Suzano Posts Net Profit of 2.08 Billion Reais in Third Quarter
Key Facts
Suzano posted net profit of 2.08 billion Brazilian reais in the third quarter of 2026, up 6% from the same period a year earlier, according to data reported by CNN Brasil. Adjusted earnings before interest, taxes, depreciation and amortization rose to 5.6 billion reais, up 9% year over year. The results marked the first operating quarter to include Arbex’s performance, the joint venture with Kimberly-Clark, after it began operations on July 1, 2026. According to Reuters, the company’s revenue and adjusted earnings before interest, taxes, depreciation and amortization fell short of market forecast averages. The results thus highlighted profit growth alongside an expansion in the company’s business scope and higher debt.
Dollar-denominated net debt stood at $14.7 billion at quarter-end, up 15% from the previous three months, according to CNN Brasil. Dollar leverage, measured as net debt to adjusted earnings before interest, taxes, depreciation and amortization, reached 3.7 times. The ratio was 3.3 times in the third quarter of 2025, according to Reuters. This places operating profit growth in the context of higher debt and leverage year over year. The debt trajectory is set to be one of the key indicators investors watch on the upcoming earnings call.
Arbex began operations on July 1, 2026, and Suzano owns a 51% stake, acquired for $1.3 billion, according to a company disclosure. The joint venture has 22 factories across 14 markets and distributes consumer and professional tissue products in more than 70 countries. Arbex’s inclusion expands Suzano’s activities alongside its core businesses, adding tissue products to the group’s operations. Suzano said Arbex will appear as a separate segment in its third-quarter results materials. To allow comparisons, the company recast historical segment information from the first quarter of 2025 through the second quarter of 2026 under the new methodology.
Suzano said the recasting of historical periods applies to supplemental segment information and does not change previously reported consolidated results. Separating Arbex from the rest of the business allows investors to track the joint venture’s contribution through segment disclosures, while previously published consolidated results remain unchanged. The company is scheduled to hold a call to discuss its third-quarter results on November 6, 2026, according to its investor relations calendar. The call follows a quarter in which net profit rose year over year and debt and leverage increased. It also gives the company an opportunity to provide more detail on the results and discuss Arbex’s inclusion in its reporting.