Ence obtained losses of € 12 M in the first quarter, due to the exceptionally low prices of pulp

Ence Energía y Celulosa recorded net losses of € 12 million in the first quarter of fiscal year 2020 as a result of pulp prices, the lowest recorded in the last 10 years. In contrast, the productivity and costs of the company had a significant improvement after the investments made.

The group’s EBITDA stood at € 16.8 million. Specifically, the EBITDA of the Pulp business reached € 5.4 million, which represents an advance of € 15.2 million compared to the previous quarter; and a decrease of 86% compared to the same period of 2019. The EBITDA of the Energy business reached € 11.3 million, representing an increase of 10% compared to the previous quarter, and a reduction of 14% compared to the same period of 2019.

In Pulp, the entry into service of the different investments in the Pontevedra and Navia biofactories has allowed pulp production to increase by 9%. Similarly, sales have improved by 25%, with the European market being the destination of practically all of Ence’s pulp. More than half, 53%, has been allocated to the tissue paper segment for hygiene products.

In Renewable Energy, the reception of the new 46 MW biomass plants in Huelva on January 31, and 50 MW in Puertollano on March 31, will represent a 44% increase in the generation of renewable energy.

The company also has 405 MW of renewable energy in its portfolio, with secured network access and location, the development of which is awaiting the implementation of the National Plan for Renewable Energies. These future investments will generate quality industrial and rural employment, which will help to overcome the economic crisis caused by Covid-19.


This first quarter of the year has been conditioned by the crisis created by Covid-19 globally. The supply of cellulose and the generation of renewable energy, the main activities of the company, are fundamental in the current situation for the supply of hygienic and sanitary materials, as well as for the operation of homes and health and hospital centers.

The early and rigorous application of Ence’s internal protocols, since February 24, to prevent and minimize the risks of contagion in people and operations, has allowed the company to keep all its plants operational and keep jobs intact.

Sustainable forest management that supplies pulp production is an environmentally friendly process, by which products capable of replacing plastic are manufactured. It is a production model aligned with the circular economy, which constitutes a way of recovery and exit from the serious economic crisis that is expected to come.