| Leases |
The Company is lessee in several lease agreements
for forest lands, offices, distribution centers, outgrowers, vehicles, among others. Some contracts have a renewal option for an additional
period at the end of the agreement, established by contractual amendments. Automatic renewals or renewals for undetermined periods are
not allowed.
The contract clauses mentioned, with respect
to renewal, readjustment and purchase option, are contracted according to market practices. In addition, there are no clauses of contingent
payments or restrictions on dividends distribution, payments of interest on shareholders’ equity or obtaining debt.
The
right-of-use assets as set forth below are part of the balances of property, plant and equipment (notes 13).
| Schedule of right-of-use assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
| |
Average rate (1) |
|
12.31.23 |
|
Additions |
|
Disposals |
|
Monetary correction by Hyperinflation |
|
Exchange rate variation |
|
12.31.24 |
| Cost |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Land |
|
|
130,072 |
|
1,929 |
|
(9,533) |
|
9,663 |
|
24,687 |
|
156,818 |
| Buildings, facilities and improvements |
|
|
4,345,335 |
|
849,236 |
|
(478,689) |
|
(2,517) |
|
57,553 |
|
4,770,918 |
| Machinery and equipment |
|
|
298,548 |
|
39,887 |
|
(133,708) |
|
(495) |
|
(274) |
|
203,958 |
| Vehicles |
|
|
422,558 |
|
350,602 |
|
(382,581) |
|
6,707 |
|
82,070 |
|
479,356 |
| |
|
|
5,196,513 |
|
1,241,654 |
|
(1,004,511) |
|
13,358 |
|
164,036 |
|
5,611,050 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Depreciation |
|
|
|
|
|
|
|
|
|
|
|
|
|
| Land |
2.83% |
|
(41,450) |
|
(10,958) |
|
6,540 |
|
(4,997) |
|
(7,532) |
|
(58,397) |
| Buildings, facilities and improvements |
13.51% |
|
(1,736,196) |
|
(675,400) |
|
429,905 |
|
(1,050) |
|
(40,263) |
|
(2,023,004) |
| Machinery and equipment |
19.99% |
|
(81,950) |
|
(47,624) |
|
46,369 |
|
1,743 |
|
(423) |
|
(81,885) |
| Vehicles |
38.90% |
|
(226,910) |
|
(216,429) |
|
221,110 |
|
4,873 |
|
(41,638) |
|
(258,994) |
| |
|
|
(2,086,506) |
|
(950,411) |
|
703,924 |
|
569 |
|
(89,856) |
|
(2,422,280) |
| |
|
|
3,110,007 |
|
291,243 |
|
(300,587) |
|
13,927 |
|
74,180 |
|
3,188,770 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) | Weighted average annual rate. |
| |
|
| |
Average rate (1) |
|
12.31.22 |
|
Additions |
|
Disposals |
|
Transfers |
|
Monetary correction by hyperinflation |
|
Exchange rate variation |
|
12.31.23 |
| Cost |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Land |
|
|
139,740 |
|
9,330 |
|
(11,883) |
|
- |
|
1,286 |
|
(8,401) |
|
130,072 |
| Buildings, facilities and improvements |
|
|
4,031,143 |
|
1,031,073 |
|
(675,341) |
|
(27,655) |
|
12,940 |
|
(26,825) |
|
4,345,335 |
| Machinery and equipment |
|
|
47,688 |
|
241,292 |
|
(18,148) |
|
27,655 |
|
575 |
|
(514) |
|
298,548 |
| Vehicles |
|
|
602,116 |
|
138,388 |
|
(294,854) |
|
- |
|
4,992 |
|
(28,084) |
|
422,558 |
| Software |
|
|
12,303 |
|
- |
|
(12,303) |
|
- |
|
- |
|
- |
|
- |
| |
|
|
4,832,990 |
|
1,420,083 |
|
(1,012,529) |
|
- |
|
19,793 |
|
(63,824) |
|
5,196,513 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Depreciation |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Land |
7.37% |
|
(44,006) |
|
(10,680) |
|
11,405 |
|
- |
|
277 |
|
1,554 |
|
