Suzano S.a. · BMFBOVESPA:SUZB3
Suzano — Suzano Papel e Celulose — Q2 2016 Earnings Presentation
12 slides from Suzano's earnings presentation, 2016
Slide 1: 2Q16 Results
SUZANO PAPEL E CELULOSE 2Q16 Results oY Rees T
Slide 2: Disclaimer
Disclaimer The statements in this presentation constitute projections or forward-looking statements. Such statements are subject to known and unknown risks and uncertainties that could cause the expectations expressed to not materialize or the actual results to differ materially from the expected re
Slide 3: Increasing operational performance with capital discipline
Increasing operational performance with capital discipline OPERATING CASH GENERATION¹ LTM² (R$ billion) NET DEBT/ADJUSTED EBITDA LTM² (x) 3.8 5.2x 3.5 3.7 4.1x 3.3x 2.7x 2.3x 2.2 2.1x 1.5 1.1 dec/13 dec/14 jun/15 dec/15 mar/16 jun/16 dec/13 dec/14 jun/15 dec/15 mar/16 jun/16 Record-high Revenue, Adj
Slide 4: Paper Price increase implemented in the Brazilian market
Paper Price increase implemented in the Brazilian market Paper Production¹ (‘000 tons) Paper Sales¹ (‘000 tons) 587 595 547 566 298 299 272 294 360 376 293 297 196 184 192 187 190 103 88 102 2Q15 1Q16 2Q16 6M15 6M16 2Q15 1Q16 2Q16 6M15 6M16 Exports Domestic Market Brazilian demand impacted by the ma
Slide 5: Pulp Margin impacted by list price reduction and FX
Pulp Margin impacted by list price reduction and FX Pulp Production (‘000 tons) Pulp Sales (‘000 tons) 1,728 1,816 1,600 1,662 212 241 804 912 816 805 906 910 105 100 112 1,604 1,421 700 806 799 2Q15 1Q16 2Q16 6M15 6M16 2Q15 1Q16 2Q16 6M15 6M16 Exports Domestic Market Global demand improving: pulp s
Slide 6: Cash cost decrease reflects focus on strategic pillar of Structural Competitiveness
Cash cost decrease reflects focus on strategic pillar of Structural Competitiveness Consolidated Pulp Cash Cost Ex-Maintenance Downtime (R$/ton) 16 25 4 (11) (22) (19) Inflation: +8.8% Inflation: +1.7% 636 654 626 + 1.5% - 2.7% + R$ 10/ton - R$ 18/ton 2Q15 Wood Chemicals Fixed Cost 2Q16 Wood Chemica
Slide 7: Consistency on costs and expenses below inflation
Consistency on costs and expenses below inflation Revenue and Adjusted EBITDA (R$ million) 2,708 2,503 2,382 1,269 Revenue 959 967 Adjusted EBITDA 2Q15 1Q16 2Q16 Average FX (R$/US$) 3.07 3.91 3.51 Average PIX Europe (US$/ton) 781 762 693 SG&A. / Sales Volume (R$/ton) COGS (R$/ton) Inflation: +8.8% I
Slide 8: Paper business resiliency in moments of pulp market turbulence
Paper business resiliency in moments of pulp market turbulence Adjusted EBITDA (R$ / ton) 1,075 40 803 (257) (44) (1) (10) 1Q16 Paper Pulp COGS SG&A Others¹ 2Q16 Investments in adjacent businesses seek to reduce results volatility 8 Note: ¹Others includes depreciation, amortization and depletion; ot
Slide 9: Dollarization and debt maturity profile reinforce financial strength
Dollarization and debt maturity profile reinforce financial strength Average Cost of Debt (%) Debt / Adjusted EBITDA (x) 6.1x Jun/14 91.8% of CDI 4.7% 4.5x 4.2x Jun/15 89.9% of CDI 3.3x 4.0% 2.6x 2.1x Jun/16 84.2% of CDI 4.3% Post Bond¹ 4.4% Jun/14 Jun/15 Jun/16 BRL USD Gross Debt Net Debt Debt Prof
Slide 10: CAPEX reduction, with projects on time and unchanged scope
CAPEX reduction, with projects on time and unchanged scope, reinforces financial discipline CAPEX (R$ billion) 6M16 2016e 2016Revised SUSTAINING 0.6 1.1 1.1 MODERNIZATION AND EXPANSION 0.4 1.3 1.0 TOTAL 1.0 2.4 2.1 Savings from negotiation and fx, and also from payments postponements 10
Slide 11: Flexibility in capital allocation: priority on the deleveraging
Flexibility in capital allocation: priority on the deleveraging ... ... and on value creation to shareholders 11
Slide 12: Better Everyday, Strong and Kind
BETTER EVERYDAY STRONG AND KIND www.suzano.com.br/ir ri@suzano.com.br
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