FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of the
Securities Exchange Act of 1934
For the month of May, 2024
Commission File Number 1-14732
COMPANHIA SIDERÚRGICA NACIONAL
(Exact name of registrant as specified in its charter)
National Steel Company
(Translation of Registrant's name into English)
Av. Brigadeiro Faria Lima 3400, 20º andar
São Paulo, SP, Brazil
04538-132
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F. Form 20-F ___X___ Form 40-F _______

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes _______ No ___X____

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Table of Contents

Company Information
Capital Breakdown 1
Parent Company Financial Statements
Balance Sheet - Assets 2
Balance Sheet - Liabilities 3
Statement of Income 4
Statement of Comprehensive Income 5
Statement of Cash Flows 6
Statement of Changes in Shareholders' Equity
01/01/2024 to 03/31/2024 7
01/01/2023 to 03/31/2023 8
Statement of Value Added 9
Consolidated Financial Statements
Balance Sheet - Assets 10
Balance Sheet - Liabilities 11
Statement of Income 12
Statement of Comprehensive Income 13
Statement of Cash Flows 14
Statement of Changes in Shareholders' Equity
01/01/2024 to 03/31/2024 15
01/01/2023 to 03/31/2023 16
Statement of Value Added 17
Notes to the financial information 18
Reports and Statements
Unqualified Independent Auditors' Review Report 63
Officers Statement on the Financial Statements 65
Officers Statement on Auditor's Report 66

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Company Information / Capital Breakdown

Number of Shares

(Units)

Current Period

3/31/2024

Paid-in Capital
Common 1,326,093,947
Preferred 0
Total 1,326,093,947
Treasury Shares
Common 0
Preferred 0
Total 0

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Balance Sheet - Assets
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Balance Sheet - Liabilities
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Statement of Income
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Statement of Comprehensive Income
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Statements of Cash Flows - Indirect Method
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Statement of Changes in Equity - 01/01/2024 to 03/31/2024
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Statement of Changes in Equity - 01/01/2023 to 03/31/2023
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company Financial Statements / Statement of Value Added
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Balance Sheet - Assets
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Balance Sheet - Liabilities
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Statement of Comprehensive Income
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Statements of Cash Flows - Indirect Method

(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Statements of Changes in Equity - 01/01/2024 to 03/31/2024
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Statements of Changes in Equity - 01/01/2023 to 03/31/2023
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Financial Statements / Statements of Value Added
(R$ thousand)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

EXPLANATORY NOTES TO THE FINANCIAL STATEMENTS
(In thousands of reais, unless otherwise noted)

1. DESCRIPTION OF BUSINESS

Companhia Siderúrgica Nacional ("CSN", also referred to as "Company" or "Parent company"), is a publicly held company incorporated on April 9, 1941, under the laws of the Federative Republic of Brazil (Companhia Siderúrgica Nacional, its subsidiaries, joint ventures, joint operations and associates are collectively referred to herein as the "Group"). The Company's registered office is located in São Paulo, SP, Brazil.

CSN is listed on the São Paulo Stock Exchange (B3 S.A. - Brasil, Bolsa, Balcão) and on the New York Stock Exchange ("NYSE"), reporting its information to the Brazilian Securities and Exchange Commission ("CVM") and to the U.S. Securities and Exchange Commission ("SEC").

The Group's main operating activities are divided into five 5 segments as follows:

· Steel:

The Company's main industrial facility is the Presidente Vargas Steelworks ("UPV"), located in the city of Volta Redonda, State of Rio de Janeiro. This segment consolidates all operations related to the production, distribution and sale of flat steel, long steel, metallic containers and galvanized steel. In addition to the facilities in Brazil, CSN has commercial operations in the United States and operations in Portugal and Germany in order to gain markets and provide excellent services to final consumers. Its steel is used in home appliances, civil construction, package and automobile industries.

· Mining:

The production of iron ore is developed in the cities of Congonhas, Belo Vale and Ouro Preto, State of Minas Gerais, by its subsidiary CSN Mineração S.A. ("CSN Mineração"). The Company's mining activities also include tin exploration in the state of Rondônia by CSN's subsidiary Estanho de Rondônia S.A. ("ERSA"), to supply the needs of the UPV. The surplus of this raw material is sold to subsidiaries and third parties.

Iron ore is sold basically in the international market, especially in Europe and Asia. The prices charged in these markets are historically cyclical and subject to significant fluctuations over short periods of time, driven by several factors related to global demand, strategies adopted by the major steel producers, and the foreign exchange rate. All these factors are beyond the Company's control. The ore is transported by rail to the Terminal de Carvão e Minérios from the Itaguaí Port ("TECAR"), a solid bulk terminal, one of the four terminals that comprise the Itaguai Port, located in the State of Rio de Janeiro and from TECAR to customers around the world. The imports of coal and coke are also carried out through this terminal by provision of services by CSN Mineração to CSN.

As a pioneer in the use of technologies that result in the possibility of stacking the tailings generated in the iron ore production process, the Company, since January 2020, has a complete structure for tailings filtration, allowing the dry stacking of the material. The tailings are disposed of in geotechnically controlled piles in areas exclusively intended for stacking, avoiding the use of dams for this purpose.

As a consequence of these measures, decommissioning of dams is the natural path for processing filtered tailings. All of our mining dams are positively certified and comply with the environmental legislation in force.

· Cements:

CSN entered the cement market driven by the synergy between this activity and its existing businesses. The cement production unit located next to the UPV facilities, in Volta Redonda/RJ, produces CP-III type cement using slag produced by UPV's own blast furnaces. There is also the exploration of limestone and dolomite at the Arcos/MG unit to meet the needs of the steel industry and the cement factory, as well as the production of clinker at the same unit.

On August 31, 2021, the subsidiary CSN Cimentos S.A. ("CSN Cimentos") concluded the acquisition of control of Elizabeth Cimentos S.A. and Elizabeth Mineração Ltda., operating in the Northeast region, especially in Paraíba and Pernambuco. On May 1, 2022, Elizabeth Mineração was merged into CSN Cimentos.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

On September 9, 2021, CSN Cimentos entered into the Agreement for the Sale and Purchase of the Shares in LafargeHolcim (Brasil) S.A., for the acquisition of 100% of the shares issued by LafargeHolcim (Brasil) S.A. ("LafargeHolcim"). On September 6, 2022, the acquisition of all shares issued by LafargeHolcim S.A. was completed, with the corporate name of LafargeHolcim being changed to "CSN Cimentos Brasil S.A.", which became controlled by CSN Cimentos. The Company's main activities are: production, industry and general trade of cement, lime, mortar, minerals and metals in general and complementary products for civil construction, in natura with industrial plants, warehouses and branches across a large part of the national territory.

On August 31, 2023, the Extraordinary General Meeting approved the incorporation of CSN Cimentos by CSN Cimentos Brasil with the consequent transfer of all assets, assets (movable and immovable), rights and obligations, in accordance with the terms of the "Protocol and Justification of the Incorporation of CSN Cimentos S.A. by CSN Cimentos Brasil S.A.". Thus, CSN Cimentos was extinguished, all its shares were canceled and, in replacement, its shareholders received shares in CSN Cimentos Brasil. All activities carried out by CSN Cimentos are now carried out by CSN Cimentos Brasil. The Valuation Report of CSN Cimentos' equity was prepared on June 30, 2023, being the basis for defining a capital increase in CSN Cimentos Brasil in the amount of R$2,383,276.

· Logistics:

Railroads:

CSN has interests in three railroad companies: MRS Logística S.A. ("MRS"), which manages the former Southeast Railway System of Rede Ferroviária Federal S.A. ("RFFSA"), Transnordestina Logística S.A. ("TLSA") and FTL - Ferrovia Transnordestina Logística S.A. ("FTL"), which holds the concession to operate the former Northeast Railway System of RFFSA, in the States of Maranhão, Piauí, Ceará, Rio Grande do Norte, Paraíba, Pernambuco, Alagoas - stretches from São Luís to Altos, Altos to Fortaleza, Fortaleza to Sousa, Sousa to Recife/Jorge Lins, Recife/Jorge Lins to Salgueiro, Jorge Lins to Propriá, Paula Cavalcante to Cabedelo, Itabaiana to Macau (Mesh I) and TLSA is responsible for the stretches from Eliseu Martins-Trindade, Trindade-Salgueiro, Salgueiro-Missão Velha and Missão Velha-Pecém (Mesh II), under construction.

Ports:

The Company operates in the State of Rio de Janeiro, by means of its subsidiary Sepetiba Tecon S.A., the Container Terminal ("TECON") and by means of its subsidiary CSN Mineração, the TECAR, both located at the Itaguaí Port. Established in the harbor of Sepetiba, the mentioned port has a privileged highway, railroad, and maritime access.

TECON is responsible for the movement and storage of containers, vehicles, steel products, general cargo, among other products, and TECAR performs the operational activities of loading and unloading of solid bulk ships, storage and distribution (road and rail) of coal, coke, petroleum coke, clinker, zinc concentrate, sulfur, iron ore and other bulk, intended for the seaborne market, for our own operation and for different customers.

· Energy:

Since the energy supply is fundamental in CSN"s production process, the Company has electricity generation assets to mitigate costs, aiming at greater competitiveness.

On June 30, 2022, the Company's subsidiaries, CSN Cimentos and CSN Energia S.A. ("CSN Energia"), completed the acquisition of Santa Ana Energética S.A. ("Santa Ana"), as well as Topázio Energética S.A. ("Topázio") and, indirectly, Brasil Central Energia Ltda. ("BCE"), a subsidiary of Topázio, under the terms of the Share Purchase Agreement entered into on April 8, 2022 with Brookfield Americas Infrastructure (Brazil Power) Fundo de Investimento em Participações Multiestratégia, private equity fund managed by Brookfield Brasil Asset Management Investimentos Ltda. On October 7, 2022, subsidiaries CSN Mineração and CSN Energia S.A. concluded the acquisition of 100% of the shares of Companhia Energética Chapecó - CEC, holder of the grant of Quebra-Queixo Hydroelectric Power Plant ("Chapecó"), as provided for in the Agreement for the Purchase and Sale of Shares and Other Covenants and in the Private Instrument of Assignment of Rights and Obligations entered into on July 1, 2022 and July 25, 2022, respectively.

In July 2022, the Company won the auction held by the State of Rio Grande do Sul, for the sale of 100% of the shares in its possession, 6,381,908 equivalent to 66.23% of the share capital, of Companhia Estadual de Energia Elétrica - CEEE-G, as part of the CEEE Group privatization program, in accordance with State Law 15.298/19.On October 21, 2022, the transaction was completed with payment by the company of the auction winning price. On December 22, 2022, the acquisition of Eletrobras' 32.74% interest in CEEE-G. On November 22, 2023, the post-takeover bid auction was settled, in which CFB acquired 1,271

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

(one thousand two hundred and seventy-one) common shares and 338 (three hundred and thirty-eight) preferred shares issued by CEEE-G, was concluded the Company currently holds 99% of the share capital of CEEE-G.

· Going Concern:

Management understands that the Company has adequate resources to continue its operations. Accordingly, the Company's interim financial information for the period ended March 31, 2024, have been prepared on a going concern basis.

2. BASIS OF PREPARATION AND STATEMENT OF COMPLIANCE
2.a) Statement of compliance

The parent company and consolidated interim financial information ("interim financial information") have been prepared and are being presented in accordance with the accounting practices adopted in Brazil issued by the Brazilian Accounting Pronouncements Committee ("CPC"), approved by the Brazilian Securities and Exchange Commission ("CVM") and by the Brazilian Federal Accounting Council ("CFC"), and in accordance with the International Financial Reporting Standards ("IFRS") issued by the International Accounting Standard Board ("IASB") and disclose all the relevant information of the interim financial information, and only this information, which corresponds to that used by the Company's management in its activities. The consolidated interim financial information are identified as "Consolidated" and the parent company's individual interim financial information are identified as "Parent Company".

2.b) Basis of presentation

The interim financial statements were prepared based on the historical cost and were adjusted to reflect: (i) the fair value measurement of certain financial assets and liabilities (including derivative instruments), as well as pension plan assets; and (ii) impairment losses. When IFRS and CPCs allows the option between cost or another measurement criterion, the cost of acquisition criterion was used.

The preparation of these interim financial statements requires Management to use certain accounting estimates, judgments and assumptions that affect the application of Accounting Polices and the amounts reported on the balance sheet date of assets, liabilities, income, and expenses may differ from actual future results. The assumptions used are based on history and other factors considered relevant and are reviewed by the Company's management.

The interim financial information has been prepared and is being presented in accordance with CPC 21 (R1) - "Interim Financial Reporting" and IAS 34 - "Interim Financial Reporting", consistently with the standards issued by the CVM. This interim financial information does not include all requirements of annual or full financial statements and, accordingly, should be read in conjunction with the Company's financial statements for the year ended December 31, 2023.

The new standards adopted for financial years beginning on or after January 1, 2024 are described in Note 2.e.

Therefore, in this interim financial information the following notes are not repeated, either due to redundancy or to the materiality in relation to those already presented in the annual financial statements:

Note 18 - Installment taxes

Note 29 - Employee benefits

Note 30 - Commitments

Note 31 - Insurance

The consolidated financial statements were approved by Board of Directors on May 09, 2024.

2.c) Functional currency and presentation currency

The accounting records included in the interim financial statements of each of the Company's subsidiaries are measured using the currency of the principal of the economic environment in which each subsidiary operates ("the functional currency"). The consolidated and parent company interim financial statements are presented in BRL (reais), which is the Company's functional and reporting currency.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Foreign currency transactions are translated into the functional currency using the exchange rates prevailing on the transaction or valuation dates, in which the items are remeasured. The balances of the asset and liability accounts are converted using the exchange rate on the balance sheet date. As of March 31, 2024, US$1.00 was equivalent to BRL 4.9962 (BRL 4.8413on December 31, 2023) and €1.00 was equivalent to BRL 5.3979 (BRL 5.3516 on December 31, 2023), according to the rates obtained from Central Bank of Brazil website.

2.d) Statement of value added

Pursuant to Law 11,638/07, the presentation of the statement of added value is required for all publicly held companies. These statements were prepared in accordance with CPC 09 - Added Value Statement. The IFRS does not require the presentation of this statement and for IFRS purposes is presented as additional information.

2.e) Adoption of new requirements, standards, amendments and interpretations

The new requirements, standards, amendments and interpretations that came into force for fiscal years starting on January 1, 2024, are:

• Amendment to IFRS 16 - Lease Liability in a Sale and Leaseback;

• Amendments to IAS 1 - Classification of liabilities as "Current" or "Non-Current";

• Amendments to IAS 7 and IFRS 7 - Disclosures on drawn-risk operations.

In relation to the aforementioned changes, the Company did not identify significant impacts that would alter its disclosure in terms of the adoption and interpretation of the rules; with the exception of the amendments to IAS 7 and IFRS 7, as a result of the addition of items 44F and 44H to Technical Pronouncement CPC 03 (R2) - Cash flow statements, which provide greater detail on drawn risk operations (also referred to as "forfaiting" throughout the report, in its note 15.a. Suppliers - Drawn risk.

3. CASH AND CASH EQUIVALENTS
Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Cash and banks
Brazil 707,038 103,383 25,824 73,819
Abroad 7,242,848 10,797,192 16,259 140,400
7,949,886 10,900,575 42,083 214,219
Investments
Brazil 5,697,317 4,227,916 1,966,022 2,052,232
Abroad 1,211,162 917,727 1,401 3,619
6,908,479 5,145,643 1,967,423 2,055,851
14,858,365 16,046,218 2,009,506 2,270,070

Our investments are basically in private and public securities with yields linked to the variation of Interbank Deposit Certificates (CDI) and repo operations backed by National Treasury Notes, respectively. The Company invests part of the funds through exclusive investment funds which have been consolidated in this interim financial information.

The financial resources available abroad, held in dollars and euros, are invested in private securities, in banks considered by the Administration to be first-rate and are remunerated at pre-fixed rates.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

4. FINANCIAL INVESTMENTS
Consolidated Parent Company
Current Non-current Current Non-current
03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023
Investments (1) 41,259 39,800 137,428 139,949 32,745 31,505
Usiminas shares (2) 1,551,033 1,493,204 1,551,033 1,493,204
Bonds (3) 114,912 111,350 114,913 111,350
1,592,292 1,533,004 252,340 251,299 1,583,778 1,524,709 114,913 111,350
(1) These are restricted financial investments and linked to a Bank Deposit Certificate (CDB) to guarantee a letter of guarantee from financial institutions and financial investments in Public Securities (LFT - Letras Financeiras do Tesouro) managed by their exclusive funds. As of March 31, 2024, R$123,870 is restricted as collateral for a liability of the subsidiary CSN Cimentos Brasil and its redemption period is undetermined.
(2) A guarantee (fiduciary alienation) was constituted over a portion of the shares of Usiminas Siderúrgica de Minas Gerais S.A. held by the Company.
(3) Bonds with banco Fibra maturing in February 2028 (see note 20.a).

