Altri (ALTR) Investor presentation summary

Business overview and market position

• Operates as a leading pure player in sustainable cellulosic fibers, with 100% focus on cellulosic products and a significant free float in its shareholder structure.

• Manages three fiber production mills with a combined capacity exceeding 1.1 million tons per year, serving over 20 countries across three continents.

• Main markets include Europe for BHKP and China for dissolving cellulosic fibers, with tissue as the largest end-use segment.

• Maintains about 101,000 hectares of certified forest in Portugal, emphasizing responsible silviculture and biodiversity.

Financial performance and shareholder returns

• Achieved €855M in revenues and €218M EBITDA in 2024, with a 25.5% EBITDA margin and a 9% revenue increase year-over-year.

• Return on capital employed averaged 17.6% from 2017-2024, with a 2024 dividend yield of 5.1%.

• Net debt reduced to €214M in 2024, with a healthy financial position and mostly domestic bank funding.

• Distributed €1.165B in dividends from 2017-2024, representing 91% of market cap as of March 2024.

Market trends and industry outlook

• Global BHKP demand expected to grow by 0.7M tons/year until 2028, driven by tissue, packaging, and specialties.

• BHKP prices averaged $997/ton since 2017, with mid-term forecasts above $1,200/ton.

• Dissolving pulp maintains a premium over BHKP, with a 41% average premium in the last six years and a projected 55% premium mid-term.

• Positive medium-term outlook for pulp and paper, despite short-term tariff tensions affecting Asian demand.