Suzano Reports Adjusted EBITDA Of R$5.7 Billion In 3Q26, Up 9% Year On Year

Suzano S.A. (B3: SUZB3; NYSE: SUZ), one of the world’s largest integrated pulp, paper and packaging producers, today announced its financial and operating results for the third quarter of 2026 (3Q26), reporting net revenue of R$16.5 billion and Adjusted EBITDA of R$5.7 billion.

Adjusted EBITDA increased 9% compared with the third quarter of 2025, supported by the consolidation of Arbex, Suzano’s joint venture with Kimberly-Clark, higher realized pulp prices and increased sales volumes. Net revenue rose 36% year on year, while operating cash generation reached R$3.8 billion, an increase of 12%.

Net income totaled R$2.1 billion, compared with R$2.0 billion in 3Q25, representing growth of 6%.

Arbex strengthens Suzano’s consumer goods platform

The third quarter marked the first full quarter of consolidation of Arbex, following the completion of its acquisition on July 1, 2026. The joint venture represents an important milestone in Suzano’s strategic expansion into consumer goods and further diversifies the Company's business portfolio.

Suzano reported R$5.0 billion in consumer goods net revenue during the quarter, with sales volumes reaching 299,000 tonnes, an increase of 369% compared with 3Q25. The segment generated Adjusted EBITDA of R$803 million, including R$694 million from Arbex.

The consolidation of Arbex also led Suzano to report consumer goods as a separate business segment, providing greater transparency into the performance of its pulp, paper and packaging, and consumer goods operations.

Pulp business benefits from higher sales volumes and improved costs

Pulp sales totaled 3.19 million tonnes in 3Q26, an increase of 8% compared with the previous quarter. Although volumes were 1% lower year on year, the business benefited from improved market conditions toward the end of the quarter.

The average net price for pulp sold in export markets reached US$591 per tonne, up 13% compared with 3Q25. Revenue from pulp sales increased 4% year on year to R$9.6 billion.

Adjusted EBITDA from the pulp segment reached R$4.8 billion, representing growth of 5% compared with the same period last year. Adjusted EBITDA per tonne increased 6% to R$1,506.

Pulp production cash cost, excluding scheduled maintenance downtime, was R$825 per tonne, 2% lower than in 2Q26. The sequential improvement reflected lower input consumption, reduced fixed costs and lower wood costs, partially offset by higher prices for certain inputs.

Paper and packaging maintains sales volumes

Paper and packaging sales totaled 374,000 tonnes, broadly stable compared with 3Q25 and up 10% from the previous quarter.

Net revenue from the segment increased 4% year on year to R$2.5 billion, supported by a 3% increase in average net prices.

Adjusted EBITDA totaled R$277 million, compared with R$532 million in 3Q25. The decline primarily reflected higher production costs, particularly at Suzano Packaging US, as well as increased logistics and selling, general and administrative expenses.

Financial performance and capital structure

Consolidated net revenue reached R$16.5 billion, up 36% year on year and 42% quarter on quarter. Adjusted EBITDA increased 21% compared with 2Q26 to R$5.7 billion, while the Adjusted EBITDA margin stood at 34%.

Operating cash generation, calculated as Adjusted EBITDA less sustaining capital expenditure on a cash basis, totaled R$3.8 billion, compared with R$3.4 billion in 3Q25.

Adjusted free cash flow reached R$2.6 billion during the quarter. The reported free cash flow was negative R$3.0 billion, primarily reflecting the cash impact of the Arbex acquisition and related investment expenditure.

At the end of September 2026, net debt totaled R$76.3 billion, equivalent to US$14.7 billion. Net debt leverage stood at 3.7 times in US dollars, or 3.4 times on a pro forma basis, including Arbex's last-twelve-month Adjusted EBITDA.

The Company's financial position reflects the investment associated with the Arbex transaction, which included a disbursement of approximately US$1.3 billion, in addition to the joint venture's existing net debt.

Outlook

Suzano updated its estimated average pulp production cash cost for 2026, excluding scheduled maintenance downtime, to approximately R$825 per tonne, compared with the previous estimate of R$800 per tonne. The revision reflects updated assumptions for foreign exchange rates, Brent oil prices and input costs, including the effects of geopolitical tensions in the Middle East.

The Company estimates that net debt will close 2026 below US$14.0 billion, based on an assumed year-end exchange rate of R$5.40 per US dollar.

Suzano's previously disclosed financial targets include net debt of US$11.0 billion and leverage below 2.5 times, excluding the effects of the Arbex acquisition, with these targets expected to be reached over fiscal years 2027 and 2028.

About Suzano

Suzano is one of the world's largest producers of pulp, paper and consumer goods. Its products are present in the daily lives of billions of people, serving customers in more than 100 countries. The Company operates across an integrated business platform encompassing forestry, pulp production, paper and packaging, and consumer goods. Suzano is listed on the São Paulo Stock Exchange (B3: SUZB3) and the New York Stock Exchange (NYSE: SUZ).