SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16

of the Securities Exchange Act of 1934

For the month of February 2026

Commission File Number 33-99720

ARAUCO AND CONSTITUTION PULP INC.

(Translation of registrant’s name into English)

El Golf 150

Fourteenth Floor

Santiago, Chile

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F x Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ¨

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes ¨ No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- ¨

ARAUCO AND CONSTITUTION PULP INC

TABLE OF CONTENTS

Item		Page

1.	Ratio analysis of the consolidated financial statements	1
2.	Consolidated statements of financial position	6
3.	Consolidated statements of profit or loss	8
4.	Consolidated statements of comprehensive income	9
5.	Consolidated statements of changes in equity	10
6.	Consolidated statements of cash flow	11
7.	Notes to the consolidated financial statements	12
	Annex: Press Release

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

RATIO ANALYSIS OF THE CONSOLIDATED FINANCIAL STATEMENTS

1. ANALYSIS OF FINANCIAL POSITION

Statement of financial position

The principal components of assets and liabilities at the end of each period are as follows:

	12-31-2025		12-31-2024		Variation
Assets	ThU.S.$		ThU.S.$		ThU.S.$
Current assets		4,393,731		4,274,618		119,113
Non-current assets		16,911,032		13,884,694		3,026,338
Total assets		21,304,763		18,159,312		17.32	%

	12-31-2025		12-31-2024		Variation
Liabilities	ThU.S.$		ThU.S.$		ThU.S.$
Current liabilities		1,931,575		1,362,950		568,625
Non-current liabilities		9,689,710		8,072,647		1,617,063
Non–controlling interests		5,891		6,460		(569	)
Equity attributable to owners of parent company		9,677,587		8,717,255		960,332
Total net equity and liabilities		21,304,763		18,159,312		17.32	%

As of December 31, 2025, total assets increased by MU.S.$ 3,145 compared to December 31, 2024, equivalent to a 17.32% increased variation. This variation was driven mainly by an increase in Property, plant and equipment, as well as by the valuation of derivative instruments contracted by Arauco to hedge its exposure to Brazilian real currency (BRL) exchange rate risk, and by advance payments; all associated with the progress of the Sucuriú project.

In turn, total liabilities increased by MU.S.$ 2,186 mainly driven by an increase in Other financial liabilities.

The main financial and operational indicators related to the statement of financial position as of the dates and for the periods indicated below are as follows:

Liquidity ratios	12-31-2025		12-31-2024
Current liquidity (current assets / current liabilities)		2.27		3.14
Acid ratio ((current assets-inventories, biological assets) / current liabilities)		1.37		1.84

Debt indicators	12-31-2025		12-31-2024
Debt to equity ratio (total liabilities / equity)		1.20		1.08
Short-term debt to total debt (current liabilities / total liabilities)		0.17		0.14
Long-term debt to total debt (non-current liabilities / total liabilities)		0.83		0.86

		12-31-2025				12-31-2024
Financial expenses coverage ratio (earnings before taxes + interest expense / interest expense)			1.20				2.63

Activity ratio	12-31-2025		12-31-2024
Inventory turnover-time (cost of sales / inventories¹ + current biological asset s¹)		2.58		2.62
Inventory turnover-time (excluding biological assets) (Cost of sales /inventories¹)		3.06		3.25
Inventory permanence-days (inventories¹ + biological assets¹) /cost of sales)		139.54		137.60
Inventory permanence-days (excluding biological assets) (inventories¹ / cost of sales)		117.69		110.94

⁽¹⁾:

Annual average.

As of December 31, 2025, the short-term debt to total debt ratio represented 17% of total liabilities (14% as of December 31, 2024).

Our financial expenses coverage ratio decreased from 2.63 to 1.20, mainly due to the lower profit before taxes generated for the period ended as of December 31, 2025, compared to the greater profit before taxes generated in the same period of 2024.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

b) Statement of profit or loss

Profit before income tax

We recorded a profit before income tax of approximately MU.S.$ 81 compared to a profit of approximately MU.S.$ 647 in the same period of 2024. The variation of MU.S.$ (566) is explained by the factors described in the following table:

Item	MU.S.$
Gross profit (loss)		(375	)
Distribution and administrative expenses		22
Other income and expenses		(191	)
Others		(22	)
Net change in profit (loss) before income tax		(566	)

The main indicators related to the accounts in our statements of profit or loss and the details of revenues and operation costs are as follows:

Revenues	12-31-2025 ThU.S.$		12-31-2024 ThU.S.$
Pulp		3,060,070		3,429,265
Wood		3,023,321		3,115,981
Other		751		900
Total revenues		6,084,142		6,546,146

Sales costs	12-31-2025 ThU.S.$		12-31-2024 ThU.S.$
Wood		985,301		963,721
Forestry work and other services		635,344		702,315
Depreciation and amortization		623,718		619,348
Other operating costs		2,302,498		2,348,765
Total sales costs		4,546,861		4,634,149

Profitability index	12-31-2025		12-31-2024
Profitability on equity (profit/average net equity)		0.44		5.69
Profitability on assets (profit/average assets)		0.21		2.64
Return on operating assets (operating result/average operating assets)		1.61		3.78

Profitability ratios	12-31-2025			12-31-2024
Earnings (loss) per share (U.S.$)⁽¹⁾		0.3295466			3.9240555
Net profit (loss) (ThU.S.$)⁽²⁾		40,879			476,281
Gross profit (loss) (ThU.S.$)		1,537,281			1,911,997
Finance costs (ThU.S.$)		(409,724	)		(397,923	)

⁽¹⁾

: Average earnings per share refer to the profit to net equity to owners of the parent company.

⁽²⁾

: Includes non-controlling interest.

EBITDA	12-31-2025 ThU.S.$			12-31-2024 ThU.S.$
Net profit (loss)		40,879			476,281
Finance costs		409,724			397,923
Finance income		(62,560	)		(66,355	)
Income tax expense		39,804			170,400
EBIT		427,847			978,249
Depreciation and amortization		688,048			685,951
EBITDA		1,115,895			1,664,200
Cost at fair value of the harvest		330,199			440,513
Gain from changes in fair value of biological assets		(204,646	)		(159,021	)
Gains (losses) on exchange difference on translation		60,748			12,400
Others (*)		29,218			56,018
Adjusted EBITDA		1,331,414			2,014,110

(*)

Reflects other non-cash expenses, such as loss of forest due to fires, theft and impairment provisions of industrial property, plant and equipment.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

2. MAIN SOURCES OF FINANCING

Arauco’s financing needs are mainly covered through the capital markets, with bond issuances and credits obtained from banks and financial institutions serving as the main sources of financing.

For short-term borrowing, Arauco follows a liquidity policy which indicates the amounts and institutions from which it can borrow according to several conditions defined in the policy.

In the case of long-term debt, corporate bond issuances in the local market and also in the international markets are used as sources of new resources.

Another source of long-term financing corresponds to borrowings from banks and financial institutions around the world.

3. MARKET SITUATION

Turnover for the fourth quarter of 2025 decreased by 10.8% compared to the same quarter of 2024, due to lower average pulp prices, coupled with a slight decrease in sales volume. Year to date, turnover for 2025 was also down, with an 8.5% decline, resulting primarily from a decrease in prices.

Global pulp inventories decreased during the last quarter of 2025, closing the year at stable levels. Overall, during the fourth quarter of 2025, markets remained stable, and it was possible to implement price increases, primarily in short fiber.

In China, demand remained stable. During the fourth quarter of 2025, an increase in demand for unbleached pulp was observed, driven by restrictions on recycled pulp imposed by China, which allowed prices for this grade to increase. The printing and writing paper industry remained stable, with a slight seasonal increase in demand for finished products. The tissue industry remained stable, despite pulp price increases, which created challenges in passing these higher costs on to end products. In terms of pricing, long fiber declined at the beginning of the quarter it recovered; however, towards the end of the quarter, while short fiber showed increases throughout the quarter.

In Europe, the fourth quarter of 2025 was challenging due to the complex European economic environment. Nevertheless, it was possible to implement price increases in short fiber during the quarter. The printing and writing paper industry continued to weaken, with some producers shutting down lines toward the end of the quarter. The tissue industry appeared stable, although demand declined due to higher imports of jumbo rolls from Brazil and Asia.

The textile pulp market remained stable throughout most of the fourth quarter of 2025. The Lyocell market continued to face strong competition. The price gap between paper-grade and textile-grade pulp narrowed over the course of the quarter, driven by higher short fiber prices, once again positioning textile-grade pulp as a more competitive option in terms of cost, benefit and quality.

Production in the fourth quarter of 2025 remained stable compared to the same period in 2024. During the quarter, the scheduled annual maintenance shutdowns were carried out at the Nueva Aldea and Montes del Plata mills.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Wood Products Business

Sawn timber

In sawn timber, sales for the fourth quarter and cumulative sales for 2025 were lower than in the prior period. In 2025, production decreased as a consequence of the closure of the sawmill in Chile in the third quarter of 2024, driven by supply constraints. This sawmill accounted for approximately 15% of total production. In addition, markets in general have shown weak demand due to slower economic growth, a general decline in construction activity, instability resulting from geopolitical factors, and the uncertainty generated by changes in the United States’ tariffs policy.

In the Remanufacturing segment, market conditions were also characterized by weak demand, driven by reduced construction and remodelling activity, compounded by uncertainty related to United States’ tariffs.

Plywood

For full year 2025, sales were lower than in the same period of prior year, mainly due to a decline in production resulting from constraints in the supply of pruned logs.

Panels (MDF, PB, Melamine)

Sales in the fourth quarter and cumulative 2025, were lower compared to the same period in 2024, mainly affected by slower demand in certain markets linked to construction and home improvement activity. On the other hand, other markets in the region showned a recovery in sales compared to the previous year.

4. ANALYSIS OF CASH FLOW

The main components of cash flow in each period are as follows:

	12-31-2025 ThU.S.$			12-31-2024 ThU.S.$
Positive (negative) Cash flow
Net cash flows from (used in) operating activities		1,046,814			1,181,317

Cash flows from (used in) financing activities:		1,556,453			(305,948	)
Share issue		450,000			300,519
Obtaining and paying borrowings and bonds		1,410,173			(437,373	)
Payments of lease liabilities		(101,832	)		(82,059	)
Dividends paid		(114,622	)		(94,637	)
Others		(87,266	)		7,602

Cash flows from (used in) investment activities:		(2,431,025	)		(328,973	)
Purchase and sale of property, plant and equipment		(1,629,039	)		(801,184	)
Purchase and sale of biological assets		(786,757	)		(378,400	)
Purchase and sale of intangible assets		(6,881	)		(6,137	)
Additions (disposals), investments in subsidiaries, joint ventures and associates		(42,739	)		838,540
Dividends received		9,298			6,982
Others		25,093			11,226
Positive (negative) net cash flow		172,242			546,396

Our cash flow from operating activities showed a positive balance of MU.S.$ 1,047 for the current period, a decrease of MU.S.$ 135 compared to the previous period (positive balance of MU.S.$ 1,181 for the same period in 2024), resulting mainly from lower compensation received for losses of forest assets due to fire and industrial incidents.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

The cash flow from financing activities showed a positive balance of MU.S.$ 1,556 for the current period, an increase of MU.S.$ 1,862 compared to the previous period (negative balance of MU.S.$ 306 for the same period in 2024). This was mainly due to a decrease in debts repayments, partially offset by higher borrowings obtained.

The cash flow from investing activities for the current period reflected a negative balance of MU.S.$ 2,431, representing a negative variation of MU.S.$ 2,102 compared to the same period in 2024 (which reported a negative balance of MU.S.$ 329). This variation was primarily driven by higher capital expenditures related to purchase of property, plant and equipment, and other non-current assets, mainly associated with the Sucuriú project. This increase was partially offset by lower cash inflows received in 2025 from the sale of the shares and social rights of Brazilian companies in 2024.

5. MARKET RISK ANALYSIS

In respect of the economic risks resulting from interest rate variations, the Company maintained, as of December 31, 2025, a ratio of fixed rate debt to total consolidated debt of approximately 93.5%, which we believe is consistent with industry standards.

Regarding variations in prices of pulp and forestry products, the Company does not participate in futures trading, which allows it to maintain one of the lowest cost structures in the industry and have these risks bounded.

The Company and most of its subsidiaries maintain their accounting records and prepare their financial statements in U.S. dollars. Most of their revenues (and accordingly accounts receivable) are denominated in U.S. dollars, and most financial liabilities are either denominated in U.S. dollars or are covered by exchange rate swaps. As a result, exposure to exchange rate fluctuations has decreased significantly.

The consolidated financial statements as of December 31, 2025 include a detailed analysis of the risks associated with the business of Arauco (see Note 23).