(41,450) |
| Buildings, facilities and improvements |
13.56% |
|
(1,784,777) |
|
(574,800) |
|
597,221 |
|
15,686 |
|
(3,786) |
|
14,260 |
|
(1,736,196) |
| Machinery and equipment |
19.40% |
|
(27,283) |
|
(52,424) |
|
14,795 |
|
(15,686) |
|
(1,957) |
|
605 |
|
(81,950) |
| Vehicles |
35.27% |
|
(346,907) |
|
(179,841) |
|
289,744 |
|
- |
|
(7,879) |
|
17,973 |
|
(226,910) |
| Software |
- |
|
(10,814) |
|
(1,487) |
|
12,301 |
|
- |
|
- |
|
- |
|
- |
| |
|
|
(2,213,787) |
|
(819,232) |
|
925,466 |
|
- |
|
(13,345) |
|
34,392 |
|
(2,086,506) |
| |
|
|
2,619,203 |
|
600,851 |
|
(87,063) |
|
- |
|
6,448 |
|
(29,432) |
|
3,110,007 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| (1) | Weighted average annual rate. |
| Schedule of lease liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
| |
Weighted average
interest rate (p.a.) |
|
WAM (1) |
|
12.31.23 |
|
Additions |
|
Payments |
|
Interest paid |
|
Interest accrued |
|
Disposals |
|
Exchange rate variation |
|
12.31.24 |
| Land |
- |
|
- |
|
106,695 |
|
1,929 |
|
(5,145) |
|
(9,395) |
|
9,395 |
|
(4,477) |
|
20,803 |
|
119,805 |
| Buildings, facilities and improvements (2) |
- |
|
- |
|
3,174,862 |
|
849,236 |
|
(612,876) |
|
(143,763) |
|
328,007 |
|
(96,818) |
|
16,088 |
|
3,514,736 |
| Machinery and equipment |
- |
|
- |
|
225,272 |
|
39,887 |
|
(38,794) |
|
(22,928) |
|
22,928 |
|
(93,796) |
|
2,581 |
|
135,150 |
| Vehicles |
- |
|
- |
|
215,018 |
|
350,602 |
|
(209,677) |
|
(25,522) |
|
25,522 |
|
(173,741) |
|
41,036 |
|
223,238 |
| |
9.7% |
|
6.2 |
|
3,721,847 |
|
1,241,654 |
|
(866,492) |
|
(201,608) |
|
385,852 |
|
(368,832) |
|
80,508 |
|
3,992,929 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Current |
|
|
|
|
944,326 |
|
|
|
|
|
|
|
|
|
|
|
|
|
1,014,813 |
| Non-current |
|
|
|
|
2,777,521 |
|
|
|
|
|
|
|
|
|
|
|
|
|
2,978,116 |
| (1) | Weighted average maturity in years. |
| (2) | Includes the amount of R$2,349,173 (R$1,984,044 as
on December 31, 2023) referring to the right of use identified on integrated producers contracts. |
| |
|
|
|
| |
Weighted average
interest rate (p.a.) |
|
WAM (1) |
|
12.31.22 |
|
Additions |
|
Payments |
|
Interest paid |
|
Interest accrued |
|
Disposals |
|
Exchange rate variation |
|
12.31.23 |
| Land |
- |
|
- |
|
112,476 |
|
9,330 |
|
(6,844) |
|
(9,404) |
|
9,404 |
|
(1,792) |
|
(6,475) |
|
106,695 |
| Buildings, facilities and improvements (2) |
- |
|
- |
|
2,634,074 |
|
1,031,073 |
|
(530,779) |
|
(142,245) |
|
268,659 |
|
(77,896) |
|
(8,024) |
|
3,174,862 |
| Machinery and equipment |
- |
|
- |
|
22,565 |
|
241,292 |
|
(34,756) |
|
(28,660) |
|
28,660 |
|
(3,533) |
|
(296) |
|
225,272 |
| Vehicles |
- |
|
- |
|
274,215 |
|
138,388 |
|
(168,473) |
|
(16,677) |
|
16,677 |
|
(16,841) |
|
(12,271) |
|
215,018 |
| Software |
- |
|
- |
|
1,604 |
|
- |
|
(1,604) |
|
(45) |
|
45 |
|
- |
|
- |
|
- |
| |
7.5% |
|
7.6 |
|
3,044,934 |
|
1,420,083 |
|
(742,456) |
|
(197,031) |
|
323,445 |
|
(100,062) |
|
(27,066) |
|
3,721,847 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Current |
|
|
|
|
676,864 |
|
|
|
|
|
|
|
|
|
|
|
|
|
944,326 |
| Non-current |
|
|
|
|
2,368,070 |
|
|
|
|
|
|
|
|
|
|
|
|
|
2,777,521 |
| (1) | Weighted average maturity in years. |
| (2) | Includes the amount of R$1,984,044 referring to the right of use identified in integration contracts. |
