ETER3: quote, dividends and indicators for Eternit

Eternit S.A. is a traditional Brazilian company in the construction materials sector, with common shares traded on B3 under the ticker ETER3. Founded in January 1940 in Osasco (SP), it began operations producing corrugated and flat fiber cement sheets and soon expanded with plants in Rio de Janeiro, Goiânia, Simões Filho (BA), and Colombo (PR), in step with the country’s urban and real estate growth. In 1948, it was listed on the stock exchange, marking its formal entry into the capital markets. Over the following decades, the company built an industrial park spread across several Brazilian regions and carried out significant corporate moves, such as its association with the mining company SAMA in 1967, later fully acquired in 1997, and the incorporation of regional fiber cement manufacturers, which consolidated its national presence.

Historically linked to chrysotile asbestos, Eternit underwent deep transformations in its production model and portfolio. From the 1990s onward, it sought diversification with new lines of roofing and fiber cement solutions and, in 2002, internalized production of the Painel Wall at the Colombo (PR) plant. In the 2000s, it successively joined B3’s Level 2 and then Novo Mercado corporate governance segments, reinforcing higher governance standards. It also entered segments such as sanitary ware through a joint venture in 2008 and concrete roofing with the acquisition of Tégula in 2010, moves later revisited within a strategic readjustment process that included the sale of the sanitary ware factory in 2020 and the decision, in 2025, to discontinue concrete tiles in light of unfavorable operational performance.

Eternit’s business model is based on the industrialization and commercialization of fiber cement products and industrialized construction solutions for the civil construction sector, as well as the extraction and processing of chrysotile mineral fiber for export through its subsidiary SAMA. In the industrial segment, the company operates with fiber cement roofing and complementary parts, cement boards, cladding panels, structural systems and components for dry construction and modular construction. In parallel, it processes and sells synthetic polypropylene fibers, used both in fiber cement and in applications in concrete and mortars. The operational structure is supported by eight industrial plants in Colombo (PR), Hortolândia (SP), Rio de Janeiro (RJ), Goiânia (GO), Simões Filho (BA), Manaus (AM), Caucaia (CE), and by the mining operation in Minaçu (GO), which is part of the group’s cash generation process with a focus on foreign markets.

Eternit’s line of fiber cement and industrialized construction products covers a range of solutions for roofing, cladding, surface treatment, and structures. In roofing, the company works with fiber cement tiles in different profiles and accessories, intended for residential, commercial, and industrial projects. In construction systems, highlights include cement boards and products such as Eternit Stone, Eternit Wood, Eternit Standard, Eternit Siding and Revestimento Provisório, aimed at façades, interior walls, temporary enclosures, and light construction using light steel frame, light wood frame, and modular construction systems. For surface and joint treatment, the company offers items such as Eternit Basecoat, Massa Única, Primer, Fita Telada, Tela, Membrana Hidrófuga and Basecoat Cimentício, which complement the use of boards and panels. For structural solutions, the Painel Wall and cement boards for flooring expand use in mezzanines, walkways, external enclosures, and modular systems, reinforcing the company’s presence in industrialized construction niches, a segment that recorded revenue growth in 2025.

In the mining segment, SAMA is among the largest chrysotile mining companies in the world and is the only operation of this type in Brazil, operating under a federal concession and subject to payment of CFEM and royalties to the state of Goiás. Chrysotile mineral production is destined exclusively for export, focused on markets such as India, Indonesia, and other Asian countries. The production process involves mine planning, drilling, blasting, crushing, concentration, drying, storage in dry ore silos, processing, and packaging, with quality control and structured logistics for outflow through the ports of Santos and Paranaguá. After the 2017 decision by the Federal Supreme Court banning the extraction, commercialization, and domestic distribution of chrysotile asbestos, the company’s activities involving this input became limited to exports, backed by state legislation in Goiás. The company reports that it keeps its licenses up to date with environmental and regulatory agencies, such as state agencies, IBAMA, ANM, ANTT, and others, in line with requirements related to mining and industry.

Eternit’s customer base is diversified, with no significant concentration in a single buyer accounting for more than 10% of net revenue. In the fiber cement and industrialized construction market, the company operates through its own sales force and representatives, reaching a network of more than 15,000 retail outlets throughout Brazil. Logistics are supported by its own transportation structure through ELITEMOV, in addition to transporters trained in product handling, with usually short average delivery times from order release. In the mining segment, SAMA also has its own commercial team and logistics focused on serving international customers within established deadlines, with road transport to seaports and subsequent export.

Geographically, Eternit operates nationwide in the fiber cement and construction solutions segment, with industrial presence in all regions of Brazil. Revenue is mostly generated in the domestic market, with a significant contribution from fiber cement and industrialized construction products to consolidated net revenue. Exports of chrysotile mineral from Minaçu (GO) complement revenue, with India as the main destination, followed by Indonesia and other countries. The theoretical annual fiber cement production capacity is around 1.2 million tons, with shipped volumes close to 672 thousand tons in 2025, and chrysotile mining recorded export volumes in the hundreds of thousands of tons, keeping SAMA among the world’s leading producers of this mineral.

Eternit is subject to a broad regulatory framework that covers environmental licensing, mining standards, transportation of specific cargo, and occupational health and safety standards. The mining activity depends on certifications and authorizations, including the Regularity Certificate from the National Mining Agency, which attests to regulatory compliance and allows the operation to continue. The industrial units are licensed by state environmental agencies such as IAP, CETESB, INEA, SEMAD, INEMA, SEMACE, and IPAAM, in addition to federal authorities. The company states that it adopts a management system based on ABNT NBR 9000, 14000, and 45000 standards, with procedures aimed at meeting legal requirements, identifying applicable licenses, timely renewal, and continuous monitoring.

On environmental, social, and governance (ESG) matters, Eternit carries out programs for the rehabilitation of degraded areas at its mining operation, following the Degraded Areas Recovery Program required by the federal government. Waste rock from mining is placed in deposition benches that are later covered, treated, and revegetated with native species, with annual monitoring of rehabilitated areas and corrective actions in case of instability. The company maintains preserved forest reserves in locations such as Colombo (PR), Simões Filho (BA), and Minaçu (GO), which serve as environmental protection areas associated with its industrial and mining operations. In health and safety, the group adopts management systems aligned with environmental and occupational safety standards, with a focus on training and leadership engagement. In terms of governance and transparency, it discloses ESG information in an annual sustainability report based on the Global Reporting Initiative (GRI) guidelines and aligned with the Global Compact and the UN Sustainable Development Goals, reinforcing its commitment to structured disclosure of socio-environmental and governance indicators related to its activities. ETER3 shares, traded on B3, reflect a company that combines industrial operations, export-focused mining, and an ongoing process of restructuring and regulatory compliance.