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

			12-31-2025		12-31-2024
	Note		ThU.S.$		ThU.S.$

Assets
Current assets
Cash and cash equivalents		5-23		1,284,053		1,071,560
Other current financial assets		23		231,024		25,960
Other current non-financial assets		25		212,816		261,092
Trade and other current receivables		23		832,166		1,054,707
Accounts receivable from related companies		13-23		490		10,159
Current inventories		4		1,516,639		1,456,260
Current biological assets		20		236,333		315,500
Current tax assets		6		76,309		75,613
Total current assets other than assets or disposal groups classified as held for sale				4,389,830		4,270,851
Non-current assets or disposal groups classified as held for sale		22		3,901		3,767
Total current assets				4,393,731		4,274,618
Non-current assets
Other non-current financial assets		23		257,498		16,747
Other non-current non-financial assets		25		655,854		85,036
Non-current receivables		23		79,325		65,735
Investments accounted for using equity method		15-16		483,542		406,611
Intangible assets other than goodwill		19		50,493		55,980
Goodwill		17		52,681		51,325
Property, plant and equipment		7		11,124,813		9,610,071
Right of use assets		8		1,003,718		771,886
Non-current biological assets		20		3,101,604		2,747,894
Deferred tax assets		6		101,504		73,409
Total non-current assets				16,911,032		13,884,694
Total assets				21,304,763		18,159,312

The accompanying notes are an integral part of these consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (continued)

			12-31-2025			12-31-2024
	Note		ThU.S.$			ThU.S.$

Equity and liabilities
Liabilities
Current liabilities
Other current financial liabilities		5-23		708,470			348,905
Current lease liabilities		8-23		55,823			55,851
Trade and other current payables		23		1,043,241			745,971
Accounts payable to related companies		13-23		9,437			10,563
Other short-term provisions		18		3,055			1,837
Current tax liabilities		6		30,405			27,565
Current provisions for employee benefits		10		7,501			6,669
Other current non-financial liabilities		25		73,643			165,589
Total current liabilities				1,931,575			1,362,950
Non-current liabilities
Other non-current financial liabilities		5-23		6,939,288			5,721,712
Non-current lease liabilities		8-23		959,237			672,139
Non-current payables		23		53,713			35,310
Non-current accounts payable to related companies		13-23		23,924			26,207
Other long-term provisions		18		38,588			33,121
Deferred tax liabilities		6		1,550,057			1,469,512
Non-current current tax liabilities		6		7,256			-
Non-current provisions for employee benefits		10		87,359			77,634
Other non-current non-financial liabilities		25		30,288			37,012
Total non-current liabilities				9,689,710			8,072,647
Total liabilities				11,621,285			9,435,597
Equity
Issued capital		3		1,553,618			1,103,618
Retained earnings				8,328,561			8,312,384
Other reserves				(204,592	)		(698,747	)
Equity attributable to owners of parent company				9,677,587			8,717,255
Non-controlling interests				5,891			6,460
Total equity				9,683,478			8,723,715
Total equity and liabilities				21,304,763			18,159,312

The accompanying notes are an integral part of these consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

CONSOLIDATED STATEMENTS OF PROFIT OR LOSS

			January – December
			2025			2024
	Note		ThU.S.$			ThU.S.$
Statements of profit or loss

Revenue		9		6,084,142			6,546,146
Cost of sales		3		(4,546,861	)		(4,634,149	)
Gross profit (loss)				1,537,281			1,911,997
Other income		3		324,023			597,061
Distribution costs		3		(677,734	)		(695,377	)
Administrative expenses		3		(560,830	)		(565,027	)
Other expense by function		3		(130,280	)		(212,213	)
Profit (loss) from operating activities				492,460			1,036,441
Finance income		3		62,560			66,355
Finance costs		3		(409,724	)		(397,923	)
Share of profit (loss) of associates and joint ventures accounted for using equity method		3-15		(3,865	)		(45,792	)
Gains (losses) on exchange differences on translation				(60,748	)		(12,400	)
Profit (loss) before income tax				80,683			646,681
Income tax (expense) benefit		6		(39,804	)		(170,400	)
Net profit (loss)				40,879			476,281
Net profit (loss) attributable to
Net profit (loss) attributable to owners of parent company				41,300			476,470
Net profit (loss) attributable to non-controlling interests				(421	)		(189	)
Net profit (loss)				40,879			476,281

Basic and diluted earnings (loss) per share (in U.S.$ per share)
Basic and diluted earnings (loss) per share from continuing operations		26		0.3295466			3.9240555
Basic and diluted earnings (loss) per share				0.3295466			3.9240555
Diluted earnings (loss) per share (in U.S.$ per share)
Diluted earnings (loss) per share from continuing operations				0.3295466			3.9240555
Diluted earnings (loss) per share				0.3295466			3.9240555

The accompanying notes are an integral part of these consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

			January – December
			2025			2024
	Note		ThU.S.$			ThU.S.$

Net profit (loss)				40,879			476,281
Components of other comprehensive income (loss) that will not be reclassified to profit or loss before tax:
Remeasurements of defined benefit plans
Other comprehensive income (loss) before tax gains losses on remeasurements of defined benefit plans		10		4,644			(766	)
Other comprehensive income (loss) that will not be reclassified to profit or loss before tax				4,644			(766	)
Components of other comprehensive income that will be reclassified to profit or loss before tax:
Exchange differences on translation
Gains (losses) on exchange differences on translation, before tax		11		133,703			259,895
Other comprehensive income (loss) before tax exchange differences on translation				133,703			259,895
Cash flow hedges
Gains (losses) on cash flow hedges, before tax		23		461,238			27,762
Reclassification adjustments on cash flow hedges, before tax		23		-			(6,747	)
Other comprehensive income (loss) before tax cash flow hedges				461,238			21,015
Share of other comprehensive income (loss) of associates and joint ventures accounted for using equity method that will be reclassified to profit or loss before tax
Share of other comprehensive income (loss) of associates and joint ventures accounted for using equity method that will be reclassified to profit or loss before tax				1,509			10,911
Share of other comprehensive income (loss) of associates and joint ventures accounted for using equity method that will be reclassified to profit or loss before tax				1,509			10,911
Other Comprehensive income (loss) that will be reclassified to profit or loss before tax				596,450			291,821
Income tax relating to components of other comprehensive income that will not be reclassified to profit or loss before tax
Income tax relating to remeasurements of defined benefit plans of other comprehensive income (loss)		6		(1,254	)		207
Income tax relating to components of other comprehensive income that will not be reclassified to profit or loss before tax				(1,254	)		207
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss before tax
Income tax relating to exchange differences on translation of other comprehensive income		6		-			(135,171	)
Income tax relating to cash flow hedges of other comprehensive income		6-23		(123,732	)		(6,075	)
Income tax relating to share of other comprehensive income (loss) of associates and joint ventures accounted for using equity method that will be reclassified to profit or loss				(312	)		(2,450	)
Income tax relating to components of other comprehensive income that will be reclassified to profit or loss				(124,044	)		(143,696	)
Other comprehensive income (loss)				475,796			147,566
Total comprehensive income (loss)				516,675			623,847

Comprehensive income (loss) attributable to
Comprehensive income (loss), attributable to owners of parent company				516,958			624,409
Comprehensive income (loss), attributable to non-controlling interests				(283	)		(562	)
Total comprehensive income (loss)				516,675			623,847

The accompanying notes are an integral part of these consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY

12-31-2025	Issued capital ThU.S.$		Reserve of exchange differences on translation ThU.S.$			Reserve of cash flow hedges ThU.S.$			Reserve of actuarial losses on defined benefit plans ThU.S.$			Other reserves ThU.S.$			Total other reserves ThU.S.$			Retained earnings ThU.S.$			Equity attributable to owners of parent			Non- controlling interests ThU.S.$			Total equity ThU.S.$
Opening balance at 01-01-2025		1,103,618		(715,780	)		(50,012	)		(37,923	)		104,968			(698,747	)		8,312,384			8,717,255			6,460			8,723,715
Changes in Equity:
Comprehensive income
Net profit (loss)		-		-			-			-			-			-			41,300			41,300			(421	)		40,879
Other comprehensive income (loss), net of tax		-		133,565			337,506			3,390			1,197			475,658			-			475,658			138			475,796
Comprehensive income (loss)		-		133,565			337,506			3,390			(1,197	)		475,658			41,300			516,958			(283	)		516,675
Equity issue		450,000		-			-			-			-			-			-			450,000			-			450,000
Dividends				-			-			-			-			-			(8,449	)		(8,449	)		(286	)		(8,735	)
Increase (decrease) through transfers and other changes equity		-		-			-			-			18,497			18,497			(18,497	)		-			-			-
Increase (decrease) through changes in ownership interests in subsidiaries that do not result in loss of control		-		-			-			-			-			-			1,823			1,823			-			1,823
Changes in equity		450,000		133,565			337,506			3,390			19,694			494,155			16,177			960,332			(569	)		959.763
Closing balance at 12-31-2025		1,553,618		(582,215	)		287,494			(34,533	)		124,662			(204,592	)		8,328,561			9,677,587			5,891			9,683,478

12-31-2024	Issued capital ThU.S.$		Reserve of exchange differences on translation ThU.S.$			Reserve of cash flow hedges ThU.S.$			Reserve of actuarial losses on defined benefit plans ThU.S.$			Other reserves ThU.S.$			Total other reserves ThU.S.$			Retained earnings ThU.S.$			Equity attributable to owners of parent ThU.S.$			Non- controlling interests ThU.S.$			Total equity ThU.S.$
Opening balance at 01-01-2024		803,618		(840,877	)		(64,952	)		(37,364	)		107,058			(836,135	)		8,034,963			8,002,446			6,583			8,009,029
Changes in Equity:
Comprehensive income
Net profit (loss)		-		-			-			-			-			-			476,470			476,470			(189	)		476,281
Other comprehensive income (loss), net of tax		-		125,097			14,940			(559	)		8,461			147,939			-			147,939			(373	)		147,566
Comprehensive income (loss)		-		125,097			14,940			(559	)		8,461			147,939			476,470			624,409			(562	)		623,847
Equity issue		300,000		-			-			-			-			-			-			300,000			664			300,664
Dividends		-		-			-			-			-			-			(206,684	)		(206,684	)		(225	)		(206,909	)
Increase (decrease) through transfers and other changes equity		-		-			-			-			(10,551	)		(10,551	)		10,551			-			-			-
Increase (decrease) through changes in ownership interests in subsidiaries that do not result in loss of control		-		-			-			-			-			-			(2,916	)		(2,916	)		-			(2,916	)
Changes in equity		300,000		125,097			14,940			(559	)		(2,090	)		137,388			277,421			714,809			(123	)		714.686
Closing balance at 12-31-2024		1,103,618		(715,780	)		(50,012	)		(37,923	)		104,968			(698,747	)		8,312,384			8,717,255			6,460			8,723,715

The accompanying notes are an integral part of these consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

CONSOLIDATED STATEMENTS OF CASH FLOWS

	January – December
	2025			2024
	ThU.S.$			ThU.S.$
STATEMENTS OF CASH FLOWS
Cash flows from (used in) operating activities
Classes of cash receipts from operating activities
Receipts from sales of goods and rendering of services		6,676,865			6,854,709
Receipts from rents and subsequent sales of such assets		38,222			23,075
Other cash receipts from operating activities		751,132			840,543
Classes of cash payments
Payments to suppliers for goods and services		(5,074,341	)		(5,238,597	)
Payments to and on behalf of employees		(687,836	)		(626,122	)
Payments to manufacture or acquire assets held for rental to others and subsequently held for sale		-			(2,638	)
Other cash payments from operating activities		(262,668	)		(308,264	)
Interest paid		(379,666	)		(362,234	)
Interest received		61,240			65,114
Income taxes (paid) refunded		(76,592	)		(69,848	)
Other inflows (outflows) of cash, net		458			5,579
Net cash flow from (used in) operating activities		1,046,814			1,081,317

Cash flows from (used in) investing activities

Cash flow from losing control of subsidiaries and other businesses		-			958,273
Cash flow used in obtaining control of subsidiaries or other businesses		-			(72,037	)
Other cash receipts from sale equity or debt instruments from other entities		1,931			7,109
Other cash payments to acquire equity or debt instruments from other entities		(42,113	)		(26,526	)
Other cash payments to acquire interest in joint ventures		(2,557	)		(28,279	)
Loans to related entities		-			(5,500	)
Proceeds from sales of property, plant and equipment		19,345			37,660
Purchase of property, plant and equipment		(1,648,384	)		(838,844	)
Proceeds from sales of intangible assets		514			-
Purchase of intangible assets		(7,395	)		(6,137	)
Proceeds from other long-term assets		2,135			5,512
Purchase of other long-term assets		(788,892	)		(383,912	)
Dividends received		9,298			6,982
Other inflows (outflows) of cash, net		25,093			16,726
Cash flows from (used in) investing activities		(2,431,025	)		(328,973	)

Cash flows from (used in) financing activities

Payments from changes in ownership interests in subsidiaries		-			(3,600	)
Proceeds from issuing shares		450,000			300,519
Total proceeds from borrowings		2,304,939			1,695,525
Proceeds from long-term borrowings		1,862,803			481,269
Proceeds from short-term borrowings		442,136			1,214,256
Repayments of borrowings		(894,766	)		(2,132,898	)
Payments of lease liabilities		(101,832	)		(82,059	)
Dividends paid		(114,622	)		(94,637	)
Other inflows (outflows) of cash, net		(87,266	)		11,202
Cash flows from (used in) financing activities		1,556,453			(305,948	)
Net increase (decrease) in cash and cash equivalents before effect of exchange rate changes		172,242			546,396
Effect of exchange rate changes on cash and cash equivalents		40,251			(44,844	)
Net increase (decrease) of cash and cash equivalents		212,493			501,552
Cash and cash equivalents, at the beginning of the period		1,071,560			570,008
Cash and cash equivalents, at the end of the period		1,284,053			1,071,560

The accompanying notes are an integral part of these consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTES TO the consolidated financial statements as of DECEMBER 31, 2025 and 2024

NOTE 1. PRESENTATION OF CONSOLIDATED FINANCIAL STATEMENTS

Entity Information

Celulosa Arauco y Constitución S.A. and subsidiaries, (hereafter “Arauco” or the “Company”), tax identification number 93.458.000-1, is a closely held corporation. As it is an issuer of publicly offered securities (bonds), these are registered in the Securities Registry (the “Registry”) of the Chilean Commission for the Financial Market (“CMF”), and the Company is therefore subject to the supervision of said Commission. Additionally, the Company is registered as a non-accelerated filer in the Securities and Exchange Commission (SEC) of the United States of America.

The Company’s head office address is El Golf Avenue 150, 14^thfloor, Las Condes, Santiago, Chile.

Arauco is principally engaged in the production and sale of products related to the forestry and timber industries. Its main operations are focused on business areas of pulp and wood products.

As of December 31, 2025, Arauco is controlled by Empresas Copec S.A., tax identification number 90.690.000-9, which owns 99.999916% of Arauco, and is registered in the Securities Registry as No. 0028. Each of the above mentioned companies is subject to the oversight of the CMF.

Moreover, Empresas Copec S.A. is controlled by the public corporation AntarChile S.A., tax identification number 96.556.310-5, which owns 60.8208% of Empresas Copec S.A. Furthermore, the ultimate shareholders of AntarChile S.A. and, consequently, of Empresas Copec S.A., are Mr. Roberto Angelini Rossi, tax identification number 5.625.652-0, and Mrs. Patricia Angelini Rossi, tax identification number 5.765.170-9.

Arauco’s consolidated financial statements were prepared on a going concern basis.

Presentation of consolidated financial statements

The consolidated financial statements presented by Arauco are comprised by the following:

Consolidated statements of financial position as of December 31, 2025 and 2024.

Consolidated statements of profit or loss for the years ended December 31, 2025 and 2024.

Consolidated statements of comprehensive income for the years ended December 31, 2025 and 2024.

Consolidated statements of changes in equity for the years ended December 31, 2025 and 2024.

Consolidated statements of cash flows for the years ended December 31, 2025 and 2024.

Explanatory disclosures (notes).

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Period covered by the consolidated financial statements

As of December 31, 2025 and 2024 and for the two years ended December 31, 2025 and 2024.

Date of approval of the consolidated financial statements

These consolidated financial statements were approved by the Board of Directors of the Company (the “Board”) at the Extraordinary Meeting No. 753 on February 24, 2026.

