808 158,006 3.0% 511,454 514,152 -0.5% 1,595 97.6%
16 Estação BH 149,446 133,290 12.1% 481,831 421,661 14.3% 1,443 98.5%
17 São Bernardo 136,629 131,343 4.0% 434,664 413,026 5.2% 1,145 95.8%
18 Jardim Sul 164,194 154,890 6.0% 526,594 510,483 3.2% 2,053 98.3%
19 Maringá 124,051 94,777 30.9% 381,605 304,029 25.5% 1,370 98.3%
20 Goiânia 140,969 124,681 13.1% 454,908 421,203 8.0% 1,890 98.4%
21 Shopping Piracicaba 175,308 161,342 8.7% 563,625 528,731 6.6% 1,359 98.6%
22 Capim Dourado 97,734 90,201 8.4% 311,460 285,172 9.2% 952 97.9%
23 Amazonas Shopping 240,735 227,082 6.0% 755,976 714,534 5.8% 2,232 98.8%
24 Ilha Plaza 115,094 111,948 2.8% 356,355 347,814 2.5% 1,859 96.6%
25 Shopping Curitiba 97,313 88,443 10.0% 305,755 304,246 0.5% 1,568 96.1%
Total Top 25 4,933,029 4,646,386 6.2% 15,834,481 15,196,649 4.2% 44,740 98.0%
Divested Assets ⁴ - 633,417 - - 2,390,172 - - -
Others 1,610,061 1,428,421 12.7% 4,964,470 4,659,051 6.6% - -
BRMALLS Total 6,543,090 6,708,224 -2.5% 20,798,951 22,245,872 -6.5% 1,635 96.7%
Total Ex-Divested Assets 6,543,090 6,074,807 7.7% 20,798,951 19,989,036 4.1%
TOP15/Total 3,491,556 3,328,389 4.9% 11,261,708 10,945,750 2.9% 1,934 98.1%
TOP20/Total 4,206,845 3,967,370 6.0% 13,541,310 13,016,152 4.0% 1,809 98.0%
TOP25/Total 4,933,029 4,646,386 6.2% 15,834,481 15,196,649 4.2% 44,740 98.0%

¹ Sales based on a consolidated (100%) view.

² Considers Adjusted GLA as stated in page 5.
³ Monthly average of the occupancy rate during the quarter.
4 For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures,

we also exclude ItaúPower, divested in Mar/17. 25

 4Q
2018
Operational performance Earnings
Release

SAME STORE SALES BY SALES SAME STORE SALES BY REGION

SEGMENT Excluding the effects of assets divestments², total sales
registered a 7.7% growth when compared to 4Q17. If we
also exclude Cuiabá’s sales, the increase would be of 6.3%.
4Q18 4Q17 ∆
Sales/m² registered an 3.3% increase and same store sales
Segment SSS SSR SSS SSR ∆ SSS ∆ SSR
grew by 3.7% in the quarter. 4.3%
Anchor 4.1% 1.8% 4.2% 7.7% -0.1 p.p. -5.9 p.p. 0.7%
Semi
1.7% 3.0% 0.7% 2.2% 1.0 p.p. 0.8 p.p.
Anchor
Megastore 2.9% 7.4% 2.0% 2.4% 0.9 p.p. 5.0 p.p.
Satellites 4.1% 5.5% 0.4% 0.6% 3.7 p.p. 4.9 p.p.
Total 3.7% 4.9% 1.6% 1.7% 2.1 p.p. 3.2 p.p. 4.8%
10.7%
3.7%
All segments presented same store sales (SSS) growth 3.3%
during the quarter, with anchors and satellites as the 2.7% 2.5%2.7%
2.4%
main highlights posting a 4.1% increase on SSS. 1.6% 3.0%
The same-store rent (SSR) of the Company grew by
4.9% in 4Q18. The increase was mainly due to higher
inflation (IGPM) and the reduction in discount 5.9%
concessions. -0.6%
-1.3%
When comparing the performance of the indicator in 4Q17 1Q18 2Q18 3Q18 4Q18
the quarter with that of 4Q17, satellite stores and The Midwest continues to show consistent
semi-anchors were the main highlights. Same Store Sales (SSS) ∆ Sales/m² vs year-1 growth, once again recording the largest increase
in same-store sales for the quarter.

* 4Q18 same store sales indicator does not include Shopping Estação Cuiabá.
¹ In order to adapt our indicator base to the ABRASCE (Brazilian Shopping Center Association) criteria, from 2Q18 onwards we will classify the stores in segments according to GLA (m²). Therefore: Anchors
(>1,000 m²), Semi Anchors (500 to 999 m²), Megastore (250 to 499 m²) and Satellites (<250 m²). The values presented here for the 4Q17 SSS and SSR were adjusted to the new criteria in order to allow for a
fair comparison with the 4Q18 results, and therefore will differ by segment from the values presented in the 4Q17 Earnings Release.
² For the ‘Ex-Divestments’ analysis, we exclude the divested assets in Dec/17 (Minas Shopping, Granja Vianna, Shopping Paralela, Natal Shopping and Maceió Shopping), and for the 2017 YTD figures, we also
exclude ItaúPower, divested in Mar/17.
26
 4Q
2018
Leasing activity Earnings
Release

Historical Contracts Expiration Series (% of

In the quarter, 322 contracts were signed for new stores in existing malls, a 42.5% GLA)
decrease when compared to 4Q17. 157 contracts were renewed, a 35.1% decrease
when compared to 4Q17. These variations are mainly due to tenant mix 34.5%
optimization strategy that began in 2017, where a relevant percentage of our
existing tenant portfolio was replaced by newer and better performing tenants.

When considering projects under development, we reached a total of 37 contracts 26.0%

signed during the quarter, a 68.2% increase over 4Q17.
19.5%
If we consider contracts signed in the new stores in existing malls, renewed
contracts and contracts in expansions and greenfields, we ended the quarter with 20.0%
a total of 516 contracts signed.

