Suzano S.A. Stock Price, News & Analysis

Suzano, a major player in the integrated pulp and paper sector, reported its first quarter 2022 results with an Adjusted EBITDA of R$ 5.1 billion, rising 5% year-over-year. Operating cash generation remained robust at R$ 3.9 billion. Despite facing increased input costs and a stronger Brazilian Real, the company plans to invest R$ 13.6 billion in production capacity this year. Net debt stabilized at USD 10.5 billion, with a debt-to-EBITDA ratio improving to 2.4 times. Pulp sales totaled 2.4 million tons, contributing to net revenue of R$ 9.7 billion.

Suzano S.A. (NYSE: SUZ) has filed its 2021 Annual Report on Form 20-F with the U.S. Securities and Exchange Commission. Shareholders can request free hard copies of the report, which includes audited financial statements, by contacting the company. The report is also accessible on Suzano's website. As a major player in the sustainable production of eucalyptus pulp, Suzano operates 11 mills in Brazil and has an annual capacity of 10.9 million tons of market pulp and 1.4 million tons of paper, exporting to over 100 countries.

Suzano, a leader in eucalyptus pulp production, reported record operating cash generation of R$18.8 billion for 2021. The company achieved an adjusted EBITDA of R$23.5 billion, with a substantial reduction in net debt to US$10.4 billion. For 2022, Suzano approved an investment of R$13.6 billion, the largest in its history, to fund the new Ribas do Rio Pardo plant. This plant will enhance production efficiency and meet growing demand for renewable products. The company also focused on its ESG agenda, issuing US$1.5 billion in sustainability-linked bonds.

Suzano reported record operating cash generation of R$5.2 billion and adjusted EBITDA of R$6.3 billion for 3Q21. The company reduced net debt to US$10.7 billion, achieving a net debt to EBITDA ratio of 2.7 times. Driven by strong sales, pulp sales reached 2.7 million tons, while net revenue was R$10.8 billion. However, a negative noncash effect from currency translation led to a net loss of R$959 million. Suzano aims to remove 40 million tons of carbon by 2025 and has approved a new pulp mill project.

Suzano, a leader in eucalyptus pulp production, unveiled its innovative fluff pulp, Eucafluff, at Index 20 in Geneva on October 19-20. Developed over 15 years, Eucafluff is the world’s first 100% eucalyptus fluff, highlighted for its lower environmental footprint compared to pine fluff. With 75% of its sales in international markets, especially Asia, Eucafluff is gaining traction among major hygiene product manufacturers. The product offers superior absorption and comfort, promising significant savings in packaging materials, ultimately benefiting both consumers and producers.

Suzano, a leading eucalyptus pulp and paper producer, has joined the Business Ambition for 1.5°C and the Science Based Target Initiative (SBTi). This commitment aims to reduce greenhouse gas emissions and transition to a low-carbon economy, contributing to the Race to Zero campaign endorsed by the United Nations. The company has already set 14 long-term public goals aimed at enhancing its sustainability efforts. Within two years, Suzano plans to align its emission reduction objectives with SBTi’s scientific targets, furthering its decarbonization journey through product innovation and renewable energy investments.

Suzano reported a strong operating cash generation of R$4.9 billion in 2Q21, a 47% increase year-on-year, marking the best quarterly performance since the merger in January 2019. The growth was fueled by robust pulp sales totaling 2.5 million tons and paper sales of 296,000 tons, leading to net revenue of R$9.8 billion. Adjusted EBITDA reached R$5.9 billion, up 42% from last year. The company also noted a decrease in leverage, with net debt/adjusted EBITDA at 3.3x. Suzano announced plans for a major new pulp mill in Brazil, alongside significant ESG initiatives.

Suzano, a leading eucalyptus pulp and paper producer, announced a long-term biodiversity conservation target on 25 June during its inaugural ESG Investor Presentation. The company aims to connect 500,000 hectares of conservation areas in Brazil’s Cerrado, Amazon, and Atlantic Forest biomes by 2030. This initiative, based on extensive consultations with over 50 stakeholders, will create biodiversity corridors to reverse habitat fragmentation. The project seeks to protect endangered species and enhance environmental management while fostering community development and income opportunities.

Suzano has announced plans to build a new eucalyptus pulp plant in Ribas do Rio Pardo, Mato Grosso do Sul, with an annual capacity of 2.3 million tons. Named the Cerrado Project, it represents a R$14.7 billion investment, increasing the company’s pulp production by 20% to a total of 10.9 million tons. The project aims to create 10,000 jobs during construction and 3,000 permanent positions post-completion. Additionally, the facility will introduce Brazil's first fossil-fuel free pulp plant and supply surplus energy to the grid, enhancing eco-efficiency.