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Kimberly-Clark: Powering Care And Suzano Partnership Essential For Reviving Margins
Seeking Alpha· 2025-06-24 15:37
Core Insights - The article emphasizes the importance of fundamental analysis in guiding new and inexperienced investors towards achieving long-term financial independence through dividend and growth equities [1]. Group 1 - The author has been following the stock market since the age of eleven and is dedicated to educating investors on various investing concepts [1]. - The mission is to positively impact individuals' financial lives by providing insights into investment strategies [1].
Suzano: This Is Why The Market Like The JV With Kimberly-Clark
Seeking Alpha· 2025-06-12 13:10
Core Insights - The article emphasizes the importance of in-depth research and insights for informed investment decisions in the Latin American equity market [1] Group 1 - The company has over 5 years of experience in equity analysis specifically focused on Latin America [1] - The research provided aims to assist clients in making informed investment decisions [1]
Suzano & Kimberly-Clark to Form Global Tissue Joint Venture
ZACKS· 2025-06-06 14:32
Group 1: Joint Venture Announcement - Suzano S.A. and Kimberly-Clark Corporation are forming a $3.4 billion joint venture to manufacture consumer and professional tissue products, with Suzano owning 51% and Kimberly-Clark holding 49% [1][7] - The joint venture will be incorporated in the Netherlands and will operate 22 manufacturing facilities across 14 countries, with an annual tissue production capacity of approximately 1 million tons and projected net sales of $3.3 billion in 2024 [2][3][7] Group 2: Market and Employment Impact - The joint venture will market and distribute various tissue products in over 70 countries and is expected to create more than 9,000 job opportunities [3] - The transaction is anticipated to close in mid-2026, with Suzano set to pay $1.734 billion in cash at closing, subject to standard post-closing adjustments [4][7] Group 3: Suzano's Financial Performance - In Q1 2025, Suzano reported net sales of $1.97 billion, an increase from $1.91 billion in the same quarter of the previous year, with adjusted earnings rising to 87 cents compared to 3 cents in the prior year [5] - Over the past year, Suzano's shares have increased by 5.9%, while the industry has seen an 18.4% growth [6]
Kimberly-Clark Announces Major Step Forward in its Powering Care Transformation
Prnewswire· 2025-06-05 11:00
Core Insights - Kimberly-Clark has formed a strategic partnership with Suzano to create a leading international tissue and professional products company, focusing on higher growth and margin segments [1][2][3] - The new venture will allow Kimberly-Clark to enhance its operational efficiency and improve its growth trajectory by concentrating on its iconic global brands [3][4] - The transaction is expected to generate significant shareholder returns through upfront cash proceeds and share repurchases [3][4][6] Company Strategy - The partnership sharpens Kimberly-Clark's focus on proprietary spaces that enhance growth, with approximately two-thirds of net revenues projected to come from personal care categories post-transaction [3][4] - The collaboration with Suzano is anticipated to reduce product costs and improve supply chain efficiency, benefiting both consumers and customers [3][4] Financial Details - Kimberly-Clark will contribute its International Family Care and Professional (IFP) business, which generated approximately $3.3 billion in net sales in 2024, to the new venture [5][6] - The implied enterprise value for the IFP business is approximately $3.4 billion, subject to adjustments at closing [6] - The transaction is expected to be dilutive to Adjusted Earnings Per Share by approximately $0.30-0.40 in the first full year following the close [7][8] Operational Impact - The new venture will encompass sales in over 70 countries, 22 manufacturing facilities, and around 9,000 employees, with more than 40 regional brands being owned by the new entity [5][6] - Kimberly-Clark's interests in Mexico and its joint venture in South Korea are excluded from this transaction [5] Timeline and Approvals - The transaction has been unanimously approved by Kimberly-Clark's Board of Directors and is expected to close in mid-2026, pending regulatory approvals [10]
Best Growth Stocks to Buy for May 12th
ZACKS· 2025-05-12 15:25
Group 1: Suzano (SUZ) - Suzano is a producer of eucalyptus pulp and paper, holding a Zacks Rank 1 (Strong Buy) [1] - The Zacks Consensus Estimate for its current year earnings has increased by 7.8% over the last 60 days [1] - The company has a PEG ratio of 0.08 compared to the industry average of 0.32, and possesses a Growth Score of A [1] Group 2: Great Lakes Dredge & Dock (GLDD) - Great Lakes Dredge & Dock is the largest provider of dredging services in the US, also holding a Zacks Rank 1 [2] - The Zacks Consensus Estimate for its current year earnings has increased by 34.8% over the last 60 days [2] - The company has a PEG ratio of 0.96 compared to the industry average of 1.49, and possesses a Growth Score of A [2] Group 3: The ODP Corporation (ODP) - The ODP Corporation provides business services, products, and digital workplace technology solutions, also holding a Zacks Rank 1 [3] - The Zacks Consensus Estimate for its current year earnings has increased by 9% over the last 60 days [3] - The company has a PEG ratio of 0.44 compared to the industry average of 3.48, and possesses a Growth Score of B [3]