1Q 2Q 3Q 4Q

Contract Maturity Schedule (% of GLA)

Leasing Activity (# of stores) ¹ 4Q18 4Q17 %

52.9%
New Tenants in Existing Malls 322 560 -42.5%

Rennovations 157 242 -35.1%

12.5%
Projects under Development 37 22 68.2%
14.3%
Total 516 824 -37.4% 20.3%
Total GLA (m²) 47,954 78,144 -38.6%
Up to 12 months 12 - 24 months 24 - 36 months More than 36
months

27
 4Q
2018
Projects under development Earnings
Release
We currently have on greenfield project in the pipeline, Shopping Cascavel, which is currently being leased and constructions will resume in a more advanced stage of the leasing process.
Further information will be disclosed when constructions resume. Below is the total gross CAPEX schedule for Shopping Estação Cuiabá, our greenfield that opened in October, 23rd, 2018.

Total Gross CAPEX Schedule (R$ million)¹

22.7 405.4
35.5
347.2

CAPEX Until 3Q18 4Q18 2019 Onwards Total

During the quarter, the Company invested a total of R$ 95.5 million, mainly allocated towards greenfield projects and redevelopment & maintenance. The Company also allocated part
of its resources to the investment in internal processes and systems.

CAPEX Breakdown (R$ Investment Investment % of 4Q18 total Investment Investment

% of total CAPEX
thousand) 4Q18 4Q17 CAPEX 2018 2017
Expansions 984 7,305 1.0% 9,842 35,277 2.8%
Redevelopment &
49,765 23,752 52.5% 115,016 52,365 33.2%
Maintenance
Greenfield Projects ¹ 38,223 11,973 40.3% 195,203 92,578 56.3%
IT & Others 5,842 8,493 6.2% 26,714 25,665 7.7%
Total 94,814 51,523 100.0% 346,775 205,885 100.0%

¹ Includes capitalized interest.

28
 4Q
2018
Retrofits Earnings
Release

In 3Q17, we announced 5 retrofit projects (NorteShopping, Villa Lobos, Tijuca, Plaza Niterói and Uberlândia). In 2018, part of the construction’s scope was concluded and we will
continue with the interventions which are expected to end by 2021 in line with the projects’ schedule.

The investment of approximately R$ 400 million towards the retrofit of 10 of our main assets over the next 5 years will be key to strengthen and increase the attractiveness of
these malls to consumers. Below, we disclose further details on each project:

NorteShopping: Constructions started in 2017 with the replacement of the mall’s floor, handrails on the second floor and the parking lot’s roof and ambience. The project also
includes a small expansion that aims to expand the mall’s culinary variety.

Villa Lobos, Tijuca, Plaza Niterói and Uberlândia: Conceptual projects approved, with partial deliviries (bathrooms and layout tests).

In addition to these 5 projects, we initiated the planning phase for Metrô Santa Cruz, Estação Curitiba and Shopping Tamboré. These assets will already have partial construction
deliveries in 2019. We are also evaluating potential expansions and redevelopments in order to generate value in areas where performance has been subpar.

Before After

29
 4Q
2018
Capital markets and stock performance Earnings
Release

brMalls’ common stock is traded in the Novo Mercado listing segment of the São Paulo Stock Exchange (B3), under the ticker BRML3. The company also has a level I ADR program
under the ticker BRMLL. In relation to our stock (BRML3), it ended the fourth quarter of 2018 being traded at R$13.07, a 2.7% increase since the beginning of the year.

During the quarter, our ADTV posted a 22.8% increase in relation to 4Q17, totaling R$ 95.5 million. Our average daily number of trades was 19.772 daily orders, 48.3% above
4Q17.

The company announced in March/2018 a share buyback program. The program will remain active for the period of up to 12 months and can reach up to 4.76% of total
outstanding shares, representing approximately R$ 500 million. By the end of 4Q18, the company held in Treasury 29,604,000 shares of its own issue, which were acquired by a
total investment of R$303.0 million with an average price of R$ 10.24 per share.

4Q18 ¹ 4Q17 ¹ %
140.0 180.00

R$ Million
Outstanding Shares 842,262,078 870,947,249 -3.3% 160.00
120.0
Average Share Price (R$) 12.05 12.93 -6.8% 140.00
100.0
Share Price - end of period (R$) 13.07 12.73 2.7% 120.00

Market Value (R$ million) 11,071 11,107 -0.3% 80.0 100.00

Average Daily Traded Volume (R$ million) 95.53 77.80 22.8% 60.0 80.00
60.00
Average Number of Trades 19,772 13,336 48.3% 40.0
40.00
20.0
20.00
BRML3 – Weight on Main Indices (Dec/18)
0.0 0.00
Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18
IBOVESPA IBrX-50 IBrX IGC-NM ITAG IMOB MSCI Brazil
Average Daily Traded Volume (30 days) BRML3 Ibovespa
0.8% 0.8% 0.7% 0.9% 0.7% 21.6% 0.9%

¹ Share price and total number of shares were adjusted to reflect the stock-bonuses in 2016 and 2017.

30
 4Q
2018
Capital markets and stock performance Earnings
Release

During the fourth quarter of 2018, our investor base remained highly diversified in terms of region and
origin.

Contacts and
Region 4Q18 4Q17 4Q16 4Q15 IR Team
Frederico Villa
USA 25.5% 27.2% 29.5% 43.1% CFO