Abbreviations used in this report:

IFRS - International Financial Reporting Standards

IASB - International Accounting Standards Board

IAS - International Accounting Standards

MU.S.$ - Millions of U.S. dollars

ThU.S.$ - Thousands of U.S. dollars

U.F. – Inflation index-linked units of account

ICMS – Tax movement of inventories and services (Brazil)

ThCLP$ - Thousands of Chilean pesos

ThR$ - Thousands of Brazilian real

Th€ - Thousands of Euros

Functional and Presentation Currency

Arauco and most of its subsidiaries determined the United States (“U.S.”) dollar as its functional currency since the majority of its revenues from sales of its products are derived from exports denominated in U.S. dollars, while their costs of sales are to a large extent related or indexed to the U.S. dollar.

For the pulp reportable segment, most of the sales are exports denominated in U.S. dollars and costs are mainly related to plantation costs which are settled in U.S. dollars.

For the wood reportable segment, although total sales include a mix of domestic and exports sales, prices of the products are established in U.S. dollars, which is also the case for the cost structure of the related raw materials.

In relation to the cost of sales, although labor and services costs are generally billed and paid in local currency, these costs are not as significant as the costs of raw materials, which are driven mainly by global markets and therefore, influenced mostly by the U.S. dollar.

The currency used to finance operations is mainly the U.S. dollar.

The presentation currency of the consolidated financial statements is the U.S. dollar. Figures on these consolidated financial statements are presented in thousands of rounded U.S. dollar (ThU.S.$).

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Summary of significant accounting policies

Basis for preparation of the consolidated financial statements

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (“IFRS Accounting Standards”) and they represent the explicit and unreserved adoption of IFRS.

The consolidated financial statements have been prepared on a historical cost basis, except for biological assets and certain derivative financial instruments which are measured at revalued amounts or fair value at the end of each period as explained in the following significant accounting policies.

The consolidated statements of cash flows are presented using the direct method.

Critical accounting estimates and judgments

The preparation of these consolidated financial statements, in accordance with IFRS, requires management to make estimates and assumptions that affect the carrying amounts reported. These estimates are based on historical experience and various other assumptions that are considered to be reasonable. Actual results may differ from these estimates. Management believes that the accounting policies below are the critical judgments that have the most significant effect on the amounts recognized in the consolidated financial statements.

- Biological assets

The recovery of forest plantations is based on discounted cash flow models which means that the fair value of biological assets is calculated using cash flows from continuing operations on a discounted basis, based on our sustainable forest management plans and the estimated growth of forests.

The measurement of the fair value of the biological assets is determined using a discounted cash flow model. Our cash flow projections include significant judgments and assumptions relating to discount rates, estimated growth of the forests and sales margins. This valuation is performed on the basis of each identifiable farm block and for each type of tree. The main considerations used to calculate the valuation of forest plantations and a sensitivity analysis are presented in Note 20.

- Litigation and contingencies

Arauco and its subsidiaries are subject to certain litigation proceedings. Future impact on Arauco’s financial condition derived from such litigations is estimated by management, in collaboration with its legal advisors. Arauco applies judgment when interpreting the reports of its legal advisors who provide updated estimates of the legal contingencies at each reporting period and/or at each time a modification is determined to be necessary. For a description of current litigations see Note 18.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Consolidation

The consolidated financial statements include all entities over which Arauco has the power to direct the relevant financial and operating activities. Subsidiaries are consolidated from the date on which control is obtained and up to the date that control ceases.

Specifically, a company controls an investee or subsidiary if, and only if, they have all of the following:

(a) power over the investee, i.e. the investor has existing rights which give it the ability to direct the relevant activities (the activities that significantly affect the investee's returns);

(b) exposure or rights to variable returns from involvement with the investee; and

When Arauco holds less than the majority of the voting rights in a company in which it participates, it nonetheless has the power over said company - when these voting rights are enough - to grant it in practice the ability to unilaterally direct said company's relevant activities. Arauco takes into account all facts and circumstances in order to assess if the voting rights in a company in which it participates are enough for granting it the power, including:

a) the size of the investor’s holding of voting rights relative to the size and dispersion of holdings of the other vote holders;

b) potential voting rights held by the investor, other vote holders or other parties;

c) rights arising from other contractual arrangements; and

d) any additional facts and circumstances that indicate the investor has, or does not have, the current ability to direct the relevant activities at the time that decisions need to be made, including voting patterns at previous shareholders’ meetings.

The Company will reevaluate whether or not it holds control of a company in which participates if the facts and circumstances indicate that changes have occurred in one or more of the three elements of control mentioned above.

Consolidation of an investee shall begin from the date the investor obtains control of the investee and cease when the investor loses control of the investee. An entity includes the income and expenses of an acquired or sold subsidiary in the consolidated financial statements from the date it gains control until the date when the entity ceases to control the subsidiary.

The profit or loss of each component of other comprehensive income is attributed to owners of the parent company and the non-controlling interest, as appropriate. Total comprehensive income is attributed to the owners of the parent company and non-controlling interests even if the results of the non-controlling interest have a deficit balance.

If a subsidiary uses accounting policies other than those adopted in the consolidated financial statements for transactions and other events in similar circumstances, appropriate adjustments are made to the consolidated financial statements of subsidiaries in order to ensure compliance with Arauco's accounting policies.

All intercompany transactions and unrealized gains and losses from subsidiaries have been fully eliminated from these consolidated financial statements and non-controlling interest is presented in the consolidated statement of financial position within equity.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

The consolidated financial statements at the end of this period include the assets, liabilities, income and expenses of the subsidiaries shown in Note 13.

Certain consolidated subsidiaries have Brazilian real, Mexican pesos, Canadian dollars, Chilean pesos and Argentine pesos as their functional currencies. For consolidation purposes, the financial statements of those subsidiaries have been prepared in accordance with IFRS and translated as indicated in Note 1 (e) (ii).

The subsidiaries non-controlling interests in profits or losses and in the equity are presented separately in the consolidated statement of comprehensive income, in the consolidated statement of changes in equity and in the consolidated statement of financial position respectively.

Segments

Arauco has defined its reportable segments according to its business areas, based on the products and services sold to its customers. This definition is consistent with the management, resource allocation and performance assessment made by key personnel responsible for making relevant decisions related to the Company’s operation. The personnel responsible for making such decisions is the Chief Executive Officer who is the highest authority for making decisions and is supported by the Vice-presidents of each segment.

Based on the aforementioned process, the Company has established reportable segments according to the following business units:

Pulp

Wood products

Refer to Note 24 for detailed financial information by reportable segment.

Functional currency

(i)

Functional currency

All items in the financial statements of Arauco and each of its subsidiaries, associates and jointly controlled entities are measured using the currency of the primary economic environment in which each entity operates (the functional currency). The consolidated financial statements are presented in U.S. dollars, which is Arauco’s functional and presentation currency.

(ii)

Translation to the presentation currency of Arauco

For the purposes of presenting consolidated financial statements, assets and liabilities of Arauco’s operations in a functional currency different from Arauco’s are translated into U.S. dollars using exchange rates prevailing at the end of each reporting period. Income and expense items are translated at the average exchange rates for the period, unless exchange rates fluctuate significantly during that period, in which case the exchange rates at the dates of the transactions are used. Exchange rate differences are recognized in other comprehensive income and accumulated in “Other reserves” within equity.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

(iii)

Foreign currency transactions

Transactions in currencies other than the functional currency are recognized at the exchange rates prevailing at the dates of the transactions. Profit or loss on transactions in currencies other than the functional currency resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies, are recognized in the consolidated statements of profit or loss, except those which are recorded in other comprehensive income and accumulated in equity such as cash flows hedging derivatives.

Cash and cash equivalents

Cash and cash equivalents include cash-on-hand, deposits held on demand at financial entities and other short-term highly liquid investments with an original maturity of three months or less and which are subject to an insignificant risk of changes in value.

Financial instruments

Financial assets

Initial classification

Arauco classifies its financial assets into the following categories: fair value through profit or loss and amortized cost.

The classification is based on the business model used to manage the assets and the characteristics of their contractual cash flows.

Management determines the classification of its financial assets at the time of their initial recognition.

(a) Financial assets at fair value through profit or loss: these instruments are initially measured at fair value. Net income and losses, including any income from interest or dividends, are registered in the profit or loss of the period. Financial assets are classified in the category of financial assets at fair value through profit or loss when they are maintained for negotiation or designated in their initial registration as assets at fair value through profit or loss. A financial asset can be classified in this category if it is acquired mainly for the purposes of being sold in the short-term. Gain or losses of assets held for negotiations are registered in the consolidated statements of profit or loss, and the related interest is registered independently as financial income. Derivatives are classified as acquired for negotiation also unless they are designated as hedging instruments.

(b) Assets measured at amortized cost: they are initially registered at the fair value of the transaction, adding or subtracting the transaction costs that are directly attributable to the issuance of the financial asset or financial liability. The financial asset is maintained within a business model, the objective of which is to maintain financial assets to obtain contractual cash flows and the contractual conditions of the asset give rise, on specified dates, to cash flows that are solely payments of principal and interest (“SPPI”) over the amount of the outstanding principal.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Subsequent measurement

Financial instruments are subsequently measured at fair value through profit or loss or amortized cost.

The classification is based on two criteria: i) the Company’s business model for the management of financial instruments, and ii) whether the contractual cash flows related to the financial instruments represent “Solely Payments of Principal and Interest”.

a) Financial assets at fair value through profit or loss: these instruments are subsequently measured at fair value. Net earnings and losses, including income from interest and dividends, are registered as profits or losses for the period. These instruments are held for negotiation, and they are mainly acquired to be sold in the short-term. Derivatives are also classified as held for negotiation, unless they are registered as hedging instruments. Financial instruments of this type are classified as other current and non-current financial assets. They are subsequently valuated by determining their fair value, registering changes in value in the consolidated statements of profit or loss, in the items of financial income or financial costs.

b) Financial assets measured at amortized cost: These instruments are subsequently measured at amortized cost minus accumulated amortizations, using the effective interest method and adjusted by loss allowance and volume discounts, in the case of financial assets. Financial income and expenses, foreign exchange income and losses, and impairment are registered in results. Any earnings or losses due to initial or subsequent reductions of the value of the asset are registered in the statement of profit or loss of the period. Borrowings and receivables are non-derivative financial instruments with fixed or determinable payments not traded in any active market. They are registered at amortized cost, registering accrued conditions directly in profit or loss.

Arauco measures accumulated losses in a quantity equivalent to expected credit losses during the lifelong commitment. Expected credit losses are based on contractual cash flow differences based on the allowance of each contract and the cash flows that Arauco expects. The difference is then discounted based on an approximation of the asset’s original effective interest rate. The asset’s carrying value is reduced as the allowance is used, and the loss is recognized in sales expenses in the consolidated statements of profit or loss. When an account receivable cannot be collected, it is regularized against the allowance account for receivables. Subsequent recoveries of previously impaired amounts are recognized as a debit in distribution cost.

Derivative financial instruments are explained in Note 1 h).

Additionally, Arauco manages portfolio sales programs, which are accounted for in accordance with IFRS 9 on Financial Instruments. The assigned accounts receivable are derecognized only when Arauco has substantially transferred all the related risks and benefits incidental to their ownership.

To assess whether substantially all the risks and benefits of ownership have been transferred, Arauco considers, among other factors, credit risk, late payment risk, and foreign exchange risk. Collections related to the assigned portfolio of accounts receivable are presented in the consolidated statement of cash flows as part of operating activities.

Financial liabilities

Arauco classifies its financial liabilities as follows: fair value through profit or loss, derivatives designated as effective hedging instruments and amortized costs.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Management determines the classification of its financial liabilities upon initial recognition. Financial liabilities are derecognized when the obligation is cancelled, settled or expired. When an existing financial liability is replaced with another of the same provider under substantially different terms, or where the terms of an existing liability are substantially amended, such exchange or modification is treated as a write-off of the original liability, with a new liability being recognized, and the difference between the respective carrying amounts is recognized in the consolidated statement of profit or loss.

Financial liabilities are initially recognized at fair value, and in the case of borrowings, they include the costs directly attributable to the transaction. The subsequent measurement of the financial liabilities depends on their classification:

Financial liabilities at fair value through profit or loss

Financial liabilities are included in the category of financial liabilities at fair value through profit or loss when they are held for trading or originally designated at fair value through profit or loss. Income and losses from liabilities held for trading are recognized in profit or loss. This category includes non-designated derivatives for hedging accounting.

Financial liabilities at amortized cost

Other financial liabilities are subsequently valued at their amortized cost based on the effective interest rate method. The amortized cost is calculated taking into account any premium or acquisition discount and includes the costs of transactions that are an integral part of the effective interest rate. This category includes commercial accounts payable and other accounts payable, lease liabilities, as well as the borrowings included in other current and non-current financial liabilities.

Derivative financial instruments

(i) Derivative financial instruments - The Company enters into a variety of derivative financial instruments to manage its exposure to interest rate and foreign exchange rate risks, including foreign exchange forward contracts, interest rate swaps, currency swaps and zero cost collar contracts. The Company’s policy is to enter into derivatives contracts only for economic hedging purposes and not with speculation objectives.

Derivatives are initially recognized at fair value at the date the derivative contracts are entered into and are subsequently re-measured at fair value at the end of each reporting period. The resulting gain or loss is recognized in profit or loss unless the derivative is designated as a hedging instrument and complies with hedge accounting requirements, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.

(ii) Embedded derivatives

The Company assesses the existence of embedded derivatives in financial instrument contracts. Derivatives embedded in non-derivative host contracts are treated as separate derivatives when they meet the definition of a derivative, their risks and characteristics are not closely related to those of the host contracts and the contracts are not measured at FVTPL as a whole. Arauco has determined that no embedded derivatives currently exist.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

(iii) Hedge accounting

The Company designates certain hedging instruments as either fair value hedges or cash flow hedges.

At the inception of the hedge relationship, the entity documents the relationship between the hedging instrument and the hedged item, along with its risk management objectives and its strategy for undertaking various hedge transactions. Furthermore, at the inception of the hedge and on an ongoing basis, Arauco documents whether the hedging instrument is highly effective in offsetting changes in fair values or cash flows of the hedged item attributable to the hedged risk.

-Fair value hedges

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognized in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

-Cash flow hedges

The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognized in other comprehensive income and accumulated under the heading of cash flow hedging reserve. The gain or loss relating to the ineffective portion is recognized immediately in profit or loss, and is included in the Finance costs line item in the consolidated statement of profit or loss. Amounts previously recognized in other comprehensive income are reclassified to profit or loss in the periods when the hedged item affects profit or loss, in the same line as the recognized hedged item.

Hedge accounting is discontinued when the Group revokes the hedging relationship, when the hedging instrument expires or is sold, terminated, or exercised, or when it no longer qualifies for hedge accounting. Any gain or loss recognized in other comprehensive income and accumulated in equity at that time remains in equity and is recognized when the forecasted transaction is ultimately recognized in profit or loss. When a forecasted transaction is no longer expected to occur, the gain or loss accumulated in equity is recognized immediately in profit or loss.