5.TRADE RECEIVABLES

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Trade receivables
Third parties
Domestic market 1,726,575 1,525,773 952,683 872,666
Foreign market 723,986 1,801,677 34,364 31,176
2,450,561 3,327,450 987,047 903,842
Allowance for doubtful debts (249,600) (226,053) (141,248) (119,558)
2,200,961 3,101,397 845,799 784,284
Related parties (note 20 a) 285,821 168,367 1,300,828 1,086,083
2,486,782 3,269,764 2,146,627 1,870,367

The composition of the gross balance of accounts receivable from third party consumers is shown as follows:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Current 2,113,493 2,938,483 827,406 720,879
Past-due up to 30 days 81,106 129,846 8,540 55,754
Past-due up to 180 days 90,000 36,568 54,593 31,248
Past-due over 180 days 165,962 222,553 96,508 95,961
2,450,561 3,327,450 987,046 903,842

The changes in estimated credit losses are as follows:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Opening balance (226,053) (232,830) (119,558) (122,872)
(Loss)/Reversal estimated (27,519) (2,959) (24,304) (251)
Recovery and write-offs of receivables 3,972 9,736 2,614 3,565
Closing balance (249,600) (226,053) (141,248) (119,558)

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

6. INVENTORIES
Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Finished goods 3,800,705 3,856,491 2,332,038 2,121,712
Work in progress 3,379,087 3,316,396 1,677,846 1,622,987
Raw materials 2,673,221 2,607,079 1,870,289 1,820,109
Storeroom supplies 1,255,782 1,225,963 575,088 566,961
Advances to suppliers 104,472 85,623 90,932 61,119
Provision for losses (91,561) (121,871) (28,977) (24,304)
11,121,706 10,969,681 6,517,216 6,168,584
Classified:
Current 9,619,777 9,557,578 6,517,216 6,168,584
Non-current (1) 1,501,929 1,412,103
11,121,706 10,969,681 6,517,216 6,168,584
(1) Long-term iron ore inventories that will be used after the construction of the processing plant, which will produce pellet feed.

The changes in estimated losses on inventories are as follows:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Opening balance (121,871) (96,493) (24,304) (16,124)
Reversal/(Estimated losses) of inventories with low turnover and obsolescence 30,310 (25,378) (4,673) (8,180)
Closing balance (91,561) (121,871) (28,977) (24,304)
7. RECOVERABLE TAXES
Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
State Value-Added Tax 1,773,830 1,492,575 1,280,985 1,015,444
Brazilian federal contributions (1) 2,727,384 2,729,606 1,766,236 1,592,694
Other taxes 62,100 59,316 61,310 68,391
4,563,314 4,281,497 3,108,531 2,676,529
Classified:
Current 2,091,628 1,744,074 1,282,740 855,663
Non-current 2,471,686 2,537,423 1,825,791 1,820,866
4,563,314 4,281,497 3,108,531 2,676,529

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

8. OTHER CURRENT AND NON-CURRENT ASSETS

Other current and non-current assets are as follows:

Consolidated Parent Company
Current Non-current Current Non-current
03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023
Judicial deposits (note 18) 494,511 491,882 204,946 210,833
Derivative financial instruments (note 13.a) 985,998 32,211 9,808 12,122
Dividends receivable 180,917 185,178 579,327 562,938
Prepaid expenses 368,543 416,556 68,569 83,557 262,904 248,472 55,485 64,652
Prepaid expenses 368,543 416,556 28,218 44,027 262,904 248,472 23,779 33,645
Actuarial asset (note 20.a) 40,351 39,530 31,706 31,007
Receivables from related parties 13,596 13,625 3,511,956 3,451,991 366,526 222,467 4,001,732 3,889,118
Loans with related parties (note 20.a) 5,287 5,316 1,719,377 1,659,412 5,287 5,316 2,209,145 2,096,536
Other receivables from related parties (note 20.a) 8,309 8,309 1,792,579 1,792,579 361,239 217,151 1,792,587 1,792,582
Other assets 319,112 279,492 1,263,221 1,283,061 46,357 34,478 1,228,440 1,235,145
Trading securities 5,797 7,198 5,648 7,054
Compulsory loans from Eletrobrás 62,458 62,913 59,688 60,136
Employee debts 84,805 61,332 40,271 27,166
Receivables by indemnity (1) 106,405 106,405 1,167,671 1,173,922 1,167,671 1,173,922
Term of Agreement GSF DFESA (2) 14,264 14,264 13,075 16,642
Advances from Suppliers 20,534 10,158
Others 87,307 80,135 20,017 29,584 438 258 1,081 1,087
1,868,166 927,062 5,338,257 5,310,491 1,264,922 1,080,477 5,490,603 5,399,748
(1) In December 2023, R$106,405 was recognized in connection with an income tax dispute abroad. In April 2023, the subsidiary CEEE-G recognized the amount of R$ 37,486, referring to the Taxes and Contributions Amounts (VIC) of the Hydroelectric Plants committed to Physical Guarantee Quota Contracts (CCGFs).In the 3rd quarter of 2022, the uncontroversial amount of R$422,254 was recognized in the same account, as a refund of the amounts overpaid for railroad freight from April 1994 to March 1994 and March 1996 to the company RFFSA, and that after its extinction, the Federal Government became a defendant. Additionally, in 2020, a credit was recognized, which is a net, certain and payable amount, arising from the final and unappealable decision of a court in favor of the Company, due to losses and damages arising from voltage sinking in the energy supply in the periods from January/1991 to June/2002, in the amount of R$ 561,466.
(2) On February 8, 2022, ANEEL approved the renegotiation of the hydrological risk (GSF - Generation Scaling Factor) of the Dona Francisca HPP, according to Authorizing Resolution No. 11,132. In this sense, the extension of the Plant Concession was granted in 1,485 days, passing the end of the granting of 02/28/2033 to 09/21/2037. Once this stage was overcome, the Term of Agreement signed between CEEE-G and Dona Francisca Energética S.A. became effective - DFESA, a contract that redistributes the risks of the Consortium, with the physical guarantee of the Plant, the hydrological risk and the engineering risk in proportion to the Dona Francisca's participation (85%) and CEEE-G (15%) in the project, see explanatory note no. 1.1.2. In view of this redistribution, DFESA will pay the CEEE-G the amount of R$ 57,056, in 48 installments, to be paid, as of March 2022, with credit updating by 100% of the CDI, already 26 (twenty-six) installments were received.
9. BASIS OF CONSOLIDATION AND INVESTMENTS

The information related to the activities of jointly controlled subsidiaries, joint operations, associates and other investments did not change in relation to what was disclosed in the Company's financial statements as of December 31, 2023. Therefore, Management decided not to repeat them in the accounting information interim of March 31, 2024.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Equity interests (%)
Companies 03/31/2024 12/31/2023 Core business
Direct interest in subsidiaries: full consolidation
CSN Islands VII Corp. 100.00 100.00 Financial transactions
CSN Inova Ventures 100.00 100.00 Equity interests and Financial transactions
CSN Islands XII Corp. 100.00 100.00 Financial transactions
CSN Steel S.L.U. 100.00 100.00 Equity interests and Financial transactions
TdBB S.A (*) 100.00 100.00 Equity interests
Sepetiba Tecon S.A. 99.99 99.99 Port services
Minérios Nacional S.A. 99.99 99.99 Mining and Equity interests
Companhia Florestal do Brasil 99.99 99.99 Reforestation
Estanho de Rondônia S.A. 99.99 99.99 Tin Mining
Companhia Metalúrgica Prada 99.89 99.89 Manufacture of containers and distribution of steel products
CSN Mineração S.A. 79.75 79.75 Mining
CSN Energia S.A. 99.99 99.99 Sale of electric power
FTL - Ferrovia Transnordestina Logística S.A. 92.71 92.71 Railroad logistics
Nordeste Logística S.A. 99.99 99.99 Port services
CSN Inova Ltd. 100.00 100.00 Advisory and implementation of new development projec
CBSI - Companhia Brasileira de Serviços de Infraestrutura 99.99 99.99 Equity interests and product sales and iron ore
CSN Cimentos Brasil S.A. 99.99 99.99 Manufacturing and sale of cement
Berkeley Participações e Empreendimentos S.A. 100.00 100.00 Electric power generation and equity interests
CSN Inova Soluções S.A. 99.99 99.99 Equity interests
CSN Participações I 99.90 99.99 Equity interests
Circula Mais Serviços de Intermediação Comercial S.A. 0.10 0.01 Commercial intermediation for the purchase and sale of assets and materials in general
CSN Participações III 99.90 99.99 Equity interests
CSN Participações IV 99.90 99.99 Equity interests
CSN Participações V 99.90 99.99 Equity interests
Indirect interest in subsidiaries: full consolidation
Lusosider Projectos Siderúrgicos S.A. 100.00 100.00 Equity interests and product sales
Lusosider Aços Planos, S. A. 100.00 99.99 Steel and Equity interests
CSN Resources S.A. 100.00 100.00 Financial transactions and Equity interests
Companhia Brasileira de Latas 99.89 99.88 Sale of cans and containers in general and Equity interests
Companhia de Embalagens Metálicas MMSA 99.88 99.87 Production and sale of cans and related activities
Companhia de Embalagens Metálicas - MTM 99.88 99.87 Production and sale of cans and related activities
CSN Productos Siderúrgicos S.L. 100.00 100.00 Financial transactions, product sales and Equity interests
Stalhwerk Thüringen GmbH 100.00 100.00 Production and sale of long steel and related activities
CSN Steel Sections Polska Sp.Z.o.o 100.00 100.00 Financial transactions, product sales and Equity interests
CSN Mining Holding, S.L.U. 79.75 79.75 Financial transactions, product sales and Equity interests
CSN Mining GmbH 79.75 79.75 Financial transactions, product sales and Equity interests
CSN Mining Asia Limited 79.75 79.75 Commercial representation
Lusosider Ibérica S.A. 100.00 100.00 Steel, commercial and industrial activities and equity interests
CSN Mining Portugal, Unipessoal Lda. 79.75 79.75 Commercial and representation of products
Companhia Siderúrgica Nacional, LLC 100.00 100.00 Import and distribution/resale of products
Elizabeth Cimentos S.A. 99.98 99.98 Manufacturing and sale of cement
Santa Ana Energética S.A. 99.98 99.99 Electric power generation
Topázio Energética S.A. 99.98 99.99 Electric power generation
Brasil Central Energia Ltda. 99.98 99.99 Electric power generation
Circula Mais Serviços de Intermediação Comercial S.A. 99.90 99.99 Commercial intermediation for the purchase and sale of assets and materials in general
Metalgráfica Iguaçu S.A 99.89 99.89 Metal packaging manufacturing
Companhia Energética Chapecó 79.75 79.75 Electric power generation
Companhia Estadual de Geração de Energia Elétrica - CEEE-G 98.98 98.98 Electric power generation
Ventos de Vera Cruz S.A. 98.97 98.97 Electric power generation
Ventos de Curupira S.A 98.97 98.97 Electric power generation
Ventos de Povo Novo S.A. 98.97 98.97 Electric power generation
MAZET - Maschinenbau und Zerspanungstechnik Unterwellwnborn GmbH 100.00 100.00 Production and sale of long steel and related activities
CSN Mining Internacional GmbH 79.75 79.75 Commercial and representation of products
CSN International Steel GmbH (1) 100.00 Commercial and representation of products
Direct interest in joint operations: proportionate consolidation
Itá Energética S.A. 48.75 48.75 Electric power generation
Consórcio da Usina Hidrelétrica de Igarapava 17.92 17.92 Electric power consortium
Consórcio Itaúba 36.60 36.60 ; Electric power generation
Consórcio Passo Real 46.97 46.97 Electric power generation
Consórcio Dona Francisca 15.00 15.00 Electric power generation
Consórcio Ventos de Curupira 99.99 99.99 Electric power generation
Direct interest in joint ventures: equity method
MRS Logística S.A. 18.75 18.64 Railroad transportation
Aceros Del Orinoco S.A. (*) 31.82 31.82 Dormant company
Transnordestina Logística S.A. 48.03 48.03 Railroad logistics
Equimac S.A 50.00 50.00 Rental of commercial and industrial machinery and equipment
Consórcio Itaúba 63.40 63.40 Electric power generation
Consórcio Passo Real 53.03 53.03 Electric power generation
Indirect interest in joint ventures: equity method
MRS Logística S.A. 14.95 14.86 Railroad transportation
Direct interest in associates: equity method
Arvedi Metalfer do Brasil S.A. 20.00 20.00 Metallurgy and Equity interests
Panatlantica S.A. (2) 29.91 Steel
Indirect interest in affiliates: equity method
Jaguari Energética S.A. 10.50 10.39 Electric power generation
Chapecoense Geração S.A. (3) 9.00 8.91 Electric power generation
Companhia Energética Rio das Antas - Ceran (3) 30.00 29.69 Electric power generation
Ventos do Sul Energia S.A. (3) 10.00 9.90 Electric power generation
Foz Chapecó Energia S.A. (3) 9.00 8.91 Electric power generation
Exclusive funds: full consolidation
Diplic II - Private credit balanced mutual fund 100.00 100.00 Investment fund
Caixa Vértice - Private credit balanced mutual fund 100.00 100.00 Investment fund
VR1 - Private credit balanced mutual fund 100.00 100.00 Investment fund

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

(*) Dormant companies.

(1) On March 7, 2024, CSN International Steel GmbH was incorporated by the Company's direct subsidiary, CSN Steel S.L.U

(2) On January 15, 2024, Panatlântica started to be valued using the equity method on account of the acquisition of 18.61% of the shares at a total price of R$ 150,000,000.00 (one hundred and fifty million reais), with the Company holding 29.91% of Panatlântica's capital. Prior to such acquisition, the Company valued the investment at fair value through the Result.

(3) On February 21, 2024, the Company became the holder of 100% of the shares of the subsidiary CEEE-g (as of December 31, 2023, 99%), and for this reason, there was a small percentage increase in the indirect participation of the companies Companhia Energética Rio das Antas - CERAN, Ventos do Sul Energia S.A., Chapecoense Geração S.A. and Foz Chapecó Energia S.A.

9.a) Changes in investments in subsidiaries, joint ventures, joint operations, associates and other investments

The positions presented as of March 31, 2024 and the changes refer to the interest held by CSN in these companies:

Consolidated
Companies Final balance on 12/31/2023 Capital increase Write-off Dividends Equity Income Comprehensive income Others Amortization Final balance on 03/31/2024
Investments under the equity method
Joint-venture, Joint-operation and Affiliate
MRS Logistica 2,381,607 (120) 116,530 14,608 2,512,625
Fair Value MRS 480,622 480,622
Fair Value MRS amortization (93,971) (2,937) (96,908)
Transnordestina Logística S.A. 1,160,946 (6,645) 1,154,301
Fair Value -Transnordestina 659,106 659,106
Arvedi Metalfer do Brasil 35,487 1 35,488
Panatântica S.A. (1) 150,000 1,368 24,503 78,737 254,608
Equimac S.A 23,793 457 24,250
Indirect interest in affiliates - CEEE-G (²) 165,891 11,313 10,432 187,636
Fair Value indirect participation CEEE-G 319,709 319,709
Fair Value amortization indirect participation CEEE-G (23,896) (4,655) (28,551)
5,109,294 150,000 (120) 123,024 39,111 89,169 (7,592) 5,502,886
Other participations
Equity interests evaluated by the cost method (3) 50,093 (2,168) 47,925
Investments at fair value through profit or loss (1) (note 13) 78,737 (78,737)
Other (947) 2,006 1,059
127,883 (2,168) (76,731) 48,984
Total shareholdings 5,237,177 150,000 (2,168) (120) 123,024 39,111 12,438 (7,592) 5,551,870
Classification of investments in the balance sheet
Equity interests 5,237,177 5,551,870
Investment Property 205,954 205,693
Total investments in the asset 5,443,131 5,757,563

(1) The balance movement refers to the change in the valuation method of the Panatlântica investee due to the acquisitions of the aforementioned shares. As mentioned, the company, which was valued at fair value through results, started to be valued through the equity method.

(2) The balance in others refers mostly to canceled dividends.

(3) These are strategic investments in startups made by the subsidiary CSN Inova Ventures, which are valued using the cost method, in the following companies: Alinea Health Holdings Ltda. I.Systems Aut. Ind., 2D Materials, H2Pro Ltda, 1S1 Energy, Traive INC., OICO Holdingsand Global Dot, the latter acquired on June 5, 2023;

The reconciliation of equity in earnings of companies with shared control classified as joint ventures and associates and the amount presented in the income statement is presented below and results from the elimination of the results of CSN's transactions with these companies:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated
03/31/2024 03/31/2023
Result equivalence of affiliate, joint-venture and joint-operation
MRS Logística S.A. 116,530 54,374
Transnordestina (6,645) (3,677)
Arvedi Metalfer do Brasil 1 246
Equimac S.A 457 480
Indirect interest in affiliates - CEEE-G 11,313 12,530
Panatlantica 1,368 (26,291)
Fair Value Amortization (7,592)
115,432 37,662
Reclassification IAS 28 (1) (22,120) (14,018)
Others 8 (2,135)
Equity in results 93,320 21,509

(1) The operating margin of intercompany transactions with group companies classified as joint ventures, which are not consolidated, are reclassified in the Statement of Income from the Investment group to the costs and income tax and social contribution groups.

