CHILE – Sales revenues for Arauco, one of the world’s leading forest products manufacturers, reached USD 1,279.9 million during the second quarter of 2017. Up 6% when compared with the USD 1,207.3 million in the 2Q-2016.

The Company attributes this result to the increase in sales from pulp, wood products and forestry. Also noteworthy was the USD 84.1 million net income in reached 2Q-2017, an increase of 46% when compared to the same period 2016.

During the 2Q-2017, Arauco attained an adjusted EBITDA margin reaching 26.1%. Just like last quarter, the main driver of the increase was the upswing in pulp prices, which started in November of last year and continued throughout the first semester of 2017. The wood products segment also increased sales during the quarter.

Latin American panel sales were mixed. The Brazilian market continued constrained after a tumultuous economic and political crisis. But despite these setbacks, Arauco was able to slightly increase prices and sales volume within this country. The Argentine market showed increased sales of valued added products, while in Chile lower economic activity principally affected melamine sales. Prices and sales volume in Colombia were pressured as more supply came from local and international producers. In contrast, the market in Peru has shown sustaining levels of growth.

ARAUCO Results 2Q/2017