Derek Tang
Brazil 45.3% 41.2% 36.7% 27.2% Corporate Finance & IR Director

Marina Coelho
Europe 10.2% 11.4% 12.1% 14.2%
Coordinator

Canada 9.9% 10.6% 10.7% 0.9% Guilherme Lahr

Specialist

Asia 7.9% 7.6% 8.1% 12.1% Antonio Velloso

Trainee
Others 1.2% 2.0% 2.9% 2.5%
ri@brmalls.com.br

Total 100.0% 100.0% 100.0% 100.0% Tel: + 55 21 3138-9900

31
 4Q
2018
Appendix I - Our portfolio Earnings
Release

Shopping Estado Ano de Inauguração ABL Total % ABL Próprio Serviços Prestados

By the end of the fourth quarter of 2018, Amazonas Shopping AM 1991 34.214 34,1% 11.667 Admin./ Comerc./BO
Shopping Vila Velha ES 2014 71.768 50,0% 35.884 Admin./ Comerc./BO
brMalls held ownership interest in 40 malls,
Goiânia Shopping GO 1995 22.252 49,2% 10.941 Admin./ Comerc./BO
which combined represent a GLA of 1,492.6 Araguaia Shopping GO 2001 21.758 50,0% 10.879 -
thousand m² and owned GLA of 949.6 thousand São Luís Shopping MA 1999 54.890 15,0% 8.234 Comercialização
m². It holds an average ownership interest in Rio Anil MA 2010 37.760 50,0% 18.880 Admin./ Comerc.
these malls of 63.6%. Center Shopping Uberlândia MG 1992 52.686 51,0% 26.870 Admin./ Comerc./BO
Shopping Del Rey MG 1991 37.032 65,0% 24.071 Admin./ Comerc./BO
Independência Shopping MG 2008 23.941 83,4% 19.967 Admin./ Comerc./BO
In 4T18 the Company held a 100% interest in 10
Shopping Sete Lagoas MG 2010 17.942 70,0% 12.560 Admin./ Comerc./BO
malls in its portfolio and currently provides Estação BH MG 2012 33.982 60,0% 20.389 Admin./ Comerc./BO
services to 37 of its 40 malls. Of the malls in its Shopping Contagem MG 2013 34.942 51,0% 17.821 Admin./ Comerc./BO
portfolio, the Company provides leasing Shopping Campo Grande MS 1989 39.213 70,9% 27.808 Admin./ Comerc./BO
services to 37 and management services to 34, Shopping Estação Cuiabá MT 2018 47.106 75,0% 35.330 Admin./ Comerc./BO
while 32 are served by our Backoffice (BO). Shopping Recife PE 1980 75.213 31,1% 23.357 Adm. Compartilhada/ Comerc.
Shopping Estação PR 1997 54.716 100,0% 54.716 Admin./ Comerc./BO
Additionally, the company manages and leases
Catuaí Shopping Londrina PR 1990 63.089 93,0% 58.672 Admin./ Comerc./BO
Shopping Recreio in Rio de Janeiro. The 1996 49,0%
Shopping Curitiba PR 22.920 11.231 Admin./ Comerc./BO
Company’s malls have, combined, Catuaí Shopping Maringá PR 2010 32.329 100,0% 32.329 Admin./ Comerc./BO
approximately 7 thousand stores and receives Londrina Norte Shopping PR 2012 32.992 100,0% 32.992 Admin./ Comerc./BO
millions of visitors each year. Plaza Niterói RJ 1986 44.049 100,0% 44.049 Admin./ Comerc./BO
Shopping Tijuca RJ 1996 35.565 100,0% 35.565 Admin./ Comerc./BO
As a subsequent event, on February 25th, 2019, Norteshopping RJ 1986 77.908 74,5% 58.041 Admin./ Comerc./BO
Ilha Plaza Shopping RJ 1992 21.619 51,0% 11.026 Admin./ Comerc./BO
the Company announced the sale of its 70.0%
Top Shopping RJ 1996 25.768 50,0% 12.884 Comercialização
stake in Shopping Sete Lagoas, located in the Via Brasil Shopping RJ 2011 30.680 49,0% 15.033 -
city of Sete Lagoas, state of Minas Gerais. The Casa & Gourmet Shopping RJ 1994 7.137 100,0% 7.137 Admin./ Comerc./BO
transaction reinforces the Company's Plaza Macaé RJ 2008 22.694 45,0% 10.212 Admin./ Comerc./BO
commitment to the recycling portfolio strategy Shopping Iguatemi Caxias do Sul RS 1996 30.324 45,5% 13.797 Admin./ Comerc./BO
and capital allocation in order to generate value Shopping Tamboré SP 1992 49.835 100,0% 49.835 Admin./ Comerc./BO
Shopping Metrô Santa Cruz SP 2001 19.165 100,0% 19.165 Admin./ Comerc./BO
for its shareholders.
Campinas Shopping SP 1994 34.566 100,0% 34.566 Admin./ Comerc./BO
Shopping Villa-Lobos SP 2000 26.806 58,4% 15.660 Admin./ Comerc./BO
brMalls is the largest shopping mall company in Shopping Piracicaba SP 1987 43.431 36,9% 16.026 Admin./ Comerc./BO
Brazil with a nationwide presence that caters to Mooca Plaza Shopping SP 2011 41.964 60,0% 25.178 Admin./ Comerc./BO
different income segments. Osasco Plaza Shopping SP 1995 13.844 39,6% 5.482 Comercialização
Jardim Sul SP 1990 30.800 60,0% 18.480 Admin./ Comerc./BO
Shopping ABC SP 1996 46.285 1,3% 602 -
São Bernardo Plaza Shopping SP 2012 42.880 60,0% 25.728 Admin./ Comerc./BO
Capim Dourado TO 2010 36.575 100,0% 36.575 Admin./ Comerc./BO
1.492.642 63,6% 949.639
32
 Appendix II - Glossary
A
Adjusted EBITDA: EBITDA + Shopping Araguaia profit-sharing
debenture revenues – other operating revenues from investment
property.
Adjusted FFO (Funds From Operations): Adjusted net income
(excluding exchange rate variations and Law 11,638 effects) +
depreciation + amortization + straight-lining effects – other
operating revenues and deferred taxes from investment property.
Average GLA (Rent/m², NOI/m² and Sales/m²): Does not include
27,921 m² of GLA from the Convention Center located in Shopping
Estação. In the average GLA used for rent/m², we do not consider
owned GLA for Araguaia Shopping, since its revenues are recognized
via debenture payments.
E total revenues in that month over total revenues effectively
EBITDA (Earnings Before Interest, Taxes, Depreciation and
Amortization): refers to gross income - SG&A + depreciation +
amortization.
G convergence process. The 4Q08 financial and operating figures will
Gross Leasable Area or GLA: Sum of all areas in a shopping mall that
are available for lease, except for kiosks.
I Leasing Status: GLA that has been approved and/or signed divided
Investment Properties: Investment properties comprise sites and
buildings in shopping malls held to earn rent and/or for capital
appreciation purposes, and are recognized at their fair value. They
are appraised by internal specialists using a proprietary model based
on their history of profitability and discounted cash flow at market
rates. At least once every six months on the balance sheet dates we
carry out reviews to assess changes in the balances recognized.
Changes in fair value are accounted for directly in the income
statement, but are adjusted for in the adjusted EBITDA and adjusted
FFO. The Company has a quarterly process to monitor events that
may indicate the need to review the estimates of fair value, such as
project openings, the acquisition of additional interests or
divestment of partial interests in malls, significant variations in the
performance of malls in comparison with the respective budgets,
changes in the macroeconomic scenario, etc. If such indications are
identified, the Company adjusts its estimates to reflect any
variations in the result of each period. The assumptions used to
calculate the fair value of the investment properties were reviewed
by independent auditors and by the Audit Committee.
L operating in the same space in both periods.
Late Payment: Measured on the last day of each month, includes
collected in the same month. It does not include inactive stores.
Law 11,638: Law 11,638 was enacted with the purpose of including
publicly-held Brazilian companies in the international accounting
be impacted by certain accounting effects due to the changes
arising from Law 11,638/07.
by the projects total GLA.
N
Net Operating Income or NOI: Gross revenue (less service revenue) -
costs + and presumed credit PIS/COFINS + Araguaia Debenture.
O
Occupancy Cost as a Percentage of Sales: Rent revenues (minimum
rent + % overage) + common charges (excluding specific tenant
costs) + merchandising fund contributions (this item should be
analyzed from the tenant’s point of view).
Occupancy Rate: Total leased and occupied GLA as a percentage of
total leasable GLA.
Owned GLA: GLA multiplied by our ownership stake.
S
Same store sale (SSS): Sales figures for the same stores that were
Same store rent (SSR): Rent figures for the same stores that were
operating at the same space in both periods.
T
Tenant Turnover: sum of new contract GLA negotiated in the last 12
months – the GLA variation for unoccupied stores in the last 12
months/ average GLA in the last 12 months.
33
 4Q
2018
Appendix III – Debt profile Earnings
Release