The changes in the Parent Company's investment are presented below:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company
Companies Final balance on 12/31/2023 Capital increase/acquisition of shares Dividends Equity Income Comprehensive income Others Final balance on 03/31/2024
Investments under the equity method
Subsidiaries
CSN Steel S.L.U. 4,688,943 60,856 29,145 4,778,944
Sepetiba Tecon S.A. 372,251 2,581 374,832
Minérios Nacional S.A. 143,737 (77) 143,660
Fair Value - Minérios Nacional 2,122,071 2,122,071
Companhia Metalúrgica Prada 321,641 (67,572) 254,069
Goodwill - Companhia Metalúrgica Prada 63,509 63,509
CSN Mineração S.A. 8,532,643 444,978 660,181 9,637,802
CSN Energia S.A. 24,445 (1,525) 22,920
FTL - Ferrovia Transnordestina Logística S.A. 131,031 (13,933) 117,098
Companhia Florestal do Brasil 1,331,941 (26,122) (11,982) 1,293,837
CBSI - Companhia Brasileira de Serviços de Infraestrutura 37,951 17,087 55,038
Goodwill - CBSI - Companhia Brasileira de Serviços de Infraestrutura 15,225 15,225
CSN Cimentos Brasil S.A. 6,555,144 (39,622) 6,515,522
Others 370 (446) (76)
24,340,902 376,205 677,344 25,394,451
Joint-venture, Joint-operation and Affiliate
Itá Energética S.A. 193,122 (16,326) (1,684) 175,112
MRS Logística S.A. 1,191,104 (63) 58,284 7,367 1,256,692
Transnordestina Logística S.A. 1,160,944 (6,645) 1,154,299
Fair Value -Transnordestina 659,106 659,106
Equimac S.A 23,793 457 24,250
Panatântica S.A. 150,000 1,368 24,503 78,737 254,608
Arvedi Metalfer do Brasil 35,488 1 35,489
3,263,557 150,000 (16,389) 51,781 31,870 78,737 3,559,556
Other participations
Investments at fair value through profit or loss (note 13) 78,737 (78,737)
Profits on subsidiaries' inventories (20,109) (23,163) (43,272)
Other investments 29 1 30
58,657 (23,163) (78,736) (43,242)
Total shareholdings 27,663,116 150,000 (16,389) 404,823 709,214 1 28,910,765
Subsidiaries with unsecured liabilities
CSN Islands VII Corp. (2,516,395) (106,059) (2,622,454)
CSN Inova Ventures (2,107,852) (180,099) (2,287,951)
CSN Islands XII Corp. (3,286,160) (209,185) (3,495,345)
Estanho de Rondônia S.A. (114,779) 32,000 (19,375) 1 (102,153)
Total subsidiaries with unsecured liabilities (8,025,186) 32,000 (514,718) 1 (8,507,903)
Equity Income (109,895)
Classification of investments in the balance sheet
Equity interests 27,663,116 28,910,765
Investment Property 137,761 137,209
Total active investments 27,800,877 29,047,974
Provision for Investments with Unsecured Liabilities (liabilities) (8,025,186) (8,507,903)
Total active and passive investments 19,775,691 20,540,071
9.b) Joint ventures and joint operations financial information

The balance sheet and income statement balances of the companies with shared control are shown below and refer to 100% of the companies' results:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

03/31/2024 12/31/2023
Joint-Venture Joint-Operation Joint-Venture Joint-Operation
Equity interest (%) MRS Logística Transnordestina Logística Equimac S.A. Itá Energética MRS Logística Transnordestina Logística Equimac S.A. Itá Energética
37.49% 48.03% 50.00% 48.75% 37.27% 48.03% 50.00% 48.75%
Balance sheet
Current Assets
Cash and cash equivalents 3,054,347 695,067 14,991 99,098 3,388,052 786,007 13,953 93,712
Advances to suppliers 130,476 36,319 37 182 101,318 6,161 77 409
Other current assets 1,011,756 71,592 13,846 29,327 1,390,540 67,758 16,747 30,517
Total current assets 4,196,579 802,978 28,874 128,607 4,879,910 859,926 30,777 124,638
Non-current Assets
Other non-current assets 554,401 95,076 143 18,072 679,749 97,560 599 18,054
Investments, PP&E and intangible assets 12,937,443 12,268,659 55,687 288,812 12,774,225 12,062,189 48,570 296,818
Total non-current assets 13,491,844 12,363,735 55,830 306,884 13,453,974 12,159,749 49,169 314,872
Total Assets 17,688,423 13,166,713 84,704 435,491 18,333,884 13,019,675 79,946 439,510
Current Liabilities
Borrowings and financing 993,674 186,421 19,099 993,367 167,201 8,552
Lease liabilities 585,520 716 565,002 684
Other current liabilities 1,334,116 68,144 9,313 52,660 2,111,251 80,851 8,310 21,222
Total current liabilities 2,913,310 254,565 29,128 52,660 3,669,620 248,052 17,546 21,222
Non-current Liabilities
Borrowings and financing 5,669,165 8,634,072 4,698 5,879,207 8,481,707 12,734
Lease liabilities 1,516,836 1,665,072 253
Other non-current liabilities 887,440 1,875,224 2,380 23,626 729,736 1,873,232 1,827 22,140
Total non-current liabilities 8,073,441 10,509,296 7,078 23,626 8,274,015 10,354,939 14,814 22,140
Shareholders' equity 6,701,672 2,402,852 48,498 359,205 6,390,249 2,416,684 47,586 396,148
Total liabilities and shareholders'
equity 		17,688,423 13,166,713 84,704 435,491 18,333,884 13,019,675 79,946 439,510
03/01/2024 to 03/31/2024 01/01/2023 a 03/31/2023
Joint-Venture Joint-Operation Joint-Venture Joint-Operation
Equity interest (%) MRS Logística Transnordestina Logística Equimac S.A. Itá Energética MRS Logística Transnordestina Logística Equimac S.A. Itá Energética
37.49% 48.03% 50.00% 48.75% 37.27% 48.03% 50.00% 48.75%
Statements of Income
Net revenue 1,643,868 557 10,992 45,616 1,245,406 458 8,457 47,816
Cost of sales and services (837,184) (6,135) (29,543) (777,643) (4,765) (20,720)
Gross profit 806,684 557 4,857 16,073 467,763 458 3,692 27,096
Operating (expenses) income (42,759) (10,749) (1,242) (20,809) (78,218) (8,822) (846) (20,074)
Financial income (expenses), net (280,768) (3,642) (378) 1,300 (162,344) 710 (594) 1,025
Profit / (loss) for the year 483,157 (13,834) 3,237 (3,436) 227,201 (7,654) 2,252 8,047
Current and deferred income tax and social contribution (167,297) (1,299) 17 (81,308) (317) (2,851)
Profit / (loss) for the year 315,860 (13,834) 1,938 (3,419) 145,893 (7,654) 1,935 5,196
9.c) TRANSNORDESTINA LOGÍSTICA S.A. ("TLSA")

TSA is primarily engaged in the public service operation and development of a railroad network in the Northeast of Brazil, comprising the rail links Velha-Salgueiro, Salgueiro-Trindade, Trindade-Eliseu Martins, Salgueiro- Porto de Suape, and Missão Velha-Porto de Pecém ("Malha II"). On December 23, 2022, after extensive negotiations involving ANTT, TCU and the then Ministry of Infrastructure, signed first amendment to the Concession Agreement , which redefined the scope and deadlines for completion of the TLSA sections, notably to provide for the return of the section Salgueiro-Porto de Suape, which results in a project with the current 1,206 km of rail network and completion deadline up to December 2029.

Management relies on resources from its shareholders and third parties to complete the work, which is expected to be available, based on previously conducted agreements and recent discussions between the parties involved. After evaluating this matter, Management concluded that the use of the project's business continuity accounting basis in the preparation of the interim financial information was considered appropriate.

9.d) Investment Properties:

The balance of investment properties is shown below:

Consolidated Parent Company
Land Buildings Total Land Buildings Total
Balance at December 31, 2023 156,811 49,143 205,954 94,257 43,504 137,761
Cost 156,811 82,737 239,548 94,257 74,392 168,649
Accumulated depreciation (33,594) (33,594) (30,888) (30,888)
Balance at December 31, 2023 156,811 49,143 205,954 94,257 43,504 137,761
Depreciation (note 24) (987) (987) (552) (552)
Transfer Between Groups - Fixed Assets and Intangibles 726 726
Balance at March 31, 2024 157,537 48,156 205,693 94,257 42,952 137,209
Cost 157,537 83,285 240,822 94,257 74,392 168,649
Accumulated depreciation (35,129) (35,129) (31,440) (31,440)
Balance at March 31, 2024 157,537 48,156 205,693 94,257 42,952 137,209

Management's estimate of the fair value of investment properties was made for December 31, 2023.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

December 31, 2023. The fair value of investment property in the consolidated financial statements on December 31, 2023 is R$2,235,614 (R$2,163,610 on December 31, 2022) and in the parent company R$2,117,924 (R$2,117,924 on December 31, 2022)

The average estimated useful lives for the periods are as follows (in years):

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Buildings 28 28 29 29
10. PROPERTY, PLANT AND EQUIPMENT
Consolidated
Land Buildings and Infrastructure Machinery, equipment and facilities Furniture and fixtures Construction in progress (*) Right of use (i) Other (**) Total
Balance at December 31, 2023 525,307 4,532,319 17,419,522 45,917 4,425,130 674,786 304,477 27,927,458
Cost 525,307 9,110,694 39,597,174 297,916 4,425,130 1,126,977 860,818 55,944,016
Accumulated depreciation (4,578,375) (22,177,652) (251,999) (452,191) (556,341) (28,016,558)
Balance at December 31, 2023 525,307 4,532,319 17,419,522 45,917 4,425,130 674,786 304,477 27,927,458
Effect of foreign exchange differences 763 1,180 2,482 23 1,162 1,282 176 7,068
Acquisitions 1,105 19,373 944 771,316 202 7,609 800,549
Capitalized interest (note 26) (1) 37,680 37,680
Write-offs (note 25) (2) (10,016) (1,123) (855) (10) (12,004)
Depreciation (note 24) (71,675) (692,141) (2,752) (49,096) (21,202) (836,866)
Transfers to other asset categories 171,757 840,319 6,245 (1,046,946) 28,625
Transfer between groups - intangible assets and investment property (726) (12,834) (48) (13,608)
Right of use - Remesurement 100,698 100,698
Others (1,140) (12,618) 3 (13,755)
Balance at March 31, 2024 526,449 4,633,581 17,578,399 50,377 4,161,767 727,017 319,630 27,997,220
Cost 526,449 9,291,913 40,467,235 305,226 4,161,767 1,202,646 881,142 56,836,378
Accumulated depreciation (4,658,332) (22,888,836) (254,849) (475,629) (561,512) (28,839,158)
Balance at March 31, 2024 526,449 4,633,581 17,578,399 50,377 4,161,767 727,017 319,630 27,997,220
Parent Company
Land Buildings and Infrastructure Machinery, equipment and facilities Furniture and fixtures Construction in progress (*) Right of use (i) Other (**) Total
Balance at December 31, 2023 25,618 284,330 7,097,152 9,508 814,174 6,067 51,966 8,288,815
Cost 25,618 534,794 16,938,652 101,426 814,174 41,584 171,615 18,627,863
Accumulated depreciation (250,464) (9,841,500) (91,918) (35,517) (119,649) (10,339,048)
Balance at December 31, 2023 25,618 284,330 7,097,152 9,508 814,174 6,067 51,966 8,288,815
Acquisitions 14,003 357 371,235 385,595
Capitalized interest (note 26) 15,104 15,104
Write-offs (note 25) (2,216) (2,216)
Depreciation (note 24) (4,766) (304,506) (439) (2,495) (2,735) (314,941)
Transfers to other asset categories 19,106 245,635 455 (266,607) 1,411
Transfer between groups - intangible assets and investment property (551) (551)
Right of use - Remesurement 82 82
Others 3 3
Balance at March 31, 2024 25,618 298,670 7,050,068 9,881 933,355 3,654 50,645 8,371,891
Cost 25,618 553,899 17,196,074 102,239 933,355 41,665 173,027 19,025,877
Accumulated depreciation (255,229) (10,146,006) (92,358) (38,011) (122,382) (10,653,986)
Balance at March 31, 2024 25,618 298,670 7,050,068 9,881 933,355 3,654 50,645 8,371,891

(*) Progress in business expansion projects stands out, mainly Expansion of the port in Itaguaí and Casa de Pedra, Itabirito, Tailings recovery from dams, Projects of new integrated cement plants and repair of coke batteries at the Plant President Vargas added capitalized interest in the period.

(**) Refer substantially to: i) in the consolidated table: assets for railway use, such as yards, rails, mines, and sleepers; and ii) in the parent company's table: improvements to third-party assets, vehicles and hardware.

(i) Right of use

Below are the movements of the right of use:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated
Land Buildings and Infrastructure Machinery, equipment and facilities Others Total
Balance at December 31, 2023 512,923 86,057 54,149 21,657 674,786
Cost 629,004 143,926 254,640 99,407 1,126,977
Accumulated depreciation (116,081) (57,869) (200,491) (77,750) (452,191)
Balance at December 31, 2023 512,923 86,057 54,149 21,657 674,786
Effect of foreign exchange differences 1,111 59 112 1,282
Addition 202 202
Remesurement 1,611 473 96,432 2,182 100,698
Depreciation (9,481) (3,486) (34,120) (2,009) (49,096)
Write-offs (855) (855)
Balance at March 31, 2024 505,255 84,155 115,665 21,942 727,017
Cost 630,729 143,430 333,297 99,083 1,206,539
Accumulated depreciation (125,474) (59,275) (217,632) (77,141) (479,522)
Balance at March 31, 2024 505,255 84,155 115,665 21,942 727,017
Parent Company
Land Machinery, equipment and facilities Others Total
Balance at December 31, 2023 5,110 957 6,067
Cost 37,416 2,477 1,691 41,584
Accumulated depreciation (32,306) (1,520) (1,691) (35,517)
Balance at December 31, 2023 5,110 957 6,067
Remesurement 82 82
Depreciation (2,290) (205) (2,495)
Balance at March 31, 2024 2,902 752 3,654
Cost 37,497 2,477 1,691 41,665
Accumulated depreciation (34,595) (1,725) (1,691) (38,011)
Balance at March 31, 2024 2,902 752 3,654

The average estimated useful lives are as follows (in years):

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Buildings and Infrastructure 34 33 30 30
Machinery, equipment and facilities 18 20 19 23
Furniture and fixtures 11 11 13 13
Others 11 10 10 10

11.INTANGIBLE ASSETS

Consolidated Parent Company
Goodwill Customer relationships Software Trademarks
and
patents 		Rights and licenses (*) Others Total Goodwill Software Total
Balance at December 31, 2023 4,126,255 85,276 17,708 213,997 6,090,962 2,283 10,536,481 57,882 57,882
Cost 4,675,302 718,929 276,617 217,560 6,431,706 2,283 12,322,397 190,240 190,240
Accumulated amortization (549,047) (633,653) (258,909) (3,563) (340,744) (1,785,916) (132,358) (132,358)
Balance at December 31, 2023 4,126,255 85,276 17,708 213,997 6,090,962 2,283 10,536,481 57,882 57,882
Effect of foreign exchange differences 480 21 1,935 2,436
Acquisitions 116 116
Transfer between groups - fixed assets and investment property 44,483 (31,601) 12,882 551 551
Amortization (note 24) (18,412) (5,096) (4) (35,395) (58,907) (3,218) (3,218)
Balance at March 31, 2024 4,126,255 67,344 57,232 215,928 6,023,966 2,283 10,493,008 55,215 55,215
Cost 4,675,302 724,898 321,244 219,495 6,400,105 2,283 12,343,327 81,169 190,791 271,960
Accumulated amortization (549,047) (657,554) (264,012) (3,567) (376,139) (1,850,319) (81,169) (135,576) (216,745)
Balance at March 31, 2024 4,126,255 67,344 57,232 215,928 6,023,966 2,283 10,493,008 55,215 55,215

(*) Composed mainly of: (i) mining rights whose amortization is based on the volume of production and (ii) Concession agreement for use of water resources in the acquisition of control of the State Electric Power Generation Company, the amortization is carried out for the term of the contract.

