Earnings Call – 1Q15

May 15th, 2015

LTM = “Last Twelve Months”

The consolidated financial statements presented here are consistent with the criteria of international accounting standards - IFRS issued by the

International Accounting Standards Board – IASB, based on audited financial information. Non-financial information contained herein, as well

as other operational information, were not audited by independent auditors and may include forward-looking statements and reflects the

current views and perspectives of the management on the evolution of macro-economic environment, conditions of the mining and

refractories industries, company performance and financial results. Any statements, projections, expectations, estimates and plans contained

in this document that do not describe historical facts, and the factors or trends affecting financial condition, liquidity or results of operations,

are forward-looking statements and involve several risks and uncertainties.

This presentation should not be construed as legal, tax, investment or other advice. 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 herein shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. Under no

circumstances, neither the Company nor its subsidiaries, directors, officers, agents or employees be liable to third parties (including investors)

for any investment decision based on information and statements in this presentation, or for any damages resulting therefrom, corresponding

or specific.

The information presented or contained in this presentation is current as of the date hereof and is subject to change without notice. Magnesita

has no obligation to update it or revise it in light of new information and / or in face of future events, safeguard the current regulations which

we are submitted to. This presentation and its contents are proprietary information of the Company and may not be reproduced or circulated,

partially or completely, without the prior written consent of the Company.

Changes in historical numbers For comparison purposes, 2013 figures have been adjusted to reflect accounting changes implemented by the Company in late 2013.

Disclosure

2

Brazil

3

Source: ¹WSA

Crude Steel Production¹ (million tons) - Established Markets

Volume (‘000 tons)*

USA + Canada EU-28

Sales to Steel Segment

Revenues (R$ million)

-3%

-1%

1Q15

210

4Q14

217

1Q14

211

4Q14

545

1Q14

516

5%

11%

1Q15

570

Refractory Solutions Sales - Steel

1%

1%

1Q15

8

4Q14

8

1Q14

8

-6%

-6%

1Q15

23

4Q14

25

1Q14

25 43

4%

-2%

1Q15 4Q14

41

1Q14

44

Sales by region (in R$)

34 34

1Q14 LTM

-1%

1Q15 LTM

99

0%

1Q15 LTM

99

1Q14 LTM

169

0%

1Q15 LTM

169

1Q14 LTM

1Q15 LTM

3%

881

1Q14 LTM

852

1Q14 LTM

2.194

9%

1Q15 LTM

2.006

*Excluding scraps volume

1Q15

29%21%

38%

12%

Europe OthersSouth America North America

25% 26%

37%

12%

1Q14

4

Sales to Industrial Segment

Refractory Solutions Sales – Industrial Segment

Volume (‘000 tons) Revenues (R$ million)

46

3443

1Q14

34%

7%

1Q15 4Q14

142

98125

1Q14

45%

13%

1Q15 4Q14

154151

3%

1Q15 LTM 1Q14 LTM

439424

1Q15 LTM

4%

1Q14 LTM

1Q15

29%11%

47%

13%

Europe OthersSouth America North America

26%14%

46%

14%

1Q14

Refractory Solutions Sales and Margin - Consolidated

Volume (‘000 tons)

Revenues (R$ million)

Gross Profit and Margin (R$ million; %)

256251254

2%

1%

1Q15 4Q14 1Q14

242183212

14%

32%

1Q15

34.1%

4Q14

28.5%

1Q14

33.1%

712643641

11%

11%

1Q15 4Q14 1Q14

Sales by region (in R$)

Sales by segment (in R$)

3%

1Q15 LTM

1.036

1Q14 LTM

1.002

8%

1Q15 LTM

2.633

1Q14 LTM

2.430

831797

4%

1Q15 LTM

31.6%

1Q14 LTM

32.8%

5

1Q15

29%19%

40%

12%

Europe OthersSouth America North America

25% 24%

39%

13%

1Q14

19.9%

80.1%

19.6%

80.4%

1Q15 1Q14

Steel Industrial

6

Revenues (R$ million) Gross Profit and Margin (R$ million; %)

Revenues (R$ million) Gross Profit and Margin (R$ million; %)