Inventories

Inventories are measured at the lower of cost or net realizable value. Cost is determined using the weighted average cost method.

The cost of finished and in process products includes the cost of raw materials, direct labor, other direct costs and manufacturing overhead expenses.

Initial costs of harvested wood are determined at fair value less cost of sale at the point of harvest.

Biological assets are transferred to inventories when forests are harvested.

Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale.

When market conditions result in the production costs of a product exceeding its net realizable value, the inventories are written-down to their net realizable value. This write-down also includes obsolescence amounts resulting from the terms and conditions of sale of the products, slow moving inventories and technical obsolescence.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Spare parts that will be consumed in a period of less than twelve months are presented in inventories and recognized as an expense when they are consumed.

Non-current assets held for sale

Arauco classifies certain property, plant and equipment, intangible assets, investments in associates and disposal groups (groups of assets to be sold together with their directly associated liabilities) as non-current assets held for sale which as of the date of the consolidated statements of financial position are the subject of active sale efforts which are estimated to be highly probable.

These assets or disposal groups are measured at the lower of the carrying amount or the fair value less the costs to sell, and are no longer depreciated or amortized from the time they are classified as non-current assets held for sale.

Business combinations

Arauco applies the acquisition method to account for a business combination. This method requires the identification of the acquirer, determination of the acquisition date, recognition and measurement of the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree, and recognition and measurement of goodwill or a gain from a bargain purchase. Identifiable assets acquired and liabilities assumed and any contingent liabilities in a business combination are initially measured at fair value at the acquisition date, except:

-deferred tax assets or liabilities, and assets or liabilities related to employee benefit arrangements are recognized and measured in accordance with IAS 12 Income taxes and IAS 19 respectively;

-liabilities or equity instruments related to share-based payment arrangements of the acquiree or share-based payment arrangements of the Group entered into to replace share-based payment arrangements of the acquiree are measured in accordance with IFRS 3 at the acquisition date; and

-assets (or disposal groups) that are classified as held for sale in accordance with IFRS 5 Non-current assets held for sale and discontinued operations are measured in accordance with such standard.

Acquisition-related costs are accounted for as expenses when they are incurred, except for costs to issue debt or equity securities which are recognized in accordance with IAS 32 and IFRS 9.

A parent will present non-controlling interests in the consolidated statement of financial position within equity, separately from the equity of the owners of the parent company.

Changes in the ownership interest of a parent in its subsidiary that do not result in a loss of control are treated as equity transactions. Any difference between the amount by which non-controlling interests are adjusted and the fair value of the consideration paid or received is recognized directly in equity and attributed to owners of the parent company. No adjustment is made to the carrying amount of goodwill, neither gains nor losses are recognized in the statement of profit or loss.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Non-controlling interests that are present ownership interests and entitle their holders to a proportionate share of the entity's net assets in the event of liquidation may initially be measured either at fair value or at the present ownership instruments' proportionate share of non-controlling interests, in the recognized amounts of the acquirer’s identifiable net assets. The choice is made on a transaction-by-transaction basis.

Arauco measures the fair value of the acquired company in the business combination achieved in each stage (“step acquisition”), recognizing the effects of remeasurement of previously held equity in the acquiree in the consolidated statements of profit or loss.

If the initial accounting for a business combination is not completed by the end of the reporting period in which the combination occurs, Arauco reports preliminary amounts for the items for which the accounting is incomplete. During the measurement period (no more than one year), these preliminary amounts are retrospectively adjusted, or additional assets or liabilities are recognized to reflect new information about facts and circumstances that existed at the acquisition date, if known, would have affected the amounts recognized at that date.

Business combinations that are under common control transactions are accounted using as a reference the pooling of interest. Under this method, assets and liabilities related to the transaction carry over the previous carrying values. Any difference between assets and liabilities included in the consolidation and the consideration transferred, is accounted in equity.

Investments in associates and joint arrangements

Associates are entities over which Arauco exercises significant influence, but not control. Significant influence is the power to participate in the financial and operating policy decisions of the investee but is not control or joint control over those policies.

Joint arrangement is defined as an entity over which there is joint control, which exists only when the decisions about strategic of activities, both financial and operational, require the unanimous consent of the parties sharing control.

Investments in joint arrangements are classified as a joint venture or as a joint operation. A joint operation is a joint arrangement in which the parties that have joint control of the arrangement (i.e. joint operators) have rights to the assets and obligations for the liabilities, relating to the arrangement. A joint venture is a joint arrangement in which the parties that have joint control of the arrangement (i.e., participants in a joint venture) have rights to the net assets of the arrangement.

Investments in associates and joint ventures are accounted for using the equity method and are initially recognized at cost. Their carrying amount is increased or decreased to recognize the portion corresponding to the statement of profit or loss or to the statement of comprehensive income. Dividends received are recognized by deducting the amount received from the carrying amount of the investment. Arauco’s investment in associates includes goodwill (both net of any accumulated impairment loss).

The investments in joint operations are recognized through consolidation of assets, liabilities and results of operations in relation to Arauco's ownership percentage.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

If the acquisition cost is lower than the fair value of the net assets of the associate acquired, the difference is recognized directly in statement of profit or loss in line other gains (losses).

Investments in associates and joint ventures are presented in the consolidated statement of financial position in the line item “Investments accounted for using equity method”.

If Arauco’s share of losses of an associate or joint venture equals or exceeds its interest in the associate or joint venture, Arauco discontinues recognizing its share of further losses. After Arauco's carrying value in the investee is reduced to zero, additional losses are provided for, and a liability is recognized, only to the extent that Arauco has incurred legal or constructive obligations or made payments on behalf of the associate or joint venture. If the associate or joint venture subsequently reports profits, Arauco resumes recognizing its share of those profits only after its share of the profits equals the share of losses not recognized.

Intangible assets other than goodwill

After initial recognition, intangible assets with finite useful lives are carried at cost less any accumulated amortization and impairment losses.

Amortization of an intangible asset with a finite useful life is allocated over the asset’s useful life. Amortization begins when the asset is available for use, i.e., when it is in the location and condition necessary for it to be capable of operating in the manner intended by management.

(i)

Computer software

Computer software licenses are capitalized in terms of the costs incurred to acquire and make them compatible with existing software. These costs are amortized over the estimated useful lives of the software.

(ii)

Water rights, rights of way and other rights

This item includes water rights, rights of way and other acquired rights recognized at historical cost which have indefinite useful lives as there is no foreseeable limit to the period over which these assets are expected to generate future cash flows. These rights are not amortized, but are tested for impairment at least annually, or when there is any indication that the assets might be impaired.

(iii)

Customers relationships

Correspond to the valuation over the time of the established relationship with customers, from the sale of products and services through its sales team. These relations will materialize in sales orders, which generate revenue and cost of sales. The useful life has been determined to be 15 years.

Goodwill

Goodwill is measured as the excess of the sum of the consideration transferred, the amount of any non-controlling interest in the acquired company, and the fair value of the acquirer's previously held equity interest in the acquired company (if any) over the net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed. If the total of consideration transferred, non-controlling interest recognized and previously held interest measured is less than the fair value of the net assets of the subsidiary acquired in the case of a bargain purchase, the difference is recognized directly in the statements of profit or loss.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Goodwill is not amortized but tested for impairment on annual basis.

After initial recognition, goodwill is measured at cost less any accumulated impairment losses. For purposes of impairment testing, goodwill in a business combination is allocated as of the acquisition date to the cash generating unit or a group of cash generating units expected to benefit from the synergies of the combination irrespective of whether other assets or liabilities of the acquired company are allocated to those units or group of units.

The goodwill generated on acquisitions of foreign companies, is expressed in the functional currency of such foreign company.

Goodwill recognized in subsidiaries Arauco Canada Ltd. and Arauco do Brasil S.A., generated on subsidiaries acquisitions whose functional currency is different from the functional currency of the parent company and presentation of these consolidated financial statements, are translated into U.S. dollars at the closing exchange rate.

Property, plant and equipment

Property, plant and equipment are measured at cost less accumulated depreciation and accumulated impairment. The cost includes expenditures that are directly attributable to the acquisition of the assets.

Subsequent costs, such as improvements and replacement of components, are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to Arauco and the cost of the item can be measured reliably. The carrying amount of the replaced part is derecognized from property, plant and equipment. All other repairs and maintenance costs are expensed in the period in which they are incurred.

Arauco capitalizes borrowing costs that are directly attributable to the acquisition, construction or production of qualifying assets as part of the cost of those assets, until the assets are ready for their intended use (See Note 12).

Depreciation is calculated by components using the straight-line method.

The useful lives of the items of property, plant and equipment is estimated according to the expected use of the assets. The residual values and useful lives of assets are reviewed and adjusted, if appropriate, annually.

Leases

Arauco applies IFRS 16 for recognizing leases in a manner consistent with contracts with similar features and akin circumstances.

At the beginning of a contract, Arauco assesses whether the contract is, or if it contains, a lease. A contract is, or contains, a lease if it transfers the right to control the use of a given asset for a certain period of time, in exchange for consideration.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

As of the initial date for recording a lease, Arauco, as lessee, recognizes an asset by the right of use at cost.

The cost of the asset for right of use comprises:

The amount of the initial measurement of the lease liability. This measurement is at present value of the payments for leases that have not been disbursed as of that date. Payments for leases are discounted using the incremental interest rate for financial borrowings;

Payments for leases performed prior to or as of the initiation date, minus the lease incentives that have been received;

The initial direct costs incurred by the lessee; and

An estimation of the costs to be incurred by the lessee when dismantling and eliminating the underlying asset, restoring the location where the same is located, or restoring the underlying asset to the condition required under the terms and conditions of the lease, unless such costs are incurred in order to produce inventories. The lessee assumes obligations stemming from such costs either at the commencement date, or as a result of having used the underlying asset during a specific period.

After the initial recognition date, Arauco, as lessee, recognizes its asset for right of use by applying the cost model, minus the accumulated depreciation and impairment losses, and adjusted for remeasurement of the liability for lease.

At the beginning, Arauco in the capacity of lessee, recognizes the lease liability at present value of the lease payments that have not been disbursed as of that date. Lease payments are discounted using the incremental interest rate for financial borrowings.

After the initial recognition date, Arauco, as lessee, recognizes a liability for leases by increasing the book value, so as to reflect the interest over the liability for lease, reducing the amount in order to reflect the payments for leases that have been performed and once again recognizing the book value, so as to reflect the remeasurement and also to reflect the essential fixed payments for leases that have been revised.

Arauco presents the assets by right of use in the consolidated statement of financial position and are further disclosed in Note 8. Likewise, lease liabilities are presented in the consolidated statement of financial position and further disclosed in Note 23.

IFRS 16 maintains substantially the accounting requirements of the lessor from IAS 17. Therefore, Arauco has continued to classify its leases as operational or financial, as the case may be.

Income from operating leases in which Arauco is the lessor are recognized on a straight-line basis during the term of the lease. Initial direct costs are added to the book value of the underlying asset and are recognized as expenses during the term of the lease on the same basis as the lease income. Leased assets are included within the statement of financial position, in property, plant and equipment. Arauco did not make adjustments with respect to assets that maintains as a lessor, as a result of IFRS 16 adoption.

When assets are leased under a financial lease, the present value of lease payments are recognized as financial accounts receivable. The difference between the gross receivable and the present value of such amount, is recognized as financial return on capital.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Arauco evaluates the economic nature of the contracts that grant the right to use certain assets, for the purposes of determining the existence of implied leases. In these cases, the Company separates, at the beginning of the contract and based on its relative reasonable values, payments and considerations associated with the lease, from the rest of the elements incorporated into the contract.

Biological assets

IAS 41 requires that biological assets, such as standing trees, are measured at fair value less cost to sell in the statement of financial position. Forestry plantations are accounted for at fair value less costs to sell, based on the presumption that fair values of these assets can be measured reliably.

Biological assets shown as current assets correspond to those forestry plantations that will be harvested in the short-term.

Biological growth and changes in fair value of forestry plantations are recognized in the line item “Other income” in the consolidated statements of profit or loss.

Income taxes

The tax liabilities are recognized in the consolidated financial statements based on the determination of taxable income for the year and calculated using the tax rates in force in the countries where Arauco operates.

Deferred income tax is recognized using liability method, on the temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the consolidated annual accounts. Deferred income tax is determined using tax rates contained in laws adopted as of the date of the financial statements and that are expected to be applicable when the related deferred tax asset is realized, or the deferred income tax liability is settled.

Deferred taxes are recognized in accordance with the standards established in IAS 12 - Income Tax.

The goodwill arising on business combinations does not give rise to deferred tax.

The deferred tax assets and tax credits are generally recognized for all deductible temporary differences to the extent that it is probable that future taxable profit will be available against which those deductible temporary differences can be utilized.

Provisions

Provisions are recognized when the Company has a present obligation, legal or constructive, as a result of past events, under which, it is probable that an outflow of resources will be required to settle the obligation; and when a reliable estimate can be made of the amount of the obligation. The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Other non-financial assets and liabilities

Non-financial assets are recognized when it is probable that the related economic benefits will flow to the entity and their cost can be measured reliably.

Non-financial liabilities are recognized when a legal or constructive obligation exists as a result of a past event, it is probable that an outflow of economic resources will be required to settle the obligation, and the amount of the obligation can be measured reliably.

In this context, Arauco enters into agreements with independent producers for the establishment and management of forest plantations intended to supply timber. Pursuant to these agreements, Arauco provides cash advances, land and seedlings, which are settled through the delivery of a proportion of the plantations at the end of each growth cycle.

As Arauco does not exercise control over the forests or over the related production decisions throughout the growth cycle, it does not recognize biological assets. Instead, the cash advances and other related costs are capitalized and recognized as non-financial assets.

Furthermore, Arauco enters into right-of-first-refusal arrangements to acquire a portion of the plantations or timber at market value. Such arrangements qualify as own-use contracts under IFRS 9 and, accordingly, do not give rise to a financial liability nor contain an embedded derivative.

Revenue recognition

Revenues are valued at fair value of the consideration received or to be received, derived from them. Arauco analyses and takes under consideration all relevant facts and circumstances to apply the five-step model established under IFRS 15 to customer contracts: (i) identify the contract, (ii) identify the performance obligations, (iii) determine the transaction price, (iv) allocate the transaction price, and (v) recognize revenue. Additionally, Arauco evaluates the incremental costs of obtaining a contract and the costs incurred to comply with a contract. Arauco recognizes revenues when the steps established in IFRS have been satisfactorily complied with.

Accounts receivable are recognized when control over goods or services has been transferred to the customer, because at this point of the time collection is unconditional and the passage of time is only needed to receive payment.

