our value

is made of fibre

2024 → Investor Presentation → 1

A leading pure player in sustainable cellulosic fibers

69%

31%

100% Pulp

Business

Reference Shareholders

Free Float

2024 → Investor Presentation → 2

Altri continues to deliver a sound financial

performance in recent years

2023

YoY

2022

YoY

Avg. 2017 - 2023

Revenues1

€ 788 M

-26%

€ 1,066 M

+34%

ROCE2

16.7%

EBITDA1

€ 137 M

-54%

€ 301 M

+32%

Cash divid. Yield3

6.0%

EBITDA mg

17,4%

-10,8p.p

28.3%

-0.4 pp

Cash divid. Yield 20244

5.4%

1 All figures exclude the activity of GreenVolt at the Revenue and EBITDA levels.

2 Return On Capital Employed (EBIT/(Shareholders Equity + Net Debt))

3 e 4 Based on each years 1H's average stock price and excluding the dividend

in kind (Greenvolt shares)

4 Calculated only based on cash dividend (€ 0.25 per Altri share).

2024 → Investor Presentation → 3

01

The Global Pulp Market

On the right track

2024 → Investor Presentation → 4

The global BHKP* market enjoys secular growth

drivers

Market Drivers & Trends

1

2

3

4

5

Urbanization

Growing & Aging Population Growth from Emerging Markets Packaging - Paper vs Plastic Textile Market - Wood Based Fibers

*BHKP: Bleached Hardwood Kraft Pulp

2024 → Investor Presentation → 5

Global demand for BHKP is expected to increase

almost 1.0M ton/year until 2027

The increase is driven by Tissue, Packaging and Specialties

≈5.2 M/ton

until 2027

BHKP Global Demand

M ton

43

41

41,5

39

CAGR

2.7%*

37

35

36,3

33

Year

2022

2027E

*equivalent to c. 1.0 M ton/year after 2022

Source → Hawkins Wright ´s Market Pulp Outlook 2022-2027 (December 2023 ).

2024 → Investor Presentation → 6

The average pulp price (BHKP) since 2017 stands at

US$ 962/ton - sector specialists* point for mid-term

prices above US$ 1,200/ton

BHKP Prices - Europe

2017

2018

2019

2020

2021

2022

2023

Avg. (US$/ton)

819

1,037

858

680

1,011

1,286

1,044

Source + FOEX

962 US$ Average 2017-2023

* Source: Hawkins Wright - previsão para 2025E e 2026E publicado em Fevereiro 2024

2024 → Investor Presentation → 7

The Dissolving pulp price (DWP) averages a

premium of 45% vs BHKP - sector specialists* point

for mid-term prices above US$ 950/ton

China net prices -cif

2017

2018

2019

2020

2021

2022

2023

M tons

2023E

YoY

819

1,037

858

680

1,011

1,286

854

DWP Market **

DWP - net US$/ton

7,4

4.7%

Premium DWP/BHKP (US$/ton)

174

277

308

221

348

443

463

Premium DWP/BHKP (%)

27%

36%

56%

48%

52%

52%

40%

Source + FOEX and Zhengzhou Commodity Exchange.

Average958 US$ 2020-2023

* Source: Hawkins Wright - forecast for 2025E and 2026E publishedin Dec. 2023 ** DWP market (commodity grade) according to Hawkins Wright (Sept. 2023)

2024 → Investor Presentation → 8

Multiple factors

Remain in place for a positive outlook for the P&P industry

1

An economic slowdown and destocking from North America and Europe affected

demand in those regions from more cyclical end use segments such as P&W and

Decór. We see improvements in the last months of 2023 and into 2024.

2

China's demand for pulp accelerated since the 2Q23 to end the year with an

impressive annual increase in demand in the 20%-30% range. We see a more

normalised year in 2024, with lower restocking effect from post-Covid. Global pulp

demand should continue to grow in 2024 with Europe and NA as main drivers and

China in a normalisation year.

3

Inventories at European Ports have been decreasing since Sept and reached year

lows of 1.2m in Nov, below the estimated equilibrium level near 1.5m. Some

volumes were redirected to Asia during 2023 and European demand recovery

taking place with a lower level of inventories.

4

The new capacity from LatAm players started to arrive at the market in mid-2023.

The Chinese market has absorbed the new capacity given the organic market

growth, restocking and market pulp purchases by high-cost integrated players.

5

High growth segments such as textiles and paper packaging, should continue to

bolster market growth prospects.

2024 → Investor Presentation → 9

02

Altri Group

Operational excellence in the

cellulosic fibers business

2024 → Investor Presentation → 10

Attachments

Disclaimer

Altri SGPS SA published this content on 17 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 17 April 2024 11:37:02 UTC.