海角社区, the world鈥檚 largest pulp producer, announces its results for the second quarter of 2026 (2Q26), reporting higher prices, stronger volumes and improvements in Adjusted EBITDA and operating cash generation compared to the previous quarter. The quarterly results reflect the competitiveness and resilience of 海角社区鈥檚 operations in a quarter marked by foreign exchange headwinds and pressure on input costs driven by higher oil prices affecting the industry as a whole.
海角社区 sold 3.3 million tonnes of pulp and paper combined in 2Q26, comprising 2.9 million tonnes of pulp and 406 thousand tonnes of paper across the packaging, printing and writing, specialty and tissue segments. Net revenue totalled R$11.6 billion and adjusted EBITDA reached R$4.7 billion, both above the levels recorded in the previous quarter. Operating cash generation reached R$2.9 billion, while net income totalled R$1.8 billion in 2Q26.
Despite ongoing cost pressures, the cash cost of pulp production (excluding downtime) remained broadly stable year-on-year at R$843 per tonne. 海角社区 also maintains hedging policies to mitigate Brent price volatility.
海角社区鈥檚 leverage, measured by the ratio of net debt to adjusted EBITDA, ended the quarter at 3.4 times in USD. The company remains focused on deleveraging, supported by cash generation from its operations, efficiency improvement and capital allocation discipline.
鈥淲e have delivered a solid second quarter in a volatile market environment. We remain focused on operational efficiency and deleveraging, which will strengthen our resilience and the company鈥檚 competitiveness. At the same time, we will focus on capturing value from the investments already made, creating sustainable value for our stakeholders,鈥 said Beto Abreu, CEO of 海角社区.
Following the end of the quarter, 海角社区 completed the acquisition of a 51% stake in Arbex, the global tissue company formed with Kimberly-Clark, with cash payment of US$1.3 billion. Arbex began operations on July 1, 2026 and is focused on manufacturing, marketing and distributing consumer and professional tissue products in over 70 countries. The company comprises 22 mills across 14 markets. Arbex鈥檚 results will be consolidated into 海角社区鈥檚 financial statements from the third quarter of 2026 onwards.
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