(i)

Revenue recognition from the sale of goods

Revenue from the sale of goods is recognized when Arauco has transferred to the buyer the significant risks and rewards of ownership of the committed goods, when the amount of revenue can be reliably measured, when Arauco does not retain any managerial involvement over the goods sold and when it is probable that the economic benefits associated with the transaction will flow to Arauco and the costs incurred in respect of the transaction can be measured reliably. Revenue from the sale of goods are recognized when there is no obligation unsatisfied that could affect the customer’s acceptance of the product. The delivery is effective when the products are sent to the specific location, the risks of obsolescence and loss have been transferred to the customer and when Arauco has objective evidence that all acceptance criteria have been satisfied.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Sales are recognized in terms of the price agreed to in the sales contract, less any volume discounts and estimated product returns at the date of the sale. There is no significant financing component given that receivables from sales are collected within a short period, which is in line with market practices.

The structure for recognizing revenue from export sales is based on the 2010 Incoterms, which are the official rules for the interpretation of commercial terms issued by the International Chamber of Commerce.

The main Incoterms used by Arauco are the following:

“CFR (Cost and freight)”, where the company bears all costs including main transportation, until the products arrives at its port of destination. The risk is transferred to the purchaser once the products have been loaded onto the vessel, in the country of origin.

“CIF (Cost Insurance & Freight)”, where the Company organizes and pays for external freight services and some other expenses. Arauco is no longer responsible for the products once they have been delivered to the ocean carrier company.

(ii)

Revenue recognition from rendering of services

Revenue from the rendering of services is recognized as long as the performance obligation have been satisfied.

Revenue is recognized considering the stage of completion of the transaction at the date of the reporting period, when Arauco has the enforceable right of payment from the rendering of the services.

There is no significant financing component, given that sales are made with a reduced average collection period, which is in line with market practice.

Arauco mainly provides power supply services which are transacted principally in the spot market of the Sistema Eléctrico Nacional (SEN) (“National Electrical System”). According to current regulations, the prices on that market called “Marginal Costs” are calculated by the Coordinador Eléctrico Nacional (CEN) (“National Electrical Coordinator”) and are generally recognized in the period in which the services are rendered.

Electrical power is generated as a by-product of the pulp and wood process and is a complementary business to it, which is initially supplied to the group’s subsidiaries and any surplus is sold to the SEN.

Arauco provides other non-core services such as port services and pest control whose revenues are derived from fixed price service contracts are recognized considering the stage of completion of the services rendered at the date of reporting, generally during the period of the service contract on a straight-line basis over the term of the contract.

Revenues from reportable segments mentioned in Note 24 are measured in accordance with the policies indicated in the preceding paragraphs.

Revenues from inter-segment sales (which are made at market prices) are eliminated in the consolidated financial statements.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Minimum dividend

The statutes of the Company provide that for the purposes of the annual distribution of the net income of each year, it will be up to the Ordinary Shareholders' Meeting annually to determine the part of said profits that will be distributed as a dividend to the shareholders. Such determination will be made by the Board without being subject to the minimum of 30% established in article No. 79 of the Chilean Corporations Law No. 18,046, on Public Limited Companies, and may agree to the distribution of a lower percentage.

In a board meeting on September 24, 2024, it was agreed to modify the dividend policy, establishing that an amount equivalent to 30% of the distributable net profit for the fiscal years 2024, 2025 and 2026, will be distributed annually. For subsequent years, an amount equivalent to 40% of the distributable net income for each fiscal year will be distributed as dividends. Nevertheless, the Board of Directors may decide to distribute and pay dividends to the shareholders, to the extent that it expects the year to finalize with positive results and that the Company’s liquidity allows such distribution and payment.

Earning per share

Basic earnings per share are calculated by dividing the net profit for the period attributable to owners of the parent company by the weighted average number of ordinary shares outstanding during the period, excluding the average number of shares in the Company held by a subsidiary, if such circumstance exists. Arauco has not performed any type of transaction with a potential dilutive effect that would cause diluted earnings per share to be different from basic earnings per share.

Impairment

Non-financial assets

The recoverable amount of property, plant and equipment and other long-term assets with finite useful lives are measured whenever there are any circumstances indicating that the assets have to recognize an impairment loss. Among the circumstances to consider as evidence of impairment are significant declines in the assets’ market value, significant adverse changes in the technological environment, obsolescence or physical damages of assets and changes in the manner in which the asset is used or expected to be used). Arauco evaluates at the end of each reporting period whether there is any evidence of the indications above mentioned.

A previously recognized impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount however a reversal of an impairment loss shall not exceed the carrying amount that would have been determined (net of amortization or depreciation) had no impairment loss been recognized for the asset in prior years.

For the purposes of assessing impairment losses, assets are grouped at the lowest level for which there is identifiable cash flows separately for each cash-generating unit. Non-financial assets, other than goodwill, which had recognized an impairment loss, are reviewed at the end of each reporting period whether there are any circumstances indicating that an impairment loss previously recognized may no longer exist or has decreased.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

“Cash-generating units” are the smallest identifiable groups of those cash inflows that are largely independent of the cash inflow from other assets or groups of assets.

Goodwill

Goodwill and intangible assets with indefinite useful life are tested annually for impairment or whenever circumstances indicate it. The recoverable amount of an intangible asset is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognized whenever the carrying amount exceeds the recoverable amount.

A cash-generating unit, for which goodwill has been allocated, is tested for impairment annually or more frequently when there are circumstances indicating that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than its carrying amount, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to other assets pro rata based on the carrying amount of each asset in the unit. Any impairment loss of goodwill is recognized directly in the consolidated statement of profit or loss. An impairment loss recognized for goodwill is not reversed in subsequent periods.

Goodwill is allocated to cash-generating units for impairment testing purposes. The allocation is made between cash-generating units or groups of cash generating units expected to benefit from the synergies of the combination.

Financial assets

At the end of each reporting period, an assessment is performed in order to identify whether there is any objective evidence that a financial asset or a group of financial assets may have been impaired.

An allowance for doubtful accounts is established based on a measurement of expected losses using a simplified approach.

The allowance for doubtful accounts is measured as the difference between the carrying amount of receivables and the present value of estimated future cash flows. The carrying amount of the receivable is reduced through the use of the allowance. If the impairment loss decreases in later periods, it is reversed either directly or by adjusting the provision for doubtful accounts, with effect in profit or loss.

Employee benefits

Arauco constitutes labor obligations for severance payable in all circumstances for certain of its employees with at least 5 years of work in the Company, based on the terms of the staff’s collective and individual bargaining agreements.

The related provision is an estimate of the years of service to be recognized as a future labor obligation liability, in accordance with contracts between Arauco and its employees and pursuant to actuarial valuation criteria for this type of liability. This post-employment benefit is considered a defined benefit plan.

The main factors considered for calculating the actuarial value of severance obligation for years of service are employee turnover, salary increases and life expectancy of the workers included in this benefit.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Actuarial gains and losses are recognized in other comprehensive income in the year they are incurred.

These obligations are related to post-employee benefits in accordance with current standards.

Employee vacations

Arauco recognizes the expense for employee vacation according to labor legislation in each country on an accrual basis.

This obligation is presented in line item “Trade and other current payables” in the consolidated statements of financial position.

AA)

Recent accounting pronouncements

a) Standards, interpretations and amendments that are mandatory for the first time for annual periods beginning on January 1, 2025:

Amendments and

improvements

Content

Mandatory application
for annual periods
beginning on or after

IAS 21

Lack of Exchangeability

An entity is impacted by the amendments when it has a transaction or an operation in a foreign currency that is not exchangeable into another currency at a measurement date for a specified purpose.

January 1, 2025

The adoption of the standards, amendments and interpretations described in the table above have not had a significant impact on Arauco’s consolidated financial statements during its initial application period.

b) Standards, interpretations and amendments, the application of which is not yet mandatory, which have not been adopted in advance:

Amendments and improvements	Content	Mandatory application for annual periods beginning on or after
IFRS 9 and IFRS 7	Classification and Measurement of Financial Instruments Clarify the requirements, give the guidance, add new disclosures for certain instruments. Contracts Referencing Nature Dependent Electricity Clarify the application and disclosure requirements; permitting hedge accounting if these contracts are used as hedging instruments.	January 1, 2026
IFRS 18	Presentation and Disclosure in Financial Statements This is the new standard on presentation and disclosure in financial statements, with a focus on updates to the statement of profit or loss.	January 1, 2027
IFRS 19	Subsidiaries without Public Accountability: Disclosures An eligible subsidiary applies the requirements in other IFRS Accounting Standards except for the disclosure requirements and instead applies the reduced disclosure requirements in IFRS 19.	January 1, 2027
IAS 21	Translation to a Hyperinflationary Presentation Currency These narrow-scope specify the translation procedures for an entity whose presentation currency is that of a hyperinflationary economy.	January 1, 2027

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Arauco estimates that the adoption of the standards, amendments and interpretations described in the table above will not have a significant impact on Arauco’s consolidated financial statements during its initial application period, except for the new IFRS 18 standard that will modify the actual presentation of the Income Statement, and we are currently evaluating any significant impacts.

NOTE 2. ACCOUNTING POLICIES, CHANGES IN ACCOUNTING ESTIMATES

Changes to accounting policies

As of December 31, 2025, there had not been significant changes in the accounting policies with respect to the 2024 financial year.

Changes to accounting estimates

As of December 31, 2025, there had been no changes in the methodologies for calculating the accounting estimates with respect to the 2024 financial year.

NOTE 3. DISCLOSURE OF OTHER INFORMATION

Disclosure of information on issued capital

As of December 31, 2025 and 2024, the shareholders composition according to the amount of shares owned was as follows:

	12-31-2025					12-31-2024
Shareholders	Shares		%			Shares		%
Empresas Copec S.A.		131,893,675		99.99991584	%		125,042,019		99.99991603	%
AntarChile S.A.		111		0.00008416	%		105		0.00008397	%
		131,893,786		100.00000000	%		125,042,124		100.00000000	%

At the date of these consolidated financial statements, the share capital of Arauco was ThU.S.$ 1,553,618.

	12-31-2025		12-31-2024
Description of shares by type of capital in ordinary shares	100% of Capital corresponds to ordinary shares
Number of authorized shares by type of capital in ordinary Shares		131,893,786		125,042,124
Nominal value of shares by type of capital in ordinary shares		U.S.$ 11.7793 per share		U.S.$ 8.8260 per share
Amount of capital in shares by type of ordinary shares that constitute capital		ThU.S.$ 1,553,618		ThU.S.$ 1,103,618
Number of shares issued and fully paid by type of capital in ordinary shares		131,893,786		125,042,124

Dividends paid

On May 7, 2025, a definitive dividend of ThU.S.$ 112,287 was paid in accordance with the dividend policy for the distribution of 30% of the distributable net profit, after deducting the payment made in December 2024 mentioned in the following paragraph.

On December 10, 2024, a provisional dividend of ThU.S.$ 94,397 was paid with a charge to the retained earnings from the profits of the 2024 financial year.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

The ThU.S.$ 8,449 million presented in the consolidated statement of changes in equity corresponds to the minimum dividend provision for the 2025 fiscal year. The ThU.S.$ 206,684 shown in the consolidated statement of changes in equity corresponds to the minimum dividend provision for the 2024 financial year.

In the consolidated statement of cash flows, the dividends paid line shows an amount of ThU.S.$114,622 for the year ended December 31, 2025 (ThU.S.$ 94,637 for the year ended December 31, 2024), of which ThU.S.$114,199 (ThU.S.$ 94,397 for the year ended December 31, 2024) correspond to the dividends payment made to the parent company.

See Note 26 for details.

Dividends paid detail, ordinary shares
Dividends paid	Definitive dividend
Classes of shares for which there are dividends paid	Ordinary shares without series
Date of dividends paid	05-07-2025
Amount of dividends	ThU.S.$ 112,287
Number of shares on which pay dividends	125,042,124
Dividend per shares	U.S.$ 0.897997

Dividends paid detail, ordinary shares
Dividends paid	Provisional dividend
Classes of shares for which there are dividends paid	Ordinary shares without series
Date of dividends paid	12-10-2024
Amount of dividends	ThU.S.$ 94,397
Number of shares on which pay dividends	120,474,350
Dividend per shares	U.S.$ 0.783542

Disclosure of information on reserves

Other reserves comprise reserves of exchange differences on translation, reserves of cash flow hedges and other reserves. Arauco does not have any restrictions associated with these reserves.

Reserves of exchange differences on translation

Reserves of exchange differences on translation correspond to exchange differences of Arauco’s subsidiaries whose functional currency is other than Arauco’s presentation currency.

Reserves of cash flow hedges

The hedging reserve corresponds to the part of the net gains or losses of derivatives financial instruments that qualify as cash flow hedges, in force in Arauco at the end of each period/fiscal year.

Reserve of actuarial losses in defined benefit plans

This corresponds to changes in the present value of the obligation for defined benefits resulting from experience adjustments (the effect of the differences between the previous actuarial assumptions and the events that occurred within the context of the plan) and the effects of the changes in the actuarial assumptions.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Other reserves

This mainly corresponds to the share of legal reserves and other comprehensive income of investments in associates and joint agreements.

Other items in the consolidated statements of profit or loss

The table below sets forth other income, other expenses, finance income, finance costs and share of profit (loss) of associates and joint ventures for the year ended December 31, 2025 and 2024 are as follows:

	January – December
	2025			2024
	ThU.S.$			ThU.S.$
Classes of Other Income
Total Other Income		324,023			597,061
Gain from changes in fair value of biological assets (Note 20) (1)		204,646			159,021
Net income from insurance compensation		3,819			17,336
Revenue from export promotion		1,312			1,099
Lease income		5,756			4,960
Gain on sales of assets		33,153			21,040
Rights of way		3,620			5
Compensations received		1,584			43
Gain on sales of subsidiaries and associates		-			354,067
Reversal of impairment of property, plants and equipment		11,502			7,248
Reimbursement provisions (legal and others)		11,468			3,680
Gain from assignment of contracts		17,813			-
Other operating income		29,350			28,562

Classes of Other Expenses by function
Total Other Expenses by function		(130,280	)		(212,213	)
Depreciation for leased assets		(2,656	)		(2,814	)
Provision legal expenses		(7,822	)		(12,483	)
Impairment provision for property, plant and equipment, provision for inventory obsolescence, withdrawals and others		(23,832	)		(42,583	)
Operating expenses related to restructuring or from plants stoppage or closed		(24,238	)		(44,181	)
Expenses related to projects		(7,174	)		(11,399	)
Loss by leasses		(942	)		(747	)
Loss of asset sales		(7,821	)		(11,497	)
Loss and repair of assets		(5,913	)		(3,149	)
Loss of forest due to fires		(14,675	)		(24,918	)
Other taxes		(24,687	)		(34,691	)
Research and development expenses		(1,701	)		(1,605	)
Fines, readjustments and interest		(2,370	)		(695	)
Loss on sale of associates		-			(20	)
Loss of tax credits		(135	)		(2,195	)
Other expenses		(6,314	)		(19,236	)

Classes of Finance Income
Total Finance Income		62,560			66,355
Finance income by mutual funds - term deposits		40,808			44,881
Finance income resulting from derivatives		-			3
Other finance income		21,752			21,471

Classes of Finance Costs
Total Finance Costs		(409,724	)		(397,923	)
Interest expense, Bank borrowings		(68,006	)		(85,860	)
Interest expense, Bonds		(196,494	)		(204,570	)
Interest expense resulting from derivatives		(51,990	)		(41,066	)
Interest expense for right-of-use (1)		(48,884	)		(29,991	)
Other finance costs		(44,350	)		(36,436	)

Share of profit (loss) of associates and joint ventures accounted for using equity method
Total		(3,865	)		(45,792	)
Investments in associates (2)		(245	)		(22,650	)
Investments in joint ventures		(3,620	)		(23,142	)

(1)

In 2024, includes the effect of changes in fair value of plantations and interest expense for the Brazilian companies right-of-use assets that were previously classified as held for sale and sold during the period, through the sale date.