The average estimated useful lives are as follows (in years):

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Software 10 10 9 9
Customer relationships 13 13
11.a) Goodwill impairment test

Goodwill arising from expected future profitability of acquired companies and intangible assets with indefinite useful lives (brands) were allocated to CSN's cash generating units (CGUs) which represent the lowest level of assets or group of assets of the Company. According to CPC 01(R1)/IAS36, when a CGU has an intangible asset with no defined useful life allocated, the Company must perform an impairment test.

12. BORROWINGS, FINANCING AND DEBENTURES

The balances of borrowings, financing and debentures that are recorded at amortized cost are as follows:

Consolidated Parent Company
Current Liabilities Non-current Liabilities Current Liabilities Non-current Liabilities
03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023
Foreign Debt
Floating Rates:
Prepayment 1,698,042 548,230 5,563,102 6,576,696 1,301,275 224,292 673,488 1,805,805
Fixed Rates:
Bonds, Facility, CCE and ACC 2,719,599 2,079,972 18,975,508 17,815,926 1,958,382 1,471,915 749,430 1,123,182
Intercompany 323,490 490,966 9,937,658 7,197,800
Fixed interest in EUR
Intercompany 1,051,418 1,030,571 305,969 303,345
Facility 456,128 327,873 119,448 114,227
4,873,769 2,956,075 24,658,058 24,506,849 4,634,565 3,217,744 11,666,545 10,430,132
Debt agreements in Brazil
Floating Rate Securities in R$:
BNDES/FINAME/FINEP, Debentures, NCE and CCB 4,218,886 4,745,721 13,226,955 13,265,267 1,833,854 2,395,570 7,735,065 7,738,683
4,218,886 4,745,721 13,226,955 13,265,267 1,833,854 2,395,570 7,735,065 7,738,683
Total Borrowings and Financing 9,092,655 7,701,796 37,885,013 37,772,116 6,468,419 5,613,314 19,401,610 18,168,815
Transaction Costs and Issue Premiums (80,732) (88,429) (508,629) (526,408) (21,561) (24,850) (62,393) (65,974)
Total Borrowings and Financing + Transaction cost 9,011,923 7,613,367 37,376,384 37,245,708 6,446,858 5,588,464 19,339,218 18,102,841
12.a) Borrowing and amortization, financing, and debentures

The following table shows amortization and funding during the period:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Opening balance 44,859,075 40,918,742 23,691,305 21,413,268
New debts 2,175,868 15,753,501 2,537,558 10,018,056
Repayment (1,803,177) (9,892,344) (1,024,549) (6,985,915)
Payments of charges (767,807) (3,428,721) (283,024) (1,647,267)
Accrued charges (note 26) 962,176 3,664,313 423,245 1,797,838
Others (1) 962,174 (2,156,416) 441,541 (904,675)
Closing balance 46,388,309 44,859,075 25,786,076 23,691,305
(1) Including unrealized exchange and monetary variations and funding cost.

The Company raised and amortized borrowings, financing and debentures during 2023, as shown below:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated
03/31/2024
Nature New debts Maturities Repayment Interest payment
Pre-Payment (91,510) (119,226)
Bonds, ACC, CCE and Facility 2,125,868 2024 to 2025 (953,916) (227,998)
BNDES/FINAME/FINEP, Debentures, NCE, Facility and CCB 50,000 2024 (757,751) (420,583)
2,175,868 (1,803,177) (767,807)
12.b) Maturities of borrowings, financing and debentures presented in current and non-current liabilities
Consolidated Parent Company
03/31/2024 03/31/2024
Borrowings and financing in foreign currency Borrowings and financing in national currency Total Borrowings and financing in foreign currency Borrowings and financing in national currency Total
Average rate in Dollar 6.88%in Euro 5.34% in Real 12.64% in Dollar 3.42%in Euro 3.41% in Real 12.99%
2024 2,890,328 3,990,247 6,880,575 2,685,048 1,733,194 4,418,242
2025 3,999,053 1,823,440 5,822,493 3,906,318 1,331,091 5,237,409
2026 2,283,993 2,600,708 4,884,701 557,117 2,049,193 2,606,310
2027 940,285 2,593,699 3,533,984 90,931 2,068,693 2,159,624
2028 7,080,473 1,392,436 8,472,909 2,874,439 1,351,693 4,226,132
2029 to 2031 9,218,563 2,199,652 11,418,215 3,356,944 611,574 3,968,518
After 2032 3,119,132 2,845,659 5,964,791 2,830,313 423,481 3,253,794
29,531,827 17,445,841 46,977,668 16,301,110 9,568,919 25,870,029

·Covenants

The Company maintains contracts that provide for the fulfillment of certain non-financial obligations, as well as the maintenance of certain parameters and performance indicators, such as the equity ratio disclosure of its audited interim financial information according to regulatory deadlines or payment of commission for risk assumption, if the indicator of net debt to EBITDA reaches the levels foreseen in those contracts.

To the moment, the Company is compliant with the financial and non-financial obligations (covenants) of its existing contracts.

13.FINANCIAL INSTRUMENTS

13.a) Identification and valuation of financial instruments

The Company may operate with several financial instruments, with emphasis on cash and cash equivalents, including financial investments, marketable securities, accounts receivable from customers, accounts payable to suppliers and borrowings and financing. Additionally, we may also operate with derivative financial instruments, such as swap exchange rate swap, swap interest and derivatives with commodities.

Considering the nature of these instruments, their fair value is basically determined by the use of quotations in the capital markets in Brazil and the Mercantile and Futures Exchange. The amounts recorded in current assets and liabilities have immediate liquidity or maturity, mostly in the short term. Considering the terms and characteristics of these instruments, the carrying amounts approximate the fair values.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

· Classification of financial instruments
Consolidated
03/31/2024 12/31/2023
Notes Fair value through other comprehensive income Fair value through profit or loss Measured at amortized cost Balances Fair value through other comprehensive income Fair value through profit or loss Measured at amortized cost Balances
Assets
Current
Cash and cash equivalents 3 14,858,365 14,858,365 16,046,218 16,046,218
Short-term investments 4 1,551,033 41,259 1,592,292 1,493,204 39,800 1,533,004
Trade receivables 5 2,486,782 2,486,782 3,269,764 3,269,764
Dividends and interest on equity 8 180,917 180,917 185,178 185,178
Derivative financial instruments 8 699,592 286,406 985,998 32,211 32,211
Trading securities 8 5,797 5,797 7,198 7,198
Loans - related parties 8 5,287 5,287 5,316 5,316
Receivables by indemnity 8 106,405 106,405 106,405 106,405
Total 699,592 1,843,236 17,679,015 20,221,843 1,532,613 19,652,681 21,185,294
Non-current
Investments 4 252,340 252,340 251,299 251,299
Other trade receivables 8 7,522 7,522 10,406 10,406
Eletrobrás compulsory loan 8 62,457 62,457 62,913 62,913
Receivables by indemnity 8 1,167,671 1,167,671 992,577 992,577
Loans - related parties 8 1,719,377 1,719,377 1,659,412 1,659,412
Investments 9 1 1 78,737 78,737
Total 1 3,209,367 3,209,368 78,737 2,976,607 3,055,344
Total Assets 699,592 1,843,237 20,888,382 23,431,211 1,611,350 22,629,288 24,240,638
Liabilities
Current
Borrowings and financing 12 9,092,655 9,092,655 7,701,796 7,701,796
Leases 14 177,758 177,758 137,638 137,638
Trade payables 15 6,956,503 6,956,503 7,739,520 7,739,520
Trade payables -drawee risk 15.a 4,548,516 4,548,516 4,209,434 4,209,434
Dividends and interest on capital 16 80,553 80,553 80,624 80,624
Derivative financial instruments 16 672,280 263,747 936,027
Total 20,855,985 20,855,985 672,280 263,747 19,869,012 20,805,039
Non-current
Borrowings and financing 12 37,885,013 37,885,013 37,772,116 37,772,116
Leases 14 616,014 616,014 596,123 596,123
Trade payables 15 116,397 116,397 31,060 31,060
Derivative financial instruments 16 47,844 47,844 60,468 60,468
Concessions payable 16 73,713 73,713 74,177 74,177
Total 47,844 38,691,137 38,738,981 60,468 38,473,476 38,533,944
Total Liabilities 47,844 59,547,122 59,594,966 672,280 324,215 58,342,488 59,338,983

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Parent Company
03/31/2024 12/31/2023
Notes Fair value through profit or loss Measured at amortized cost Balances Fair value through profit or loss Measured at amortized cost Balances
Assets
Current
Cash and cash equivalents 3 2,009,506 2,009,506 2,270,070 2,270,070
Short-term investments 4 1,551,033 32,745 1,583,778 1,493,204 31,505 1,524,709
Trade receivables 5 2,146,627 2,146,627 1,870,367 1,870,367
Derivative financial instruments 8 9,808 9,808 12,122 12,122
Dividends and interest on equity 8 579,327 579,327 562,938 562,938
Trading securities 8 5,648 5,648 7,054 7,054
Loans - related parties 8 5,287 5,287 5,316 5,316
Total 1,566,489 4,773,492 6,339,981 1,512,380 4,740,196 6,252,576
Non-current
Investments 4 114,913 114,913 111,350 111,350
Other trade receivables 8 1,003 1,003 1,003 1,003
Eletrobrás compulsory loan 8 59,688 59,688 60,136 60,136
Receivables by indemnity 8 1,167,671 1,167,671 992,577 992,577
Loans - related parties 8 2,209,144 2,209,144 2,096,536 2,096,536
Investments 9 1 1 78,737 78,737
Total 1 3,552,419 3,552,420 78,737 3,261,602 3,340,339
Total Assets 1,566,490 8,325,911 9,892,401 1,591,117 8,001,798 9,592,915
Liabilities
Current
Borrowings and financing 12 6,468,419 6,468,419 5,613,314 5,613,314
Leases 14 4,094 4,094 6,523 6,523
Trade payables 15 3,944,351 3,944,351 3,976,931 3,976,931
Trade payables -drawee risk 15.a 4,390,939 4,390,939 3,980,003 3,980,003
Dividends and interest on capital 16 5,159 5,159 5,230 5,230
Total 14,812,962 14,812,962 13,582,001 13,582,001
Non-current
Borrowings and financing 12 19,401,610 19,401,610 18,168,815 18,168,815
Leases 14 152 152 476 476
Trade payables 15 100,010 100,010 11,184 11,184
Total 19,501,772 19,501,772 18,180,475 18,180,475
Total Liabilities 34,314,734 34,314,734 31,762,476 31,762,476
· Fair value measurement

The following table shows the financial instruments recorded at fair value by classifying them according to the fair value hierarchy:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated 03/31/2024 12/31/2023
Level 1 Level 2 Balances Level 1 Level 2 Balances
Assets
Current
Financial investments 1,551,033 1,551,033 1,493,204 1,493,204
Derivative financial instruments 286,406 286,406 32,211 32,211
Trading securities 5,797 5,797 7,198 7,198
Non-current
Investments 1 1 78,737 78,737
Total Assets 1,556,831 1,843,237 1,611,350 1,611,350
Liabilities
Current
Derivative financial instruments 263,747 263,747
Non-current
Derivative financial instruments 47,844 47,844 60,468 60,468
Total Liabilities 47,844 47,844 324,215 324,215

Level 1 - Data prices are quoted in an active market for items identical to the assets and liabilities being measured.

Level 2 - Consider inputs observable in the market, such as interest rates, exchange rates, etc., but are not prices negotiated in active markets.

Level 3 - There are no assets and liabilities classified as level 3.

13.b) Financial risk management

The Company uses risk management strategies with guidance on the risks incurred by us. The nature and general position of financial risks are regularly monitored and managed in order to assess results and the financial impact on cash flow. Credit limits and hedge quality of counterparties are also reviewed periodically.

Market risks are hedged when we consider necessary to support the corporate strategy or when it is necessary to maintain the level of financial flexibility.

We are exposed to exchange rate, interest rate, market price and liquidity risks.

The Company may manage some of the risks through the use of derivative instruments not associated with any speculative trading or short selling.

· Exchange rate risk

The exposure arises from the existence of assets and liabilities denominated in Dollar or Euro, since the Company's functional currency is substantially the Real and is referred to as natural exchange exposure. The net exposure is the result of the offsetting of the natural exchange exposure by the instruments of hedge adopted by CSN.

The consolidated net exposure as of March 31, 2024, is shown below:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

03/31/2024 12/31/2023
Foreign Exchange Exposure (Amounts in US$'000) (Amounts in US$'000)
Cash and cash equivalents overseas 1,640,589 2,228,736
Trade receivables 57,588 292,028
Financial investments 15,113 15,597
Borrowings and financing (5,897,589) (5,615,893)
Trade payables (495,710) (524,622)
Others (37,026) (42,474)
Natural Gross Foreign Exchange Exposure (assets - liabilities) (4,717,035) (3,646,628)
Cash flow hedge accounting 3,863,589 3,931,879
Exchange rate swap CDI x Dollar (132,598) (67,000)
Exchange rate swap Real x Dollar (115,000) (115,000)
Net foreign exchange exposure (1,101,044) 103,251

CSN uses Hedge Accounting strategy, as well as derivative financial instruments to protect future cash flows.

Sensitivity analysis of Derivative Financial Instruments and Consolidated Foreign Exchange Exposure

The Company considered scenarios 1 and 2 to be 25% and 50% deterioration for currency volatility, using the exchange rate closing rate as of March 31, 2024, as a reference.

The currencies used in the sensitivity analysis and their respective scenarios are shown below:

03/31/2024
Currency Exchange rate Probable scenario Scenario 1 Scenario 2
USD 4.9962 5.0887 6.2453 7.4943
EUR 5.3979 5.4739 6.7474 8.0969
USD x EUR 1.0804 1.0757 1.3505 1.6206

The effects on the result, considering scenarios 1 and 2, are shown below:

03/31/2024
Instruments Notional (million USD) Risk Probable scenario (*) Scenario 1 Scenario 2
Gross exchange position (4,717) Dollar (436) (5,892) (11,784)
Cash flow hedge accounting 3,864 Dollar 357 4,826 9,652
Exchange rate swap CDI x Dollar (133) Dollar (12) (166) (332)
Exchange rate swap Real x Dollar (115) Dollar (11) (144) (287)
Net exchange position (1,101) Dollar (102) (1,376) (2,751)

(*) The probable scenarios were calculated considering the following variations for the risks: Real x Dollar - devaluation by 1.85% / Real x Euro - devaluation of the real by 1.41% / Euro x Dollar - appreciation of the dollar by 0.44%. Source: Central Bank of Brazil on May 08, 2024

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

· Interest rate risk

This risk arises from financial investments, borrowings and financing and debentures linked to the fixed and floating interest rates of the CDI, TLP, SOFR, exposing these financial assets and liabilities to interest rate fluctuations as shown in the sensitivity analysis table below.

With the modification of the global financial market in recent years and in line with the recommendations of international regulatory bodies, the market began to transition from the Libor rate (London Interbank Offered Rate) to the SOFR (Secured Overnight Financing Rate) as of 2022. On March 31,2024,all contracts were migrated to SOFR, as evidenced in the interest rate sensitivity analysis.

Sensitivity analysis of changes in interest rates

We present below the sensitivity analysis for interest rate risks. The Company considered scenarios 1 and 2 to be 25% and 50% deterioration for interest rate volatility using the closing rate as of March 31, 2024, as a reference.

The interest rates used in the sensitivity analysis and their scenarios are shown below:

Consolidated
03/31/2024
Interest Interest rate Scenario 1 Scenario 2
CDI 10.65% 13.31% 15.98%
TJLP 6.53% 8.16% 9.80%
IPCA 4.62% 5.78% 6.93%
SOFR 6M 5.22% 6.52% 7.83%
SOFR 5.38% 6.73% 8.07%
EURIBOR 3M 3.89% 4.87% 5.84%
EURIBOR 6M 3.85% 4.81% 5.78%

The effects on balances in reais related to assets and liabilities linked to interest rates, considering scenarios 1 and 2, are shown below:

Impact on balances on 03/31/2024
Changes in interest rates % p.a Assets Liabilities Probable scenario (*)
 Scenario 1 Scenario 2
CDI 10.65% (6,911,695) 2,469,985 (4,914,752) (5,033,012) (5,151,273)
TJLP 6.53% 77,766 82,844 84,114 85,383
IPCA 4.62% 7,739 8,097 8,186 8,275
SOFR 6M 5.22% 1,388,944 1,461,416 1,479,534 1,497,652
SOFR 5.38% 455,653 480,168 486,296 492,425
EURIBOR 3M 3.89% 363,658 377,812 381,350 384,889
EURIBOR 6M 3.85% 6,558 6,811 6,874 6,937

(*) The sensitivity analysis is based on the premise of maintaining the market values as of Marchr 31, 2024 as a probable scenario recorded in the company´s assets and liabilities.

