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18 3Q25 Results 29 October 2025
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2 Disclaimer The information contained in this presentation has been prepared by Ence Energía y Celulosa, S.A. (hereinafter, "Ence"). This presentation includes data relating to future forecasts. Any data included in this presentation which differ from other data based on historical information, including, in a merely expository manner, those which refer to the financial situation of Ence, its business strategy, estimated investments, management plans, and objectives related to future operations, as well as those which include the words "anticipate", "believe", "estimate", "consider", "expect" and other similar expressions, are data related to future situations and therefore have various inherent risks, both known and unknown, and possess an element of uncertainty, which can lead to the situation and results both of Ence and its sector differing significantly from those expressly or implicitly noted in said data relating to future forecasts. The aforementioned data relating to future forecasts are based on numerous assumptions regarding the current and future business strategy of Ence and the environment in which it expects to be situated in the future. There is a series of important factors which could cause the situation and results of Ence to differ significantly from what is expounded in the data relating to future forecasts, including fluctuation in the price of wood pulp or wood, seasonal variations in business, regulatory changes to the electricity sector, fluctuation in exchange rates, financial risks, strikes or other kinds of action carried out by the employees of Ence, competition and environmental risks, as well as any other factors described in the document. The data relating to future forecasts solely refer to the date of this presentation without Ence being under any obligation to update or revise any of said data, any of the expectations of Ence, any modification to the conditions or circumstances on which the related data are based, or any other information or data included in this presentation. The information contained in this document has not been verified by independent experts and, therefore, Ence neither implicitly nor explicitly gives any guarantee on the impartiality, precision, completeness or accuracy of the information, opinions and statements expressed herein. This document does not constitute an offer or invitation to acquire or subscribe to shares, in accordance with the provisions of Royal Legislative Decree 4/2015, of 23 October, approving the consolidated text of the Securities Market Act. Furthermore, this document does not constitute a purchase, sale or swap offer, nor a request for a purchase, sale or swap offer for securities, or a request for any vote or approval in any other jurisdiction.
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3 Chairman & CEO Ence Energía y Celulosa Ignacio de Colmenares Chief Financial Officer Ence Energía y Celulosa Alfredo Avello Today’s presenters
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▪ 2028 Ence’s Special Pulp Centered Business to increase the average across-the-cycle EBITDA by 1,5x: o Top line:(i) Higher-margin special pulp sales to exceed 62% of 2028 volumes, delivering incremental EBITDA of €22m, (ii) As Pontes environmental license granted in 3Q25, (iii) Renewable packaging solutions to start up in 2H26. o Cash Cost: (i) Efficiency & Competitiveness Plan to capture average annual savings of 22 €/t cash cost from 2027, (ii) Navia decarbonization and cost reduction project (c. 8 €/t savings) launched in 1Q25, (iii) Pontevedra Avanza (20€/t). ▪ Largest Iberian biomass backboned Renewable Energy Platform, on track to almost triple its EBITDA by 2030 through: o Biomass to Biomethane: >1TWh | >€60m EBITDA o Biomass to Renewable Industrial Heating: 2TWh| >€40m EBITDA 4 Results Summary Growth, Efficiency and Diversification Projects 2025 Outlook ▪ BHKP prices hit lows in 3Q25. Two price increase announcements were made for a total of gross 130 $/t in Europe of which c. +60 $/tn are already reflected in the PIX pulp as well as c. +30 $/tn net in China. ▪ Tariff redemptions for pulp imports into the US as well as maintenance shutdowns by major LatAm players in 4Q’25 (c. 0,5m tn), should sustain the positive trend trough year-end. ▪ Our FX hedging policy provides a cap at 1.09 USD/EUR. Considering an average exchange rate of 1.16, this would represent approximately €3 million of EBITDA in 4Q 2025. ▪ Expected Cash cost of 466 €/t in 2H25, in line with 2025 guidance. ▪ Start-up of our 125 kt fluff pulp (c.+60€/tn extra margin). On product homologation phase. ▪ 3Q higher energy production and lower operating costs to continue in 4Q25 3Q25 Operating Highlights ▪ 29 €/t cash cost reduction vs. 2Q25 and 30€/t vs. 3Q24, down to 459 €/t ▪ Special pulp products accounted for 29% of total pulp volumes sold in 9M25 (+7 p.p. vs. 9M24), with 33€/t higher margin (vs. 29 €/t in 9M24). ▪ Pulp sales of 263 kt, +13% vs 3Q24 (+8% QoQ). Despite Pontevedra annual maintenance shutdown (water effluent recovery system successfully operating for the third summer season with limited water availability). ▪ +4% QoQ growth in energy generation, up to 315 GWh (+2% YoY vs. 3Q24). ▪ La Galera quarterly production should permit to increase by c. 20% its yearly production compared to 2024. This improvement has been achieved through applying Ence’s best industrial practices, including odour reduction. 3Q25 Financial Results ▪ Pulp EBITDA of €4m in 3Q25 vs €20m in 2Q25, both including CAEs1 and/or insurance collections. EBITDA dropped vs 3Q’24 mainly due to weaker FX and pulp prices. ▪ Renewables EBITDA of €8m in 3Q25, vs €4m in 2Q25 backed by lower production costs and higher selling prices. EBITDA decreased vs. 3Q24 due to lower selling prices partially offset through operating costs reduction. ▪ FCF before growth capex amounted to €12m despite low pulp prices in 3Q25 vs. -€13m in 2Q25. ▪ 3Q cash generation of €18m through WC improvement fully neutralizes 1H25 WC increase. ▪ €17m growth and efficiency capex in 3Q25 ▪ Net Debt of €367m at the end of Sep.25 with €264m cash in balance. (1) Energy Savings Certificates
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5 3Q25 Highlights1.
