CHILE – Arauco, one of the largest global manufacturers of wooden panels, reported that revenues reached USD 1,408.9 million in the second quarter of 2023 (2Q-2023), a decrease of 2.1% when compared to the previous quarter, and of 24.5% compared to the 2Q-2022.

This variation is mostly explained by lower revenues in the pulp division, due to a decrease in average prices of 21.3%, offset by a 16.4% increase in sales volume. On the other hand, revenues for the wood products division were 4.0% higher compared to the previous quarter, due to a 9.1% increase in sales volume, offset by a 4.5% decrease in average prices. Compared to the 2Q-2022 revenues were 25.8% lower.

Arauco ́s net income for the second quarter of 2023 was -USD 47.1 million, an increase of USD 7.2 million compared to the first quarter of 2023. Adjusted EBITDA was 20.5% higher than the first quarter of 2023, totaling USD 226.6 million.

Compared to the 2Q-2022 net income was down 115.5% and EBITDA was down 62.1%.

In  2Q-2023, volumes and prices for wooden panels continued to be affected by exports from Brazil to the rest of the region, especially in MDF. On the demand side, the downward effect persists due to a scenario in South America of high inflation, higher interest rates, currency devaluation against the dollar, high inventories, and political uncertainty in some countries.