ENCE Energía y Celulosa, S.A. (EEYCF) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning, ladies and gentlemen. Welcome to the NCEI fourth quarter 2025 results presentation. I will now hand over to Mr. Ignacio Colmenares, Executive Chairman and CEO, and Alfredo Avelio, CFO. Gentlemen, please go ahead. Good morning, good afternoon, and welcome to NCEI's fourth quarter and full year 2025 results presentation. Thank you for joining us. I am Ignacio Colmenares, executive chairman, and today I'm joined by our CFO, Alfredo Avedio, and our head of IR, Ines Alvarez. Let me start with a strategic picture of our overall objectives. Our plan is simple to describe and rests on four pillars. First, growth in higher margin special part substituting BSKT. Second, local wood and biomass sourcing. Third, cash cost efficiency. And fourth, renewables EBDA growth, leveraging our position as the largest collector and manager of biomass in the Iberian Peninsula. Slide four summarizes the year 2025 and the fourth quarter. It captures the progress we are making on all pillars of the strategy. The bulk price environment was challenging for much of the year, but we saw a clear turning point at the end of the fourth quarter. At the same time, we kept moving the business forward. We improved our cash costs, increased the share of special pulp substituting BSKP, and continue to increase the renewables platform to deliver stronger results. In our PALP operations, we deliver a cash cost of 477 Euro per tonne in fourth quarter and 483 Euro per tonne in 2025. Our lowest cash cost since 2022, despite the impact of the Ponte Vedra strike. The cash cost improvement reflects structural actions in wood, logistics and harvesting, process optimization and productivity combined with tighter operational execution and a continuous improvement culture. On product mix, Special pulp sub...