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400 500 600 700 800 900 1.000 1.100 1.200 1.300 1.400 1.500 1.600 1.700 sep.-20 dic.-20 mar.-21 jun.-21 sep.-21 dic.-21 mar.-22 jun.-22 sep.-22 dic.-22 mar.-23 jun.-23 sep.-23 dic.-23 mar.-24 jun.-24 sep.-24 dic.-24 mar.-25 jun.-25 sep.-25 NBSK EU (gross) BHKP EU (gross) Gross Pulp Prices in Europe (USD/t) 6 ▪ Gross BHKP prices reached 1,000 €/t by mid-August from April high of 1,218 €/t. Two price increases have been announced for a total of 130 $/t gross in Europe of which c. 60€/tn are already implemented. ▪ Demand fundamentals remain strong with +7% YoY growth to August (4% growth excl. China). The price gap with softwood pulp (NBSK), the redemption of US trade tariffs for pulp imports and the annual maintenance shutdown announced by large Latin- American producers for 4Q’25 (c. 0,5 Mt) should allow to consolidate recent price increases and sustain a positive trend. European BHKP price hit the lows in 3Q25 Gross BHKP prices bottomed at 1,000 $/t by late August, price increases announced by main producers for 4Q’25 Future Pulp Prices in Europe (USD/t) Source: FOEX, Hawkins Wright & Norexeco Oct-25 Jan-26 Apr-26 Jul-26 Oct-26
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7 Mitigating the impact of a weaker dollar through our ongoing FX hedging policy Annual average cap of 1.09 dollars for almost 50% of our expected pulp sales in 2025 EUR / USD Exchange Rate EUR / USD Hedges as of 30/09/25 FX Hedges 1Q25 2Q25 3Q25 4Q25 FY 2025 1Q26 2Q26 3Q26 9M 2026 Nominal hedged (USD Mn) 97 73 73 57 300 21 24 5 50 Average cap (USD / EUR) 1,09 1,09 1,10 1,09 1,09 1,17 1,20 1,20 1,19 Average floor (USD / EUR) 1,06 1,07 1,07 1,06 1,06 1,13 1,16 1,18 1,16 1,000 1,050 1,100 1,150 1,200 1,250 Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 EUR/USD Average cap (USD / EUR) Average floor (USD / EUR)
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8 Efficiency & Competitiveness Plan launched 200 M€ NPV of the Plan. Potential average annual savings of 22€/t from 2027 The main goal is to strength Ence’s competitive positioning while securing a stable and constructive employment relations framework Estimated NPV > 200M€. Payback c. 1 year Potential annual savings of 22€/t in cash cost between both pillars Total amount of €23m to be disbursed between 2026 and 2027 Reinforcing our commitment towards Efficiency and Competitiveness based on two pillars Operations StreamlineArtificial Intelligence solutions and process reengineering ✓ Orderly reduction of FTEs as a result of operational efficiencies. ✓ Collective Redundancy Procedures (Proceso de Despido Colectivo) initiated. ✓ Negotiations with union representatives already underway. ✓ Services contracts, ✓ Procurement, ✓ Maintenance and industrial operations, ✓ Forestry and logistics, ✓ Safety & Quality.