Suzano: Deleveraging Continues, End Of Downtime Should Improve Unit Economics
Seeking Alpha· 2025-05-09 16:05
Group 1 - The company Suzano (NYSE: SUZ) reported an acceptable quarter, facing cash cost pressures due to maintenance downtime, but benefitting from increased Cerrado volumes and favorable supply effects on paper and pulp prices [2] - The Value Lab, which focuses on long-only value investment ideas, has successfully identified mispriced international equities and aims for a portfolio yield of approximately 4% [1][2] - The Valkyrie Trading Society consists of analysts sharing high conviction investment ideas that are expected to generate non-correlated and outsized returns in the current economic environment [3] Group 2 - The Value Lab offers members real-time portfolio updates, 24/7 chat support, regular global market news reports, feedback on stock ideas, monthly new trades, quarterly earnings write-ups, and daily macro opinions [2]
书赞桉诺2025年第一季度财报创历史新高
Xin Lang Cai Jing· 2025-05-09 08:59
Group 1 - The company Suzano reported a record net revenue of 11.6 billion reais in Q1 2025, a 22% increase compared to the same period in 2024, driven by currency advantages, increased sales from the new Ribas do Rio Pardo mill, and higher paper sales and prices [1][5][6] - Total quarterly sales exceeded 3 million tons, a 12% year-on-year increase, with pulp sales reaching 2.7 million tons (up 10%) and paper sales at 390,000 tons (up 25%) [5][6] - Adjusted EBITDA reached 4.9 billion reais, a 7% increase year-on-year, while operating cash income grew by 5% to 2.6 billion reais [6] Group 2 - CEO Beto Abreu emphasized the company's commitment to maintaining business resilience and free cash flow under various market conditions, highlighting a disciplined approach to strategic goals, including a leverage reduction target [7] - The company's net leverage ratio was reported at 3.0 times, with 2.2 billion reais allocated for equity interest payments and 3.6 billion reais for capital expenditures related to asset maintenance, modernization, and capacity expansion [7] - Suzano has been a major player in the global pulp market and a leading paper and packaging manufacturer in the Americas, with a strong commitment to sustainability and innovation [8]
Suzano S.A.(SUZ) - 2025 Q1 - Quarterly Report
2025-05-08 21:06
FORM 6-K UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of May, 2025. Commission File Number 001-38755 Suzano S.A. (Exact name of registrant as specified in its charter) SUZANO INC. (Translation of Registrant's Name into English) Av. Professor Magalhaes Neto, 1,752 10th Floor, Rooms 1010 and 1011 Salvador, Brazil 41 810-012 (Address of principal executive office) ...
Suzano S.A.(SUZ) - 2024 Q4 - Annual Report
2025-04-28 21:31
Financial Performance - Net sales increased by 19.2% to R$47,403.3 million in 2024 from R$39,755.6 million in 2023, driven by higher cellulose prices and sales volume [358]. - Net sales from pulp rose by 22.5% to R$37,593.5 million in 2024, accounting for 79.3% of total net sales, influenced by an 8% appreciation of the USD against the BRL and a 6.3% increase in sales volume [359]. - Gross profit increased by 36.3% to R$20,001.8 million in 2024, with a gross margin of 42.2% compared to 36.9% in 2023, primarily due to increased pulp sales prices and volume [365]. - Operating profit before net financial income rose by 28.4% to R$15,691.1 million in 2024, with an operating margin of 33.1% compared to 30.7% in 2023 [369]. - Net income decreased by 149.9% to a loss of R$7,044.7 million in 2024, compared to a gain of R$14,106.4 million in 2023 [373]. Expenses and Investments - Selling expenses increased by 13.2% to R$2,938.5 million in 2024, attributed to higher sales volume and the acquisition of Kimberly Clark's tissue business in Brazil [366]. - General and administrative expenses surged by 36.2% to R$2,619.8 million in 2024, mainly due to increased personnel costs [366]. - The company plans to invest R$7,677.4 million in maintenance capital expenditures for 2024, primarily financed by cash and cash generation [381]. - Capital expenditures totaled R$17,119.8 million in 2024, down from R$18,576.6 million in 2023, with R$7,610.0 million allocated to industrial and forestry maintenance [386]. - The approved budget for capital expenditures in 2025 is R$12,380.8 million, reflecting a decrease primarily due to the Cerrado project's investment schedule [387]. Cash Flow and Indebtedness - Cash and cash equivalents as of December 31, 2024, were R$9,018.8 million, with 70% denominated in reais and 30% in U.S. dollars [378]. - Net cash provided by operating activities increased to R$20,604.4 million in 2024 from R$17,315.5 million