Suzano (SUZB3) investor relations material

Executive summary

• Adjusted EBITDA reached R$4.7 billion in Q2 2026, up from R$4.6 billion in Q1 2026 but down from R$6.1 billion in Q2 2025, driven by higher prices and stronger volumes.

• Free cash flow was R$3.3 billion, a significant increase from R$0.6 billion in Q1 2026 and 27% higher than Q2 2025, supported by working capital release and lower capex.

• Net income was R$1.8 billion, a 58% drop from Q1 2026 and 64% lower year-over-year, reflecting weaker financial results and higher costs.

• Successfully closed the Arbex acquisition (51% stake in a global tissue JV with Kimberly-Clark) for US$1.3 billion on July 1, 2026, with integration and efficiency gains underway.

• Leadership transition in industrial operations, with Carlos Aníbal assuming the EVP role.

Financial highlights

• Net revenue for Q2 2026 was R$11.6 billion, up 6% sequentially but down 13% year-over-year, mainly due to lower pulp sales and FX impacts.

• Adjusted EBITDA margin was 41% in Q2 2026, down 5 p.p. year-over-year.

• Net debt decreased to US$12.8 billion from US$13.0 billion in Q1 2026, with leverage at 3.4x.

• Liquidity stood at US$6.9 billion, improving from US$6.1 billion in Q1 2026.

• Positive cash adjustments from FX and oil hedges totaled BRL 480 million and BRL 150 million, respectively.

Outlook and guidance

• Pulp business expects stronger sales in the second half of 2026 due to favorable seasonality and higher production availability.

• 2026 cash cost guidance remains on track at approximately R$800/ton, with further reductions anticipated in H2.

• Net debt and leverage targets in US$ (US$11.0 billion and <2.5x) expected to be achieved in 2027–2028.

• Arbex integration is a focus for value creation and efficiency gains in H2 2026.

• Standalone Consumer Goods segment will be disclosed from 3Q26 onwards.