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29% 9 Ence Advanced pulp substitute softwood pulp products Expected to account for over 50% of Ence’s pulp sales volumes in 2028, up from 29% 9M25 ✓ High strength pulp aiming to substitute softwood pulp ✓ Process cost optimization ✓ First unbleached hardwood pulp in the market ✓ Certified CO2 footprint during the product life cycle ✓ Increases tissue softness ✓ Suitable for decor paper applications ✓ Narrow range of porosity ✓ Plastic alternative in packaging for food & beverage industry ✓ Low porosity material + + + + + Others such as , , and % of total pulp sales volume in 9M25 Standard BHKP Ence Advanced products generate 33 €/t higher operating margin in 9M25 (vs. 29 €/t in 9M24). Run-rate margin to stabilized at c.30 €/t vs. standard BHKP across the cycle average prices
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10 Our first 125 kt fluff pulp line has started operations in 4Q25 Fluff pulp is expected to account for 12% sales in 2028. Currently on product homologation phase 12% Expected % of total pulp sales volume in 2028 FLUFF 50% Source: FOEX & Hawkins Wright Fluff, Softwood and Hardwood gross pulp prices In Europe (USD/t) Standard BHKP Fluff pulp, with c. 900€/t price gap with standard BHKP, is expected to generate an extra margin of c.+60 €/t 0 500 1.000 1.500 2.000 2.500 NBSK EU (gross) BHKP EU (gross) Fluff Europe (gross)
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East Europe 526$/t Other World 536$/t Chile 548$/t US 674$/t Other Europe 675$/t East Canada 687$/t Finland 727$/t Sweden 728$/t Coastal BC 781$/t Int. West Canada 783$/t Indonesia 389$/t Brazil 390$/t Chile/Uruguay 414$/t East Europe 477$/t China 504$/t Other Asia/Africa 551$/t Iberia 569$/t Canada 585$/t Belgium/France 599$/t Japan 602$/t US 604$/t Finland 642$/t 0 100 200 300 400 500 600 700 800 900 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 USD/t Mn t BSKP BHKP 11 Special products are positioning Ence as a top-quartile producer in the global cash cost curve vs. BSKP producers Source: Hawkins Wright, CIF Europe (August 2025) Market pulp production costs by region ✓ Ence Advanced and upcoming fluff offering products substitutes more expensive BSKP ones. This special product range is estimated to account for c.62% of Ence’s sales by 2028. ✓ At 466€/t 2H2025 cash costs (c. 545 $/t vs. an average cash costs of 678$/t of BSKP producers), Ence is firmly positioned in the top-quartile of the BSKP cash cost curve.
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12 Sale of Energy Saving Certificates for a net amount of €40m Fully cashed in These Energy Saving Certificate (CAE) may be acquired by energy companies to fulfill their energy saving targets. An Energy Saving Certificate (CAE) is an electronic document which guarantees that, after carrying out an energy efficiency action, a new final energy saving equivalent to 1 kWh has been achieved. Energy efficiency projects undertaken imply annual energy savings equivalent to 251 GWh, which have been verified by AENOR. Ence sold Energy Saving Certificates (CAE) for a net amount of €40m in 9M2025. €40m in 9M25
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13 La Galera plant on track to increase its annual production by c.20% Ongoing upgrading of the plant to produce 50 GWh and 20 kt of organic fertilizer from 2027 0 5 10 15 20 2025e 2027e La Galera estimated biofertilizer production (K tons) La Galera biomethane production (GWh) - 10 20 30 40 50 9M24 9M25 FY24 FY25e 2027e +20%+4%
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14 First step in the creation of biomethane platform in Spain Target: >1 TWh of biomethane production by 2030 and over €60m contribution to EBITDA Biofertilizer and biomethane production from the valorisation of local agricultural and livestock biomass, including the associated sustainability certificates Plant size: 50 – 100 GWh Production Target: 1,000 GWh by 2030 Estimated Capex: €0.4m / GWh ROCE1 Target: > 12% BIOMETHANE BUSINESS 18 biomethane plants already in their permitting phase, with a required ROCE1 >12% 1 ROCE = EBIT / Equity + Net Debt (including leases) 38 plants: locations secured and feasibility studies completed 18 plants already in their permitting phase 10 plants expected RTB in 2025-26 PROJECT PIPELINE PIPELINE EXPECTED DEPLOYMENT (Operating Plants) 2025 2026 2027 2028 2029 2030 1 1 4 7 10 13
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15 Progressive steps in our renewable industrial heating platform in Spain Target: 2TWh thermal energy supply by 2030 and over €40m contribution to EBITDA As of today, 1 contract in operation, 1 contract in start-up phase and 3 projects in construction. By 2025 YE, 1 additional project in RTB expected, with a required ROCE1 >11%. RENEWABLE THERMAL ENERGY BUSINESS Development and supply of biomass, and the O&M of comprehensive thermal energy solutions based on biomass for industrial applications Plant size: 40 – 160 GWh Prod. Target: 2,000 GWh/yr by 2030 Estimated Capex: €0.1m – €0.2m / GWh ROCE1 Target: > 11% 1 ROCE = EBIT / Equity + Net Debt (including leases) 10 projects under negotiation 1 projects under advanced negotiations PROJECT PIPELINE PIPELINE EXPECTED DEPLOYMENT (Operating Plants) 2025 2026 2027 2028 2029 2030 1 5 13 13 7 11 1 COD in 2025 & 4 RTB in 2025
