The Spanish pulp and renewable energy producer posted consolidated EBITDA of €27 million, up 16% from the same period last year, although the prior-year period included €10 million in Energy Saving Certificates (CAEs). According to the company, the improvement reflects both the recovery in pulp markets from recent lows and the continued implementation of its Efficiency and Competitiveness Plan.
Specialty pulp gains momentum
Ence continued to expand its specialty pulp business, a key element of its long-term strategy to produce pulps that serve as a substitute for long-fibre pulp in a range of applications.
Specialty grades accounted for 34% of the company's pulp sales in 2026, up from 30% in 2025. These products generate an average premium of €36 per tonne over standard pulp, and the company aims to increase their share of sales to more than 62% by 2028.
The company also reported further progress on its new fluff pulp production line, designed for hygiene and incontinence products. The facility is currently undergoing customer qualification ahead of commercial production.
Cash costs continue to decline
Cost reductions remained a key contributor to improved profitability during the quarter.
Cash production costs (cash cost) in the Pulp business fell to €455 per tonne, down €67 per tonne from the previous quarter. Ence attributed the decline to measures introduced under its Efficiency and Competitiveness Plan, which focuses on improving operational performance and reducing manufacturing costs.
Renewable heat business expands
Ence also continued to grow its renewable industrial heat business through its subsidiary Magnon Servicios Energéticos.
During the quarter, two new boiler projects entered operation, and the company expects to have five renewable heat projects in service by the end of 2026, compared with one at the end of 2025.
In another significant development, energy company Moeve selected Magnon as its partner for a thermal energy project at its Huelva refinery. The companies are in the final stage of contract negotiations for a facility expected to generate more than 350 GWhth of renewable thermal energy. The Andalusian regional government has designated the project as a Strategic Project.
Biomethane portfolio continues to grow
Ence also reported steady progress in biomethane development.
The company has built a portfolio of 41 projects with a combined production potential of up to 4 TWh, exceeding its target of 1 TWh by 2030. Of those projects, 28 are currently in the engineering and permitting phase.
Ence expects to obtain its first Integrated Environmental Authorisation during the second half of 2026, marking an important milestone for the expansion of its biomethane business.
Ence is a Spanish producer of eucalyptus market pulp and renewable energy. The company also develops renewable industrial heat and biomethane projects as part of its strategy to support a low-carbon, circular economy.