Suzano S.A.

Ladies and gentlemen, thank you for holding and welcome to SUSANO's conference call to discuss the results for the first quarter of 2022. We would like to inform that all participants will be in a listen-only mode during the presentation that will be addressed by the CEO, Mr. Walter Schalke, and the other executive officers. After the company's remarks are completed, there will be a question and answer section when further instructions will be given. Should any participant need assistance during this call, please press star zero to reach the operator. Before proceeding, please be aware that any forward-looking statements are based on the beliefs and assumptions of Susano's management and on information currently available to the company. They involve risks, uncertainties, and assumptions because they relate to future events and therefore depend on circumstances that may or may not occur in the future. You should understand the general economic conditions. Industry conditions and other operating factors could also affect the future results of Suzano and could cause results to differ materially from those expressed in such forelooking statements. Now I will turn the floor over to the company's CEO. Mr. Valter Schalke, you may proceed.

Good morning, good afternoon, and good evening to everyone. It's a great pleasure to have you all joining us for the first quarter section of discussions of our results. It's a great pleasure to be with you. I think the main highlight that we have on the first quarter is related with the strong cash generation that we have despite the cost pressures that we have in lower volumes regarding The annual shutdown on several of our facilities in the first quarter of this year. We in the pole business had lower volumes since our inventory is quite low. We are not able to increase our sales than we have to sell just the amount that we have producing that was around 2.4 million tons. We in the paper business We had a very good quarter in terms of production and sales comparing with the previous quarters. And this scenario had 5.1 billion reais on adjusted EBDTA. Even considering the cost pressures in the cash cost that was over Thank you very much. Thank you very much. Our developments on the SCG on the governance. Now we have more than 50% of our board with independent members and with three women out of nine members that representing more than 30% on gender diversity. Now I'm going to pass to Fabio. There is going to tell us a little bit more about our paper and packaging business.

Thanks, Walter. Good morning, everyone. Let's move to page number four. We have had the best Q1 results of our paper and packaging business unit. Strong volumes and prices have led to record Q1 EBITDA and the highest EBITDA per ton for a given quarter. Demand for paper grade products continue to be strong both in the domestic and international markets served by Suzano. The return to presidential activities and the rebound in commercial printing have been positive drivers for tape demand in most markets. Additionally, production disruptions and major mills, coupled with logistics bottlenecks and geopolitical tensions, contribute to the tightening of supply. Raw materials, logistics, and notably energy inflation continue to pressure production costs globally, elevating cash costs and pushing for higher price and energy surcharges. According to IBA, print and writing demand in Brazil has grown 1% in the first two months of 2022 and compared to the same period of 2021, mainly due to an impact of 27% reduction of imported papers. Sales by domestic players have grown a solid 4.6%. Paperboard demand has shrunk 9% in the first two months of 2022 on a year-over-year basis, given the strong comparison period in 2021. Our Q1 sales volumes were 6% higher than Q1 of 2021. Domestic sales represented 67% of our total sales in the quarter, totaling 187,000 tons, a 6% increase compared to the same quarter of last year. Our average net price during the quarter was 10% higher than our average price in Q4 and 28% higher than Q1 last year. As a result of strong volume in prices, revenue management and operation stability, our EBITDA has reached 525 million in the first quarter, a 41% increase compared to the first quarter of 2021. Our EBITDA per ton has reached a new time high. Looking ahead, our major short-term challenges reside in minimizing the pressure of inflation while overcoming the continuous logistics disruptions of maritime shipments and ports and bypassing eventual disruptions caused by geopolitical tensions. Our e-commerce platform accounted for 24% of our total revenues and 54% when considering medium and small-sized customers in the last quarter. We're also on track to deliver our sales from our innovation pipeline, as we have shared during our Susana Day presentation. Strong demand for our products has led to a reduction of our paper inventories, which are currently running below optimum levels. Now I will turn over to Leo, who will be presenting our top business results.