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For the supply of c.40 GWh of biomass thermal energy per year with a 15-year term 16 Key achievements in renewable industrial heating O&M contract for a ready-to-operate plant and start of construction of two plants Installed capacity: 8 MWt Prod. Target: 37 GWh/yr Exp commissioning: 2Q26 Estimated Capex: €3m* ROCE1 Target: > 11% * Excluding a €3m subsidy granted by the European Next Generation Funds 1 ROCE = EBIT / Equity + Net Debt (including leases) Project I (Castilla La Mancha) For the supply of c.45 GWh of biomass thermal energy per year with a 15-year term Installed capacity: 8 MWt Prod. Target: 42 GWh/yr Exp commissioning: 2Q26 Estimated Capex: €3m* ROCE1 Target: > 11% * Excluding a €3m subsidy granted by the European Next Generation Funds Project II (Andalucía) O&M contract gained to operate an 8MWt plant with an estimated annual production of 33 GWht/y for a F&B company. The project is currently on start-up phase and it is expected to be fully operating during 4Q25. Start the construction of 2 plants for a F&B international dairy company in Spain. New credential gained with a Tier 1 F&B multinational company, after starting the construction of the Mahou project. Further details below:
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17 2. 3Q25 Financial Results
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20 4 2Q25 3Q25 243 263 2Q25 3Q25 488 459 2Q25 3Q25 Avg. NET Sales price (€/t) 18 Cash Cost (€/t) Pulp EBITDA (€m) 71 542 452 2Q25 3Q25 -6% Pulp business EBITDA in 3Q25 at €4m 29 €/t cash cost reduction vs. 2Q25 -17% Pulp sales volume (,000 t) +8% 90€/t net pulp price decrease vs. 2Q25, to 452 €/t 227€/t decrease vs. 3Q24 Prices hit bottom levels in 3Q25. The redemption of US tariffs to pulp imports and maintenance shutdowns announced by major LatAm players in 4Q25 should support growth until YE. 29 €/t cash cost reduction vs. 2Q25 30 €/t cash cost reduction vs. 3Q24 Improvement mainly driven by lower wood costs and operational leverage. 3Q cash cost evolution supports a second half cash cost of 466€/t 21 kt higher pulp sales vs. 2Q25 29 kt higher pulp sales vs. 3Q24 ▪ Clients rebuilding stocks after 3Q25 US tariffs redemption announcements. ▪ Pulp inventories reduction of 24kTn 3Q25 EBITDA of €4m vs. 2Q25 EBITDA of €20m (and €42m in 3Q24) ▪ No Energy Saving Certificates in 3Q25 (vs. €10m in 2Q25). ▪ €8m one-off revenue in 3Q25 related to Navia’s turbine insurance claim, fully cashed-in during the period. -78%
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2Q25 3Q25 303 315 2Q25 3Q25 138 127 2Q25 3Q25 153 156 2Q25 3Q25 Biomass to renewable electricity energy revenue per MWh (€/MWh) 19 Renewables EBITDA (€m) Biomass to renewable electricity EBITDA at €9m €8m Renewables EBITDA includes new business development costs +2% + 4% Biomass to renewable electricity volumes sold (€/MWh) +4 €/MWh higher revenues vs. 2Q25 and aligned with 3Q24 ▪ Includes pool price + hedges + Ro + back-up ancillary services + Ri ▪ Not adjusted by generation tax Cost reduction of -11 €/MWh vs. 2Q25 (+5 €/MWh increase vs. 3Q24) ▪ Lower biomass costs (c. - 8€/MWh) and higher production volumes (structure costs dilution) allow for better cost efficiency +4% production growth vs. 2Q25 (+2% vs. 3Q24) ▪ Production improvement following several maintenance interventions during 1H25. €5m higher EBITDA vs. 2Q25 EBITDA and (€1m lower vs. 3Q24) ▪ €1m negative EBITDA registered from new businesses in the quarter. Biomass to renewable electricity costs per MWh (€/MWh) Other businesses Biomass Energy Business - 8% 139% (1) 3 4 (1) 8 9
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(9) (15) 2Q25 3Q25 24 13 2Q25 3Q25 192 181 2Q25 3Q25 20 €13m consolidated EBITDA in 3Q25 - €15m net income Group EBITDA (€m) Attributable Net Income (€m)Group Revenues (€m) -6% €11m lower revenues vs. 2Q25 ▪ - €15m in Pulp Business ▪ + €3m in Renewables Business €39m lower consolidated revenues vs. 3Q24 ▪ - €40m in Pulp Business ▪ + €1m in Renewables Business €11m lower consolidated EBITDA vs. 2Q25 ▪ -€16m in Pulp Business ▪ + €5m in Renewables Business €39m lower consolidated EBITDA vs. 3Q24 ▪ -€38m in Pulp Business ▪ -€1m in Renewables Business €15m losses at Net Income level ▪ €13m losses in Pulp Business ▪ €3m losses in Renewables Business €9m net losses in 2Q25 and €14m income in 3Q24 -46%
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21 +€12m FCF before expansion and efficiency capex in 3Q25 €18m cash through WC reduction offsetting 1H25 increase Cash Flow Statement 3Q25 (€m) ▪ €18m WC inflow mainly driven by inventories and net receivables reduction (following 10M€ net CAEs collection) in the Pulp Business ▪ Fluff project ▪ Navia cash cost reduction and decarbonization project ▪ Sustainable packaging project development ▪ Pontevedra Avanza project engineering ▪ Biofertilizer and biomethane projects development and engineering ▪ Renewable thermal energy projects development and engineering 13 (13) (6) 0 (6) 18 (17) (3) (8) EBITDA Maintenance Capex Net interest payments Tax payments FCF before WC and Growth Capex WC variation Growth and efficiency Capex Financial investments, disposals and other adjustments Free Cash Flow