· Market price risk

The Company is also exposed to market risks related to the volatility of commodity and input prices. In line with its risk management policy, risk mitigation strategies involving commodities can be used to reduce cash flow volatility. These mitigation strategies may incorporate derivative instruments, predominantly forward transactions, futures, and options.

Below are the instruments for price risk protection, as shown in the following topics:

a) Cash flow hedge accounting - "Platts" index

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

The Company had derivative operations for iron ore, contracted by the subsidiary CSN Mineração, with the objective of reducing the volatility of its exposure to the commodity.

In order to better reflect the accounting effects of the Platts hedge strategy in the result, CSN Mineração opted to make the formal designation of the hedge and consequently adopted hedge accounting of the iron ore derivative as a hedge accounting instrument of its highly probable future iron ore sales. With this, the mark-to-market resulting from the volatility of Platts will be temporarily recorded in shareholders' equity and will be taken to the result when the referred sales occur according to the contracted period of assessment, thus allowing the recognition of the volatility of Platts on the sales of iron ore to be recognized at the same moment.

The table below shows the result of the derivative instrument until March 31, 2024:

03/31/2024 03/31/2024 03/31/2023 03/31/2024 03/31/2023 03/31/2024 03/31/2023
Appreciation (R$) Fair value (market) Other income and expenses (note 26) Other comprehensive income Exchange variation (note 27)
Maturity Notional Asset position Liability position Amounts receivable / (payable)
01/01/2023 to 09/30/2023 (Settled) Platts (568,027) (198,005) 9,773
01/01/2024 to 01/31/2024 (Settled) Platts (202,702) (719)
02/01/2024 to 02/28/2024 (Settled) Platts (39,977) (133)
03/01/2024 to 03/31/2024 (*) Platts 1,649,233 (1,395,446) 253,787 248,710 5,132
04/01/2024 to 04/30/2024 Platts 1,351,585 (1,050,251) 301,333 295,985 5,349
05/01/2024 to 05/31/2024 Platts 867,453 (668,417) 199,036 194,923 4,113
06/01/2024 to 06/30/2024 Platts 877,120 (664,370) 212,751 208,684 4,067
4,745,391 (3,778,484) 966,907 6,031 (568,027) 699,592 (198,005) 17,808 9,773

(*) The operation matured on March 31, 2024 and was settled in early April 2024.

The changes in the amounts related to cash flow hedge accounting - Platts index recorded in shareholders' equity on March 31, 2024, are shown as follows:

12/31/2023 Movement Realization 03/31/2024
Cash flow hedge accounting - "Platts" (672,280) 1,377,903 (6,031) 699,592
Income tax and social contribution on cash flow hedge accounting 228,575 (468,487) 2,051 (237,861)
Fair Value of cash flow accounting - Platts, net (443,705) 909,416 (3,980) 461,731

The cash flow hedge accounting - Platts index - is fully effective since the derivative instruments were contracted.

To support the above-mentioned designations, the Company prepared formal documentation indicating how the designation of cash flow hedge accounting - Platts index is aligned with CSN's risk management objective and strategy, identifying the hedge instruments used, the hedge object, the nature of the risk to be protected and demonstrating the expectation of high effectiveness of the relations designated. Iron ore derivative instruments ("Platts" index) were designated in amounts equivalent to the portion of future sales, comparing the amounts designated with the amounts expected and approved in the Management and Board budgets.

Sensitivity analysis for Platts price risks

We present below the sensitivity analysis for Platts price risks. The Company considered scenarios 1 and 2 with 25% and 50% price devaluation using as a reference the probable price at the maturity of each operation.

The effects on the result, considering probable scenarios 1 and 2, are shown below:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

03/31/2024
Maturity Probable scenario (*) R$ Scenario 1 R$ Scenario 2 R$
04/01/2024 to 04/30/2024 (52,489) (306,953) (561,417)
05/01/2024 to 05/31/2024 (25,617) (228,346) (431,074)
06/01/2024 to 06/30/2024 (2,694) (74,810) (146,925)
(80,800) (610,109) (1,139,416)

(*) The probable scenario was calculated considering the Platts quotation on April 30,2024.

b) Cash flow hedge accounting

Foreign Exchange Hedge Accounting

The Company and its subsidiary CSN Mineração formally designates relations of hedge of cash flows to protect highly probable future flows exposed to the dollar related to sales made in dollars.

With the objective of better reflecting the accounting effects of the hedge exchange rate in the result, CSN and its subsidiary CSN Mineração designated part of their dollar liabilities as an instrument of future hedge exports. As a result, the exchange rate variation resulting from the designated liabilities will be temporarily recorded in shareholders' equity and will be reflected in the income statement when said exports occur, thus allowing the recognition of dollar fluctuations on liabilities and on exports to be recorded at the same time. It is noteworthy that the adoption of this hedge accounting does not imply the contracting of any financial instrument.

The table below presents a summary of the relations of hedge as of March 31, 2024:

03/31/2024
Designation Date Hedging Instrument Hedged item Type of hedged risk Hedged period Exchange rate on designation Designated amounts (US$'000) Amortizated part (USD'000) Effect on Result (*) (R$'000) Impact on Shareholders' equity (R$'000)
04/02/2018 Bonds Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate July 2018 - February 2023 3.3104 1,170,045 (1,170,045)
07/31/2019 Bonds and Export prepayments in US$ to third parties Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate January 2020 - April 2026 3.7649 1,342,761 (871,761) (579,942)
01/10/2020 Bonds Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate March 2020 to November 2025 and December 2050 4.0745 1,416,000 (1,404,021) (1,334,169)
01/28/2020 Bonds Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate March 2027 - January 2028 4.2064 1,000,000 (789,800)
06/01/2022 Bonds and Export prepayments in US$ to third parties Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate June 2022 - April 2032 4.7289 1,145,300 (151,300) (3,969) (265,696)
12/01/2022 Bonds Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate December 2022 - June 2031 5.0360 490,000 (37,000) 18,029
12/01/2022 Advance on foreign exchange contract Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate December 2022 - November 2023 5.1643 60,000 (60,000)
12/01/2022 Advance on foreign exchange contract Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate December 2022 - December 2025 5.2565 100,000 26,030
12/01/2022 Advance on foreign exchange contract Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate December 2022 - January 2024 5.2660 50,000 (50,000) 17,240
12/01/2022 Advance on foreign exchange contract Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate December 2022 - November 2023 5.3270 20,000 (20,000)
06/01/2022 Export prepayments in US$ to third parties Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate June 2022 - May 2033 4.7289 878,640 (115,030) (1,049) (204,113)
12/01/2022 Export prepayments in US$ to third parties Part of the highly probable future monthly iron ore exports Foreign exchange - R$ vs. US$ spot rate December 2022 - June 2027 5.0360 70,000 2,786
7,742,746 (3,879,157) 12,222 (3,126,875)

(*) The realization of Hedge accounting cash flow is recognized in Other operating income and expenses, note 25.

The net balance of amounts designated and already amortized in dollars totals US$3.879.157.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

In the hedging relationships described above, the amounts of the debt instruments were fully designated for equivalent iron ore export portions.

As of March 31, 2024, the hedging relationships established by the Company were effective according to the retrospective and prospective tests performed. Thus, no reversal for cash flow hedge accounting ineffectiveness was recognized.

c) Net investment hedge in foreign subsidiaries

The information related to the net investment hedge did not change in relation to that disclosed in the Company's interim financial information as of December 31, 2023. The balance recorded as of March 31, 2024 and December 31, 2023 is R$6,293.

d) Hedge accounting movements

The changes in the amounts related to cash flow hedge accounting recorded in shareholders' equity as of March 31, 2024 are shown as follows:

Consolidated
12/31/2023 Movement Realization 03/31/2024
Cash flow hedge accounting (2,509,225) (605,428) (12,222) (3,126,875)
Income tax and social contribution on cash flow hedge accounting 853,137 205,846 4,155 1,063,138
Fair Value of cash flow accounting, net taxes (1,656,088) (399,582) (8,067) (2,063,737)
Parent Company
12/31/2023 Movement Realization 03/31/2024
Cash flow hedge accounting (2,436,542) (475,735) (13,271) (2,925,548)
Income tax and social contribution on cash flow hedge accounting 828,424 161,750 4,512 994,686
Fair Value of cash flow accounting, net taxes (1,608,118) (313,985) (8,759) (1,930,862)
· Credit risk

The exposure to credit risks of financial institutions considers the parameters established in the financial policy. The Company practices a detailed analysis of the financial situation of its customers and suppliers, the determination of a credit limit and the permanent monitoring of its outstanding balance.

With regard to financial investments, the Company only invests in institutions with low credit risk assessed by credit rating agencies. Since part of the funds is invested in repo operations that are backed by Brazilian government bonds, there is also exposure to the credit risk of the country.

As for the exposure to credit risk in accounts receivable and other receivables, the Company has a credit risk committee, in which each new customer is analyzed individually regarding their financial condition, before granting the credit limit and payment terms, and periodically reviewed based on procedures and circumstances of each business area.

· Liquidity risk

It is the risk that the Company may not have sufficient net funds to honor its financial commitments as a result of the mismatch of term or volume between expected receipts and payments.

Future receipt and payment premises are established to manage cash liquidity in domestic and foreign currencies, which are monitored on a day-to-day basis by the Treasury Department. The payment schedules for long-term installments of borrowings, financing and debentures are shown in note 12.b.

The following are the contractual maturities of financial liabilities including interest.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated
On March 31, 2024 Less than one year From one to two years From two to five years Over five years Total
Borrowings, financing and debentures (note 12) 9,092,655 8,494,331 12,611,567 16,779,114 46,977,668
Lease Liabilities (note 14) 177,758 173,382 192,960 249,672 793,772
Derivative financial instruments (note 13 a) 47,844 47,844
Trade payables (note 15) 6,956,503 44,122 47,702 24,573 7,072,900
Trade payables - Drawee risk (note 15.a) 4,548,516 4,548,516
Dividends and interest on equity (note 16) 80,553 80,553
20,855,985 8,759,679 12,852,229 17,053,359 59,521,253

IV - Fair values of assets and liabilities in relation to the book value

Financial assets and liabilities measured at fair value through profit or loss are recorded in current and non-current assets and liabilities and gains and losses are recorded as financial income and expenses, respectively.

The amounts are recorded in the interim financial information at their book values, which are substantially similar to those that would be obtained if they were traded on the market. The fair values of other long-term assets and liabilities do not differ significantly from their book values, except for the amounts below.

The estimated fair value for certain consolidated long-term borrowings and financing was calculated at current market rates, considering the nature, term and risks similar to those of the registered contracts, as follows:

03/31/2024 12/31/2023
Closing Balance Fair value Closing Balance Fair value
Fixed Rate Notes (*) 17,987,789 16,566,986 15,030,441 12,825,475

(*) Source: Bloomberg

13.c) Protection instruments: Derivatives

· Derivative financial instruments portfolio position

Swap exchange rate CDI x Dollar

In October 2023, the Company entered into a new swap agreement with the purpose of mitigating the risk associated with an External Credit Note (NCE) acquired during the same period, which is scheduled to mature in October 2028, and which has a principal amount of R$680 million.

Swap exchange rate Real x Dollar

The subsidiary CSN Cimentos Brasil, after contracting a borrowing in foreign currency of US$115,000, contracted derivative operations to protect its exposure to the dollar, maturing on June 10, 2027.

Swap exchange rate CDI x IPCA

The CSN Mineração, CSN Cimentos Brasil and CSN issued debentures during 2022 and 2023, respectively, and entered derivative transactions to hedge their exposure to the IPCA. CSN Mineração's contracts have maturities scheduled from 2031 to 2037, while CSN Cimentos' contracts mature in 2038 and CSN between 2030 and 2038

Below is the position of the derivatives:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated
03/31/2024 03/31/2023
Appreciation (R$) Fair value (market) Impact on financial income (expenses) (note 26)
Instrument Maturity Functional Currency Notional amount Asset position Liability position Amounts receivable / (payable)
Exchange rate swap
Exchange rate swap CDI x Dollar Settled Dollar 18,893
Exchange rate swap Dollar x Euro 05/06/2024 Dollar 20,000 9,282 9,282
Exchange rate swap CDI x Dollar 10/04/2028 Real 680,000 767,965 (758,157) 9,808 (2,314)
Dollar vs. Real Swap 06/10/2027 Dollar 115,000 603,726 (651,570) (47,844) 12,624 (40,172)
Total Swap 815,000 1,371,691 (1,409,727) (28,754) 19,592 (21,279)
Interest rate swap
Foreign Exchange Swap (Debentures) CDI x IPCA 07/15/2031 Real 576,448 681,830 (627,558) 54,272 (22,003) 13,868
Foreign Exchange Swap (Debentures) CDI x IPCA 07/15/2032 Real 745,000 846,215 (809,333) 36,881 (24,961) (2,226)
Foreign Exchange Swap (Debentures) CDI x IPCA 07/15/2036 Real 423,552 725,580 (697,807) 27,773 3,789 20,287
Foreign Exchange Swap (Debentures) CDI x IPCA 07/15/2037 Real 655,000 700,446 (703,724) (3,278) (34,458) (18,089)
Foreign Exchange Swap (Debentures) CDI x IPCA 02/16/2032 Real 600,000 700,170 (638,384) 61,786 (17,493) 6,554
Foreign Exchange Swap (Debentures) CDI x IPCA 02/12/2032 Real 600,000 698,549 (652,249) 46,300 (25,594) 22,749
Foreign Exchange Swap (Debentures) CDI x IPCA 07/15/2030 Real 325,384 335,294 (341,009) 5,715 (8,558)
Foreign Exchange Swap (Debentures) CDI x IPCA 07/15/2033 Real 183,185 187,974 (192,169) 4,195 (5,969)
Foreign Exchange Swap (Debentures) CDI x IPCA 07/14/2028 Real 203,620 205,782 (209,197) 3,416 1,062
Total interest rate (Debentures) CDI x IPCA 4,312,189 5,081,839 (4,871,430) 237,060 (134,185) 43,143
6,453,530 (6,281,157) 208,306 (114,593) 21,864
· Classification of derivatives in the balance sheet and income statement
03/31/2024 03/31/2023
Instruments Assets Liabilities Financial income (expenses), net (note 26)
Current Total Non-current Total
Iron ore derivative 966,906 966,906
Exchange rate swap Dollar x Euro 9,282 9,282 9,282
Exchange rate swap CDI x Dollar 9,808 9,808 (2,314) 18,893
Exchange rate swap CDI x Dollar (1) 237,060 237,060 (134,185) 43,143
Dollar vs. Real Swap (47,844) (47,884) 12,624 (40,172)
985,996 985,996 189,216 189,176 (114,593) 21,864

Derivative instruments SWAP CDI x IPCA are fully classified in the borrowings and financing group, since they are linked to debentures in order to protect exposure to the IPCA.

13.d) Investments in securities measured at fair value through profit or loss

The Company has common shares (USIM3), preferred shares (USIM5) of Siderúrgica de Minas Gerais S.A. ("Usiminas") and shares of Panatlântica S.A. (PATI3), which are designated as fair value through profit or loss, started to be recognized through the equity method, since there was an increase in participation, as described in Explanatory Note 10. Investments.

Usiminas shares are classified as current assets in financial investments and Panatlântica shares are classified as non-current assets under the investment line item. They are recorded at fair value, based on the market price quote in B3.

In accordance with the Company's policy, the gains and losses arising from the variation in the share price are recorded directly in the income statement as financial result in the case of financial investments, or as other operating income and expenses in the case of long-term investments.

· Stock market price risks
Class of shares 03/31/2024 12/31/2023 03/31/2024 03/31/2023
Quantity Equity interest (%) Share price Closing Balance Quantity Equity interest (%) Share price Closing Balance Profit or loss (note 26)
USIM3 106,620,851 15.12% 9.37 999,037 106,620,851 15.12% 9.20 980,912 18,126 59,707
USIM5 55,144,456 10.07% 10.01 551,996 55,144,456 10.07% 9.29 512,292 39,704 7,169
1,551,033 1,493,204 57,830 66,876

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

The Company is exposed to the risk of changes in the stock price due to the investments measured at fair value through profit or loss that have their quotations based on the market price on the B3.

Sensitivity analysis for stock price risks

We present below the sensitivity analysis for the stock price risks. The Company considered scenarios 1 and 2 with 25% and 50% devaluation in the stock price using as reference the closing price on March 31, 2024. The probable scenario considered a 5% devaluation in the stock price.