(2)

In 2024, includes the share of the profit of the associate Forestal Vale do Corisco S.A. that were previously classified as held for sale and sold during the period, through the sale date.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

The analysis of expenses by nature contained in these consolidated financial statements is presented below:

	January – December
	2025		2024
Cost of sales	ThU.S.$		ThU.S.$
Timber		985,301		963,721
Forestry labor costs and other services		635,344		702,315
Depreciation and amortization		591,693		584,343
Depreciation for right of use		32,025		35,005
Maintenance costs		326,255		355,733
Chemical costs		655,057		662,732
Sawmill costs		111,702		122,927
Other raw materials		269,558		236,098
Other indirect costs		223,180		222,550
Energy and fuel		246,757		276,517
Cost of electricity		51,987		50,587
Staff expenses		418,002		421,621
Total		4,546,861		4,634,149

Total amount is comprised of the cost of inventory sales for ThU.S.$ 4,422,849 for the year ended December 31, 2025 (ThU.S.$ 4,522,430 for the year ended December 31, 2024) and the cost of rendering services for ThU.S.$ 124,012 for the year ended December 31, 2025 (ThU.S.$ 111,719 for the year ended December 31, 2024).

	January – December
	2025		2024
Distribution costs	ThU.S.$		ThU.S.$
Selling costs		32,279		35,502
Commissions		16,974		17,070
Insurance		5,797		6,584
Provision for doubtful accounts		545		1,098
Other selling costs		8,963		10,750
Shipping and freight costs		645,455		659,875
Port services		65,855		70,717
Freights		514,737		530,334
Depreciation for right of use		1,647		1,068
Shipping internment, warehousing, stowage, customs and other costs		63,216		57,756
Total		677,734		695,377

	January – December
	2025		2024
Administrative expenses	ThU.S.$		ThU.S.$
Wages and salaries		223,522		219,046
Marketing, advertising, promotion and publications expenses		14,140		14,516
Insurances		40,645		49,359
Depreciation and amortization		41,997		43,716
Depreciation for right of use		8,543		7,110
Computer services		34,325		29,836
Lease of offices, other property and vehicles		6,704		7,323
Donations, contributions, scholarships		9,152		9,010
Fees (legal and technical advisors)		35,792		35,817
Property taxes, city permits and rights		25,728		21,225
Cleaning services, security services and transportation		23,080		23,329
Third-party variable services (manoeuvres, logistics)		34,536		41,030
Basic services (electricity, telephone, water)		7,338		6,768
Maintenance and repair		4,978		5,932
Seminars, courses, training materials		2,265		3,117
Travels, clothing and safety equipment, environmental expenses, audits and others		48,085		47,893
Total		560,830		565,027

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 4. INVENTORIES

	12-31-2025		12-31-2024
Components of inventory	ThU.S.$		ThU.S.$
Raw materials		169,449		166,695
Production supplies		226,114		209,201
Work in progress		75,497		82,565
Finished goods		764,939		762,086
Spare parts		280,640		235,713
Total inventories		1,516,639		1,456,260

Inventories are subject to adjustments for obsolescence and are evaluated to ensure they are recorded at the lower between cost and net realizable value. As of December 31, 2025, inventories were reduced by ThU.S.$ 5,457 (increased by ThU.S.$ 16,414 as of December 31, 2024) as a result of write-downs to net realizable value. Such write-downs were recognized in cost of sales in both periods.

As of December 31, 2025, the amount of obsolescence provision and net realizable value is ThU.S.$ 84,217 (ThU.S.$ 107,003 as of December 31, 2024), as a consequence of the foregoing, a net increase of inventories was recognized of ThU.S.$ 22,786 (lower provision of ThU.S.$ 3,728 as of December 31, 2024).

For the year ended December 31, 2025, there were inventory write-offs of ThU.S.$ 6,050 (ThU.S.$ 2,200 for the year ended December 31, 2024), which are presented in the consolidated statements of profit or loss within cost of sales.

As of the date of these consolidated financial statements, no inventories were pledged as security.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 5. CASH AND CASH EQUIVALENTS

Cash and cash equivalents include cash on hand, bank checking account balances, time deposits and mutual funds. These are short-term highly liquid investments that are readily convertible to known amounts of cash and are subject to an insignificant risk of changes in value.

The investment objective of time deposits is to maximize the amounts of cash surpluses in the short-term. These instruments are permitted under Arauco’s Investment Policy which allows investing in fixed income securities. These instruments have a maturity of less than three months from the date of acquisition.

Arauco invests in local and international mutual funds in order to maximize the returns of cash surpluses denominated in Chilean pesos or in foreign currencies such as U.S. dollars or Euros. These instruments are permitted under Arauco’s Investment Policy.

As of the date of these consolidated financial statements, there are no amounts of cash and cash equivalents with restrictions on use.

	12-31-2025		12-31-2024
Components of Cash and Cash Equivalents	ThU.S.$		ThU.S.$
Cash on hand		57		47
Balances with Banks		805,428		642,064
Short-term deposits		426,269		359,150
Mutual funds		52,299		70,299
Total		1,284,053		1,071,560

The risk classification of the Company’s mutual funds as of December 31, 2025 and 2024 is shown below.

	12-31-2025 ThU.S.$		12-31-2024 ThU.S.$
AAAfm		620		2,270
AAfm		10,317		60,254
No classification (*)		41,362		7,775
Total Mutual Funds		52,299		70,299

(*) Correspond to mutual funds whose local classification applies a methodology different from that used for the other mutual funds in which the Company invests. Nevertheless, these funds meet the definition of cash equivalents, as they are subject to an insignificant risk of changes in value.

Changes in financial liabilities

		12-31-2025
		Bank borrowings			Hedging liabilities			Bonds and promissory notes			Other financial liabilities			Other financial liabilities, Total
		ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$
Opening balance January 1			1,151,023			201,918			4,717,676			-			6,070,617
Cash flows	(+) Borrowings obtained		961,136			-			1,343,803			-			2,304,939
	(-) Borrowings paid		(850,800	)		1,784			(45,750	)		-			(894,766	)
	(-) Commissions paid		(87,202	)		-			(64	)		-			(87,266	)
	(-) Interest paid		(70,078	)		(48,782	)		(210,690	)		(1,429	)		(330,979	)
	(-) Obtention (payment) of collateral		-			-			-			69,160			69,160
(+) Accrued interest			77,363			48,782			224,724			1,429			352,298
(+/-) Exchange rate difference			56,988			-			278,252			-			335,240
(+/-) Changes in fair value			-			(183,824	)		-			-			(183,824	)
(+/-) Other movements			17,736			-			(5,397	)		-			12,339
Closing balance			1,256,166			19,878			6,302,554			69,160			7,647,758

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

		12-31-2024
		Bank borrowings			Hedging liabilities			Bonds and promissory notes			Other financial liabilities, Total
		ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$
Opening balance January 1			1,499,051			108,004			4,997,038			6,604,093
Cash flows	(+) Borrowings obtained		1,303,663			-			391,862			1,695,525
	(-) Borrowings paid		(1,582,810	)		(6,748	)		(543,340	)		(2,132,898	)
	(+/-) Commissions (discounts) of issue		-			-			11,163			11,163
	(-) Interest paid		(87,699	)		(38,969	)		(206,200	)		(332,868	)
(+) Accrued interest			83,075			40,414			197,941			321,430
(+/-) Exchange rate difference			(24,083	)		-			(135,388	)		(159,471	)
(+/-) Changes in fair value			-			99,217			-			99,217
(+/-) Other movements (*)			(40,174	)		-			4,600			(35,574	)
Closing balance			1,151,023			201,918			4,717,676			6,070,617

(*):

In 2024, this line includes mainly the exchange difference on translation mainly from Brazilian companies.

		Lease liabilities
		12-31-2025			12-31-2024
		ThU.S.$			ThU.S.$
Opening balance January 1			727,990			559,382
Cash flows	(-) Borrowings paid		(101,832	)		(82,059	)
	(-) Interest paid		(48,687	)		(29,366	)
(+) Accrued interest			48,687			29,490
(+/-) Inflation adjustment			-			(51	)
(+/-) Exchange rate difference			72,527			(5,071	)
(+) Increase due to new leases liabilities			340,622			361,421
(+/-) Other movements (*)			(24,247	)		(105,756	)
Closing balance			1,015,060			727,990

(*):

In 2024, this line includes mainly the exchange difference on translation mainly from Brazilian companies.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 6. INCOME TAXES

The tax rates applicable in the countries in which Arauco operates are 27% in Chile, 35% in Argentina, 30% in Mexico, 34% in Brazil, 25% in Uruguay and 21% in the United States (federal tax rate).

Deferred tax assets

The following table sets forth the deferred tax assets as of the dates indicated:

	12-31-2025			12-31-2024
Deferred tax assets	ThU.S.$			ThU.S.$
Deferred tax assets relating to liabilities provisions		11,973			11,125
Deferred tax assets relating to post-employment benefits		26,018			23,063
Deferred tax assets relating to property, plant and equipment		122,533			89,655
Deferred tax assets relating to impairment provision		7,260			5,672
Deferred tax assets relating to financial instruments		84,304			70,760
Deferred tax assets relating to tax loss carry forward		240,892			252,202
Deferred tax assets relating to biological assets		-			4,806
Deferred tax assets relating to inventories		20,252			27,374
Deferred tax assets relating to provisions for income		41,364			35,889
Deferred tax assets relating to allowance for doubtful accounts		2,709			3,160
Deferred tax assets relating to intangible revaluation		397			215
Deferred tax assets relating to other deductible temporary differences		65,147			73,791
Total deferred tax assets		622,849			597,712
Offsetting presentation		(521,345	)		(524,303	)
Net effect		101,504			73,409

Certain subsidiaries of Arauco mainly in Chile and Brazil, as of the date of these consolidated financial statements, present tax losses for which we estimate that, given the projection of future profits, will allow the recovery of the deferred tax assets recorded. The total amount of these tax losses is ThU.S.$ 874,360 (ThU.S.$ 928,974 as of December 31, 2024).

In addition, as of the closing date of these consolidated financial statements, there are ThU.S.$ 118,725 (ThU.S.$ 129,300 as of December 31, 2024) of non-recoverable tax losses mainly from subsidiaries in the United States. The estimated recovery period exceeds the expiry date of such tax losses.

Deferred tax liabilities

The following table sets forth the deferred tax liabilities as of the dates indicated:

	12-31-2025			12-31-2024
Deferred tax liabilities	ThU.S.$			ThU.S.$
Deferred tax liabilities relating to property, plant and equipment		1,397,529			1,374,164
Deferred tax liabilities relating to financial instruments		42,384			18,887
Deferred tax liabilities relating to biological assets		481,293			469,770
Deferred tax liabilities relating to inventory		60,729			56,101
Deferred tax liabilities relating to prepaid expenses		37,378			34,889
Deferred tax liabilities relating to intangible		5,419			6,089
Deferred tax liabilities relating to other taxable temporary differences		46,670			33,915
Total deferred tax liabilities		2,071,402			1,993,815
Offsetting presentation		(521,345	)		(524,303	)
Net effect		1,550,057			1,469,512

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

The effect of this year in deferred tax liabilities related to financial hedging instruments corresponds to a debit of ThU.S.$ 123,732 for the year ended December 31, 2025 (debit of ThU.S.$ 6,075 for the year ended December 31, 2024), which is presented in the consolidated statement of comprehensive income and net in reserves for cash flow hedges in the consolidated statement of changes in equity.

