Raízen (RAIZ4) investor relations material

Executive summary

• Initiated the 2026/27 crop year with a streamlined portfolio, focusing on core businesses and operational transformation amid ongoing macroeconomic and commodity market volatility.

• Divested Argentina operations and the Caarapó mill to simplify the portfolio and focus on higher-value assets.

• Out-of-court restructuring plan approved by creditors and courts, marking a new phase to strengthen capital structure and reduce leverage.

• Net revenue reached R$51.5 billion, up 4% year-over-year, driven by growth in Brazil Fuel Distribution, offsetting challenges in ESB.

• Net loss for the period was R$1.64 billion, reflecting discontinued operations and high financial expenses.

Financial highlights

• Net revenue rose 4% year-over-year to R$51.5 billion; gross profit more than doubled to R$3.7 billion.

• Adjusted EBITDA more than doubled to R$3.85 billion, driven by Fuel Distribution; ESB EBITDA fell 63% to R$301 million.

• Net loss for the period was R$1.64 billion, with losses from discontinued operations and high leverage.

• Operating cash flow improved to R$3.6 billion, a significant turnaround from negative R$10.9 billion in the prior year.

• Investments (CapEx) declined by 32.6% year-over-year to R$1.05 billion, reflecting disciplined capital allocation.

Outlook and guidance

• Focus remains on operational efficiency, disciplined capital allocation, and executing the restructuring plan.

• Completion of the restructuring plan is expected by March 31, 2027, but remains subject to several conditions precedent.

• Management continues to monitor legal, regulatory, and market developments that could impact future results.