Debt Profile (R$ thousand) - Adjusted Financial Information 4Q18 4Q17

Short-term Long-term Short-term Long-term
Index Rate (%) Due Total Total
Debt Debt Debt Debt
J.P. Morgan 4131 USD 3.63% p.a. Jan-18 - - - 168,193 - 168,193
Debenture 2nd Issue - Series 2 IPCA 6.40% p.a. Feb-19 132,409 - 132,409 128,626 122,767 251,393
Recife Loan Fixed 3.53% p.a. Mar-19 823 - 823 3,294 823 4,117
Sete Lagoas Loan TR 9.15% p.a. Dec-19 - - - 5,074 5,551 10,625
CCB Niterói Expansion TR 7.60% p.a. Jun-20 12,922 7,060 19,982 10,896 20,318 31,214
CCB Contagem TR 7.60% p.a. Jun-20 40,676 22,183 62,859 34,315 63,653 97,968
CCB Cuiabá TR 7.60% p.a. Jul-20 55,142 34,980 90,122 46,466 91,373 137,839
Debenture 5th Issue - Series 3 CDI 0.10% p.a. May-21 50 49,732 49,782 40 49,659 49,699
CRI Expansão Tamboré TR 9.40% p.a. Feb-23 15,893 64,593 80,486 16,199 63,483 79,682
Estação BH Loan TR 8.90% p.a. Apr-22 17,283 40,549 57,832 17,283 57,612 74,895
São Luis Loan TR 9.90% p.a. May-22 1,060 2,553 3,613 1,056 3,612 4,668
Mooca Loan TR 9.10% p.a. Jun-22 8,612 21,531 30,143 7,244 31,511 38,755
Debenture VI - Single Series % of CDI 97.50% p.a. Sep-23 5,899 395,238 401,137 4,415 395,264 399,679
CRI Itaú S.A. TR 9.40% p.a. Oct-21 19,394 44,035 63,429 13,686 80,526 94,212
São Bernardo Loan TR 9.15% p.a. Apr-23 14,362 55,897 70,259 12,581 70,611 83,192
CRI Macaé* IGP-M 8.50% p.a. Apr-23 3,356 14,112 17,468 2,910 16,021 18,931
CRI Campinas and Estação 1 IPCA 6.34% p.a. Mar-24 29,553 180,812 210,365 15,525 207,118 222,643
CRI Tijuca TR 8.90% p.a. Feb-25 42,541 597,289 639,830 62,264 612,766 675,030
CRI Itaú BBA TR 9.31% p.a. Mar-25 1,648 534,680 536,328 37,799 526,249 564,048
CRI Campinas and Estação 2 IPCA 6.71% p.a. Mar-26 7,737 72,395 80,132 5,705 76,112 81,817
CRI Campinas e Estação 3 IPCA 7.04% p.a. Mar-29 6,466 147,254 153,720 10,687 142,571 153,258
Debenture 5th Issue - Series 1 CDI 1.75% p.a. May-31 499 95,267 95,766 488 95,826 96,314
Total 415,465 2,381,086 2,796,551 604,746 2,733,426 3,338,172

¹ Considers the swap linked to the debt.

34
 4Q
2018
Appendix IV – Financial statements Earnings
Release
INCOME STATEMENT-ACCOUNTING AND ADJUSTED FINANCIAL INFORMATION

Accounting Information IFRS 10/11 Adjustments Adjusted Financial Information

4Q18 4Q17 % 4Q18 4Q17 4Q18 4Q17 %
Gross Revenue 370,466 380,483 -2.6% 21,566 22,601 392,032 403,084 -2.7%
Rents 288,140 293,538 -1.8% 17,340 18,766 305,480 312,304 -2.2%
Rent straight-lining (34,097) (27,894) 22.2% (1,730) (1,736) (35,827) (29,630) 20.9%
Key Money 18,488 5,828 217.2% 271 592 18,759 6,420 192.2%
Key Money straight-lining (12,314) 224 -5597.3% 327 (514) (11,987) (290) 4033.4%
Parking 74,890 74,535 0.5% 5,606 5,907 80,496 80,442 0.1%
Transfer Fee 3,560 2,605 36.7% 47 72 3,607 2,677 34.7%
Services Provided 29,783 29,403 1.3% (562) (285) 29,221 29,118 0.4%
Others 2,016 2,244 -10.2% 267 (201) 2,283 2,043 11.7%
(-)Taxes and Contributions (38,972) (31,332) 24.4% (1,392) (1,200) (40,364) (32,532) 24.1%
Net Revenue 331,494 349,151 -5.1% 20,174 21,401 351,668 370,552 -5.1%
Costs (39,557) (30,551) 29.5% (5,694) (5,975) (45,251) (36,526) 23.9%
Payroll (7,607) (5,515) 37.9% (657) (701) (8,264) (6,216) 32.9%
Services Provided (5,102) (4,726) 8.0% (435) (363) (5,537) (5,089) 8.8%
Common Costs (13,590) (11,486) 18.3% (806) (1,062) (14,396) (12,548) 14.7%
Merchandising Costs (2,649) (1,930) 37.3% (131) (110) (2,780) (2,040) 36.3%
Other Costs (10,609) (6,894) 53.9% (3,665) (3,739) (14,274) (10,633) 34.2%
Gross Profit 291,937 318,600 -8.4% 14,480 15,426 306,417 334,026 -8.3%

