The document shows progress on the environmental, social, and governance fronts in a year when the company celebrated four decades of operation.
A national role model in Brazil for MDF and plywood production, Guararapes is releasing its fourth ESG Report (ESG standing for Environmental, Social, and Governance), which details its results and achievements in 2024. In a year when it also celebrated four decades of its operation, the company achieved 87% of the ESG goals that it had stipulated for the period. This percentage reflects a significant improvement in the performance of the company’s socio-environmental and governance initiatives and exceeds the minimum rate established at 80%.
The main achievements in the period included, especially, the consolidation of the new MDF production plant in the city of Caçador (SC), which was opened in 2023 and has nearly doubled the company’s production capacity. The plant incorporates innovative technologies, such as the evaporation system that promotes circularity as it receives and separates the effluents from board manufacturing, generating steam that is reused in the manufacturing process itself. In 2024, that system led to a 42% reduction in generated effluents.
The highlights of the governance axis included enhanced corporate environmental controls, ESG goals linked to executives for the second year in a row, and achievement of the ISO 45001 certification that attests to excellence in occupational safety and health management.
oreover, Guararapes obtained validation for the lifecycle of its MDF and plywood products under an Environmental Product Declaration (EPD) and advanced toward adjusting some of its processes to the new European Union regulation on deforestation-free products (European Union Deforestation Regulation—EUDR), thus reinforcing its leading position in this industry.
In the forestry field, the company incorporated artificial intelligence tools to operationalize its forest inventory taking, in-field stock control and measurement, and remote control of harvesting equipment, which provide higher efficiency to processes and reinforce operation security. In addition, Guararapes invested in an expansion of its forest area by an addition of approximately 3.5 thousand hectares in 2024—the goal is to keep this volume addition every year (on average), with a view to the sustainability and security of wood supply for the next 42 years.
In the economic and financial realm, Guararapes recorded a net revenue of R$1.8 billion in 2024. This amount accounts for a 24% growth relatively to the previous year. Its consolidated EBITDA, in its turn, was R$422.2 million, with a margin of 23.3%. For 2025, we expect to overcome these results, boosted by the increased stability of the macroeconomic scene, especially in the domestic market.
“This performance stresses our commitment to sustainability and governance, even in such a challenging setting. We keep advancing with a robust agenda, by integrating best practices into our business that aim at the long-term, sustainable development of Guararapes”, asserted Ricardo Pedroso, Guararapes’ CEO.
Diversity and inclusion
As far as people management is concerned, Guararapes conducted its first Diversity Census across all of its industrial operations. This initiative not only has enabled us to understand the profile of our employees, but will also guide corporate actions focused on inclusion and gender equality. Other important milestones were an expansion of female presence in leadership and operation positions, including in our forest operations.
The actions in the communities where Guararapes operates also continued to be priorities. All in all, over R$500 thousand were invested in health, education, and sports initiatives throughout 2024, on top of emergency support provided to victims of the floods that occurred in the state of Rio Grande do Sul by donating basic supplies and products (MDF and plywood).
The report further stresses Guararapes’ stronger presence and recognition in the market. The company won gold at the Popai Brasil 2024 awards under the category “Store Architecture and Design Projects” with its Caçador Casa Guararapes showroom, and it was a highlight at the 2024 Retail Design Awards from the Retail Design Institute. Also, it presented its launches to the market at the two largest events in this industry: Expo Revestir 2024 and Formóbile.
About Guararapes
Guararapes is a national role model in Brazil for the production of MDF boards and one of the largest plywood exporters in Latin America, and it is present in over 50 countries. With its history of over 40 years, the company has three manufacturing units located in Caçador (SC), Santa Cecília (SC), and Palmas (PR), with an annual production capacity of over 1.140 million m3 of MDF and 380 thousand m3 of plywood. The products sold include decorative MDF, raw MDF (standard), RUC (a Portuguese acronym for “moisture- and termite-resistant board”), and Áris (a board with multiple resistance to scratches, stains, fingerprints, heat, and sun rays), in addition to structural and non-structural HDF and plywood boards. Ever since 2015, the brand has been using its exclusive technology NanoxClean® in its decorative MDF, which eliminates bacteria, viruses, and other microorganisms from surfaces. The company also holds several international certifications, such as the FSC® seal from the Forest Stewardship Council® under licence code FSC-C041303, which highlights its commitment to environmentally adequate, socially beneficial, and economically feasible forestry. You can learn more at www.guararapes.com.br.
