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Irani Papel e Embalagem (RANI3) investor relations material
Irani Papel e Embalagem Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Net revenue reached BRL 413.8 million in 2Q25, up 11.6% year-over-year, driven by higher prices in packaging and paper segments despite lower volumes.
Adjusted EBITDA increased 6.8% year-over-year to BRL 127.5 million, with a margin of 30.8%.
Net income surged 168.5% to BRL 112.1 million, boosted by non-recurring IPI tax credits and higher fair value of biological assets.
Net Debt/EBITDA ratio rose to 2.30x, reflecting higher net debt due to dividends and share buybacks, but remains within policy limits.
Cash position at quarter-end was BRL 627.1 million, with 91% of gross debt long-term and 99% in local currency.
Financial highlights
Gross profit was BRL 215.9 million, up 38.4% year-over-year, with gross margin at 52.2%.
Operating profit before taxes and interest was BRL 132.4 million, up 110.7% year-over-year.
Adjusted free cash flow was BRL 155.5 million, up 41.3% year-over-year, with a 16.3% yield.
ROIC for the last twelve months was 11.8%, up from the previous quarter.
Net margin improved to 27.1% from 11.3% a year ago.
Outlook and guidance
Management expects continued resilience in margins despite OCC cost pressures, supported by pricing strategies and operational discipline.
Returns from Gaia Platform investments are expected to gradually strengthen operating cash flow.
Actual results may differ from expectations due to factors beyond management's control.
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