| 17.3 | Lease liabilities maturity schedule |
The maturity schedule of the minimum required
future payments is presented below:
| Schedule of lease liabilities maturity |
|
| |
|
|
12.31.24 |
| Current |
|
|
1,014,813 |
| Non-current |
|
|
2,978,116 |
| 2026 |
|
|
719,971 |
| 2027 |
|
|
587,398 |
| 2028 |
|
|
413,702 |
| 2029 |
|
|
339,134 |
| 2030 onwards |
|
|
917,911 |
| |
|
|
3,992,929 |
| 17.4 | Amount recognized in the Statements of Income (Loss) |
The amounts directly recognized in the
statement of income presented below relate to items not capitalized, including: low-value assets, short-term leases and leases with variable
payments.
| Schedule of amounts recognized in the statement of income |
|
|
|
|
| |
|
|
|
12.31.24 |
| Variable payments not included in the lease liabilities |
|
|
|
39,830 |
| Expenses related to short-term leases |
|
|
|
38,670 |
| Expenses related to low-value assets |
|
|
|
8,815 |
| Amounts recognized in the statement
of income |
|
|
|
87,315 |
Leases
|
Accounting policy:
The Company recognizes a right-of-use asset and a lease
liability, which represents the obligation to make payments related to the underlying asset of the lease.
The right-of-use asset is initially measured at cost
and comprises the initial amount of the lease liability adjusted by any payment made on or before the contract start date, plus any initial
direct cost incurred and estimated cost of dismantling, removing, restoring the asset to its current location, less any incentive received.
The options to extend the term, terminate the contracts early and purchase are analyzed individually considering the type of asset involved
as well as its relevance to the Company's production process.
The right-of-use asset is subsequently depreciated
using the straight-line method from the commencement date until the end of the useful life of the right-of-use asset or the end of the
lease term. In addition, the right-of-use asset is periodically written down to its recoverable amount, when applicable, and adjusted
by the subsequent measurement of the lease liability.
The Company does not apply lease accounting model
to leases with a term of 12 months or less and that do not contain a purchase option; and leases for which the underlying asset is of
low value. For these exemptions, the lease payments are recognized as an expense on a straight-line basis over the lease term.
The lease liability is initially measured at the
present value of the future lease payments using the incremental borrowing rate, and subsequently, measured at amortized cost using the
effective interest method, which are recorded against financial income (expenses), net.
The liability is remeasured when there is a change
in (i) future payments resulting from a change in index or rate, (ii) the amount expected to be payable under a residual value guarantee,
or (iii) the assessment of whether the Company will exercise the purchase, renewal or termination option.
When the lease liability is remeasured, the corresponding
adjustment is recorded in the book value of the right-of-use asset, or in the statement of income if the book value of the right-of-use
asset has been reduced to zero.
Additionally, contracts with indefinite term and
no fixed payments are expensed as incurred.
|
|