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173 111 6 68 Gross debt Cash Net debt Lease contracts (IFRS 16) 7 65 58 81 31 502 8 6 6 4 22 5 6 5 4 3711 41 2121 119 92 93 40 89 2025 2026 2027 2028 2029 Following 22 Strong liquidity, long term maturities and no covenants in the Pulp Business €367m consolidated net debt at the end of 3Q25 393 256 59 197 Gross debt Cash Net debt Lease contracts (IFRS 16) Pulp business net debt as of 30 Sep. 2025 (€ m) 452 1 Pulp business debt maturity schedule (€ m) Renewables business net debt as of 30 Sep. 2025 (€ m) Magnon debt maturity schedule (€ m) 177 8 12 11 11 10 112 1 2 1 1 00 0 1 1 12 2025 2026 2027 2028 2029 Following €14m La Galera project finance 122 1112713 12 €20m RCF– Fully available€156m Magnon corporate financing €6m IFRS 16 €292m of bilateral loans €30m of public sector financing €59m IFRS16 €130m RCF– Fully available 1) Pulp business financial debt is covenant free €75m commercial paper program
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ENCE: industry leader in sustainability Highlights Q3 2025 23 Higher margin special pulp products with higher added value ✓ 2 new Sustainability certifications for fluff Pulp ✓ The commercialization of the 1st Carbon neutral product (Naturcell Zero) continues Advancing towards a circular economy ✓ Pioneering projects for the valorization of ash and limestone sludge in the mining and cement sectors ✓ 100% sites ZERO WASTE certified ✓ Propietary effluent water recovery system in Pontevedra, operating for the third consecutive year Odour reduction ✓ Navia's biofactory closes the first 9 months of the year with 0 odour minutes Safe and Eco- efficient operations Certified supply chain ✓ 89% of managed land certified ✓ 76% of wood certified ✓ 100% sites SURE System certified (Sustainable biomass) Protecting Health and Safety of employees and contractors ✓ Accident rates more than four times lower than the industry benchmark ✓ Pontevedra technical shutdown completed without sick-leave accidents Bioproducts & ecosystem services Talent as a competitive advantage ✓ 26,1% female employees ✓ 30,5% females in managerial positions ✓ 44% job openings filled with internal promotion ✓ Top Employer certification Creating positive social impact in local communities ✓ New edition of Ence’s Pontevedra Social Plan (up to 3M€) for the sponsoring of social and environmental projects in the area Responsible supply chain Positive social impact Forestry bioproducts and ecosystem services ✓ Improved plant material, better adapted to climate change: 1 new Eucalyptus clone developed and already in commercial phase in Q3 2025 ✓ 4,200 ha of forest sinks registered in different schemes for voluntary carbon markets Supply chain supervision ✓ Deployment of the new Third Party Due Diligence Procedure, in order to minimize human rights violations and negative environmental impacts risks along the supply chain, with more than 1,200 suppliers anayized by Q3 ✓ Implementation of tools to comply with the EUDR Regulation against deforestation Promoting professional development in rural communities ✓ 750 technical advice sessions with Forest owners ✓ New edition of the Forestry machinery training program For operational cost reduction Potential for topline improvement To become preferred supplier To grant business sustainability
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24 3. 2025 Outlook and Closing Remarks
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25 Closing Remarks ▪ BHKP prices have hit lows in 3Q25. Price increase announcements of gross 130 $/t were made for Europe, of which c. 60€/t are already in the PIX pulp. ▪ Cash cost has been reduced by 29 €/t in the quarter supporting 466€/t in 2H 2025. Efficiency & Competitiveness Plan launched with potential savings of 22€/t will drive upcoming cash cost reductions. This plan has a payback of c.1 year and NPV of c.€200m. ▪ 2028 Ence’s Special Pulp Centered Business to increase the average across-the-cycle EBITDA by 1,5x: o Top line: (i) Higher-margin special pulp sales to exceed 62% of 2028 volumes, delivering incremental EBITDA of €22m, (ii) As Pontes environmental license granted in 3Q25, (iii) Renewable packaging solutions to start up in 2H26. o Cash Cost: (i) Efficiency & Competitiveness Plan to capture average annual savings of c. 22 €/t cash cost from 2027, (ii) Navia decarbonization and cost reduction project (c. 8 €/t savings) launched in 1Q25, (iii) Potevedra Avanza (20€/t savings). ▪ Higher-margin special pulp products are targeted to substitute more expensive BSKP alternatives, allowing Ence to be positioned as a top quartile producer cost wise vs. BSKP producers. ▪ We are building the largest Iberian biomass backboned Renewable Energy Platform, including Biomass to Regulated Electricity + Renewable Industrial Heating + Biomethane + Renewable Fuels, and it is on track to almost tripled its EBITDA by 2030. ▪ The execution of these projects will be adapted and aligned to our cash flow generation, to maintain a prudent across-the-cycle leverage and an attractive shareholders remuneration.