Reconciliation of deferred tax assets and liabilities

	Opening balance 01-01-2025		Deferred tax income (expenses)			Deferred tax of ítems charged to equity			Increase (decrease) net exchange differences		Closing balance 12-31-2025
Deferred tax assets	ThU.S.$		ThU.S.$			ThU.S.$			ThU.S.$		ThU.S.$
Deferred tax assets relating to liabilities provisions		11,125		541			-			307		11,973
Deferred tax assets relating to post-employment benefits		23,063		4,118			(1,254	)		91		26,018
Deferred tax assets relating to property, plant and equipment		89,655		32,815			-			63		122,533
Deferred tax assets relating to impairment provision		5,672		1,240			-			348		7,260
Deferred tax assets relating to financial instruments		70,760		13,066			(244	)		722		84,304
Deferred tax assets relating to tax loss carry forward		252,202		109,896			(123,207	)		2,001		240,892
Deferred tax assets relating to biological assets		4,806		(4,806	)		-			-		-
Deferred tax assets relating to inventories		27,374		(7,272	)		-			150		20,252
Deferred tax assets relating to provisions for income		35,889		5,304			-			171		41,364
Deferred tax assets relating to allowance for doubtful accounts		3,160		(474	)		-			23		2,709
Deferred tax assets relating to intangible revaluation		215		182			-			-		397
Deferred tax assets relating to other deductible temporary differences		73,791		(9,019	)		-			375		65,147
Total deferred tax assets		597,712		145,591			(124,705	)		4,251		622,849

	Opening balance 01-01-2025		Deferred tax (income) expenses			Deferred tax of items charged to equity		Increase (decrease) net exchange differences		Closing balance 12-31-2025
Deferred tax liabilities	ThU.S.$		ThU.S.$			ThU.S.$		ThU.S.$		ThU.S.$
Deferred tax liabilities relating to property, plant and equipment		1,374,164		18,239			-		5,126		1,397,529
Deferred tax liabilities relating to financial instruments		18,887		23,216			281		-		42,384
Deferred tax liabilities relating to biological assets		469,770		11,523			-		-		481,293
Deferred tax liabilities relating to inventory		56,101		4,561			-		67		60,729
Deferred tax liabilities relating to prepaid expenses		34,889		2,454			-		35		37,378
Deferred tax liabilities relating to intangible		6,089		(1,224	)		-		554		5,419
Deferred tax liabilities relating to other taxable temporary differences		33,915		11,896			-		859		46,670
Total deferred tax liabilities		1,993,815		70,665			281		6,641		2,071,402

	Opening balance 01-01-2024		Deferred tax income (expenses)			Deferred tax of items charged to equity			Increase (decrease) business combination		Increase (decrease) net exchange differences			Closing balance 12-31-2024
Deferred tax assets	ThU.S.$		ThU.S.$			ThU.S.$			ThU.S.$		ThU.S.$			ThU.S.$
Deferred tax assets relating to liabilities provisions		14,008		(1,857	)		-			-		(1,026	)		11,125
Deferred tax assets relating to investments		78,061		57,110			(135,171	)		-		-			-
Deferred tax assets relating to post-employment benefits		25,726		(2,866	)		207			-		(4	)		23,063
Deferred tax assets relating to property, plant and equipment		80,410		10,928			-			644		(2,327	)		89,655
Deferred tax assets relating to impairment provision		12,319		(4,408	)		-			-		(2,239	)		5,672
Deferred tax assets relating to financial instruments		58,580		14,618			244			-		(2,682	)		70,760
Deferred tax assets relating to tax loss carry forward		257,423		7,183			(7,581	)		-		(4,823	)		252,202
Deferred tax assets relating to biological assets		-		4,806			-			-		-			4,806
Deferred tax assets relating to inventories		25,011		2,634			-			-		(271	)		27,374
Deferred tax assets relating to provisions for income		16,807		19,076			-			-		6			35,889
Deferred tax assets relating to allowance for doubtful accounts		2,384		791			-			-		(15	)		3,160
Deferred tax assets relating to intangible revaluation		35		180			-			-		-			215
Deferred tax assets relating to other deductible temporary differences		39,065		37,220			-			-		(2,494	)		73,791
Total deferred tax assets		609,829		145,415			(142,301	)		644		(15,875	)		597,712

	Opening balance 01-01-2024		Deferred tax (income) expenses			Deferred tax of items charged to equity			Increase (decrease) business combination		Increase (decrease) net exchange differences			Closing balance 12-31-2024
Deferred tax liabilities	ThU.S.$		ThU.S.$			ThU.S.$			ThU.S.$		ThU.S.$			ThU.S.$
Deferred tax liabilities relating to property, plant and equipment		1,415,101		(29,618	)		-			-		(11,319	)		1,374,164
Deferred tax liabilities relating to financial instruments		26,766		(6,617	)		(1,262	)		-		-			18,887
Deferred tax liabilities relating to biological assets		475,592		(8,089	)		-			2,649		(382	)		469,770
Deferred tax liabilities relating to inventory		57,619		(1,411	)		-			-		(107	)		56,101
Deferred tax liabilities relating to prepaid expenses		36,837		(1,947	)		-			-		(1	)		34,889
Deferred tax liabilities relating to intangible		10,420		(2,632	)		-			-		(1,699	)		6,089
Deferred tax liabilities relating to other taxable temporary differences		42,551		(5,471	)		-			-		(3,165	)		33,915
Total deferred tax liabilities		2,064,886		(55,785	)		(1,262	)		2,649		(16,673	)		1,993,815

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Temporary differences

The following tables summarize the deductible and taxable temporary differences:

Detail of classes of deferred tax temporary differences	12-31-2025				12-31-2024
	Deductible		Taxable		Deductible		Taxable
	difference		difference		difference		difference
	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Deferred tax assets		381,957		-		345,510		-
Deferred tax assets - tax loss carry forward		240,892		-		252,202		-
Deferred tax liabilities		-		2,071,402		-		1,993,815
Total		622,849		2,071,402		597,712		1,993,815

Detail of temporary difference income and loss amounts	January – December
	2025			2024
	ThU.S.$			ThU.S.$
Deferred tax assets (*)		35,695			137,991
Deferred tax assets - tax loss carryforward (*)		109,896			4,175
Deferred tax liabilities (*)		(70,665	)		53,104
Total		74,926			195,270

(*) In 2024, includes deferred tax expenses related to temporary differences and tax losses generated by Brazilian companies previously classified as held for sale, through the sale date.

Income tax expense

Income tax expense consists of the following:

	January – December
Income tax composition	2025			2024
	ThU.S.$			ThU.S.$
Current income tax expense		(106,918	)		(521,903	)
Tax benefit arising from tax credit used to reduce current tax expense		730			177,291
Prior period current income tax adjustments		(1,333	)		(1,747	)
Other current benefit tax (expenses)		(7,209	)		(10,311	)
Current tax expense, net		(114,730	)		(365,670	)

Deferred tax expense relating to origination and reversal of temporary differences (*)		(34,970	)		191,095
Tax benefit arising from tax credits used to reduce deferred tax expense (*)		109,896			4,175
Total deferred tax benefit (expense), net		74,926			195,270
Total income tax benefit (expense)		(39,804	)		(170,400	)

(*) In 2024, includes deferred tax expenses related to temporary differences and tax losses generated by Brazilian companies previously classified as held for sale, through the sale date.

The following table presents the current income tax expense detailed by foreign and domestic (Chile) companies for the year ended December 31, 2025 and 2024:

	January – December
	2025			2024
	ThU.S.$			ThU.S.$
Foreign current income tax expense		(67,932	)		(113,313	)
Domestic current income tax expense		(46,798	)		(252,357	)
Total current income tax expense		(114,730	)		(365,670	)

Foreign deferred tax benefit (expense)(*)		9,450			113,445
Domestic deferred tax benefit (expense)		65,476			81,825
Total deferred tax benefit (expense)		74,926			195,270

Total income tax benefit (expense)		(39,804	)		(170,400	)

(*) In 2024, includes deferred tax expenses related to temporary differences and tax losses generated by Brazilian companies previously classified as held for sale, through the sale date.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Reconciliation of income tax expense from statutory tax rate to the effective tax rate.

The reconciliation of income tax expense is as follows:

	January – December
Reconciliation of income tax from statutory rate to effective tax rate	2025			2024
	ThU.S.$			ThU.S.$
Statutory domestic (Chile) income tax rate		27	%		27	%
Tax expense at statutory tax rate		(21,784	)		(174,604	)
Tax effect of foreign tax rates		11,345			14,935
Tax effect of income exempt from taxation		36,362			130,193
Tax effect of not deductible expenses		(48,157	)		(166,531	)
Tax effect of Previously Unrecognized Tax Benefit in the Income Statement		12,781			-
Tax effect of a new evaluation of deferred tax assets (*)		(11,920	)		64,350
Tax effect of tax provided in excess in prior periods		(1,333	)		(1,747	)
Other tax rate effects (**)		(17,098	)		(36,996	)
Total adjustments to tax expense at applicable tax rate		(18,020	)		4,204
Tax benefit (expense) at effective tax rate		(39,804	)		(170,400	)

(*) It corresponds mainly to the tax effect associated with the inflation adjustment on Argentine tax bases.

(**) It mainly includes the tax effect generated by the exchange difference in the conversion of tax bases with local currency other than the functional currency.

Arauco has assessed the potential impact derived from the implementation of the so-called "GloBE or Pillar 2 rules," which seek to ensure that multinational groups pay a minimum effective tax rate of 15%.

To date, this regulation has not been adopted in Chile (the jurisdiction where Arauco’s headquarters are located), but it has been adopted in other jurisdictions where Arauco operates, making it necessary to estimate the potential impact of its application as of its effective date for the fiscal years ended December 31, 2025 and 2024.

Therefore, based on its best understanding, Arauco has evaluated the impact that these regulations could have in all jurisdictions where it operates and has determined that, to date, they would only have an impact on some of its operations in Uruguay, recognizing a preliminary tax with an effect on profit or loss of ThU.S.$ 4,255 in the fiscal year 2025 (ThU.S.$ 14,136 for the year ended December 31, 2024). The balance of the provision for this item as of December 31, 2025 amounts to ThU.S.$ 20,243 (ThU.S.$ 14,136 as of December 31, 2025).

Current tax assets and liabilities

The current tax assets and liabilities balances are as follow:

Current tax assets	12-31-2025			12-31-2024
	ThU.S.$			ThU.S.$
Monthly Provisional Payments		46,156			45,691
Income tax receivable		27,071			30,058
Provision tax income		(46,384	)		(45,129	)
Recoverable credits		47,698			43,288
Other tax receivables		1,768			1,705
Total		76,309			75,613

Current tax liabilities	12-31-2025			12-31-2024
	ThU.S.$			ThU.S.$
Provision tax income (First category)		24,445			216,591
Monthly Provisional Payments and other tax receivables		(15,531	)		(203,450	)
Other tax payables		21,491			14,424
Total		30,405			27,565

Non-current current tax liabilities	12-31-2025		12-31-2024
	ThU.S.$		ThU.S.$
Provision tax income (First category), non-current		3,001		-
Other tax payables, non-current		4,255		-
Total		7,256		-

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 7. PROPERTY, PLANT AND EQUIPMENT

	12-31-2025			12-31-2024
	ThU.S.$			ThU.S.$

Property, plant and equipment, net
Construction work in progress		2,316,654			725,744
Land		978,088			931,333
Buildings		3,565,602			3,663,306
Plant and equipment		3,941,918			3,984,319
Information technology equipment		39,479			41,250
Fixtures and fittings		12,822			12,288
Motor vehicles		64,695			54,744
Bearer plants		1,045			-
Other property, plant and equipment		204,510			197,087
Total net		11,124,813			9,610,071

Property, plant and equipment, gross
Construction work in progress		2,316,654			725,744
Land		978,088			931,333
Buildings		6,578,709			6,505,187
Plant and equipment		9,188,739			8,988,084
Information technology equipment		147,033			141,492
Fixtures and fittings		57,908			55,785
Motor vehicles		136,536			119,251
Bearer plants		1,350			-
Other property, plant and equipment		221,678			215,056
Total gross		19,626,695			17,681,932

Accumulated depreciation and impairment
Buildings		(3,013,107	)		(2,841,881	)
Plant and equipment		(5,246,821	)		(5,003,765	)
Information technology equipment		(107,554	)		(100,242	)
Fixtures and fittings		(45,086	)		(43,497	)
Motor vehicles		(71,841	)		(64,507	)
Bearer plants		(305	)		-
Other property, plant and equipment		(17,168	)		(17,969	)
Total		(8,501,882	)		(8,071,861	)

Description of property, plant and equipment pledged as security for liabilities

As of December 31, 2025, there are no significant assets pledged as collateral to be disclosed in these consolidated financial statements.

Disbursements commitments for the acquisition of property, plant and equipment and disbursements for property, plant and equipment under construction.

	12-31-2025		12-31-2024
	ThU.S.$		ThU.S.$
Amount committed for the acquisition of property, plant and equipment		3,561,992		1,918,997

The disbursements commitments are mainly related to Sucuriú project.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Reconciliation of property, plant and equipment

The following tables set forth the reconciliation of the carrying amount of property, plant and equipment as of December 31, 2025 and 2024:

Reconciliation of property, plant and equipment	Construction work in progress			Land			Buildings			Plant and equipment			IT equipment			Fixtures and fittings			Motor vehicles			Bearer plants			Other property, plant and equipment			Total
	ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$
Opening balance 01-01-2025		725,744			931,333			3,663,306			3,984,319			41,250			12,288			54,744			-			197,087			9,610,071
Changes
Additions		1,999,149			40,891			19,529			61,975			1,237			653			4,379			-			7,918			2,135,731
Disposals		-			(2,726	)		(554	)		(7,840	)		(9	)		(7	)		(196	)		-			(585	)		(11,917	)
Withdrawals		(6,865	)		(571	)		(3,306	)		(8,980	)		(173	)		(33	)		(384	)		-			(103	)		(20,415	)
Depreciation		-			-			(225,723	)		(403,903	)		(8,727	)		(2,956	)		(11,709	)		(305	)		(1,447	)		(654,770	)
Impairment loss recognized in profit or loss		-			-			3,362			3,015			-			-			38			-			-			6,415
Increase (decrease) through net exchange differences		27,600			8,888			15,881			41,740			352			133			34			-			2,518			97,146
Reclassification of assets held for sale		-			(1,528	)		(100	)		(3,347	)		-			-			(26	)		-			-			(5,001	)
Transfers from construction in progress closed and reclassifications		(428,974	)		1,801			93,207			304,758			5,549			2,744			20,443			1,350			(878	)		-
Decrease through transfers of leasing assets		-			-			-			(29,819	)		-			-			(2,628	)		-			-			(32,447	)
Total changes		1,590,910			46,755			(97,704	)		(42,401	)		(1,771	)		534			9,951			1,045			7,423			1,514,742
Closing balance 12-31-2025		2,316,654			978,088			3,565,602			3,941,918			39,479			12,822			64,695			1,045			204,510			11,124,813

Reconciliation of property, plant and equipment	Construction work in progress			Land			Buildings			Plant and equipment			IT equipment			Fixtures and fittings			Motor vehicles			Other property, plant and equipment			Total
	ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$
Opening balance 01-01-2024		611,424			882,222			3,774,756			4,074,957			42,659			12,795			50,678			157,625			9,607,116
Changes
Additions		627,882			34,531			10,667			59,509			687			778			4,107			33,279			771,440
Business combination		-			29,972			274			14			-			12			-			4			30,276
Disposals		(560	)		(524	)		(5,091	)		(1,681	)		(43	)		(99	)		(914	)		-			(8,912	)
Withdrawals		(3,864	)		(139	)		(3,416	)		(14,129	)		(158	)		(30	)		(251	)		(741	)		(22,728	)
Depreciation		-			-			(222,523	)		(393,772	)		(8,504	)		(3,073	)		(9,476	)		(1,297	)		(638,645	)
Impairment loss recognized in profit or loss		-			-			(1,082	)		(7,799	)		(35	)		(567	)		-			-			(9,483	)
Increase (decrease) through net exchange differences		(23,171	)		(22,583	)		(16,113	)		(42,634	)		(394	)		(96	)		(2,624	)		(4,402	)		(112,017	)
Reclassification of assets held for sale		-			(3,601	)		-			-			-			-			-			12,000			8,399
Transfers from construction in progress closed and reclassifications		(485,967	)		11,455			125,834			322,902			7,038			2,568			15,551			619			-
Reclassification from lease to property, plant and equipment		-			-			-			292			-			-			-			-			292
Decrease through transfers of leasing assets		-			-			-			(13,340	)		-			-			(2,327	)		-			(15,667	)
Total changes		114,320			49,111			(111,450	)		(90,638	)		(1,409	)		(507	)		4,066			39,462			2,955
Closing balance 12-31-2024		725,744			931,333			3,663,306			3,984,319			41,250			12,288			54,744			197,087			9,610,071

