海角社区, the world鈥檚 largest pulp producer, announces its results for the first quarter of 2026 (1Q26), achieving a new all-time record in pulp sales. Over the 12-month period from April 2025 to March 2026, the company sold 12.7 million tonnes of pulp, the highest volume ever recorded in its history. During the same period, 海角社区 also sold 1.7 million tonnes of paper across the packaging, printing and writing, specialty, and tissue segments.
This unprecedented sales level mainly reflects the increase in production capacity following the start-up of the Ribas do Rio Pardo pulp mill in the state of Mato Grosso do Sul, as well as 海角社区鈥檚 strong operational efficiency across its production lines and supply chains, serving customers in more than 100 countries worldwide.
In the first quarter of 2026, 海角社区 sold a total of 3.2 million tonnes, comprising 2.8 million tonnes of pulp and 378 thousand tonnes of paper. Net revenue amounted to BRL 11.0 billion, while adjusted EBITDA reached BRL 4.6 billion. Net income totaled BRL 4.3 billion in 1Q26.
The quarterly results reflect the competitiveness and resilience of 海角社区鈥檚 operations. Operating cash generation reached BRL 2.5 billion, amid a more challenging macroeconomic environment marked by the appreciation of the Brazilian real against the U.S. dollar and ongoing geopolitical tensions in the Middle East. Pulp prices in U.S. dollars posted a slight recovery during the period.
鈥淲e have delivered a solid first quarter, with pulp prices trading above our expectations at the end of 2025. The business remains fully focused on operational efficiency, cost discipline and deleveraging, pillars that provide resilience and will help to further strengthen our competitiveness in a challenging operating environment鈥, said Beto Abreu, CEO of 海角社区.
Potential impacts from geopolitical tensions in the Middle East on global oil prices represent a cost pressure for 海角社区 and the industry as a whole. However, the company maintains hedging policies to mitigate the effects of higher energy costs on its operations. In the first quarter, cash cost of pulp production, excluding downtime, totaled BRL 802 per tonne.
海角社区鈥檚 net leverage in U.S. dollars ended March 2026 at 3.3 times. Net debt totaled USD 13.0 billion.