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Irani (RANI3) posts record quarterly paper production and announces Project Gaia XII at Irani Day 2026

• • 2Q26 was marked by the Company’s operational normalization following the scheduled shutdowns carried out in the previous quarter, with sustainable packaging paper production reaching 81.6 thousand tons (+5.3% vs. 2Q25), the highest quarterly level in the Company’s history, reflecting the progress of the ramp-up of Paper Machine 5 (PM#5) under Project Gaia XI;
  • On May 28, 2026, the Company held Irani Day 2026, presenting the Neos Platform and announcing Project Gaia XII – Paper MG Expansion, a gross investment of BRL 514 million that will increase Paper Machine 7 (PM#7)’s production capacity by 60%; 
  • Net revenue of BRL 431.9 million in 2Q26, up 4.4% year-on-year, driven by higher sales volumes in both the Sustainable Packaging and Sustainable Packaging Paper segments; 
  • Adjusted EBITDA of BRL 131.6 million, up 8.2% year-on-year, with a margin of 30.5%, still impacted by a temporary effect of BRL 4.5 million related to technical issues in Turbo Generator 4 (TG4), resolved in May 2026;
  • Net income of BRL 30.9 million in the quarter, down 72.4% year-on-year, reflecting the lower contribution from the fair value change of biological assets compared to the 2Q25 basis of comparison and the absence of the non-recurring IPI tax credit effect recognized in that period;
  • Net debt/Adjusted EBITDA of 2.07x at the end of 2Q26, down from 2.11x in 1Q26, reflecting continued financial discipline; 
  • ROIC of 12.5% (+0.2 p.p. vs. 1Q26), with a spread of 3.3 p.p. over the average cost of debt; 
  • Free Cash Flow yield of 18.7% over the last twelve months (+2.4 p.p. vs. LTM 2Q25);
  • Interim dividends related to 2Q26 correspond to 25% of the quarter’s net income, totaling BRL 7.9 million (BRL 0.034 per share), in accordance with the Company’s Dividend Distribution Policy.

“These results reinforce the resilience of our business model, the consistent capture of gains from Project Gaia XI and the Company’s discipline in capital allocation,” said André Camargo de Carvalho, Chief Administrative, Finance and Investor Relations Officer at Irani.

The second quarter of 2026 was marked by the Company’s operational normalization following the scheduled shutdowns carried out in the previous quarter, with paper production reaching the highest quarterly level in the Company’s history.

We advanced in the execution of our long-term strategy, expanding Adjusted EBITDA and maintaining financial discipline. We closed the quarter with leverage of 2.07x Net Debt/Adjusted EBITDA, below the limit set by our Company’s Financial Management Policy, preserving flexibility to support our ongoing investment cycle.

Summary of 2Q26:

Key economic and financial indicators  

Operating Cash Generation (Adjusted EBITDA FROM CONTINUING OPERATION)

Adjusted EBITDA – Continuing Operations (CO) 

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