The effects on the result, considering probable scenarios, 1 and 2 are demonstrated below:

03/31/2024
Class of shares Probable scenario Scenario 1 Scenario 2
5% 25% 50%
USIM3 (49,952) (249,759) (499,519)
USIM5 (27,600) (137,999) (275,998)
13.e) Capital management

The Company seeks to optimize its capital structure in order to reduce its financial costs and maximize the return to its shareholders. The table below shows the evolution of the Company's consolidated capital structure, with financing by equity and third-party capital:

Thousands of reais 03/31/2024 12/31/2023
Shareholder's equity (equity) 19,758,908 19,684,838
Borrowings and Financing (Third-party capital) 46,388,307 44,859,075
Gross Debit/Shareholder's equity 2.35 2.28

14.LEASE LIABILITIES

Lease liabilities are shown below:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Leases 2,091,996 2,044,694 4,392 7,284
Present value adjustment - Leases (1,298,224) (1,310,933) (146) (285)
793,772 733,761 4,246 6,999
Classified:
Current 177,758 137,638 4,094 6,523
Non-current 616,014 596,123 152 476
793,772 733,761 4,246 6,999

The Company has lease agreements for port terminals in Itaguaí, the Solid Bulk Terminal - TECAR, used for loading and unloading iron ores and others and the Container Terminal - TECON, with remaining terms of 24 and 28 years, respectively, and lease agreement for railway operation using the Northeast network with a remaining term of 4 years and a lease agreement for land located in Taubaté, São Paulo, for the expansion of operations in the Steel segment with a remaining term of 19 years.

Additionally, the Company has operating equipment lease agreements, used mainly in the cements and steel operations, and real estate, used as operating facilities and administrative and sales offices, in several locations where the Company operates, with remaining terms of 1 to 19 years.

The present value of the future obligations was measured using the implicit rate observed in the contracts and for the contracts that did not have a rate, the Company applied the incremental borrowing rate - IBR, both in nominal terms.

The average incremental rate used in the measurement of lease liabilities and right of use in contracts entered into in the year ended March 31, 2024 is 12.75% p.a. for contracts with a term of 1 year.

The movement of lease liabilities is shown in the table below:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Opening balance 733,761 693,846 6,999 13,180
New leases 207 189,855
Present Value Adjustments - New leases (5) (116,640)
Contract review 100,698 124,310 83 3,992
Write-off (915)
Payments (67,068) (239,909) (2,979) (11,274)
Interest appropriated 23,871 82,521 144 1,101
Exchange variation 3,223 (222)
Net balance 793,772 733,761 4,247 6,999

The estimated future minimum payments for the lease agreements include determinable variable payments, which are certain to occur, based on minimum performance and contractually fixed rates.

As of March 31, 2024, the expected minimum payments are the following:

Consolidated
Less than one year Between one and five years Over five years Total
Leases 187,752 492,783 1,411,461 2,091,996
Present value adjustment - Leases (9,994) (126,442) (1,161,789) (1,298,225)
177,758 366,342 249,672 793,772
· Recoverable PIS / COFINS

Lease liabilities were measured at the amount of consideration with suppliers, that is, without considering the tax credits incurred after payment. The potential right of PIS and COFINS embedded in the lease liability is shown below.

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Leases 1,748,241 1,755,060 4,125 7,039
Present value adjustment - Leases (1,180,416) (1,195,780) (135) (274)
Potencial PIS and COFINS credit 161,712 162,343 382 651
Present value adjustment - Potential PIS and COFINS credit (109,188) (110,610) (12) (25)
· Lease payments not recognized as a liability:

The Company chose not to recognize lease liabilities in contracts with a term of less than 12 months and for low value assets. Payments made for these contracts are recognized as expenses when incurred.

The Company has contracts for the right to use ports (TECAR) and railways (FTL) which, even if they establish minimum performance, it is not possible to determine its cash flow since these payments are fully variable and will only be known when they occur. In such cases, payments will be recognized as expenses when incurred.

The expenses related to payments not included in the measurement of the lease liability during the period are:

Parent Company
Three months ended Three months ended
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Contract less than 12 months 499 1,530
Lower Assets value 2,586 3,211 1,813 1,667
Variable lease payments 73,189 90,123
76,274 94,864 1,813 1,667

In accordance with the guidelines of CPC 06(R2) / IFRS 16, the Company uses the discounted cash flow technique in the measurement and remeasurement of lease liabilities and right of use, without considering the projected inflation in the flows to be discounted.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

15.TRADE PAYABLES

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Trade payables 7,148,341 7,867,431 4,090,687 4,050,426
(-) Adjustment present value (75,441) (96,851) (46,326) (62,311)
7,072,900 7,770,580 4,044,361 3,988,115
Classified:
Current 6,956,503 7,739,520 3,944,351 3,976,931
Non-current 116,397 31,060 100,010 11,184
7,072,900 7,770,580 4,044,361 3,988,115
15.a)Suppliers - Drawn Risk and Forfaiting
Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
in Brazil 3,082,454 2,843,455 3,082,454 2,843,455
in Abroad 1,466,062 1,365,979 1,308,485 1,136,548
4,548,516 4,209,434 4,390,939 3,980,003

The Company discloses and classifies its drawn-risk and forfaiting operations with suppliers in a specific group where the nature of the securities continue to be part of the Company's operating cycle. These transactions are negotiated with financial institutions to enable the Company's suppliers to anticipate receivables arising from sales of goods and, consequently, to extend the payment terms of the Company's own obligations. On March 31, 2024, it maintained a balance of R$4,548,516 in the Consolidated Ledger and on December 31, 2023, a balance of R$4,209,434. At the Parent Company, the balance was R$ 4,390,939 and R$ 3,980,003, respectively.

In response to the amendment of the accounting standard CPC 03 Statement of Cash Flows, additional information was presented below:

Trade payables Risk Drawn and Forfaiting No Risk Drawn or Forfaiting
Due between 1 and 180 days 2,703,505 2,924,889
Due between 181 to 360 days 1,845,012 941,275
Total 4,548,516 3,866,164

Impact of non-cash variations considering the 1st ITR of 2024:

Exchange variation 37,784
Interest Appropriation 102,659
Total 140,444

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

16. OTHER PAYABLES

The other payables classified in current and non-current liabilities are comprised as follows:

Consolidated Parent Company
Current Non-current Current Non-current
03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023
Payables to related parties (note 20.a) 27,446 29,651 18,346 38,058 349,389 336,486 4,341 4,176
Derivative financial instruments (note 13.a) 936,027 47,844 60,468
Dividends and interest on capital 80,553 80,624 5,159 5,230
Advances from customers (1) 2,015,273 2,063,509 4,668,253 5,144,623 332,914 277,764 657,408 709,495
Taxes in installments 61,369 75,735 137,113 154,089 16,061 15,908 55,731 56,325
Profit sharing - employees 337,472 260,109 173,665 133,996
Taxes payable 31,096 30,902 9,439 9,320
Provision for consumption and services 120,310 177,152 36,807 55,478
Third party materials in our possession 168,771 285,250 168,705 284,444
Trade payables (note 15) 116,397 31,060 100,010 11,184
Lease Liabilities (note 14) 177,758 137,638 616,014 596,123 4,094 6,523 152 476
Concessions payable 73,713 74,177
Other payables 397,113 39,231 240,959 308,992 2,807 6,904 57,841
3,386,065 4,084,926 5,949,735 6,438,492 1,089,601 1,122,733 827,081 848,817

(1) Advances from Customers: On December 31, 2022 the subsidiaries CSN Mineração and CSN Cimentos entered into advance contracts for the sale of electricity with national operators in the sector to be executed up to 8 years. Additionally, the subsidiary CSN Mineração S.A. received in advance the total amount of US$500.000 (R$2,599,300) referring to supply contracts of approximately 13 million tons of iron ore signed with a major international player, to be executed within 4 years, with supply expected to begin in 2024. On June 30, 2023, the subsidiary CSN Mineração entered into an amendment to the advance contract, signed on January 16, 2023, in the amount of US$300,000 for additional supply of 6.3 million tons of iron ore. From this amendment, the Company received on June 30, 2023 the amount of US$205,000 (R$987,936), the remaining balance of US$95,000 will be received until July 31, 2023.

17. INCOME TAX AND SOCIAL CONTRIBUTION

17.a) Income tax and social contribution recognized in profit or loss:

The income tax and social contribution recognized in net income for the period are as follows:

Consolidated Parent Company
Three months ended Three months ended
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Income tax and social contribution income (expense)
Current (243,224) (357,393) (13,988)
Deferred 305,154 143,951 245,724 88,060
61,930 (213,442) 245,724 74,072

The reconciliation of income tax and social contribution expenses and income of the consolidated and parent company and the product of the current tax rate on income before income tax and social contribution are shown below:

Consolidated Parent Company
Three months ended Three months ended
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Profit/(Loss) before income tax and social contribution (541,592) (609,106) (835,425) (1,000,468)
Tax rate 34% 34% 34% 34%
Income tax and social contribution at combined statutory rate 184,141 207,096 284,045 340,159
Equity in results of affiliated companies 43,333 24,519 (37,364) 78,097
Difference Tax Rate in companies abroad (147,492) (74,582)
Transfer Price Adjustment and Profits Abroad 5,167
Indebtdness limit 3,123 3,123
Tax incentives 6,234
Recognition/(reversal) of tax credits (28,467) (364,833) (341,302)
Other permanent deductions (additions) 1,058 (10,809) (4,080) (2,882)
Income tax and social contribution in net income for the year 61,930 (213,442) 245,724 74,072
Effective tax rate 11% -35% 29% 7%

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

17.b) Deferred income tax and social contribution:

Deferred income tax and social contribution balances are as follows:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Deferred
Income tax losses 3,896,340 4,198,734 2,375,926 2,170,442
Social contribution tax losses 1,333,631 1,441,925 877,629 803,655
Temporary differences (425,661) (911,027) 371,837 239,313
Tax, social security, labor, civil and environmental provisions 540,317 550,567 174,446 180,963
Estimated losses on assets 249,709 238,211 163,747 165,218
Gains/(Losses) on financial assets 375,442 328,678 329,936 349,121
Actuarial Liabilities (Pension and Health Plan) 182,872 171,816 167,214 163,580
Provision for consumption and services 14,277 22,346 13,994 20,579
Cash Flow Hedge Accounting and Unrealized Exchange Variations 268,584 509,386 408,743 260,216
(Gain) on loss of control of Transnordestina (224,096) (224,096) (224,096) (224,096)
Fair Value SWT/CBL Acquisition (149,489) (149,489)
Business combination (1,466,876) (1,473,119) (721,992) (721,992)
Others (216,401) (885,327) 59,845 45,724
Total 4,804,310 4,729,632 3,625,392 3,213,410
Total Deferred Assets 5,514,339 5,991,213 3,625,392 3,213,410
Total Deferred Liabilities (710,029) (1,261,581)
Total 4,804,310 4,729,632 3,625,392 3,213,410

The Company has in its corporate structure subsidiaries abroad, whose income is taxed by the income tax in the respective countries where they were constituted at rates lower than those in force in Brazil. In the period between 2018 and 2023, these subsidiaries generated income in the amount of R$155,482. If the Brazilian tax authorities understand that this income is subject to additional taxation in Brazil for income tax and social contribution, these, if due, would reach approximately R$52,864. The Company, based on the position of its legal advisors, assessed only the likelihood of loss as possible in the event of possible tax questioning and, therefore, no provision was recognized in the interim financial information.

In addition, management evaluated the precepts of IFRIC 23 - "Uncertainty Over Income Tax Treatments" and recognized in 2021 the credit for the unconstitutionality of the levy of the IRPJ and CSLL on the amounts of default interest referring to the SELIC rate received due to the repetition of tax undue payment.

17.c) Changes in deferred income tax and social contribution

The changes in deferred taxes is shown below:

Consolidated Parent Company
03/31/2024 03/31/2024
Balance as of January 01, 2023 4,878,768 3,256,712
Recognized in the result 403,542 517,768
Recognized in other comprehensive income (559,050) (560,624)
Use of tax credit in installment program (445) (446)
Reverse incorporation 6,818
Balance at December 31, 2023 4,729,633 3,213,410
Recognized in the result 305,154 245,724
Recognized in other comprehensive income (257,388) 166,258
Corporate incorporation 26,911
Balance at March 31, 2024 4,804,310 3,625,392
17.d) Income tax and social contribution recognized in equity:

The income tax and social contribution recognized directly in equity are shown below:

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Income tax and social contribution
Actuarial gains on defined benefit pension plan 84,065 83,436 77,840 77,840
Exchange differences on translating foreign operations (325,350) (325,350) (325,350) (325,350)
Cash flow hedge accounting 859,574 1,030,432 994,686 828,425
618,289 788,518 747,176 580,915
18. PROVISIONS FOR TAX, SOCIAL SECURITY, LABOR, CIVIL AND ENVIRONMENTAL RISKS AND JUDICIAL DEPOSITS

Claims of different nature are being challenged at the appropriate courts. Details of the accrued amounts and related judicial deposits are as follows:

Consolidated Parent Company
Accrued liabilities Judicial deposits Accrued liabilities Judicial deposits
03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023
Tax 156,577 154,626 153,524 153,715 19,137 21,378 60,928 61,231
Social security 1,633 1,609 4 1,632 1,609
Labor 361,873 366,645 291,823 288,389 149,014 153,048 129,274 133,676
Civil 795,217 778,796 23,364 24,880 146,956 139,517 13,602 14,784
Environmental 41,951 41,194 3,476 3,340 11,699 11,856 1,142 1,142
Deposit of a guarantee 22,324 21,554
1,357,251 1,342,870 494,511 491,882 328,438 327,408 204,946 210,833
Classified:
Current 36,997 36,000 17,078 15,228
Non-current 1,320,254 1,306,870 494,511 491,882 311,360 312,180 204,946 210,833
1,357,251 1,342,870 494,511 491,882 328,438 327,408 204,946 210,833

The changes in tax, social security, labor, civil and environmental provisions in the year ended March 31, 2024 can be summarized as follows:

Consolidated
Current + Non-current
Nature 12/31/2023 Additions Accrued charges Net utilization of reversal 03/31/2024
Tax 154,626 4,564 2,786 (5,399) 156,577
Social security 1,609 3 21 1,633
Labor 366,645 14,491 11,779 (31,042) 361,873
Civil 778,796 934 20,601 (5,114) 795,217
Environmental 41,194 449 681 (373) 41,951
1,342,870 20,441 35,868 (41,928) 1,357,251
Parent Company
Current + Non-current
Nature 12/31/2023 Additions Accrued charges Net utilization of reversal 03/31/2024
Tax 21,378 542 228 (3,013) 19,135
Social security 1,609 3 21 1,633
Labor 153,048 2,747 4,955 (11,736) 149,014
Civil 139,517 369 7,543 (473) 146,956
Environmental 11,856 5 36 (197) 11,700
327,408 3,666 12,783 (15,419) 328,438

The provision for tax, social security, labor, civil and environmental risks was estimated by Management and is mainly based on the legal advisors' assessment. Only lawsuits for which the risk is classified as probable loss are provisioned. Additionally, tax liabilities from actions initiated by the Company is included in this provision and is subject to SELIC (Central Bank's policy rate).

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

§ Possible administrative and judicial proceedings

The Company does not make provisions for lawsuits, which Management's expectations, based on the opinion of legal counsel, is a possible loss. The following table shows a summary of the balance of the main matters classified as possible risk compared to the balance as of March 31, 2024 and December 31, 2023.

