Suzano S.a. · BMFBOVESPA:SUZB3
Suzano — Q3 2011 Earnings Presentation
13 slides from Suzano's earnings presentation, Oct 31, 2011
Slide 1: 3Q11 Results
3Q11 RESULTS October 31st, 2011 1
Slide 2: General Notice
General Notice Certain statements in this presentation may constitute forward-looking statements. Such statements are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. These risks include changes in customer
Slide 3: Pulp Business Unit
Pulp Business Unit Suzano’s 3Q11 pulp sales in line with 2Q11, with substantial shipments to China MARKET PULP HIGHLIGHTS 3Q11 x 3Q11 x 9M11 x 3Q11 highlight: shipments to China MMt 3Q11 9M11 2Q11 3Q10 9M10 − start-up of new paper capacity Market Pulp 10.5 -0.1% +3.6% 31.7 +4.8% − rebuilding of in
Slide 4: Paper Business Unit
Paper Business Unit Suzano records 62.7% domestic market share in 3Q11 PAPER MARKET HIGHLIGHTS MMt 3Q11 3Q11 x 3Q11 x 9M11 9M11 x Reduction in domestic demand (-7.2% vs 3Q10): 2Q11 3Q10 9M10 − Paperboard (-10.3%) and Coated Paper (-20,4%) Brazilian Demand 642 +9.7% -7.2% 1,817 -2.8% Measures ado
Slide 5: Consolidated Results: Net result impacted by exchange rate variation
Consolidated Results Suzano’s net result was mainly impacted by the foreign exchange variation, with NO cash impact Net Result Breakdown (R$ million) 104 (15) (17) (91) 2Q11 EBITDA Depreciation & Net Financial Exchange Taxes 3Q11 Depletion Expenses Rate Variation 236 (426) (642) Exchange rate variat
Slide 6: Debt: Strong financial solidity despite exchange rate impact
Debt Strong financial solidity despite the impact of the exchange rate variation on gross debt Gross Debt (R$ million) +10.4% +14.6% 8,250 7,476 7,199 Debt increased, primarily due to the impact of the 18.8% in the exchange rate variation 6,386 6,200 5,707 between the beginning (R$1.56/US$) and en
Slide 7: Debt: Long-term debt profile and amortizations
Debt Long-term debt profile and amortizations in line with cash flows from the projects Amortization Schedule (R$ million) 3,610 2,616 1.113 455 456 2011 - 2013 2014 2015 2016 2017 onwards Conservative financial policy: Strong cash position: R$3.0 billion (Sep./11) Long-term debt profile Fundi
Slide 8: Consolidated Results: Stability in Mucuri lowers cash cost
Consolidated Results Stability in Mucuri allows for lower cash cost in the quarter Net Revenue (R$ million) and Volume (tons, thousands) EBITDA (R$ million) and EBITDA Margin (%) 2,234 2,034 35.2% 34.2% 675 766 791 +5.8% 22.5% 25.2% 21.2% 3,319 3,512 +6.1% 1,136 887 +0.4% 1.890 1.920 408 1,159 1,225
Slide 9: Investment program highlights - Maranhão
Key Messages Investment program highlights - Maranhão Ongoing project: − earth-moving work concluded − infrastructure works already started − About 1,200 people working in Maranhão Unit construction − Technical operational training has started: ~300 people − Agreement for the training of around 6,
Slide 10: Investment Plan Highlights - Suzano Renewable Energy and FuturaGene
Key Messages Investment Plan Highlights - Suzano Renewable Energy and FuturaGene Suzano Renewable Energy Protocol signed with Maranhão government Ongoing private equity placement Ongoing activities: Estimated start-up: 2014 − Forestry − Engineering Wood Pellets for energy, produced from rene
Slide 11: Investment Plan Status
Key Messages Investment Plan Status Ongoing initiatives Sale of interest in the Amador Aguiar Plant (Capim Branco) Sale of land in the state of São Paulo Initiatives under study Sale of certain assets in the paper segment Sale of interest in new projects in the pulp segment 11
Slide 12: 3Q11 Highlights
Key Messages 3Q11 Highlights Stable pulp sales volume (+0.4%) and increase in paper sales (+7.1%) vs 2Q11 Domestic market accounts for 62.7% of paper sales in 3Q11 All Suzano’s paper lines record increase in market share Operational stability in Mucuri with consequent cash cost reduction F
Slide 13: Investor Relations Team
Investor Relations Team Investor Relations www.suzano.com.br/ir 13