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26 5.Appendix
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27 Group Financial Review P&L Figures in € m Pulp Renewables Adjustments Consolidated Pulp Renewables Adjustments Consolidated Total revenue 413,1 148,9 (1,9) 560,1 530,6 140,3 (2,8) 668,1 Foreign exchange hedging operations results 4,8 2,0 - 6,8 0,5 - - 0,5 Other income 66,4 5,6 (1,0) 71,0 16,1 3,3 (0,9) 18,5 Cost of sales and change in inventories of finished products (266,4) (50,1) 1,9 (314,6) (258,3) (50,5) 2,8 (306,1) Personnel expenses (66,7) (18,7) - (85,4) (68,6) (17,7) 0,0 (86,3) Other operating expenses (98,5) (69,7) 1,0 (167,2) (88,5) (54,7) 0,9 (142,2) EBITDA 52,8 17,9 0,0 70,7 131,8 20,6 - 152,5 Depreciation and amortisation (39,1) (24,6) 1,2 (62,5) (43,3) (25,4) 1,2 (67,6) Depletion of forestry reserves (6,1) (0,0) (0,0) (6,1) (7,6) - - (7,6) Impairment of and gains/(losses) on fixed-asset disposals (0,1) (0,0) - (0,2) (0,9) 1,1 - 0,2 Other non-ordinary operating gains/(losses) (2,9) - - (2,9) (2,0) (4,5) - (6,5) EBIT 4,5 (6,7) 1,2 (1,0) 78,0 (8,1) 1,2 71,1 Net finance cost (15,5) (13,3) 0,0 (28,8) (14,1) (9,7) - (23,8) Other finance income/(costs) (3,9) 0,2 (0,0) (3,7) (1,0) 0,3 - (0,7) Profit before tax (14,9) (19,8) 1,2 (33,5) 63,0 (17,5) 1,2 46,7 Income tax 3,4 1,0 (0,1) 4,3 (13,8) 0,5 (0,1) (13,5) Net Income (11,4) (18,8) 1,1 (29,2) 49,1 (17,1) 1,1 33,2 Non-controlling interests - 7,2 - 7,2 - 7,6 - 7,6 Atributable Net Income (11,4) (11,7) 1,1 (22,0) 49,1 (9,5) 1,1 40,8 Earnings per Share (EPS) (0,05) (0,05) 0,00 (0,09) 0,20 (0,04) 0,00 0,17 9M249M25
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28 Group Financial Review Cash Flow Statement 1 Disposals in 1Q25 exclude the maturity in January 2025 of current financial investments amounting to €10m, as they are considered as cash and cash equivalents Figures in € m Pulp Renewables Adjustments Consolidated Pulp Renewables Adjustments Consolidated Consolidated profit/(loss) for the period before tax (14,9) (19,8) 1,2 (33,5) 63,0 (17,5) 1,2 46,7 Depreciation and amortisation 45,2 24,6 (1,2) 68,6 50,9 25,4 (1,2) 75,1 Changes in provisions and other deferred expense 1,0 2,7 0,1 3,9 7,7 1,3 - 9,0 Impairment of gains/(losses) on disposals intangible assets 0,5 0,0 (0,1) 0,5 0,9 (1,1) - (0,2) Net finance result 17,4 13,0 0,0 30,5 14,7 9,4 - 24,0 Energy regulation adjustments (1,7) (4,4) - (6,1) (0,3) 0,5 - 0,2 Government grants taken to income (0,7) (0,1) - (0,8) (0,7) (0,1) - (0,8) Adjustments to profit 61,8 35,9 (1,2) 96,6 73,1 35,4 (1,2) 107,2 Inventories (0,2) (10,0) - (10,2) (13,4) 0,0 (0,0) (13,4) Trade and other receivables 6,5 15,3 (4,6) 17,3 (27,2) (21,1) 4,1 (44,1) Current financial and other assets - - - - (0,7) (0,2) - (0,8) Trade and other payables 3,1 (14,3) 4,2 (7,0) 0,4 3,1 (4,1) (0,7) Changes in working capital 9,5 (9,0) (0,4) 0,1 (41,0) (18,1) - (59,1) Interest paid (14,8) (9,5) - (24,2) (15,4) (8,5) - (23,9) Dividends received - - - - 0,0 - - 0,0 Income tax received/(paid) (2,5) 0,3 - (2,2) (1,7) (0,3) - (2,0) Other collections/(payments) - - - - (0,2) - - (0,2) Other cash flows from operating activities (17,3) (9,2) - (26,5) (17,3) (8,8) - (26,1) Net cash flow from operating activities 39,1 (2,0) - 36,8 77,8 (9,1) - 68,7 Property, plant and equipment (54,6) (20,2) - (74,8) (35,8) (10,7) - (46,4) Intangible assets (3,9) (1,4) - (5,2) (3,3) (1,4) - (4,7) Other financial assets and Group companies 12,9 (2,7) (11,1) (0,9) (22,8) (0,8) 23,5 (0,1) Disposals 1 0,6 0,2 - 0,8 6,3 0,5 - 6,8 Net cash flow used in investing activities (44,9) (24,0) (11,1) (80,1) (55,6) (12,3) 23,5 (44,5) - Free cash flow (5,8) (26,1) (11,4) (43,3) 22,2 (21,4) 23,5 24,3 Buyback/(disposal) of own equity instruments (0,9) - - (0,9) 0,5 - - 0,5 Proceeds from and repayments of financial liabilities 5,8 2,6 11,4 19,8 (71,4) 87,0 (23,5) (7,9) Dividends payments - (0,4) - (0,4) (26,0) (5,1) - (31,1) Net cash flow from/ (used in) financing activities 5,0 2,1 11,4 18,5 (96,9) 81,9 (23,5) (38,5) Net increase/(decrease) in cash and cash equivalents (0,8) (23,9) - (24,8) (74,7) 60,5 - (14,2) 9M249M25
