BRAZIL – Eucatex, one of the largest producers of wood panels in Brazil, which also operates in the paints and varnishes, laminate floors, and doors segments, reported net income of BRL 65.3 million in FY 2017, an improvement of 21.8% compared to 2016 (BRL 53.6 million).

For the fourth quarter of 2017, net income reached BRL 18.6 million, an improvement of 31.9% against BRL 14.1 million reached in the same period 2016.

Revenues from sales reached BRL 318.3 million in the fourth quarter of 2017, which represented an increase of 11.9% compared to the same period of 2016 (BRL 284.5 million). Consolidated sales in 2017 reached BRL 1,205.4 million, an improvement of 5.3% compared to 2016 (BRL 1,144.5 million).

Ebitda in the fourth quarter came the BRL 59.5 million, an increase of 27.1% compared to the same period of 2016 (BRL 46.8 million). In 2017, EBITDA improved by 14.4%, going from BRL 185.9 million in 2016 to BRL 212.7 million in 2017.

On January 31 Eucatex informed that it had reached an agreement with Duratex for the exchange of assets between the companies valued at BRL 60 million. Duratex will receive from Eucatex assets in lands and forests, located in Capão Bonito (SP), strategically close to the Duratex unit in Itapetininga. The exchange of this asset has synergy with the announcement of Duratex of the resumption of operations of the Itapetininga unit, scheduled for April 2018.

Eucatex in turn will receive from Duratex facilities and equipment for the manufacture of thin sheets of wood fiber (wet process) located in the city of Botucatu, State of São Paulo with an installed capacity of 200,000 m3. This is a strategic acquisition for Eucatex since Botucatu is where its MDP plant and laminate floor unit, as well as most of its forest assets, are located.