Consolidated
03/31/2024 12/31/2023
Notice of Violation and Imposition of Fine (AIIM) / Tax Foreclosure - RFB - IRPJ/CSLL - Capital Gain for alleged sale of equity interest in subsidiary NAMISA 15,878,441 15,606,600
Notice of Violation and Imposition of Fine (AIIM) / Tax Foreclosure - RFB - IRPJ/CSLL - Disallowance of goodwill deductions generated in the reverse incorporation of Big Jump by Namisa 5,543,966 5,443,666
Notice of Violation and Imposition of Fine (AIIM) / Tax Enforcement - RFB - IRPJ/CSLL - Disallowance of prepayment interest arising from iron ore supply and port services contracts 2,169,433 2,124,479
Notices of Infraction and Imposition of Fine (AIIM) / Writ of Mandamus - RFB - IRPJ/CSLL - Profits earned abroad in the years 2008, 2010, 2011, 2012, 2014, 2015, 2016, 2017 and 2018 5,944,670 5,828,921
Unapproved compensation - RFB - IRPJ/CSLL, PIS/COFINS and IPI 2,059,861 2,052,564
ICMS - SEFAZ/RJ - Assessment Notice - questions about sales for incentive area 1,030,430 1,016,381
Notice of Violation and Imposition of Fine (AIIM) - RFB - Disallowance of PIS/COFINS Credits for inputs and freight 1,417,385 1,388,918
CFEM - difference of understanding between CSN and ANM on the calculation basis 1,485,517 1,452,933
Notice of Infraction and Imposition of Fine (AIIM) - RFB - Collection IRRF - Business Combinations CMIN 2015 1,129,078 1,106,401
ICMS - SEFAZ/RJ - ICMS Credits Acquisition of Electric Energy Industrialization 1,087,713 1,065,918
Notice of Violation and Imposition of Fine (AIIM) - IRPJ/CSLL - Disallowance of deductions of goodwill generated in the acquisition of Cimentos Mauá 829,554 810,907
ICMS - SEFAZ/RJ - Disallowance of the ICMS credits - Transfer of iron ore 743,681 731,416
ICMS - SEFAZ/RJ - Disallowance of credits on purchases of intermediate products 456,630 445,682
Disallowance of tax loss and negative calculation base resulting from adjustments in SAPLI - RFB 755,763 741,056
Infraction and Fine Imposition Notices (AIIM) - RFB - IRPJ/CSLL - Transfer Pricing 369,957 363,043
ICMS - SEFAZ/RJ - Transfer of imported raw material for a value lower than the TECAR import document 402,053 394,865
Notice of Violation and Imposition of Fine (AIIM) / Annulment Action - RFB - IRRF - Capital gain of CFM company sellers located abroad 322,860 317,522
Other tax lawsuits (federal, state, and municipal) 6,089,885 6,282,247
Social security lawsuits 605,148 288,973
Action to discuss the balance of the construction contract - Tebas 621,724 593,716
Action related to power supply payment's charge - Light 468,703 440,002
Action that discusses Negotiation of energy sales - COPEN - CEEE-G 205,504 201,123
Collection of defaulted amounts of contracts for the execution of the Presidente Médici Thermoelectric Power Plant - SACE - CEEE-G 210,996 205,262
Enforcement action applied by Brazilian antitrust authorities (CADE) 124,591 122,136
Other civil lawsuits 1,540,775 1,423,591
Labor and social security lawsuits 2,192,230 2,091,666
Tax Foreclosure Volta Grande Fine IV 146,202 137,668
ACP Márcia I Landfill 306,389 306,389
Other environmental lawsuits 706,597 667,901
54,845,736 53,651,946

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

In the first quarter of 2021, the Company was notified of an arbitration proceeding based on an alleged unfulfillment of iron ore supply contracts. The counterparty asks for approximately US$1 billion, and the Company has no knowledge of the basis for the estimates of the amount asked. Finally, the Company informs that has responded the arbitration requirements in conjunction with its legal counselors and is currently at the initial stage of its defense. The Company expects the arbitration will be concluded in 2 years. The relevance of the arbitration to the Company is related to the amount attributed to the cause and its eventual financial impact. The discussion involves arbitration disputes initiated by both parties.

The Company has been offering judicial guarantees (Guarantee Insurance/Letter of Guarantee) in the total amount updated to March 31, 2024, of R$9,021,041 (December 31, 2023, R$8,768,003), as determined by the procedural legislation in force.

The assessments made by legal advisors define these administrative and judicial proceedings as a possible risk of loss and, consequently, no loss provisions have been recognized in accordance with Management's judgment and with the accounting practices adopted in Brazil.

19. PROVISION FOR ENVIRONMENTAL LIABILITIES AND ASSET RETIREMENT OBLIGATIONS

The balance of provisions for environmental liabilities and asset retirement obligation is as follows:

Consolidated Parent Company
03/31/2024 12/31/2023 03/31/2024 12/31/2023
Environmental liabilities 171,460 176,181 157,327 160,968
Asset retirement obligations 877,914 842,624
1,049,374 1,018,805 157,327 160,968
20. RELATED-PARTY BALANCES AND TRANSACTIONS
20.a) Transactions with subsidiaries, jointly controlled entities, associates, exclusive funds and other related parties
· Consolidated
Consolidated
03/31/2024 12/31/2023
Associates Joint-ventures and Joint Operation Other related parties Total Associates Joint-ventures and Joint Operation Other related parties Total
Assets
Current Assets
Investments (1) 2,217,584 2,217,584 2,128,183 2,128,183
Trade receivables (note 5) (2) 38,793 4,166 57,660 100,619 34,441 2,658 131,268 168,367
Dividends (3) 106,867 74,050 180,917 106,747 106,747
Loans (note 8) (4) 5,287 5,287 5,316 5,316
Other assets (note 8) 6,480 1,829 8,309 6,480 1,829 8,309
38,793 122,800 2,351,123 2,512,716 34,441 121,201 2,261,280 2,416,922
Non-current Assets
Investments (1) 114,912 114,912 111,350 111,350
Loans (note 8) (4) 3,747 1,715,630 1,719,377 3,732 1,655,680 1,659,412
Actuarial asset 40,351 40,351 39,530 39,530
Other assets (note 8) (5) 1,792,579 1,792,579 1,792,579 1,792,579
3,747 3,508,209 155,263 3,667,219 3,732 3,448,259 150,880 3,602,871
42,540 3,631,009 2,506,386 6,179,935 38,173 3,569,460 2,412,160 6,019,793
Liabilities
Current Liabilities
Trade payables 79,210 23,166 102,376 140,579 35,435 176,014
Accounts payable 19,880 19,880 46 22,378 22,424
Provision for consumption 7,567 7,567 7,227 7,227
106,657 23,166 129,823 46 170,184 35,435 205,665
Non-current Liabilities
Accounts payable 18,347 18,347 38,058 38,058
18,347 18,347 38,058 38,058
125,004 23,166 148,170 46 208,242 35,435 243,723

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Consolidated
03/31/2024 03/31/2023
Associates Joint-ventures and Joint Operation Other related parties Total Associates Joint-ventures and Joint Operation Other related parties Total
P&L
Sales 49,198 4,830 466,133 520,161 61,987 3,892 353,513 419,392
Cost and expenses (151) (482,434) (83,440) (566,025) (51) (377,377) (58,604) (436,032)
Financial income (expenses)
Interest (note 26) 37,984 13,378 51,362 42,949 9,418 52,367
Exchange rate variations and monetary, net (17,953) (17,953)
Financial investments (1) 57,830 57,830 66,876 66,876
49,047 (439,620) 453,901 63,328 61,936 (330,536) 353,250 84,650
· Parent Company
Parent Company
03/31/2024 12/31/2023
Subsidiaries and associates Joint-ventures and Joint Operation Other related parties and exclusive funds Total Subsidiaries and associates Joint-ventures and Joint Operation Other related parties and exclusive funds Total
Assets
Current Assets
Investments (1) 1,636,740 1,636,740 1,575,262 1,575,262
Trade receivables (note 5) (2) 1,066,907 744 56,753 1,124,404 955,246 130,837 1,086,083
Loans (note 8) (4) 5,287 5,287 5,316 5,316
Dividends (3) 507,504 71,823 579,327 507,502 55,436 562,938
Other assets (note 8) 359,408 2 1,829 361,239 215,320 2 1,829 217,151
1,933,819 77,856 1,695,322 3,706,997 1,678,068 60,754 1,707,928 3,446,750
Non-current Assets
Investments 114,912 114,912 111,350 111,350
Loans (note 8) (4) 593,185 1,615,960 2,209,145 539,523 1,557,013 2,096,536
Actuarial asset (note 8) 31,706 31,706 31,007 31,007
Other assets (note 8) (5) 8 1,792,579 1,792,587 8 1,792,574 1,792,582
593,193 3,408,539 146,618 4,148,350 539,531 3,349,587 142,357 4,031,475
2,527,012 3,486,395 1,841,940 7,855,347 2,217,599 3,410,341 1,850,285 7,478,225
Liabilities
Current Liabilities
Intercompany Loans (note 12) (6) 1,374,908 1,374,908 1,521,537 1,521,537
Trade payables 499,808 33,048 22,549 555,405 388,995 49,778 34,462 473,235
Accounts payable 3,050 3,050 11,538 11,538
Provision for consumption 338,772 7,567 346,339 317,721 7,227 324,948
2,216,538 40,615 22,549 2,279,702 2,239,791 57,005 34,462 2,331,258
Non-current Liabilities
Intercompany Loans (note 12) (6) 10,243,627 10,243,627 7,501,145 7,501,145
Accounts payable 4,341 4,341 4,176 4,176
10,247,968 10,247,968 7,505,321 7,505,321
12,464,506 40,615 22,549 12,527,670 9,745,112 57,005 34,462 9,836,579
Parent Company
03/31/2024 03/31/2023
Subsidiaries and associates Joint-ventures and Joint Operation Other related parties and exclusive funds Total Subsidiaries and associates Joint-ventures and Joint Operation Other related parties and exclusive funds Total
Net revenue and cost
Sales 842,788 744 462,293 1,305,825 1,195,030 353,476 1,548,506
Cost and expenses (388,778) (142,362) (70,446) (601,586) (695,228) (103,448) (71,637) (870,313)
Financial income (expenses)
Interest (note 26) (29,024) 37,055 2,814 10,845 (45,725) 42,212 9,327 5,814
Exclusive funds (note 26) 1,997 1,997 5,307 5,307
Financial investments (note 26) 57,830 57,830 66,876 66,876
Financial investments (note 25) (284,782) (284,782) 227,439 (3,158) 224,281
140,204 (104,563) 454,488 490,129 681,516 (61,236) 360,191 980,471

Consolidated and Parent Company Information:

(1) Financial investments: Refers mainly to investments in Usiminas shares, cash and cash equivalents and Bonds with Banco Fibra and government bonds and CDBs with the exclusive funds.
(2) Accounts receivables: refers mainly to sales transactions of steel products from the Parent Company to related parties.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

(3) Dividends receivable: In the Parent Company on September 30, 2023, it mainly refers to interest on equity from CSN Mineração S.A in the amount of R$ 295.058 and dividends from the subsidiary CSN Cimentos Brasil S.A in the amount of R$178,348.and in the Consolidated dividends from MRS Logística S.A in the amount of R$106.747.
(4) Loans (Assets):

Long-term: In the Consolidated Index refers mainly to loan agreements with Transnordestina Logística R$1,707,510 (R$1,646,264 as of December 31, 2023) with an average rate of 125.0% to 130.0% of the CDI.

(5) Other (Assets): In the Consolidated Advance for future capital increase with Transnordestina Logística S.A.de R$1,792,579 as of March 31, 2024 (R$1,792,579 as of December 31, 2023)
(6) Borrowings (Liabilities):

Foreign currency: At the Parent Company, these are intercompany contracts in the amount of R$ 11,618,535 as of March 31 of 2024 (R$ 9,022,682 on December 31, 2023).

20.b) Key management personnel

The key management personnel with authority and responsibility for planning, directing, and controlling the Company's activities include members of the Board of Directors and statutory officers. The following is information on the compensation of such personnel and the related balances as of March 31, 2024, and 2023.

03/31/2024 03/31/2023
P&L
Benefits to Administrators, Directors and Executive Board 7,265 7,395
Post-employment benefits 133 102
7,398 7,497
20.c) Guarantees

The Company is liable for guarantees of its subsidiaries and jointly controlled entities as follows:

Currency Salaries Loans Tax enforcement Other Total
03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023 03/31/2024 12/31/2023
Transnordestina Logísitca R$ Until 09/19/2056 and Undetermined 3,709,250 3,695,183 10,290 10,029 4,443 4,235 3,723,983 3,709,447
Group Subsidiaries R$ Undetermined and until 12/21/2024 1,903,235 1,903,235 131,920 131,920 2,035,155 2,035,155
Total in R$ 5,612,485 5,598,418 10,290 10,029 136,363 136,155 5,759,138 5,744,602
CSN Inova Ventures US$ 01/28/2028 1,300,000 1,300,000 1,300,000 1,300,000
CSN Resources US$ Until 04/08/2032 2,232,988 1,530,000 2,232,988 1,530,000
CSN Cimentos US$ Indeterminate 115,000 115,000
Total in US$ 3,532,988 2,945,000 3,532,988 2,945,000
Lusosider Aços Planos EUR Indeterminate 75,000 75,000 75,000 75,000
Total in EUR 75,000 75,000 75,000 75,000
Total in R$ 17,651,515 14,257,629 404,843 401,370 18,056,357 14,658,999
23,264,000 19,856,047 10,290 10,029 541,206 537,525 23,815,495 20,403,601
21. SHAREHOLDERS' EQUITY
21.a) Paid-up capital

The fully subscribed and paid-up capital as of March 31, 2024, is R$10,240,000, divided into 1,326,093,947 common and book-entry shares (as of December 31, 2023, R$10,240,000 divided into 1, 326,093,947 common and book-entry shares), with no par value. Each common share entitles to one vote in the resolutions of the General Meeting.

21.b) Authorized capital

The Company's bylaws in effect on March 31, 2023, define that the share capital may be increased to up to 2,400,000,000 shares, by decision of the Board of Directors, regardless of amendments to the bylaws.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

21.c) Legal reserve

It is constituted at the rate of 5% of the net income calculated in each fiscal year, before any other allocation, pursuant to art. 193 of Law 6,404/86, up to a limit of 20% of the capital stock.

21.d) Ownership structure

As of March 31, 2024, and December 31, 2023, the Company's ownership structure was as follows:

03/31/2024 12/31/2023
Number of common shares % of total shares % of voting capital Number of common shares % of total shares % of voting capital
Vicunha Aços S.A. (*) 543,617,803 40.99% 40.99% 543,617,803 40.99% 40.99%
Rio Iaco Participações S.A. (*) 45,706,242 3.45% 3.45% 45,706,242 3.45% 3.45%
CFL Ana Participações S.A. (*) 135,904,451 10.25% 10.25% 135,904,451 10.25% 10.25%
NYSE (ADRs) 271,398,416 20.47% 20.47% 273,702,845 20.64% 20.64%
Other shareholders 329,467,035 24.84% 24.84% 327,162,606 24.67% 24.67%
Outstanding shares 1,326,093,947 100.00% 100.00% 1,326,093,947 100.00% 100.00%

As of March 31, 2023, an Asset Restructuring Agreement was entered into between Rio Purus Participações S.A. and CFL Participações S.A. ("CFL"), the shareholders that directly and indirectly hold all the shares of Vicunha Aços S.A. ("Vicunha Aços"). Thus, the implementation of this Transaction results in CFL Ana Participações S.A. ("CFL Ana"), a subsidiary of CFL, holding 135,904,451 common shares, book-entry and without par value issued by CSN, representing on this date 10.25% of its capital stock.

(*) Companies in the controlling group.

21.e) Treasury shares

On March 31, 2024 , the Company did not have an open treasury share buyback program, below is the movement of the programs that were closed:

Program Board's Authorization Authorized quantity Program period Average buyback price Minimum and maximum buyback price Number bought back Share cancelation Sale of shares Balance in treasury
04/20/2018 30,391,000 From 4/20/2018 to 4/30/2018 Not applicable Not applicable 22,981,500 7,409,500
1º 06/21/2021 24,154,500 From 06/22/2021 to 12/22/2021 R$ 21.82 R$20.06 and R$23.22 24,082,000 31,491,500
2º 12/06/2021 30,000,000 From 12/07/2021 to 6/30/2022 R$ 25.00 R$17.20 and R$26.76 29,938,600 61,430,100
05/18/2022 Not applicable Not applicable 61,430,100
3º 05/18/2022 58,000,000 From 05/19/2022 to 05/18/2023

21.f) Earnings per share

The earnings per share are shown below:

Three months ended
03/31/2024 03/31/2023
Common Shares
(Loss)/profit for the year (589,701) (926,396)
Weighted average number of shares 1,326,093,947 1,326,093,947
Basic and diluted (loss)/earnings per share in R$ (0.44469) (0.69859)
22. COMPENSATION TO SHAREHOLDERS

On May 03, 2023, was approved at the Annual General Meeting, based on the position of the shareholders on April 28, 2023, the distribution of additional dividends proposed in the amount of R$ 1,614,000, corresponding to the amount of R$1.21710833810 per share.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

23. NET REVENUE FROM SALES

Net sales revenue is comprised as follows:

Parent Company
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Gross revenue
Domestic market 6,489,488 6,709,992 4,734,137 4,883,831
Foreign market 4,800,143 6,172,300 510,475 595,957
11,289,631 12,882,292 5,244,612 5,479,788
Deductions
Sales returns, discounts and rebates (230,945) (120,546) (166,918) (101,987)
Taxes on sales (1,345,694) (1,443,056) (869,910) (907,734)
(1,576,639) (1,563,602) (1,036,828) (1,009,721)
Net revenue 9,712,992 11,318,690 4,207,784 4,470,067
24. EXPENSES BY NATURE
Parent Company
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Raw materials and inputs (3,395,876) (3,082,974) (2,531,160) (2,536,554)
Outsourcing material (765,963) (1,227,283)
Labor cost (1,148,790) (945,391) (443,082) (367,886)
Supplies (607,551) (932,240) (534,617) (652,143)
Maintenance cost (services and materials) (192,806) (100,047) (61,993) (51,522)
Outsourcing services (461,467) (771,987) (269,234) (272,560)
Freight (1,230,664) (993,444) (208,357) (194,576)
Depreciation, amortization and depletion (875,064) (781,276) (316,232) (272,459)
Others (249,204) (259,228) (26,537) (8,657)
(8,927,385) (9,093,870) (4,391,212) (4,356,357)
Classified as:
Cost of sales (7,521,968) (8,073,476) (4,100,294) (4,090,964)
Selling expenses (1,198,564) (860,513) (202,888) (211,489)
General and administrative expenses (206,853) (159,881) (88,030) (53,904)
(8,927,385) (9,093,870) (4,391,212) (4,356,357)

The depreciation, amortization and depletion for the period were distributed as follows.