Sales, General and Administrative Expenses (63,521) (80,512) -21.1% 298 (2,110) (63,223) (82,622) -23.5%

Sales Expenses (21,840) (66,231) -67.0% 511 (2,071) (21,329) (68,302) -68.8%
Personnel Expenses (27,384) (15,101) 81.3% (2) (11) (27,386) (15,112) 81.2%
Services Hired (5,052) (4,116) 22.7% (17) (20) (5,069) (4,136) 22.6%
Other Expenses (9,245) 4,934 - (194) (6) (9,439) 4,928 -
Depreciation (164) (147) 11.6% - - (164) (147) 11.6%
Amortization (4,459) (4,104) 8.7% - (1) (4,459) (4,105) 8.6%
Financial Income (42,478) (64,496) -34.1% (484) (1,260) (42,962) (65,756) -34.7%
Financial Revenues 28,111 43,698 -35.7% 209 318 28,320 44,016 -35.7%
Financial Expenses (70,589) (108,194) -34.8% (693) (1,578) (71,282) (109,772) -35.1%
Revenue based on Equity Revenue 12,872 7,211 78.5% (16,370) (7,211) (3,498) - -
Other Operational Revenues 812,963 (1,217,983) -166.7% 18,009 (19,234) 830,972 (1,237,217) -167.2%
Operating Income 1,007,150 (1,041,431) -196.7% 15,933 (14,390) 1,023,083 (1,055,821) -196.9%

-196.7% -196.9%
Income before Income Taxes and Minority Interest 1,007,150 (1,041,431) 15,933 (14,390) 1,023,083 (1,055,821)
Income Tax and Social Contribution Provision (6,515) (21,059) -69.1% (1,882) (2,344) (8,397) (23,403) -64.1%
Deferred Taxes (216,454) 341,959 - (14,031) 16,762 (230,485) 358,721 -
Non-controlling Shareholder Interest (56,447) 68,061 - (20) (27) (56,467) 68,034 -
Net Income/Loss 727,734 (652,469) - - - 727,734 (652,469) -

35
 4Q
2018
Appendix V – Financial statements Earnings
Release
INCOME STATEMENT-ACCOUNTING AND ADJUSTED FINANCIAL INFORMATION

Accounting Information IFRS 10/11 Adjustments Adjusted Financial Information

2018 2017 % 2018 2017 2018 2017 %
Gross Revenue 1,311,939 1,371,643 -4.4% 75,194 86,824 1,387,133 1,458,467 -4.9%
Rents 922,049 976,939 -5.6% 53,993 63,526 976,042 1,040,465 -6.2%
Rent straight-lining (7,890) (10,001) -21.1% (636) (300) (8,527) (10,301) -17.2%
Key Money 27,427 15,655 75.2% 1,452 1,352 28,879 17,007 69.8%
Key Money straight-lining (5,920) 11,693 -150.6% 822 887 (5,098) 12,580 -140.5%
Parking 258,637 261,286 -1.0% 20,100 21,921 278,737 283,207 -1.6%
Transfer Fee 7,158 5,863 22.1% 197 268 7,355 6,131 20.0%
Services Provided 103,292 101,552 1.7% (1,346) (1,263) 101,946 100,289 1.7%
Others 7,186 8,656 -17.0% 612 433 7,799 9,089 -14.2%
(-)Taxes and Contributions (115,731) (106,403) 8.8% (5,135) (4,097) (120,866) (110,500) 9.4%
Net Revenue 1,196,208 1,265,240 -5.5% 70,059 82,727 1,266,267 1,347,967 -6.1%
Costs (134,623) (123,853) 8.7% (21,531) (25,662) (156,154) (149,515) 4.4%
Payroll (28,452) (22,500) 26.5% (2,505) (2,977) (30,957) (25,477) 21.5%
Services Provided (15,406) (17,697) -12.9% (1,605) (1,968) (17,011) (19,665) -13.5%
Common Costs (52,129) (48,633) 7.2% (3,674) (5,090) (55,803) (53,723) 3.9%
Merchandising Costs (9,077) (8,753) 3.7% (473) (473) (9,550) (9,226) 3.5%
Other Costs (29,559) (26,270) 12.5% (13,274) (15,154) (42,833) (41,424) 3.4%
Gross Profit 1,061,585 1,141,387 -7.0% 48,528 57,065 1,110,113 1,198,452 -7.4%

Sales, General and Administrative Expenses (192,730) (292,557) -34.1% (2,574) (10,767) (195,304) (303,324) -35.6%

Sales Expenses (64,812) (197,155) -67.1% (2,130) (10,628) (66,942) (207,783) -67.8%
Personnel Expenses (96,470) (88,294) 9.3% (15) (41) (96,485) (88,335) 9.2%
Services Hired (14,363) (9,443) 52.1% (66) (67) (14,429) (9,510) 51.7%
Other Expenses (17,085) 2,335 - (363) (31) (17,448) 2,304 -
Depreciation (628) (588) 6.8% - (52) (628) (640) -1.9%
Amortization (16,772) (16,199) 3.5% (2) (1) (16,774) (16,200) 3.5%
Financial Income (207,847) (307,838) -32.5% (3,145) (1,927) (210,992) (309,765) -31.9%
Financial Revenues 117,421 650,387 -81.9% 488 1,345 117,909 651,732 -81.9%
Financial Expenses (325,268) (958,225) -66.1% (3,633) (3,272) (328,901) (961,497) -65.8%
Revenue based on Equity Revenue 34,619 (13,026) - (36,698) 13,026 (2,079) - -
Other Operational Revenues 755,384 (1,735,311) - 16,928 (77,575) 772,312 (1,812,886) -
Operating Income 1,433,611 (1,224,132) - 23,037 (20,231) 1,456,648 (1,244,363) -