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29 Group Financial Review Balance Sheet The pulp business includes, among its investments, the higher relative cost associated with the Navia 80 project, completed in 2019, amounting to €8m. This is due to the arbitration ruling dated June 17, which requires the Group to pay €15m, of which €8m had already been recorded. Sep-2025 Dec-2024 Figures in € m Pulp Renewables Adjustments Consolidated Pulp Renewables Adjustments Consolidated Intangible assets 21,0 56,4 (11,1) 66,3 19,2 57,2 (11,6) 64,9 Property, plant and equipment 641,9 370,9 (5,6) 1.007,1 608,6 372,4 (6,4) 974,6 Biological assets 64,9 0,2 - 65,2 66,1 0,3 (0,0) 66,3 Non-current investments in Group companies 114,0 0,0 (114,0) 0,1 114,0 0,6 (114,0) 0,7 Non-current borrowings to Group companies 54,2 1,0 (54,2) 1,0 65,7 - (65,7) - Deferred tax assets 35,5 24,5 2,8 62,7 35,2 23,9 2,9 62,0 Non-current financial assets 21,6 17,7 - 39,3 19,5 20,3 - 39,8 Cash reserve for debt service - 11,5 - 11,5 - 10,0 - 10,0 Total non-current assets 953,1 482,1 (182,1) 1.253,1 928,3 484,7 (194,8) 1.218,3 Inventories 75,8 20,3 (0,0) 96,1 82,1 12,5 - 94,6 Trade and other accounts receivable 29,5 21,9 (2,9) 48,5 39,5 36,0 (6,0) 69,4 Income tax 5,5 1,0 (0,0) 6,6 5,3 1,3 - 6,6 Other current assets 27,1 3,3 0,0 30,4 15,7 0,3 0,0 16,1 Hedging derivatives 4,7 - - 4,7 0,0 - - - Current financial investments in Group companies 0,2 1,1 (1,2) 0,0 0,2 0,7 (0,8) 0,0 Current financial investments 2,5 0,7 0,0 3,2 13,3 0,2 (0,0) 13,6 Cash and cash equivalents 194,2 55,4 0,0 249,6 184,6 79,4 - 263,9 Total current assets 339,5 103,7 (4,1) 439,1 340,7 130,4 (6,9) 464,2 TOTAL ASSETS 1.292,6 585,8 (186,2) 1.692,2 1.269,0 615,1 (201,6) 1.682,4 Equity attributable to the Parent 556,4 84,6 (127,9) 513,1 559,1 95,6 (129,0) 525,6 Minority interest - 89,7 - 89,7 - 97,1 - 97,1 Total Equity 556,4 174,3 (127,9) 602,8 559,1 192,6 (129,0) 622,6 Non-current loans with Group companies and associates - 83,2 (54,2) 29,0 - 94,7 (65,7) 29,0 Non-current borrowings 323,4 163,5 - 486,9 291,3 155,1 - 446,4 Non-current derivatives 1,1 1,1 - 2,1 2,2 1,8 - 4,0 Deferred tax liabilities - - - - - - - - Non-current provisions 29,1 1,1 - 30,2 28,9 0,6 - 29,5 Other non-current liabilities 38,0 74,1 (0,0) 112,0 33,8 71,9 - 105,7 Total non-current liabilities 391,6 323,0 (54,2) 660,4 356,2 324,2 (65,7) 614,7 Current borrowings 129,0 15,3 - 144,3 149,2 13,0 - 162,2 Current derivatives 1,2 0,8 0,0 2,0 6,9 1,1 (0,00) 8,0 Trade and other account payable 184,6 67,7 (2,9) 249,5 166,4 80,2 (6,0) 240,6 Short-term debts with group companies 1,0 2,2 (1,2) 2,1 0,7 1,0 (0,8) 0,9 Income tax 0,0 0,1 - 0,1 0,0 0,0 - 0,0 Current provisions 28,7 2,5 0,0 31,2 30,5 3,0 - 33,5 Total current liabilities 344,6 88,6 (4,1) 429,1 353,7 98,3 (6,9) 445,1 TOTAL EQUITY AND LIABILITIES 1.292,6 585,8 (186,2) 1.692,2 1.269,0 615,1 (201,6) 1.682,4
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30 Alternative Performance Measures (APMs) Pg.1 Ence presents its results in accordance with generally accepted accounting principles, specifically IFRS. In addition, its quarterly earnings report provides certain other complementary metrics that are not defined or specified in IFRS and are used by management to track the company's performance. The alternative performance measures (APMs) used in this presentation are defined, reconciled and explained in the corresponding quarterly earnings report publicly available through the investor section of our web page www.ence.es. EBITDA EBITDA is a measure of operating profit before depreciation, amortisation and forest depletion charges, non-current asset impairment charges, gains or losses on non-current assets and other non-operating items that undermine the comparability of the numbers. EBITDA is an indicator used by management to track the Group's recurring profitability over time. This metric provides an initial approximation of the cash generated by the Company's ordinary operating activities, before interest and tax payments, and is a measure that is widely used in the capital markets to compare the earnings performances of different companies. OTHER NON-OPERATING ITEMS Other non-operating items refers to ad-hoc income and expenses unrelated to the Company’s ordinary business activities that render two reporting periods less comparable. CASH COST The production cost per tonne of pulp, or cash cost, is the key measure used by management to measure and benchmark its efficiency as a pulp maker. The cash cost includes all of the costs directly related with the production and sale of pulp that impact cash flows. Therefore, it does not include asset depreciation and amortisation charges, impairment losses on non-current assets or gains or losses on their disposal, other non-operating items, finance income or costs or income tax. The cash cost can be measured as the difference between revenue from the sale of pulp and EBITDA in the Pulp business, adjusted for the settlement of hedges, forest depletion charges and the change in inventories. To calculate the cash cost, the related production costs are divided by the volume of tonnes produced, while overhead and sales and logistics costs are divided by the volume of tonnes sold. OPERATING PROFIT PER TONNE OF PULP The operating profit is a yardstick for the operating profit generated by the Pulp business without taking into account asset depreciation and amortization charges, impairment losses on non-current assets and gains or losses on their disposal and other non-operating items, adjusted for the settlement of hedges, and forest depletion charges. It provides a comparable measure of the business’s profitability and is measured as the difference between the average sales price per tonne, calculated by dividing revenue from the sale of pulp by the number of tonnes sold, and the cash cost.
