Value Generation
Model

In accordance with the International Integrated Reporting (IR) Framework, through this infographic Suzano intends to demonstrate the value creation process of its business by means of capitals (set of resources). The impacts generated on society from the interactions between the production process, the stakeholders, and the business model itself over the years are also represented here. It also includes the company’s main highlights and results for 2020¹.

Inputs

FINANCIAL CAPITAL

  • Forest-based investments; expansion and maintenance of commercial forests and native areas
  • Industrial investments; expansion and maintenance of units, purchase of inputs, materials, and services
  • Logistics investments, such as chartering of vessels, acquisitions and renovations of terminals, more efficient vehicles, road maintenance and construction
  • SOCIAL AND
    ENVIRONMENTAL INVESTMENTS

    R$ 194.8
    million¹ in 2020

  • INVESTMENTS IN RESEARCH
    & DEVELOPMENT

    R$ 163.4
    million in 2020

NATURAL CAPITAL

  • Water
  • Soil
  • Native forests and restored areas
  • Biological controls
  • Climatic conditions, biodiversity, and natural cycles

MANUFACTURED CAPITAL

GRI 102-4
  • Eucalyptus forest for wood production
  • 21 distribution centers
  • Offices (including 5 international offices)
  • Nurseries
  • Industrial, research, and forestry equipment
  • Logistics modes
  • mills 11 + Veracel,

    (joint venture between Suzano and Stora Enso)

  • Innovation and Research Centers (5 centers, 3 in Brazil, 1 in Canada, and 1 in Israel)
  • Shareholding interest in companies focused on developing new businesses based on pulp

SOCIAL AND RELATIONSHIP CAPITAL

GRI 102-40, 102-42
  • Academia and startups
  • Associations / Organized Groups
  • Certifiers
  • Civil Society
  • Communities
  • Company employees and contractors
  • Companies in general
  • Customers
  • End consumers
  • Governments
  • Investors and other financial organizations
  • NGOs
  • Press
  • Shareholders
  • Suppliers
  • Unions

INTELLECTUAL CAPITAL

  • Partnerships with Academia
  • Development of studies and patents
  • Digital transformation
  • Processes and procedures
  • Systems and platforms (information organization, knowledge management, data control)
  • Tacit knowledge

HUMAN CAPITAL

  • Company employees and contractors in offices, nurseries, forests, mills, logistics terminals, distribution, research, and technology centers
  • COMPANY EMPLOYEES:

    14,910

  • CONTRACTORS

    21,508

Outputs

Results generated in the period + deliveries that impact the company’s value creation

FINANCIAL CAPITAL

  • EBITDA (adjusted): R$15 billion
  • CAPEX: R$4.2 billion
  • Operating cash generation: R$11.5 billion
  • Presence in B3’s Corporate Sustainability Index (ISE)
  • Presence in the Dow Jones Sustainability Index (DJSI Emerging Markets)
  • Other structured transactions
  • ISSUANCE OF SUSTAINABILITY-LINKED BOND

    US$ 1.25 billion raised in the market

Natural Capital

  • 40 critical basins

    mapped and constantly monitored

  • 499 hectares of areas with restoration process initiated in 2020
  • Approximately 960,000 hectares of conservation areas, with monitoring of fauna and wildlife
  • Projects in Imperatriz (Maranhão state) and Três Lagoas (Mato Grosso do Sul state) for waste treatment and development of soil acidity correctives
  • Production of 49 million natural pest enemies for biological control and carbon stock

MANUFACTURED CAPITAL

  • Vertere: logistics project developed together with a partner company at the Port of Santos (São Paulo state)
  • Production of pulp, paper, and consumer goods
  • New units in Cachoeiro de Itapemirim (Espírito Santo state) and Ribas do Rio Prado (Mato Grosso do Sul state)
  • Improvements in equipment and infrastructure with gains in productivity
  • Provision of protection equipment to tackle COVID-19 in partnership with other companies and the government (R$50 million earmarked for initiatives such as the purchase and donation of 159 ventilators and 1 million hospital masks)

SOCIAL AND RELATIONSHIP CAPITAL

  • Development, income, and education programs
  • 50,250 people
    and 10,181 families

    benefiting from income generation projects in 2020 (average income generation of R$944)

  • Results of investments made to combat the pandemic: field hospital in Teixeira de Freitas (Bahia state), production of 6,500 ventilators in partnership with other companies, donation of products, etc.
  • Development of Methodology of resilient territories
  • Creation of the Suzano Education program (in place in 29 municipalities in six states, assisting 898 schools and benefiting 11,713 educators and 205,504 children and young people)
  • 2 billion+ people impacted by Suzano’s products
  • Supplier development programs, such as Semear
  • Collaboration and incentive in the creation, advancement and access to public policies
  • 121 projects approved by the Emergency Call for Proposals and 53,469 people benefited
  • Research and extension, works published, partnerships established

INTELLECTUAL CAPITAL

  • Startups and open innovation (10 projects with startups in progress)
  • Academia
  • Training of “digital scientists” (37 from different business areas)
  • New products from eucalyptus fiber
  • Revealing Suzano’s Essence and Purpose strengthening reputation and brand
  • Reputation survey and stakeholder profile
  • Lines of research focused on innovation in forest plantations, in the industry, in new products and markets
  • 400 patents

    AND PATENT APPLICATIONS;

  • 49 protected cultivars and nearly 150 new cultivars in the protection phase; 51 partnerships with universities and research centers
  • Improvement of methodology for quantifying carbon removal
  • Improvement of forestry and industrial techniques and processes

HUMAN CAPITAL

  • Evolution of the Diversity and Inclusion Program – Plural
  • HRX, attraction of new talent and development and career plans
  • New initiatives in health, safety, and quality of life
  • Structured actions to combat COVID-19 among employees and family members
  • Training (e.g. UniverSuzano Platform)
  • 360º assessment and other performance analysis formats for the entire organization
  • Included in the ranking of the best companies to work for