- -
Income before Income Taxes and Minority Interest 1,433,611 (1,224,132) 23,037 (20,231) 1,456,648 (1,244,363)
Income Tax and Social Contribution Provision (79,096) (83,029) -4.7% (8,231) (9,080) (87,327) (92,109) -5.2%
Deferred Taxes (250,925) 431,010 - (14,691) 29,414 (265,616) 460,424 -
Non-controlling Shareholder Interest (89,503) 79,870 - (115) (102) (89,618) 79,768 -
Net Income/Loss 1,014,087 (796,281) - - - 1,014,087 (796,281) -

36
 4Q
2018
Balance sheet (assets) Earnings
Release

Accounting Information IFRS 10/11 Adjustments Adjusted Financial Information

Assets 4Q18 4Q17 % 4Q18 4Q17 4Q18 4Q17 %
Assets
Current Assets
Cash and cash equivalents 23,672 28,977 -18.3% 1,913 1,295 25,585 30,272 -15.5%
Accounts receivable 247,597 305,517 -19.0% 13,801 15,275 261,398 320,792 -18.5%
Securities 907,277 1,668,153 -45.6% 2,457 2,389 909,734 1,670,542 -45.5%
Derivative Instruments - 72 - - - - 72 -

Recoverable taxes 65,953 59,104 11.6% 66,127 59,237 11.6%

174 133
Advances 23,098 17,441 32.4% 1,034 24,132 18,406 31.1%
965
Advanced Expenses 7,120 6,273 13.5% 7,084 6,265 13.1%
(36) (8)
Other Receivable Accounts 30,325 188,510 -83.9% 1,093 1,617 31,418 190,127 -83.5%
Total 1,305,042 2,274,047 -42.6% 20,436 21,666 1,325,478 2,295,713 -42.3%
Non current Assets
Clients 34,661 58,516 -40.8% 1,858 2,514 36,519 61,030 -40.2%

Deposits and Bonds 60,277 53,739 12.2% 60,914 54,292 12.2%

637 553
Recoverable taxes 56,005 58,563 -4.4% - - 56,005 58,563 -4.4%
Advances for Future Capital Increases 16,332 6,254 161.1% (6,332) (6,254) 10,000 - -
Affiliated and Subsidiary Obligations 48,058 41,644 15.4% (48,058) (41,644) - - -

Others 32,287 34,338 -6.0% 32,293 34,341 -6.0%

6 3
Total 247,620 253,054 -2.1% (51,889) (44,828) 195,731 208,226 -6.0%

Fixed Assets
Investments 389,463 374,787 3.9% (387,821) (374,787) 1,642 - -
Investment Property 16,094,695 15,015,588 7.2% 579,344 559,628 16,674,039 15,575,216 7.1%
Property, Plant and Equipment 14,438 11,656 23.9% - - 14,438 11,656 23.9%

Intangible 79,778 74,453 7.2% 9 79,782 74,462 7.1%

4
Total 16,578,374 15,476,484 7.1% 191,527 184,850 16,769,901 15,661,334 7.1%

Total Assets 18,131,036 18,003,585 0.7% 160,074 161,688 18,291,110 18,165,273 0.7%
37
 4Q
2018
Balance sheet (liabilities) Earnings
Release

Accounting Information IFRS 10/11 Adjustments Adjusted Financial Information

Liabilities 4Q18 4Q17 % 4Q18 4Q17 4Q18 4Q17 %
Liabilities
Current Liabilities
Loans and Financings 412,109 601,836 -31.5% 3,356 2,910 415,465 604,746 -31.3%
Suppliers 41,019 40,274 1.8% 4,110 3,329 45,129 43,603 3.5%
Taxes and Contributions 49,872 45,434 9.8% 2,501 2,699 52,373 48,133 8.8%
Payroll and related charges 49,328 26,994 82.7% 360 361 49,688 27,355 81.6%
Mandatory Dividend Payment 128,173 - 0,0% - - 128,173 - 0,0%
Taxes and Contributions - Installments 7,569 11,718 -35.4% (93) (61) 7,476 11,657 -35.9%
Provision for Fiscal Risks and other Contingent
13,482 13,376 0.8% 253 16 13,735 13,392 2.6%
Liabilities
Liability on shopping center's acquisition 201,346 6,248 3122.6% - - 201,346 6,248 3122.6%
Derivative Instruments 5,452 41,452 -86.8% - - 5,452 41,452 -86.8%
Deferred Revenues 17,152 18,535 -7.5% 830 1,236 17,982 19,771 -9.0%
Other Account Payables 23,071 24,335 -5.2% 4,635 2,596 27,706 26,930 2.9%
Total 948,573 830,202 14.3% 15,952 13,086 964,525 843,287 14.4%

Non current Liabilities

Loans and Financings 2,366,974 2,717,405 -12.9% 14,112 16,021 2,381,086 2,733,426 -12.9%
Provision for Fiscal Risks and other Contingent
21,364 18,583 15.0% 10 3 21,374 18,586 15.0%
Liabilities
Taxes and Contributions - To be collected 17,439 - 0,0% - - 17,439 - 0,0%
Taxes and Contributions - Installments 12,066 78,155 -84.6% 2,594 746 14,660 78,901 -81.4%
Liability on shopping center's acquisition 454,628 743,245 -38.8% - - 454,628 743,245 -38.8%
Derivative Instruments 15,714 18,362 -14.4% - - 15,714 18,362 -14.4%
Deferred Taxes 3,277,798 3,035,033 8.0% 132,035 117,344 3,409,833 3,152,378 8.2%
Deferred Revenues 50,928 61,319 -16.9% 2,621 3,039 53,549 64,358 -16.8%
Related Parties Loans 17,239 14,815 16.4% (17,239) (14,815) - - 0,0%
Others 22,456 9,658 132.5% (22,456) (9,658) - - 0,0%
Total 6,256,606 6,696,575 -6.6% 111,677 112,680 6,368,283 6,809,256 -6.5%

