Suzano Papel E Celulose ( (SUZ) ) has released its Q4 earnings. Here is a breakdown of the information Suzano Papel E Celulose presented to its investors.
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Suzano Papel E Celulose, a leading global pulp and paper producer, reported its fourth-quarter 2024 financial results, highlighting significant achievements and challenges in its operations. The company is known for its extensive integration from plantations to finished paper products, operating primarily in the pulp and paper industry.
In the fourth quarter of 2024, Suzano achieved record sales volumes, driven by strong performance at its Ribas do Rio Pardo unit, which completed its learning curve ahead of schedule. The company reported a total net revenue of R$14.2 billion, marking a 37% year-over-year increase, and an adjusted EBITDA of R$6.5 billion, up 44% from 4Q23.
Key financial metrics showed a notable increase in pulp sales by 19% year-over-year to 3,284 thousand tons, alongside a 11% rise in paper sales to 430 thousand tons. However, the average net price of pulp in the export market declined slightly, affecting the adjusted EBITDA per ton for both pulp and paper. The company maintained its leverage at 2.9 times in USD, reflecting disciplined financial management amidst volatile market conditions.
Suzano’s strategic expansions, including the successful integration of the Suzano Packaging US operations, contributed to its growth. Despite challenges such as higher selling and administrative expenses, the company effectively managed its cash flow and capital expenditures, completing 96% of its planned investments for 2024.
Looking ahead, Suzano remains cautiously optimistic, focusing on enhancing operational efficiencies and leveraging its strategic acquisitions to strengthen its market position. The management is committed to maintaining financial discipline while navigating the dynamic global market landscape.