in 2023, a rise of R$3,288.9 million due to higher pulp prices and currency appreciation [383]. - Net cash used in investing activities decreased to R$20,512.7 million in 2024 from R$26,035.3 million in 2023, with R$9,190.6 million allocated to property, plant, and equipment [384]. - Total consolidated outstanding indebtedness reached R$101,435.5 million as of December 31, 2024, with R$10,501.4 million classified as current indebtedness [388]. Research and Development - Research and development investments amounted to R$174.0 million in 2024, focusing on increasing forestry productivity and developing new products [409]. - The company produced over 320,000 seedlings and 17 new potential clones in 2024 through its Transition Nursery initiative [411]. - FuturaGene's investments in R&D ensure significant independence from external sources for intellectual property and innovation [422]. - In 2024, the company filed 11 new technology patents and protected one new eucalyptus variety, focusing on biorefining and paper products [422]. Innovations and Sustainability - The company achieved a milestone in biorefinery with the sale of 20,000 tonnes of Ecolig lignin, diversifying its portfolio of certified applications [419]. - The Paper and Packaging projects in 2024 emphasized the replacement of fossil products and introduced biodegradable solutions for hot liquids [420]. - FuturaGene's Forest Management strategy focuses on increasing productivity and reducing operational costs through technological innovation [416]. - The company launched certified grammages for food in the Greenpack® Line and introduced the Bluecup Bio® line for biodegradable solutions [420]. Financial Instruments and Compliance - The company raised R$5.9 billion in debentures in May 2024, with various interest rates and amortization schedules [394]. - The company issued panda bonds amounting to CNY1,200,000 (equivalent to US$166.0 million) on November 15, 2024, with a fixed interest rate of 2.8% [403]. - The company has no financial covenants as of December 31, 2024, and is in compliance with all other non-financial covenants [405]. Regulatory Approvals and Patents - In 2024, FuturaGene received three new commercial approvals for genetically modified eucalyptus varieties, bringing the total to eleven approvals by the end of the year [415]. - FuturaGene holds a total of 804 granted patents and patent applications, including 75 protected eucalyptus varieties and over 404 potential new varieties under evaluation [421]. Market Trends - The primary trends influencing sales and production include pulp purchase patterns, pulp prices, and global economic conditions [425].
2 Paper and Related Products Stocks to Keep an Eye on Despite Industry Challenges
ZACKS· 2025-04-10 17:55
Industry Overview - The Zacks Paper and Related Products industry is facing subdued demand due to lower consumer spending and a decline in graphic paper demand driven by digitalization [1][4] - However, increasing packaging requirements from e-commerce and steady demand from consumer-oriented markets like food, beverages, and healthcare are expected to support the industry [1][5] - Environmental awareness is enhancing the appeal of paper as a sustainable packaging alternative, acting as a significant growth driver [1] Major Trends - The transition to digital media has negatively impacted the graphic paper market, leading to a shift in production focus towards packaging and specialty paper [4] - Rising costs for transportation, chemicals, and fuel are pressing concerns, prompting companies to focus on pricing actions, cost reduction, and automation to enhance productivity [4] - Despite current challenges, the industry's exposure to consumer-focused markets ensures stable earnings growth, with global e-commerce revenues projected to reach $4.3 trillion by 2025 [5] M&A Activities - Increased demand for sustainable packaging is driving M&A activities in the industry, exemplified by the merger of Smurfit Kappa and WestRock to form Smurfit Westrock [6] - International Paper's acquisition of DS Smith aims to strengthen its corrugated packaging business and enhance sustainable packaging solutions [6][18] Industry Performance - The Zacks Paper and Related Products industry has outperformed the S&P 500 and the Basic Materials sector over the past year, with a gain of 14.2% compared to a 15.7% decline in the sector [10] - The industry is currently trading at a forward 12-month EV/EBITDA ratio of 8.49X, lower than the S&P 500's 12.88X and the Basic Materials sector's 7.01X [12] Company Highlights - Suzano inaugurated the world's largest single-line pulp mill, increasing its pulp production capacity by 24% to 13.5 million tons per year, leading to record sales of 12.3 million tons in 2024 [15][16] - The Zacks Consensus Estimate for Suzano's 2025 earnings has increased by 26% in the past 90 days, indicating a year-over-year growth of around 304% [16] - International Paper's acquisition of DS Smith is expected to yield $600-$700 million in pre-tax cash synergies by 2027, with projected net sales of $26-$28 billion and adjusted EBITDA of $5.5-$6 billion by 2027 [18]