Shareholder's Equity

Minority Interest 440,757 319,474 38.0% 6,501 9,979 447,258 329,453 35.8%

Capital Stock 10,399,934 10,394,569 0.1% - - 10,399,934 10,394,569 0.1%

Capital Reserves (128,041) 21,723 - - - (128,041) 21,723 -
Income Reserve 602,562 (152,286) - 25,944 25,943 628,506 (126,343) -
Shares in Treasury (303,256) (20,573) 1374.0% - - (303,256) (20,573) 1374.0%
Retained Earnings (Loss) - - - - - - - -
Equity Offering Expenses (86,099) (86,099) - - - (86,099) (86,099) -
Total Shareholder's Equity 10,925,857 10,476,808 4.3% 32,445 35,922 10,958,302 10,512,730 4.2%

Total Liabilities 18,131,036 18,003,585 0.7% 160,074 161,688 18,291,110 18,165,273 0.7%

38
 4Q
2018
Cash flow 2018 Adjusted Financial
Earnings
Release
Accounting Information
Information
2018 2018 IFRS 10/11

Shareholder's Earnings of the period 1,103,702 1,103,590

Adjustments to reconcile net income and cash flow from operating

(142,219) (182,615)
activities
Depreciation and Amortization 17,403 17,400
Interest, monetary variations on borrowings 253,959 251,016
Liabilities on Shopping Center Acquisitions 26,330 26,330
Investment earnings (86,304) (86,213)
Adjustment revenue straight-lining and present value adjustment 16,542 16,652
Adjustment Granted Option Plans 5,564 5,564
Provision and social charges over restricted shares 1,306 1,306
Provision for Contingencies 5,272 5,272
Adjustment fair value and derivatives result (393) (393)
Deferred income Tax and Social Contribution 265,615 250,925
Fair value adjustments on investment properties (777,394) (760,345)
Equity Revenue 2,079 (34,619)
Others 127,802 124,489
Variation on current capital (197,833) (200,393)
Accounts Receivable (126,657) (121,835)
Taxes Recoverable (4,333) (4,291)
Advances (5,726) (5,657)
Prepaid Expenses (819) (848)
Deposits and Guarantees (6,622) (6,538)
Financial instruments (38,184) (38,184)
Trade payables 1,526 745
Taxes and Contributions 100,262 98,645
Refis Payment (61,486) (61,486)
Salaries and Social Charges 21,027 21,028
Provision for contingencies (2,141) (2,385)
Income Tax and Social Contribution (83,831) (83,831)
Others 9,151 4,244
Net Cash generated (used) in operational activities 763,650 720,581

Net Cash generated (used) in investing activities 660,342 694,795

Acquisition of Marketable Securities 847,111 847,089
Intangible assets (25,504) (25,507)
Investment Property Acquisition and Development (299,020) (294,012)
Advancement for future capital raise (10,000) (10,078)
Sale of investments 151,477 151,477
Increase in capital in subsidiaries (3,722) (3,722)
Operations with related entities - (3,989)
Dividends received - 33,536

Net Cash generated (used) in financing activities (1,428,679) (1,420,681)

Interest paid over Loans (224,065) (222,563)
Loans paid (582,356) (579,452)
Payment of interest on liabilities on shopping center acquisition (1,755) (1,755)
Payment of liabilities on shopping center acquisitions (197,120) (197,120)
Treasury stock (303,256) (303,256)
Capital Raise 5,365 5,365
Dividends paid (55,492) (51,900)
Interest on Capital (70,000) (70,000)

Net Cash generated (used) in the period (4,687) (5,305)

Cash and equivalents in the beginning of the period 30,272 28,977

Cash and equivalents in the end of the period 25,585 23,672
Net Cash generated (used) in the period 4,687 5,305
39
 4Q
2018
Quarterly financial indicators Earnings
Release

Accounting Information Adjusted Financial Information

4Q18 4Q17 % 4Q18 4Q17 %
Gross Revenue 370,466 380,483 -2.6% 392,032 403,084 -2.7%
(-) Services (29,783) (29,403) 1.3% (29,221) (29,118) 0.4%
(-) Costs (39,557) (30,551) 29.5% (45,251) (36,526) 23.9%
(+) Araguaia Debenture 1,786 - - 1,786 - -
(-) Credit PIS/COFINS (2,153) (2,383) -9.7% (2,467) (2,383) 3.5%
NOI 300,759 318,146 -5.5% 316,879 335,057 -5.4%
Margin % 88.3% 90.6% -2.3 p.p 87.3% 89.6% -2.3 p.p

Accounting Information Adjusted Financial Information

4Q18 4Q17 % 4Q18 4Q17 %
Net Revenue 331,494 349,151 -5.1% 351,668 370,552 -5.1%
(-) Costs and Expenses (107,701) (115,314) -6.6% (113,097) (123,400) -8.3%
(+) Depreciation and Amortization 4,623 4,251 8.8% 4,623 4,252 8.7%
(+) Other Operating Revenues 812,963 (1,217,983) - 830,972 (1,237,217) -
(+) Revenue Based on Equity Revenue 12,872 7,211 78.5% (3,498) - -
EBITDA 1,054,251 (972,684) -208.4% 1,070,668 (985,813) -208.6%
(-) Investment Properties (819,472) 1,201,399 - (837,481) 1,221,211 -
(-) Equity Revenue Adjustment (4,009) 3,082 - - - -
(+) Araguaia Debenture 1,786 - - 1,786 - -
Adjusted EBITDA 232,556 231,797 0.3% 234,973 235,398 -0.2%
Margin % 70.2% 66.4% 3.8 p.p 66.8% 63.5% 3.3 p.p

