The Board of Directors and Board of Statutory Executive Officers evaluates the performance of the Company’s business segments through EBITDA.

i) Pulp: comprised of the production and sale of hardwood eucalyptus pulp and fluff pulp, mainly to supply the foreign market.

ii) Paper: comprises the production and sale of paper to meet the demands of both the domestic and foreign markets. Consumer goods (tissue) sales are classified under this segment due to their immateriality.

Information related to total assets by reportable segment is not disclosed, as it is not included in the set of information made available to the Company’s management, which makes investment decisions and determines the allocation of resources on a consolidated basis.

In addition, with respect to geographical information related to non-current assets, the Company does not disclose such information, as all property, plant and equipment, biological and intangible assets are in Brazil.


	December 31, 2023
	Pulp		Paper		Total

Net sales	30,677,265		9,078,310		39,755,575
Domestic market (Brazil)	2,144,199		6,719,093		8,863,292
Foreign markets	28,533,066		2,359,217		30,892,283
Asia	13,588,032		72,133		13,660,165
Europe	8,701,141		302,131		9,003,272
North America	5,682,010		476,429		6,158,439
South and Central America	558,601		1,437,181		1,995,782
Africa	3,282		71,343		74,625
EBITDA	16,052,028		3,485,370		19,537,398
Depreciation, depletion and amortization					(7,321,110)
Operating profit before net financial income (“EBIT”) (1)					12,216,288
EBITDA margin (%)	52.33	%	38.39	%	49.14	%


	December 31, 2022
	Pulp		Paper		Total

Net sales	41,384,322		8,446,624		49,830,946
Domestic market (Brazil)	2,665,746		5,858,892		8,524,638
Foreign markets	38,718,576		2,587,732		41,306,308
Asia	18,294,046		4,059		18,298,105
Europe	12,768,321		325,503		13,093,824
North America	7,055,625		608,734		7,664,359
South and Central America	592,360		1,641,277		2,233,637
Africa	8,224		8,159		16,383
EBITDA	26,098,309		3,532,362		29,630,671
Depreciation, depletion and amortization					(7,407,890)
Operating profit before net financial income (“EBIT”) (1)					22,222,781
EBITDA margin (%)	63.06	%	41.82	%	59.46	%


	December 31, 2021
	Pulp		Paper		Total

Net sales	34,715,208		6,250,223		40,965,431
Domestic market (Brazil)	2,338,810		4,380,585		6,719,395
Foreign markets	32,376,398		1,869,638		34,246,036
Asia	15,952,786		43,961		15,996,747
Europe	10,477,292		318,666		10,795,958
North America	5,694,273		424,909		6,119,182
South and Central America	233,061		1,026,247		1,259,308
Africa	18,986		55,855		74,841
EBITDA	22,735,409		2,486,445		25,221,854
Depreciation, depletion and amortization					(7,041,663)
Operating profit before net financial income (“EBIT”) (1)					18,180,191
EBITDA margin (%)	65.49	%	39.78	%	61.57	%


Products	December 31, 2023	December 31, 2022	December 31, 2021

Market pulp (1)	30,677,265	41,384,322	34,715,208
Printing and writing paper (2)	7,567,320	6,912,984	5,107,960
Paperboard	1,417,075	1,421,338	1,091,588
Other	93,915	112,302	50,675
	39,755,575	49,830,946	40,965,431

(1)Net sales of fluff pulp represent approximately 0.78% of total net sales, and therefore were included in market pulp net sales. (0.80% as of December 31, 2022).

(2)Net sales of tissue represent approximately 5.14% of total net sales, and therefore were included in printing and writing paper net sales. (2.3% as of December 31, 2022).

With regard to the foreign market revenues of the pulp operating segment, China and the USA are the main countries in terms of net revenue, 41.36% and 15.32%, respectively, for the year ended December 31, 2023 (China and the USA represented 42.12% and 14.08%, respectively, on December 31, 2022).

With regard to the foreign market revenues of the paper operating segment, Argentina and the USA, are the main countries in relation to net revenue, representing 23.68% and 19.49%, respectively, for the year ended December 31, 2023 (USA, Peru and Argentina represented 23.49%, 9.04% and 19.81% respectively, on December 31, 2022).

There is no other individual foreign country that represents more than 10% of net revenue in the foreign market for the years ended December 31, 2023 and December 31, 2022.

The goodwill based on expected future profitability arising from the business combination was allocated to the disclosable segments, which correspond to the Company’s cash-generating units (“CGUs”), considering the economic benefits generated by such intangible assets. The allocation of goodwill is set out below: