Taurus Armas S A : Dados Econômico-Financeiros

(Convenience Translation into English from the Original Previously Issued in Portuguese)

Taurus Armas S.A.

Report on Review of

Interim Financial Information for the Three‐month Period Ended March 31, 2023

Deloitte Touche Tohmatsu Auditores Independentes Ltda.

Interim Financial Information - 03/31/2023 - TAURUS ARMAS S.A.

Contents

Company information

Breakdown of capital

1

Individual financial statements

Balance sheet - Assets	2
Balance sheet - Liabilities	3
Statement of profit or loss	5
Statement of comprehensive income	6
Statement of cash flows	7
Statement of added value	8
Statement of changes in shareholders' equity
Statement of changes in shareholders' equity (SCSE) - 01/01/2023 - 03/31/2023	9
Statement of changes in shareholders' equity (SCSE) - 01/01/2022 - 03/31/2022	10
Consolidated financial statements
Balance sheet - Assets	11
Balance sheet - Liabilities	12
Statement of profit or loss	14
Statement of comprehensive income	15
Statement of cash flows	16
Statement of added value	17
Statement of changes in shareholders' equity
Statement of changes in shareholders' equity (SCSE) - 01/01/2023 - 03/31/2023	18
Statement of changes in shareholders' equity (SCSE) - 01/01/2022 - 03/31/2022	19
Performance comment	20
Notes	38
Opinions and Statements
Independent Auditor's Report - Unqualified	94
Tax Council opinion or equivalent body	96
Audit and Risk Board's Opinion	97
Statement of the Executive Officers on the Financial Statements	98
Statement of the Executive Officers on Independent Auditor's Report	99

Company Data/Capital Breakdown
Number of shares (units)	Current Quarter 03/31/2023
Common - Paid-in capital	46,445,314
Preferred - Paid-in capital	80,189,120
Total - Paid-in Capital	126,634,434
Preferred - Held in treasury	-
Total - Held in treasury	-

Individual FS / Balance Sheet - Assets (In thousands of Brazilian reais)

		Current Quarter	Prior Year
Line Item	Description	03/31/2023	12/31/2022
1	Total assets	2,078,883	2,122,509
1.01	Current assets	766,180	819,991
1.01.01	Cash and cash equivalents	82,215	107,155
1.01.01.01	Cash and banks	70,674	91,055
1.01.01.02	Highly liquid short-term investments	11,541	16,100
1.01.02	Short-term investments	156,340	92,010
1.01.02.03	Short-term investments at evaluated at amortized cost	156,340	92,010
1.01.03	Accounts receivable	130,500	224,150
1.01.03.01	Trade receivables	130,500	224,150
1.01.04	Inventories	333,875	331,810
1.01.06	Recoverable taxes	23,546	22,939
1.01.06.01	Recoverable current taxes	23,546	22,939
1.01.07	Prepaid expenses	8,768	6,408
1.01.08	Other current assets	30,936	35,519
1.01.08.03	Other	30,936	35,519
1.01.08.03.03	Related parties - financial loan	14,932	12,682
1.01.08.03.04	Other receivables	16,004	22,837
1.02	Noncurrent assets	1,312,703	1,302,518
1.02.01	Long-term receivables	210,372	216,782
1.02.01.03	Long-term investments at evaluated at amortized cost	-	21,931
1.02.01.07	Deferred taxes	40,081	37,338
1.02.01.07.01	Deferred income tax and social contribution	40,081	37,338
1.02.01.09	Due from related parties	91,220	86,471
1.02.01.09.02	Receivables from subsidiaries	91,220	86,471
1.02.01.10	Other noncurrent assets	79,071	71,042
1.02.01.10.03	Recoverable taxes	14,451	14,435
1.02.01.10.04	Other	64,620	56,607
1.02.02	Investments	715,549	727,546
1.02.02.01	Equity interests	715,549	727,546
1.02.02.01.02	Equity interests in subsidiaries	715,549	727,546
1.02.03	Property, plant and equipment	328,904	304,109
1.02.03.01	Fixed assets in use	197,482	190,483
1.02.03.03	Construction in progress	131,422	113,626
1.02.04	Intangible assets	57,878	54,081
1.02.04.01	Intangible assets	57,878	54,081
1.02.04.01.02	Intangible assets	57,878	54,081

Individual FS / Balance Sheet - Liabilities (In thousands of Brazilian reais)

		Current Quarter	Prior Year
Line Item	Description	03/31/2023	12/31/2022
2	Total liabilities and equity	2,078,883	2,122,509
2.01	Current liabilities	806,830	840,338
2.01.01	Payroll, benefits and taxes thereon	44,950	46,662
2.01.01.01	Payroll and related taxes	6,021	6,358
2.01.01.02	Payroll and related taxes	38,929	40,304
2.01.02	Trade payables	78,786	70,543
2.01.02.01	Local suppliers	63,718	54,951
2.01.02.02	Foreign suppliers	15,068	15,592
2.01.03	Taxes payable	36,102	49,025
2.01.03.01	Federal tax liabilities	34,971	43,832
2.01.03.01.01	Income tax and social contribution payable	19,596	14,679
2.01.03.01.02	Other taxes	15,375	29,153
2.01.03.02	State tax liabilities	1,066	5,160
2.01.03.03	Municipal tax liabilities	65	33
2.01.04	Borrowings and financing	367,426	392,967
2.01.04.01	Borrowings and financing	367,426	392,967
2.01.04.01.01	In local currency	1,837	1,838
2.01.04.01.02	In foreign currency	365,589	391,129
2.01.05	Other payables	218,575	220,752
2.01.05.02	Other	218,575	220,752
2.01.05.02.02	Dividends payable	164,120	164,119
2.01.05.02.08	Advances from customers	32,351	38,631
2.01.05.02.09	Other payables	22,104	18,002
2.01.06	Provisions	60,991	60,389
2.01.06.01	Tax, social security, labor and civil provisions	54,761	54,103
2.01.06.01.01	Tax provisions	47,727	47,727
2.01.06.01.02	Social security and labor provisions	5,077	5,328
2.01.06.01.04	Civil provisions	1,957	1,048
2.01.06.02	Other provisions	6,230	6,286
2.01.06.02.01	Provision for warranties	6,230	6,286
2.02	Noncurrent liabilities	224,305	257,940
2.02.01	Borrowings and financing	61,556	95,258
2.02.01.01	Borrowings and financing	61,556	95,258
2.02.01.01.01	In local currency	1,365	1,820
2.02.01.01.02	In foreign currency	60,191	93,438
2.02.02	Other payables	111,044	112,024