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31 Alternative Performance Measures (APMs) Pg.2 NET FINANCE COST AND OTHER FINANCIAL ITEMS Net finance cost encompasses the various items of finance income and finance costs, while other financial items encompasses exchange differences, the change in the fair value of financial instruments and impairment losses on financial instruments and gains or losses on their disposal. MAINTENANCE, EFFICIENCY, GROWTH AND SUSTAINABILITY CAPEX ENCE provides the breakdown of the capital expenditure included in its statement of cash flows for each of its business classifying its investments into the following categories: maintenance capex, efficiency and growth capex, sustainability capex and financial investments. Ence’s technical experts classify its capital expenditure using the following criteria: Maintenance capex are recurring investments designed to maintain the capacity and productivity of the Company's assets. Efficiency and growth capex, meanwhile, are investments designed to increase those assets' capacity and productivity. Lastly, sustainability capex covers investments made to enhance quality standards, occupational health and safety and environmental performance and to prevent contamination. Financial investments correspond to payments for investments in financial assets. The disclosure of capex cash flows broken down by area of investment facilitates oversight of execution of the current Business Plan. OPERATING CASH FLOW The operating cash flow coincides with the net cash from operating activities presented in the statement of cash flows. However, operating cash flow is arrived at by starting from EBITDA, whereas net cash from operating activities is arrived at by starting from profit before tax. As a result, the adjustments to profit do not coincide in the two calculations. This APM is provided to reconcile EBITDA and operating cash flow. FREE CASH FLOW Ence reports free cash flow as the sum of its net cash flows from operating activities and its net cash flows from investing activities. Free cash flow provides information about the cash generated by the Group's operating activities that is left over after its investing activities for the remuneration of shareholders and repayment of debt.
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32 Alternative Performance Measures (APMs) Pg.3 NORMALISED FREE CASH FLOW Normalised FCF is the sum of EBITDA, the change in working capital, maintenance capex, net interest payments and income tax payments. It provides a proxy for the cash generated by the Company's operating activities before collection of proceeds from asset sales, the adjustments related with electricity sector regulations and other adjustments to profit. It represents the amount available for investments other than maintenance capex, for shareholder remuneration and for debt repayment. NET DEBT / (CASH) The borrowings recognised on the balance sheet, include bonds and other marketable securities, bank borrowings and other financial liabilities, including leases (IFRS 16). They do not include, however, the measurement of derivatives or borrowings from Group companies and associates. Net debt/(cash) is calculated as the difference between current and non-current borrowings on the liability side of the statement of financial position and unrestricted cash on the asset side, which includes cash and cash equivalents, the debt service cash reserve (included with non-current financial assets) and other financial investments (within current assets). Net debt/(cash) provides a proxy for the Group's net indebtedness or liquidity and is a metric that is widely used in the capital markets to compare the financial position of different companies. ROCE ROCE stands for the return on capital employed and is used by management as a key profitability performance indicator. It is calculated by dividing EBIT for the last 12 months by average capital employed during the period, capital employed being the sum of equity and net debt. For the Pulp business, equity is calculated as the difference between consolidated equity and the equity recognised by the Renewable Energy business. ROCE is widely used in the capital markets to measure and compare the earnings performance of different companies.
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Delivering value Delivering commitments