BRAZIL - Eucatex, one of the largest manufacturers of wood panels in Brazil, with operations also in the paint, varnish, laminated flooring and doors segments, announced its results for the fourth quarter of 2022 (4Q-2022).

Total net sales revenue in 4Q-2022 reached BRL 639.1 million, compared to BRL 709.6 million in 4Q-2021, a drop of 9.9%.

In the furniture industry and resale segment, sales revenue decreased 13.5% in the quarter. Indicators for the wooden panels market, which includes MDF/HDF /MDP /Fiberboard sales, according to data from IBÁ (Brazilian Tree Industry) and the Company, dropped 15.6% in the domestic market and 44.0% in the export market between 4Q-2021 and 4Q-2022.

In the year, domestic sales fell 14.9% but exports increased 7.1% compared to 2021.

In the 4Q-2022  EBITDA totaled BRL 117.7 million, down 19.9% from 4Q-2021. EBITDA Margin in 4Q-2022 reached 18.4%, decreasing 2.3 p.p. compared to the same period last year.

Recurring Net Income (profit) in 4Q-2022, excluding the effect of non-recurring expenses and net of income tax, totaled BRL 86.2 million compared to BRL 156.0 million in the 4Q-2021, down 44.7%.

Investments in 4Q-2022 totaled BRL 68.9 million and were allocated to maintaining the Company’s industrial and, chiefly, forest operations. For 2023, investments of around BRL 251.0 million are planned, an increase of 4.0% from 2021, due to the significant increase in the plantation of new forests and the increase in prices of imported parts and services.