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INCOME TAX AND SOCIAL CONTRIBUTION (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax And Social Contribution  
Schedule of income tax and social contribution taxes
 
Central America and the Caribbean from 15% to 27%
Latin America - South (i) from 10% to 35%
Canada 26.5%
Luxembourg 23,87%
Schedule of income taxes
     
  2025 2024 2023
Income tax expenses – current (4,004.4) (4,531.0) (2,077.9)
       
Deferred tax expenses on temporary differences 705.3  424.2  279.8 
Deferred tax on taxes loss carryforward movements in the current period (134.2) (533.6) 1,722.6 
Total deferred tax (expenses)/income 571.1  (109.4) 2,002.4 
       
Total income tax expenses (3,433.3) (4,640.4) (75.5)
Schedule of reconciliation between the weighted nominal tax rate and the effective tax rate
     
  2025 2024 2023
Profit before income tax 19,421.7  19,487.3  15,035.9 
Adjustments to the taxable basis      
Other non-taxable income (1,174.5) (497.3) (919.0)
Government grants related to taxes on sales (387.5) (118.1) (3,011.7)
Share of results of associates and joint ventures (105.7) (3.9) 185.3 
Non-deductible expenses 641.9  178.8  56.5 
Taxation on a universal basis and other adjustments related to foreign subsidiaries 594.2  150.1  1,171.4 
Total adjustment on a taxable basis 18,990.1  19,196.9  12,518.4 
Aggregated weighted nominal tax rate 28.13% 28.70% 28.30%
Taxes payable – nominal rate  (5,342.5) (5,509.1) (3,542.3)
Adjustments to tax expenses      
Income tax incentives 625.2  445.1  120.4 
Deductible interest on capital 1,411.0  1,285.0  3,909.8 
Tax savings arising from the amortization of goodwill 3.6  3.6  17.2 
Withholding income tax (201.3) (887.5) (489.1)
Recognition/(write-off) of deferred charges on tax losses (251.4) (74.5) 100.9 
Effects of the application of IAS 29 (hyperinflation) (22.9) 87.6  (382.3)
Other tax adjustments 345.0  9.4  189.9 
Income tax and social contribution expense (3,433.3) (4,640.4) (75.5)
Effective tax rate 17.68% 23.81% 0.50%
Schedule of deferred income tax
             
  2025   2024
  Assets Liabilities Net   Assets Liabilities Net
Investment securities 6.8  -    6.8    7.3  -    7.3 
Intangibles -    (1,836.5) (1,836.5)   -    (2,141.9) (2,141.9)
Employee benefits 786.3  -    786.3    971.6  -    971.6 
Trade payables 3,462.2  (2.1) 3,460.1    3,880.2  -    3,880.2 
Trade receivables 8.5  (11.0) (2.5)   35.1  (6.7) 28.4 
Derivative financial instruments 65.0  (171.7) (106.7)   37.7  (246.1) (208.4)
Interest-bearing loans and borrowings 7.6  -    7.6    8.8  -    8.8 
Inventories 390.4  (120.2) 270.2    307.0  (205.9) 101.1 
Property, plant and equipment 1,092.2  (1,951.5) (859.3)   1,189.6  (2,459.0) (1,269.4)
Withholding tax on undistributed profits and royalties -    (2,136.2) (2,136.2)   -    (2,255.0) (2,255.0)
Investments in associates and joint ventures -    (383.7) (383.7)   -    (383.7) (383.7)
Tax losses carried forward (i) 3,715.5  -    3,715.5    3,849.7  -    3,849.7 
Provisions 1,606.4  (0.6) 1,605.8    1,537.9  (4.5) 1,533.4 
Impact of IFRS 16 (Leases) 2.9  (78.1) (75.2)   -    (47.1) (47.1)
Exclusion of ICMS from PIS/COFINS calculation basis -    (82.6) (82.6)   -    (121.6) (121.6)
Other items 286.1  (163.6) 122.5    289.3  (558.7) (269.4)
Gross deferred tax assets/(liabilities) 11,429.9  (6,937.8) 4,492.1    12,114.2  (8,430.2) 3,684.0 
Netting by taxable entity (3,025.5) 3,025.5  -      (3,422.5) 3,422.5  -   
Net deferred tax assets/(liabilities) 8,404.4  (3,912.3) 4,492.1    8,691.7  (5,007.7) 3,684.0 

 

(i)Historically, tax authorities have offset tax losses ex-officio in administrative proceedings in which the Company and some of its subsidiaries are involved, resulting in an accumulated offset of R$314.8. This amount is included in the tax credits recognized under the line of tax losses carried forward.
Schedule of deferred tax assets and liabilities
     
  2025
Deferred taxes not related to tax losses to be realized until 12 months to be realized after 12 months Total
       
Investment securities -    6.8  6.8 
Intangibles (1.4) (1,835.1) (1,836.5)
Employee benefits 72.0  714.3  786.3 
Trade payables (242.4) 3,702.5  3,460.1 
Trade receivables (1.9) (0.6) (2.5)
Derivative financial instruments (123.7) 17.0  (106.7)
Interest-bearing loans and borrowings 0.2  7.4  7.6 
Inventories 378.5  (108.3) 270.2 
Property, plant and equipment (2.7) (856.6) (859.3)
Withholding tax on undistributed profits and royalties -    (2,136.2) (2,136.2)
Investments in associates and joint ventures -    (383.7) (383.7)
Provisions 794.1  811.7  1,605.8 
Impact of IFRS 16 (Leases) (16.4) (58.8) (75.2)
Exclusion of ICMS from PIS/COFINS calculation basis (82.6) -    (82.6)
Other items 11.0  111.5  122.5 
Total 784.7  (8.1) 776.6 
Schedule of deferred tax realization related to tax losses
 
Deferred tax related to tax losses carried forward 2025
2026 192.2 
2027 175.9 
2028 490.2 
2029 to 2031 1,433.0 
2032 onward 1,424.2 
Total 3,715.5 
Schedule of net change in deferred income tax and social contribution
 
At December 31, 2023 4,651.2 
Recognition of actuarial gains/(losses) (23.2)
Cash flow hedge – gains/(losses) (423.1)
Gains/(losses) on cumulative translation adjustments [CTA]  879.8 
Recognized in other comprehensive income 433.5 
Recognized in the income statement (109.4)
Changes recognized directly in the balance sheet (1,291.3)
Recognized in deferred tax (889.1)
Effects of the application of IAS 29 (hyperinflation) (889.1)
Recognized in the other balance sheet group (402.2)
At December 31, 2024 3,684.0 
Recognition of actuarial gains/(losses) 0.4 
Investment hedges – Obligations related to the acquisition of a non-controlling interest (53.6)
Cash flow hedge – gains/(losses) 268.5 
Gains/(losses) on cumulative translation adjustments [CTA]  312.8 
Recognized in other comprehensive income 528.1 
Recognized in the income statement 571.1 
Changes recognized directly in the balance sheet (291.1)
Recognized in deferred tax (335.7)
Effects of the application of IAS 29 (hyperinflation) (335.7)
Recognized in the other balance sheet group 44.6 
At December 31, 2025 4,492.1