Financial and economic performance of some Brazilian cellulose and paper companies

Abstract

Brazil shows competitive and comparative advantages against others wood producers, mainly in the
pulp and paper segment, because Brazil has technology in wood production with shorts lifecycles due to the
good climate conditions and the quality of the products exported for many countries around the world. However,
in the economical and financial area this advantage is not verified. In reason to the importance of this segment in the Brazilian forest sector the present study had the objective to know the economical and financial situation of six Brazilian pulp and paper companies. The information was obtained with BOVESPA - Sao Paulo State Stock Exchanged by the annual financial balance showed by the companies in the last nine years. Some of the most important economical and financial index was used, like capital profitability. In general, the companies showed a situation of low liquidity and profitability. It was verified an increase of the indebtedness and improvement in the use of the assets in the period. In relation to the operational margin and to the profitability of the equity, the
companies showed similar behaviors along the time.