Minerals and Services Sales and Margin

44

3239

4Q14 1Q14

37%

12%

1Q15

5043

39

4Q14 1Q14

16%

29%

1Q15

141112

33.4%

1Q14

31.2%

29%

13%

1Q15

31.6%

4Q14

1277

16.4%

1Q14

16.9%

71%

84%

1Q15

24.2%

4Q14

Minerals

Services

1Q14 LTM

170

-12%

1Q15 LTM

150

5064

37.8%

-22%

1Q15 LTM

33.6%

1Q14 LTM

1Q14 LTM

131

35%

1Q15 LTM

176

39

20

1Q14 LTM

90%

1Q15 LTM

21.9% 15.6%

7

Consolidated Sales and Gross Profit (R$ million)

Por Segmento

806718719

11%

12%

1Q15 4Q14 1Q14

Gross Profit

Consolidated Sales

8%

1Q15 LTM

2.959

1Q14 LTM

2.731

269201231

33%

16%

1Q15

33.3%

4Q14

28.0%

1Q14

32.1%

920881

1Q15 LTM

4%

1Q14 LTM

31.1% 32.3%

8

SG&A

Selling Expenses

G&A

1%

9%

1Q15

61

7.6%

4Q14

61

8.5%

1Q14

56

7.8%

5%

0%

1Q15

107

13.2%

4Q14

102

14.2%

1Q14

106

14.8%

Selling Expenses

% of sales

2%

-5%

1Q15

45

5.6%

4Q14

44

6.2%

1Q14

48

6.6%

Consolidated Freight

G&A

% of sales

Others

6%

5%

1Q15

62

7.6%

4Q14

58

8.0%

1Q14

59

8.2%

-1%

1Q15 LTM

240

8.1%

1Q14 LTM

241

8.8%

4%

1Q15 LTM

409

13.8%

1Q14 LTM

392

14.2%

7%

1Q15 LTM

179

6.0%

1Q14 LTM

168

6.1%

3%

1Q15 LTM

230

7.8%

1Q14 LTM

224

8.1%

9

EBITDA and Net Result (R$ million)

Net Result

1Q15

-27

-3.3%

4Q14

-76

-10.6%

1Q14

-17

-2.3%

37%

75%

1Q15

142

17.6%

4Q14

81

11.3%

1Q14

104

14.4%

10%

1Q15 LTM

425

14.3%

1Q14 LTM

385

14.0%

-107

1Q15 LTM

0.6%

15

1Q14 LTM

-3.6%

EBITDA ex-others

10

CAPEX and Working Capital

Working Capital

CAPEX

4Q14

23

34

1Q15

73

1Q14

-54%

46%

30.6%

3Q14

979

34.0%

1Q14

1,017

35.4%

1Q15

961

29.8%

4Q14

878

2Q14

1,002

35.1%

Working Capital

% of sales

187

1Q15 LTM

-8%

204

1Q14 LTM

8,2

Net Debt per currency (as of March* 2015)

11

*EBITDA excluding other revenues/expenses

Amortization Schedule (R$ million)

*EBITDA excluding other revenues/expenses

Leverage and Indebtedness (R$ million)

Amortization Schedule

Leverage ratio Leverage ratio ex-perpetual

1.7061.5961.5371.4841.494

425387404379385

1Q15

3.5x

4.1x

4Q14

3.9x

4.1x

3Q14

3.7x

3.9x

2Q14

4.0x

3.9x

1Q14

3.8x

3.9x

Net Debt / EBITDA Adj by fx

Net Debt / EBITDA¹

EBITDA

Net Debt

887931911922914425387404379385

1Q15

2,1x

2,1x

4Q14

2,4x

2,4x

3Q14

2,3x

2,3x

2Q14

2,5x

2,5x

1Q14

2,4x

2,4x

Net Debt / EBITDA Adj by fx

Net Debt / EBITDA¹

EBITDA

Net Debt

88.5%

Short term

11.5%

Long term

EUR

20%

USD 48%

BRL 32%

*Currency exposure as of March 27th, before the Swap expiration at March 30th

Octavio Pereira Lopes CEO

Eduardo Gotilla CFO e IRO

Daniel Domiciano IR Manager

Lucas Veiga IR Analyst

Phone: +55 11 3152-3237/3241/3202 ri@magnesita.com

www.magnesita.com/ri

12

Investor Relations