Suzano S.A. (SUZ)

Suzano reported second-quarter 2026 net income of R$1,807 million, down from R$5,012 million a year earlier, on net revenue of R$11,590 million 1.

Adjusted EBITDA, a profit measure before interest, tax and depreciation that leaves out one-off items, was R$4.7 billion, down 23 percent from a year earlier 1.

The company said a stronger real, lower sales volumes and higher costs explain the fall from a year earlier, despite higher realized pulp prices 1.

On 1 July 2026 Suzano completed the purchase of 51 percent of Arbex, a joint venture with Kimberly-Clark, for US$1.3 billion 31.

From its third-quarter 2026 results, the company said, Consumer Goods will be a separate reporting segment 4.

Net debt was US$12.8 billion on 30 June 2026, 3.4 times adjusted EBITDA, and the company's target is US$11.0 billion and below 2.5 times during 2027 and 2028 1.

Suzano says its activities began in 1924, when its founder Leon Feffer started reselling paper, and that Companhia Suzano was formed in the 1950s 2.

In the mid-1960s it became the first paper producer to use 100 percent eucalyptus pulp in printing and writing paper, according to an industry history the report cites 2.

The step that made it the world's largest producer of market pulp came in 2019, when it acquired Fibria Celulose 2.

In 2023 it bought Kimberly-Clark's tissue business in Brazil and became the Brazilian market leader in toilet paper, with 24 percent of that market by transaction value 2.

Pulp prices were weak that year: Reuters reported on 28 February 2024 that net revenue in the fourth quarter fell 28 percent from a year earlier, as lower pulp prices hit revenue 9.

The same report said the board had picked João Alberto Fernandez de Abreu, then head of the rail operator Rumo, to replace Walter Schalka, who had led Suzano for 11 years 9.

In July 2024 it finished building the Cerrado Project, a pulp mill at Ribas do Rio Pardo in Mato Grosso do Sul with a nominal capacity of 2.55 million tons of eucalyptus pulp a year 2.

In August 2024 it bought a 15 percent stake in Lenzing Aktiengesellschaft, and in October it bought paperboard mills in Pine Bluff, Arkansas, and Waynesville, North Carolina, from Pactiv Evergreen 2.

In 2024 the company recorded a net loss of R$7,044.7 million after a net financial loss of R$28,802.1 million, largely from exchange-rate and derivative results 2.

In 2025 net income was R$13,437.7 million as those results turned to gains 2.

Net sales in 2025 rose 5.7 percent to R$50,115.7 million, helped by Suzano Packaging's revenues and higher pulp sales and held back by lower net pulp prices 2.

Pulp sales volume rose 15.0 percent, so pulp revenue edged up 0.6 percent to R$37,816.1 million even though dollar prices fell 2.

Pulp

Pulp is the largest line, with R$37,816.1 million of net sales in 2025, 75.5 percent of the total 2.

Pulp is the raw material of paper, tissue and packaging, and Suzano makes it from eucalyptus, with 14.5 million tons of installed capacity a year at the end of 2025 2.

In the second quarter of 2026 it sold 2,897 thousand tonnes of pulp, 11 percent fewer than a year earlier, mainly because less went to Asia 1.

The Rio Times reported that Suzano confirmed new price increases on 22 September 2026, taking effect in October 8.

They are US$50 a tonne for the Americas and Europe and US$20 a tonne for China and other Asian markets 8.

Paper, paperboard and tissue

Paper is the second line: net sales rose 25.4 percent to R$12,299.5 million in 2025, mainly because the 2024 purchase of Suzano Packaging added volume 2.

In 2025 it accounted for nearly 43 percent of the printing and writing paper and 25 percent of the paperboard produced in Brazil, based on data from the industry body IBÁ 2.

The mills in Pine Bluff, Arkansas, and Waynesville, North Carolina, make paperboard sold as Liquid Packaging Board and Cupstock 2.

Paper sales were 406 thousand tonnes in the second quarter of 2026, 1 percent below a year earlier, and the line includes the tissue business 1.

Tissue, the soft paper of toilet rolls and towels, comes from the Brazilian business bought in 2023 and a plant opened in Aracruz in November 2025 with capacity of about 60 thousand tonnes a year 2.

Plants and forests

Pulp mills stand in São Paulo, Bahia, Maranhão, Espírito Santo and Mato Grosso do Sul, and Suzano owns 50 percent of the Veracel mill in Bahia with Stora Enso 2.

It owned or leased about 3.2 million hectares at the end of 2025, of which about 1.7 million hectares grew eucalyptus 2.

People

Reuters reported in February 2024 that the board approved Abreu as chief executive, with Schalka leaving the role on 1 July 9.

The annual report lists João Alberto Fernandez de Abreu as chief executive, elected on 8 May 2025 for a term running to the first board meeting after the 2026 annual general meeting 2.

The annual report lists David Feffer as chairman of the board 2.

On 4 August 2026 the company said Aires Galhardo, its executive vice president of pulp industrial operations, engineering and energy, had resigned effective 28 August 7.

Carlos Aníbal Fernandes de Almeida Júnior, with the company for more than 23 years, took the role and keeps procurement and the leadership of Futuragene 7.

Rivals and problems

The report cites Hawkins Wright for ranking Suzano the largest producer of eucalypt pulp and of virgin market pulp in 2025 2.

In the second quarter of 2026 cash production costs rose, which the company tied to indirect effects of the conflict in the Middle East 1.

In China, new local capacity and an oversupply of softwood pulp weighed on sentiment in the hardwood pulp market, the release said 1.

The Rio Times added that Domtar had taken roughly 200,000 tonnes out of the European market since July after closing a mill indefinitely 8.

The umbrella, in words

Subsidiaries listed in Exhibit 8.1 of the annual report include FuturaGene and Suzano Packaging LLC 11.

FuturaGene is its biotechnology research and development unit 2.

Suzano owns 51 percent of Arbex, bought through a subsidiary, and Kimberly-Clark keeps the other 49 percent 31.

Suzano owns 15 percent of Lenzing, with board representation and the right to buy a further 15 percent through a mandatory public takeover offer 2.

It owns 51 percent of Portocel, a port that exports pulp from Espírito Santo 2.

On 31 August 2026 it agreed to acquire a 10 percent stake in Imetame Logística Porto, which is building a port in Aracruz, Espírito Santo 5.

The stake is paid for by contributing land Suzano owns, and closing needs regulatory approval 5.

A Schedule 13D filed in August names Suzano Holding S.A., members of the Feffer family and others as reporting persons who may be deemed a group 10.

On 15 October 2026 BlackRock told the company it owned 5.003 percent of the common shares, for investment purposes only 6.

The company's guidance for pulp cash production cost, leaving out maintenance stoppages, is about R$800 per tonne for 2026 1.

Its disclosed forecast for 2027 puts total operating expenditure on pulp at about R$1,983 per tonne, in 2026 real terms 1.

It targets net debt of US$11.0 billion and leverage below 2.5 times, expected to be reached during 2027 and 2028 1.

The annual report gives an approved capital spending budget for 2026 of R$10,947.4 million, covering projects already disclosed and possible land and forest investments 2.

The company said the Imetame port is expected to start general cargo operations in early 2027, and its container terminal in mid-2028 5.

Suzano has a call option to buy Kimberly-Clark's remaining 49 percent of Arbex, exercisable from the third anniversary of closing at its sole discretion 1.

Starting with its third-quarter 2026 results, the company will show Consumer Goods as its own segment, with earlier quarters restated for comparison 4.