Consolidated Parent Company
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Production costs (1) (858,072) (770,910) (308,799) (267,515)
Selling expenses (11,867) (3,836) (2,770) (2,153)
General and administrative expenses (5,125) (6,530) (4,663) (2,791)
(875,064) (781,276) (316,232) (272,459)
Other operational (2) (20,838) (19,902) (2,252) (1,771)
(895,902) (801,178) (318,484) (274,230)

(1) The cost of production includes PIS and COFINS credits on lease agreements as of Marchr 31, 2024, in the amount of R$858 in the consolidated (R$1,824as of March 31, 2024) and R$226 in the parent company (R$163) as of March 31, 2023).

(2) They mainly refer to the depreciation of investment properties, paralyzed equipment and amortization of the SWT customer portfolio, classified in other operating expenses, see note 25.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

25. OTHER OPERATING INCOME AND EXPENSES
Consolidated Parent Company
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Other operating income
Receivables by indemnity 38,825 3,955 38,458 3,751
Rentals and leases 7,008 3,527 5,022 1,302
Contractual fines 9,817 950 9,775 658
Updated shares - Fair value through profit or loss (Note 13) 42,210 42,210
Net gain in shares sale (note 13) (3) 18,253 13,271
Other revenues 22,564 44,087 13,734 26
96,467 94,729 80,260 47,947
Other operating expenses
Taxes and fees (37,113) (31,399) (15,349) (18,524)
Expenses/reversal with environmental liabilities, net (13,403) (3,119) 980 (1,528)
Write-off/(Provision) of judicial lawsuits (37,820) (81,214) (14,892) (43,383)
Depreciation and amortization (note 24) (20,838) (19,902) (2,252) (1,771)
Write-off of PPE and intangible assets (notes 10 and 11) (9,870) 2,176 (2,216) 1,902
Estimated (Loss)/reversal in inventories (1) (46,612) (404,373) (24,232) (156,013)
Idleness in stocks and paralyzed equipment (2) (52,752) (144,193) (47,251) (144,193)
Studies and project engineering expenses (9,400) (8,940) (2,382) (3,680)
Healthcare plan expenses (25,821) (26,705) (25,345) (26,382)
Cash flow hedge accounting realized (nota 13) (3) (930,523) (353,203)
Actual pension plan (11,437) (10,687)
Other expenses (127,394) (112,345) (85,000) (43,710)
(392,460) (1,760,537) (228,627) (790,485)
Other operating income (expenses), net (295,992) (1,665,808) (148,366) (742,538)
(1) Refers substantially to losses incurred in the production process at the Presidente Vargas Plant ("UPV") and losses in inventories.
(2) Operational idleness due to interventions in the sintering process that impacted crude steel production.
(3) In the Parent Company, it is the realization of a Cash Flow Hedge in the amount of R$13,271 and in the Consolidated Sector, the realization of a Hedging of Cash flow of R$12,222 and Platts Hedge of R$6,031.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

26. FINANCIAL INCOME (EXPENSES)
Consolidated Parent Company
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Financial income
Related parties (Note 20 a) 52,833 54,429 57,966 72,415
Income from financial investments 211,058 194,545 33,989 30,557
Updated shares - Fair value through profit or loss (Note 13.d) 57,830 66,876 57,830 66,876
Interest and fines 13,594 23,888 8,449
Other income 99,044 5,081 95,267 20,476
434,359 344,819 253,501 190,324
Financial expenses
Borrowings and financing - foreign currency (note 12) (480,099) (302,226) (69,460) (36,556)
Borrowings and financing - local currency (note 12) (482,077) (502,789) (308,661) (283,461)
Capitalised interest (note 10) 37,680 44,198 15,104 17,505
Related parties (Note 20 a) (1,471) (2,062) (45,124) (61,294)
Lease liabilities (10,457) (17,271) (2,483) (256)
Interest and fines (115,364) (100,896) (114,184) (85,203)
Interest on drawn/forfaiting risk operations (22,352) (138,363) (100) (138,363)
(-) Adjustment present value of trade payables (91,783) (80,996) (60,930) (62,370)
Commission, bank fees, Guarantee and bank fees (47,465) (45,032) (25,041) (21,284)
PIS/COFINS over financial income (37,188) (18,290) (16,081) (3,574)
Other financial expenses (168,051) (123,421) (5,839) (29,874)
(1,418,627) (1,287,148) (632,799) (704,730)
Others financial items, net
Foreign exchange and monetary variation, net (25,666) (269,162) 1,341 (46,760)
Gains and (losses) on exchange derivatives (*) (114,593) 21,864 (15,780) (40,172)
(140,259) (247,298) (14,439) (86,932)
(1,558,886) (1,534,446) (647,238) (791,662)
Financial income (expenses), net (1,124,527) (1,189,627) (393,737) (601,338)
(*) Statement of gains and (losses) on derivative transactions (note 13.c)
Dollar - to - real NDF
Exchange rate swap Real x Dollar 12,624
Exchange rate swap Dollar x Euro 9,282 (40,172)
Interest rate swap CDI x IPCA (2,314) 43,143 (13,466)
Exchange rate swap CDI x Dollar (134,185) 18,893 (2,314) (40,172)
(114,593) 21,864 (15,780) (40,172)
27. SEGMENT INFORMATION

Results by segment

For the purpose of preparing and presenting the information by business segment, Management decided to maintain the proportional consolidation of the jointly controlled entities as historically presented. For purposes of reconciliation of the consolidated result, the amounts recorded by these companies are not included in the "Corporate expenses/elimination" column.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

03/31/2024
P&L Steel Mining Logistics Energy Cement Corporate expenses/elimination Consolidated
Port Railroads
Net revenues
Domestic market 3,739,942 427,891 84,170 671,889 103,953 1,079,229 (1,139,841) 4,967,234
Foreign market 1,644,307 2,395,500 705,951 4,745,758
Cost of sales and services (note 24) (5,175,397) (1,916,131) (66,695) (367,598) (83,859) (800,029) 909,903 (7,499,808)
Gross profit 208,852 907,260 17,474 304,291 20,094 279,200 476,013 2,213,184
General and administrative expenses (note 24) (323,005) (82,424) (2,905) (59,196) (14,615) (177,793) (745,479) (1,405,417)
Other operating (income) expenses, net (note 25) (160,432) (58,803) 1,106 37,757 5,973 (50,939) (70,653) (295,991)
Equity in results of affiliated companies (note 9) 78,695 78,695
Operating result before Financial Income and Taxes (274,584) 766,033 15,675 282,852 11,452 50,468 (261,424) 590,471
Sales by geographic area
Asia 2,134,631 705,951 2,840,583
North America 424,006 424,006
Latin America 7,300 7,300
Europe 1,213,001 171,057 1,384,058
Others 89,812 89,812
Foreign market 1,644,307 2,395,500 705,951 4,745,758
Domestic market 3,739,942 427,891 84,170 671,889 103,953 1,079,229 (1,139,841) 4,967,234
Total 5,384,249 2,823,391 84,170 671,889 103,953 1,079,229 (433,890) 9,712,992
03/31/2023
P&L Steel Mining Logistics Energy Cement Corporate expenses/elimination Consolidated
Port Railroads
Net revenues
Domestic market 3,945,649 282,277 69,903 519,007 139,437 1,119,131 (846,688) 5,228,716
Foreign market 1,831,211 3,859,163 399,600 6,089,974
Cost of sales and services (note 23) (5,021,041) (2,246,834) (59,478) (339,692) (123,518) (959,623) 676,710 (8,073,476)
Gross profit 755,819 1,894,606 10,425 179,315 15,919 159,508 229,622 3,245,214
General and administrative expenses (note 23) (313,076) (126,359) (2,015) (42,819) (12,629) (96,274) (427,222) (1,020,394)
Other operating (income) expenses, net (note 25) (627,475) (636,454) 3,498 10,568 4,019 (38,263) (381,701) (1,665,808)
Equity in results of affiliated companies (note 9) 21,509 21,509
Operating result before Financial Income and Taxes (184,732) 1,131,793 11,908 147,064 7,309 24,971 (557,792) 580,521
Sales by geographic area
Asia 3,769,149 399,600 4,168,749
North America 402,491 402,491
Latin America 46,759 46,759
Europe 1,381,961 90,014 1,471,975
Foreign market 1,831,211 3,859,163 399,600 6,089,974
Domestic market 3,945,649 282,277 69,903 519,007 139,437 1,119,131 (846,688) 5,228,716
Total 5,776,860 4,141,440 69,903 519,007 139,437 1,119,131 (447,088) 11,318,690
28. ADDITIONAL INFORMATION TO CASH FLOWS

The following table provides additional information about transactions related to the statement of cash flows:

Consolidated Parent Company
03/31/2024 03/31/2023 03/31/2024 03/31/2023
Income tax and social contribution paid 243,224 349,970 1,865
Addition to PP&E with interest capitalization (notes 10 and 26) 37,680 44,198 15,104 17,505
Remeasurement and addition - Right of use (note 10 i) 100,900 51,841 82 3,907
Addition to PP&E without adding cash 15,967 9,993
Capitalization in associate with no cash effect 118,000 118,000
515,771 456,002 135,051 21,412

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

29. STATEMENT OF COMPREHENSIVE INCOME

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

30. SUBSEQUENT EVENTS

15th Issuance of Debentures

COMPANHIA SIDERÚRGICA NACIONAL ("Company") hereby announces that the Board of Directors has approved its 15th issuance of simple, non-convertible debentures, of the unsecured type, in up to two series, in the total amount of R$ 800,000,000.00 (eight hundred million reais). The Issuance will be subject to a public offering, under the automatic registration of the Resolution of the Brazilian Securities and Exchange Commission ("CVM") No. 160 and will meet the requirements of article 2 of Law No. 12,431, with the transaction is expected to be settled on May 8, 2024.

The First Series Debentures will have a maturity of ten (10) years and the Second Series Debentures will have a term of 15 (fifteen) years. The net proceeds raised by the Company through the Debentures will be used exclusively for future payment and/or reimbursement of expenses, expenses and/or debts related to the implementation of the Infrastructure investment project in the logistics and transportation sector presented by Transnordestina Logística S.A.

Signing of an exclusivity agreement for the acquisition of shares of InterCement Participações S.A.

COMPANHIA SIDERÚRGICA NACIONAL ("Company") signed on May 1, 2024 an agreement providing for exclusivity in the possible in the possible acquisition of shares representing 100% of the share capital of InterCement Participações S.A., and consequently of its subsidiaries, until of its subsidiaries, until July 12, 2024; after an official offer has been made, which is currently being evaluated by the respective sellers, within the scope of the agreement. evaluation by the respective sellers, in the context of a competitive process that is still underway, and its provisions confidential provisions describe a series of conditions precedent for defining the terms and conditions of any transaction and its potential implementation, which are customary in operations of a similar nature, including, expressly, prior approval of the Administrative Council for Economic Defense - CADE, should binding documents be signed.

To date, no binding documents have been signed with any counterparty that generate an obligation or commitment to carry out the potential transaction.

Payment of interim dividends based on shareholder position as of May 14, 2024

COMPANHIA SIDERÚRGICA NACIONAL ("Company"), through its Board of Directors, approved, at a meeting held on May 9, 2024, the distribution to shareholders of interim dividends to the profit reserve account, in the amount of R$950,000,000.00

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

(nine hundred and fifty million reais), corresponding to R$0.716389666 per share of the Company's share capital in circulation on this date. The dividends will be paid until May 29, 2024, and will be calculated and credited based on the Shareholders' positions on May 14, 2024.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Independent auditor's report on review the individual and consolidated interim financial information.

To the Shareholders, Directors and Managers of

Companhia Siderúrgica Nacional

Sao Paulo-SP

Introduction

We have reviewed the individual and consolidated interim financial information of Companhia Siderúrgica Nacional ("Company"), contained in the Quarterly Information Form - ITR for the quarter ended March 31, 2024, which comprise the balance sheet as of March 31, 2024 and the related statements of income, comprehensive income, for three eriod then ended and changes in shareholder's equity and cash flows for the tree-month period then ended, including a summary of significant accounting policies and notes.

The Company's management is responsible for preparing and presenting the individual and consolidated interim financial information, in accordance with technical pronouncement NBC TG 21 - Interim Financial Statements and with the international accounting standard IAS 34 - Interim Financial Reporting, issued by the International Accounting Standards Board (IASB), as well as the presentation of this information in accordance with the standards issued by the Brazilian Securities Commission, applicable to the preparation of the Quarterly Information - ITR. Our responsibility is to express a conclusion on this interim financial information based on our review.

Scope of review

We conducted our review in accordance with Brazilian and international standards for reviewing interim financial information (NBC TR 2410 - Review of Interim Financial Information Performed by the Entity Auditor and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. The scope of a review is significantly less than that of an audit conducted in accordance with auditing standards and, as a result, did not enable us to obtain assurance that we have taken knowledge of all significant matters that could be identified in an audit. Therefore, we do not express an audit opinion.

Conclusion on the individual and consolidated interim financial information

Based on our review, we are not aware of any fact which leads us to believe that the individual and consolidated interim financial information included in the aforementioned quarterly information was not prepared, in all material respects, in accordance with NBC TG 21 and IAS 34, applicable to the preparation of the Quarterly Information - ITR, and presented in accordance with the rules issued by the Brazilian Securities and Exchange Commission.

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Other matters

Statement of Value Added

The aforementioned quarterly information includes the individual and consolidated Statements of Value Added (DVA), referring to the tree month period ended March 31, 2024, prepared under the responsibility of the Company's management and presented as supplementary information for IAS purposes 34. These statements were submitted to review procedures performed in conjunction with the review of the Company's quarterly information - ITR -, in order to conclude whether they are reconciled with the interim financial information and accounting records, as applicable, and if their form and content are in accordance with the criteria defined in NBC TG 09 - "Demonstration of Added Value". Based on our review, we are not aware of any facts that lead us to believe that these statements of value added were not prepared, in all material respects, in accordance with the criteria defined in this standard and in a manner consistent with the interim financial information, individual and consolidated, taken together.

Barueri, May 29, 2024.

Mazars Auditores Independentes - Sociedade Simples Ltda.

CRC 2 SP023701/O-8

Danhiel Augusto Reis

CRC 1SP254522/O-0

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Opinions and Statements / Officers Statement on the Financial Statement

As Executive Officers of Companhia Siderúrgica Nacional, we declare pursuant to Article 27, paragraph 1º, item VI, and Article 31, paragraph 1º, item II of CVM Instruction 80, of March 29, 2022, that we reviewed, discussed and agreed with the Company's Financial Statements for the quarter ended March 31,2024.

São Paulo, May 09, 2024.

Benjamin Steinbruch

CEO

Antonio Marco Campos Rabello

Executive Officer - CFO and Investors Relations

David Moise Salama

Executive Officer

Luis Fernando Barbosa Martinez

Executive Officer

Stephan Heinz Josef Victor Weber

Executive Officer

Alexandre de Campos Lyra

Executive Officer

Quarterly Financial Information - March 31, 2024 - Companhia Siderúrgica Nacional

(CONVENIENCE TRANSLATION INTO ENGLISH FROM THE ORIGINAL PREVIOUSLY ISSUED IN PORTUGUESE)

Opinions and Statements / Officers Statement on Auditor's Report

As Executive Officers of Companhia Siderúrgica Nacional, we declare pursuant to Article 27, paragraph 1º, item V and Article 31, paragraph 1º, item II of CVM Instruction 80, of March 29,2022, that we reviewed, discussed and agreed with the opinion expressed on the Independent Auditors' Report related to the Company's Financial Statements for the quarter ended March 31,2024.

São Paulo, May 09, 2024.

Benjamin Steinbruch

CEO

Antonio Marco Campos Rabello

Executive Officer - CFO and Investors Relations

David Moise Salama

Executive Officer

Luis Fernando Barbosa Martinez

Executive Officer

Stephan Heinz Josef Victor Weber

Executive Officer

Alexandre de Campos Lyra

Executive Officer

SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: May 29, 2024
COMPANHIA SIDERÚRGICA NACIONAL
By:
/S/ Benjamin Steinbruch
Benjamin Steinbruch
Chief Executive Officer

By:
/S/ Antonio Marco Campos Rabello
Antonio Marco Campos Rabello
Chief Financial and Investor Relations Officer

FORWARD-LOOKING STATEMENTS

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.

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CSN - Companhia Siderúrgica Nacional published this content on 06 June 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 June 2024 10:06:57 UTC.