Accounting Information Adjusted Financial Information

4Q18 4Q17 % 4Q18 4Q17 %
Net Income/Loss 727,734 (652,469) -211.5% 727,736 (652,469) -211.5%
(+) Depreciation and Amortization 4,623 4,251 8.8% 4,623 4,252 8.7%
FFO 732,357 (648,218) -213.0% 732,359 (648,217) -213.0%
(+) Swap mark to market (965) 64 - (965) 64 -
(+) Non-cash Taxes Adjustment 215,344 (344,733) - 229,374 (361,496) -
(+) Investment Properties (819,472) 1,201,399 - (837,481) 1,221,211 -
(+) Equity Revenue Adjustment (4,009) 3,082 - - - -
(-) Minority Interest (Investment Prop.) 44,175 (75,345) - 44,175 (78,043) -
Adjusted FFO 167,430 136,249 22.9% 167,462 133,519 25.4%
Margin % 50.5% 39.0% 11.5 p.p 47.6% 36.0% 11.6 p.p
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 4Q
2018
Year-to-date financial indicators Earnings
Release
Accounting Information Adjusted Financial Information
2018 2017 % 2018 2017 %
Gross Revenue 1,311,939 1,371,643 -4.4% 1,387,133 1,458,467 -4.9%
(-) Services (103,292) (101,552) 1.7% (101,946) (100,289) 1.7%
(-) Costs (134,623) (123,853) 8.7% (156,154) (149,515) 4.4%
(+) Araguaia Debenture 6,328 1,689 274.7% 6,328 1,689 274.7%
(-) Credit PIS/COFINS (8,611) (10,182) -15.4% (9,815) (10,181) -3.6%
NOI 1,071,741 1,137,745 -5.8% 1,125,546 1,200,171 -6.2%
Margin % 88.7% 89.6% -0.9 p.p 87.6% 88.4% -0.8 p.p

Accounting Information Adjusted Financial Information

2018 2017 % 2018 2017 %
Net Revenue 1,196,208 1,265,240 -5.5% 1,266,267 1,347,967 -6.1%
(-) Costs and Expenses (344,753) (433,197) -20.4% (368,860) (469,679) -21.5%
(+) Depreciation and Amortization 17,399 16,786 3.7% 17,402 16,840 3.3%
(+) Other Operating Revenues 755,384 (1,735,311) - 772,312 (1,812,886) -
(+) Revenue Based on Equity Revenue 34,619 (13,026) - (2,079) - -
EBITDA 1,658,857 (899,508) -284.4% 1,685,042 (917,758) -283.6%
(-) Investment Properties (760,345) 1,715,024 - (777,395) 1,792,065 -
(-) Equity Revenue Adjustment (3,222) 46,727 - - - -
(+) Araguaia Debenture 6,328 1,689 274.7% 6,328 1,689 274.7%
Adjusted EBITDA 901,619 863,929 4.4% 913,975 875,996 4.3%
Margin % 75.3% 68.3% 7.1 p.p 72.2% 65.0% 7.2 p.p

Accounting Information Adjusted Financial Information

2018 2017 % 2018 2017 %
Net Income/Loss 1,014,087 (796,281) -227.4% 1,014,087 (796,281) -227.4%
(+) Depreciation and Amortization 17,399 16,786 3.7% 17,402 16,840 3.3%
FFO 1,031,486 (779,495) -232.3% 1,031,489 (779,441) -232.3%
(+) Swap mark to market (391) (14,419) -97.3% (391) (14,420) -97.3%
(+) Non-cash Taxes Adjustment 274,399 (422,182) - 289,087 (451,597) -
(+) Investment Properties (760,345) 46,727 - (777,395) 1,792,065 -
(+) Equity Revenue Adjustment (3,222) 1,715,024 - - - -
(-) Minority Interest (Investment Prop.) 37,771 (117,964) - 37,771 (120,662) -
Adjusted FFO 579,699 427,691 35.5% 580,561 425,945 36.3%
Margin % 48.5% 33.8% 14.7 p.p 45.8% 31.6% 14.2 p.p
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 4Q
2018
Disclaimer Earnings
Release

The material that follows is a presentation of general background information about BR Malls Participações S.A. and its consolidated subsidiaries (“BR Malls" or the "Company") as of the date of the presentation. It
is information in summary form and does not purport to be complete and is not intended to be relied upon as advice to potential investors. You should consult the offering memorandum for complete information
about the transaction and base your investment decision on such offering memorandum.

No representations or warranties, express or implied, are made as to, and no reliance should be placed on, the accuracy, fairness or completeness of the forecasted information presented or contained in this
presentation. Neither the Company nor any of its affiliates, advisers or representatives, accepts any responsibility whatsoever for any loss or damage arising from any information presented or contained in this
presentation. The information presented or contained in this presentation is current as of the date hereof and is subject to change without notice and its accuracy is not guaranteed. Neither the Company nor any
of its affiliates, advisers or representatives make any undertaking to update any such information subsequent to the date hereof. This presentation should not be construed as legal, tax, investment or other
advice.

Certain data in this presentation was obtained from various external data sources, and the Company has not verified such data with independent sources. Accordingly, the Company makes no representations as to
the accuracy or completeness of that data, and such data involves risks and uncertainties and is subject to change based on various factors.

This presentation contains forward-looking statements. Such statements are not statements of historical facts, and reflect the beliefs and expectations of BR Malls’ management. The words "anticipates",
"wishes", "expects", "estimates", "intends", "forecasts", "plans", "predicts", "projects", "targets" and similar words are intended to identify these statements. Although the Company believes that expectations and
assumptions reflected in the forward-looking statements are reasonable based on information currently available to the Company's management, the Company cannot guarantee future results or events. You are
cautioned not to rely on forward-looking statements as actual results could differ materially from those expressed or implied in the forward-looking statements.

Securities may not be offered or sold in the United States unless they are registered or exempt from registration under the U.S. Securities Act of 1933, as amended (the “Securities Act”). Any offering of securities
to be made will be made solely by means of an offering circular. This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any securities, and neither any
part of this presentation nor any information or statement contained therein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. Any decision to purchase
securities in any offering of securities of the Company should be made solely on the basis of the information contained in the offering document which may be published or distributed in due course in connection
with any offering of securities of the Company, if any. This presentation is being made only to investors that, by means of their attendance at this presentation, represent to the underwriters and the agents that
they are “Qualified Institutional Buyers” as that term is defined in the Securities Act.

www.brmalls.com.br/ri
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