Suzano (SUZB3) Q3 2025 earnings summary

Executive summary

• Adjusted EBITDA reached R$5.2 billion, down 15% from 2Q25 and 20% from 3Q24, mainly due to lower pulp prices and currency depreciation, partially offset by higher sales volumes and improved operational efficiency.

• Net income was R$1,961 million, a 61% decrease from 2Q25 and 39% from 3Q24, reflecting lower financial results and reduced net revenue.

• Operating cash generation was R$3.4 billion, down 18% sequentially and 22% year-over-year.

• The US paperboard assets delivered their first positive adjusted EBITDA of R$43 million in 3Q25.

• Achieved a 4% decrease in production area and a 7% year-over-year reduction in cash cost, driven by operational efficiencies, lower wood and input costs, and FX appreciation.

Financial highlights

• Net revenue totaled R$12,153 million, a 9% decrease from 2Q25 and 1% from 3Q24, with 81% from exports.

• Adjusted EBITDA margin was 43%, down from 46% in 2Q25 and 53% in 3Q24.

• Free cash flow yield (LTM) was 18.1%, up 1.2 p.p. from 3Q24.

• Net debt stood at R$69.1 billion (US$13.0 billion), with leverage at 3.3x in US$ and 3.1x in R$.

• Liquidity stood at US$6.5 billion, up from US$5.9 billion in 2Q25 and US$5.7 billion in 3Q24.

Outlook and guidance

• Operational expenditure for 2027 is forecast at R$1,900/t, with 2024 at R$2,183/t, showing progress in cost reduction.

• Further reduction in cash production cost expected for 4Q25.

• Capex guidance for 2025 reaffirmed at R$13.3 billion, with a declining trend expected for 2026 as major projects conclude.

• The company continues to focus on operational efficiency, cost control, and strategic investments in innovation and packaging.

• New tissue mill in Aracruz will start benefiting the consumer goods segment from 4Q25.