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

The depreciation expense for the years ended December 31, 2025 and 2024 was as follows:

	January – December
	2025		2024
Depreciation for the year	ThU.S.$		ThU.S.$
Cost of sales		591,693		584,343
Administrative expenses		29,807		30,007
Other expenses		12,143		14,709
Total		633,643		629,059

The useful lives of property, plant and equipment are estimated based on the expected use of the assets. The average useful lives by asset class are as follow:

	Years of Useful Life (Average)
Buildings		58
Plant and equipment		30
Information technology equipment		8
Fixtures and fittings		28
Motor vehicles		7
Bearer plants		5
Other property, plant and equipment		14

The capitalized borrowing costs are detailed in Note 12.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 8. Leases

Arauco acting as lessee

Right of use assets

	12-31-2025			12-31-2024
	ThU.S.$			ThU.S.$
Property, plant and equipment by right of use, net

Land		846,850			599,101
Buildings		23,338			15,992
Plant and equipment		64,704			63,102
Information technology equipment		304			392
Motor vehicles		58,219			80,464
Other property, plant and equipment		10,303			12,835
Total net		1,003,718			771,886
Property, plant and equipment by right of use, gross

Land		942,871			660,753
Buildings		42,205			32,265
Plant and equipment		96,808			93,922
Information technology equipment		737			784
Motor vehicles		129,820			269,228
Other property, plant and equipment		16,044			15,845
Total gross		1,228,485			1,072,797
Accumulated depreciation and impairment by right of use

Land		(96,021	)		(61,652	)
Buildings		(18,867	)		(16,273	)
Plant and equipment		(32,104	)		(30,820	)
Information technology equipment		(433	)		(392	)
Motor vehicles		(71,601	)		(188,764	)
Other property, plant and equipment		(5,741	)		(3,010	)
Total		(224,767	)		(300,911	)

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Reconciliation of property, plant and equipment by right of use

The following tables set forth the reconciliation of the carrying amount of property, plant and equipment by right of use as of December 31, 2025 and 2024:

Reconciliation of property, plant and equipment by right of use	Land			Buildings			Plant and equipment			IT equipment			Motor vehicles			Other property, plant and equipment			Total
	ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$
Opening balance 01-01-2025		599,101			15,992			63,102			392			80,464			12,835			771,886
Changes
Additions		300,063			13,869			7,215			222			19,054			199			340,622
Disposals		-			-			-			-			(574	)		-			(574	)
Withdrawals		(3,659	)		-			-			-			(9,879	)		-			(13,538	)
Depreciation (*)		(37,407	)		(6,471	)		(5,891	)		(350	)		(30,200	)		(2,731	)		(83,050	)
Increase (decrease) through net exchange differences		868			51			278			40			(183	)		-			1,054
Increase (decrease) through others		(12,116	)		(103	)		-			-			(463	)		-			(12,682	)
Total changes		247,749			7,346			1,602			(88	)		(22,245	)		(2,532	)		231,832
Closing balance 12-31-2025		846,850			23,338			64,704			304			58,219			10,303			1,003,718

Reconciliation of property, plant and equipment by right of use	Land			Buildings			Plant and equipment			IT equipment			Motor vehicles			Other property, plant and equipment			Total
	ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$			ThU.S.$
Opening balance 01-01-2024		460,386			16,412			60,993			186			50,869			11,515			600,361
Changes
Additions		280,671			8,385			9,103			511			58,954			3,797			361,421
Disposals		-			(2,474	)		-			-			(130	)		-			(2,604	)
Withdrawals		-			(539	)		-			-			(178	)		-			(717	)
Depreciation (*)		(31,792	)		(5,604	)		(6,641	)		(204	)		(28,977	)		(2,200	)		(75,418	)
Increase (decrease) through net exchange differences		(110,574	)		(131	)		(353	)		(101	)		(74	)		15			(111,218	)
Reclassification from lease to Property, plant and equipment		-			-			-			-			-			(292	)		(292	)
Increase (decrease) through others		410			(57	)		-			-			-			-			353
Total changes		138,715			(420	)		2,109			206			29,595			1,320			171,525
Closing balance 12-31-2024		599,101			15,992			63,102			392			80,464			12,835			771,886

(*) The amount of depreciation related to land leased for plantations is reclassified to biological assets to form part of the formation costs.

Lease liabilities and their maturity are presented in Notes 11 and 23.

The depreciation expense for the years ended December 31, 2025 and 2024 recognized in property, plant and equipment by right of use is as follows:

	January – December
	2025		2024
Depreciation for the period	ThU.S.$		ThU.S.$
Cost of sales		32,025		35,005
Distribution costs		1,647		1,068
Administrative expenses		8,543		7,110
Total		42,215		43,183

In the application of IFRS 16, Arauco chose not to apply the requirements to recognize a liability and an asset for right of use for leases which term ends within 12 months and for leases in which the underlying asset is of low value ThU.S.$ 5. As a result, Arauco has recognized directly in the consolidated statement of profit or loss, as follows:

	January – December
	2025			2024
	ThU.S.$			ThU.S.$
Expenses from payments of variable leases		(149,000	)		(231,094	)
Expenses from low value leases		(3,583	)		(4,603	)
Expenses from short-term leases		(34,225	)		(39,047	)
Income from sublease of right of use assets		655			628

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

Arauco acting as lessor

Reconciliation of financial lease minimum payments:

	12-31-2025
	Gross		Interest		Present value
Periods	ThU.S.$		ThU.S.$		ThU.S.$
Less than one year		26,758		2,725		24,033
Between one and two years		24,433		1,749		22,684
Between two and three years		16,626		831		15,795
Between three and four years		7,860		408		7,452
Between four and five years		2,618		159		2,459
More than five years		5,242		346		4,896
Total		83,537		6,218		77,319

	12-31-2024
	Gross		Interest		Present value
Periods	ThU.S.$		ThU.S.$		ThU.S.$
Less than one year		19,532		2,285		17,247
Between one and two years		20,042		1,804		18,238
Between two and three years		18,397		1,005		17,392
Between three and four years		12,284		360		11,924
Between four and five years		2,731		54		2,677
More than five years		210		1		209
Total		73,196		5,509		67,687

Financial lease receivables are presented in the consolidated statements of financial position in line items “Trade and other current receivable” and “Trade and other non-current receivable” depending on their maturities stated above.

Arauco accounts for its lease contracts as financial leases. These lease contracts are for a term of less than six years at market interest rates and leased assets are forestry machinery and equipment. They also include an early termination option, under general and special conditions stipulated in each contract.

Arauco holds leases as lessee and lessor, described in the previous tables, for which there are no impairment contingent payments or restrictions to report.

NOTE 9. REVENUE

	January – December
	2025		2024
Classes of revenue	ThU.S.$		ThU.S.$
Revenue from sales of goods		5,944,197		6,415,109
Revenue from rendering of services		139,945		131,037
Total		6,084,142		6,546,146

The reportable segments revenues by business area and by geographical area are presented in Note 24.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 10. EMPLOYEE BENEFITS

Classes of benefits and expenses by employee

	January – December
	2025		2024
	ThU.S.$		ThU.S.$
Employee expenses		739,797		711,016
Wages and salaries		716,787		690,996
Severance indemnities		23,010		20,020

	12-31-2025			12-31-2024
Discount rate		3.23	%		3.23	%
Inflation		3.20	%		3.20	%
Annual rate of wage growth		5.22	%		5.22	%
Mortality rate		RV-2020			RV-2020

Sensitivities to assumptions	ThU.S.$

Discount rate
Increase in 100 bps		(6,170	)
Decrease in 100 bps		7,064

Wage growth rates
Increase in 100 bps		6,195
Decrease in 100 bps		(5,486	)

The following tables set forth the balances and the reconciliation of the present value of severance indemnities obligations as of December 31, 2025 and 2024:

	12-31-2025		12-31-2024
	ThU.S.$		ThU.S.$
Current		7,501		6,669
Non-current		87,359		77,634
Total		94,860		84,303

	12-31-2025			12-31-2024
Reconciliation of the present value of severance indemnities obligations	ThU.S.$			ThU.S.$
Opening balance		84,303			94,325
Current service cost		6,840			5,979
Interest cost		4,863			4,367
(Gains) losses from changes in actuarial assumptions		-			22
Actuarial gains and losses arising from experience		(4,643	)		743
Benefits paid		(5,064	)		(7,152	)
Increase (decrease) for foreign currency exchange rates changes		8,561			(13,981	)
Closing balance		94,860			84,303

The average staffing as of December 31, 2025 was 19,100 people.

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

NOTE 11. BALANCES IN FOREIGN CURRENCY AND FOREIGN CURRENCY EXCHANGE RATE IMPACT IN PROFIT OR LOSS.

	U.S dollar		Euros		Brazilian Real		Argentine Pesos		Mexican Pesos		Other currencies		Chilean Pesos		U.F.		Total
December 31, 2025	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Assets
Current assets
Cash and cash equivalents		777,505		15,723		107,494		43,063		32,564		69,274		238,430		-		1,284,053
Other current financial assets		230,988		-		-		-		-		-		36		-		231,024
Other current non-financial assets		84,335		663		12,620		14,116		25,684		6,047		69,351		-		212,816
Trade and other current receivables		537,861		16,967		52,973		22,408		36,149		7,910		130,689		27,209		832,166
Accounts receivable due from related companies		48		-		-		-		-		-		442		-		490
Current inventories		1,372,990		-		93,292		-		48,503		-		1,854		-		1,516,639
Current biological assets		235,512		-		821		-		-		-		-		-		236,333
Current tax assets		63,063		-		4,446		-		1,388		4,695		2,717		-		76,309
Non-current assets or disposal groups classified as held for sale		3,302,302		33,353		271,646		79,587		144,288		87,926		443,519		27,209		4,389,830
Non-current assets or disposal groups classified as held for sale		3,807		-		15		-		53		-		26		-		3,901
Total current assets		3,306,109		33,353		271,661		79,587		144,341		87,926		443,545		27,209		4,393,731

Non-current assets
Other non-current financial assets		257,498		-		-		-		-		-		-		-		257,498
Other non-current non-financial assets		546,939		36		106,045		-		810		671		1,262		91		655,854
Trade and other non-current receivables		1,394		-		18,623		344		-		-		5,264		53,700		79,325
Investments accounted for using equity method		113,857		232,236		73,998		-		-		-		63,451		-		483,542
Intangible assets other than goodwill		46,367		-		1,276		-		308		2,414		128		-		50,493
Goodwill		39,335		-		11,298		-		-		2,048		-		-		52,681
Property, plant and equipment		10,401,426		-		303,204		-		385,773		33,032		1,378		-		11,124,813
Right of use assets		1,000,254		-		414		-		2,657		388		5		-		1,003,718
Non-current biological assets		3,101,604		-		-		-		-		-		-		-		3,101,604
Deferred tax assets		59,779		-		41,725		-		-		-		-		-		101,504
Total non-current assets		15,568,453		232,272		556,583		344		389,548		38,553		71,488		53,791		16,911,032

Total assets		18,874,562		265,625		828,244		79,931		533,889		126,479		515,033		81,000		21,304,763

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

	U.S dollar		Euros		Brazilian Real		Argentine Pesos		Mexican Pesos		Other currencies		Chilean Pesos		U.F.		Total
December 31, 2025	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Liabilities
Current liabilities
Other current financial liabilities		236,724		76,916		109,184		-		-		-		-		285,646		708,470
Current lease liabilities		16,279		110		16,052		-		428		341		16,430		6,183		55,823
Trade and other current payables		156,792		37,180		428,735		41,240		23,199		30,083		285,349		40,663		1,043,241
Accounts payable to related companies		559		-		-		-		-		-		8,878		-		9,437
Other short-term provisions		116		-		1,514		-		-		-		21		1,404		3,055
Current tax liabilities		8,691		17,598		72		2,791		974		279		-		-		30,405
Current provisions for employee benefits		13		-		-		-		-		-		7,488		-		7,501
Other current non-financial liabilities		17,890		150		30,553		6,380		7,156		49		11,465		-		73,643
Total current liabilities		437,064		131,954		586,110		50,411		31,757		30,752		329,631		333,896		1,931,575

Non-current liabilities
Other non-current financial liabilities		4,022,076		217,535		83,803		-		-		-		-		2,615,874		6,939,288
Non-current lease liabilities		129,212		213		778,083		-		549		257		33,567		17,356		959,237
Other non current payables		24,952		-		19,558		-		-		-		9,203		-		53,713
Non-current accounts payable to related companies		23,924		-		-		-		-		-		-		-		23,924
Other long-term provisions		23,482		-		6,879		2,803		5,424		-		-		-		38,588
Deferred tax liabilities		1,507,901		-		29,700		-		7,297		5,159		-		-		1,550,057
Non-current, current tax liabilities		4,255		-		-		3,001		-		-		-		-		7,256
Non-current provisions for employee benefits		-		-		-		-		1,574		-		85,785		-		87,359
Other non-current non-financial liabilities		-		-		29,506		65		-		-		717		-		30,288
Total non-current liabilities		5,735,802		217,748		947,529		5,869		14,844		5,416		129,272		2,633,230		9,689,710

Total liabilities		6,172,866		349,702		1,533,639		56,280		46,601		36,168		458,903		2,967,126		11,621,285

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

	U.S dollar		Euros		Brazilian real		Argentine pesos		Mexican pesos		Other currencies		Chilean pesos		U.F.		Total
December 31, 2024	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Assets
Current assets
Cash and cash equivalents		668,888		8,754		117,848		12,642		40,128		11,794		211,506		-		1,071,560
Other current financial assets		25,949		-		-		-		-		-		11		-		25,960
Other current non-financial assets		104,366		562		17,153		31,100		20,539		9,551		77,821		-		261,092
Trade and other current receivables		815,884		28,149		38,327		26,569		33,704		1,077		92,401		18,596		1,054,707
Accounts receivable due from related companies		5,646		-		-		1,812		-		-		2,701		-		10,159
Current Inventories		1,335,410		-		81,043		-		37,954		-		1,853		-		1,456,260
Current biological assets		304,302		-		11,198		-		-		-		-		-		315,500
Current tax assets		70,105		-		2,636		-		515		-		2,357		-		75,613
Non-current assets or disposal groups classified as held for sale		3,330,550		37,465		268,205		72,123		132,840		22,422		388,650		18,596		4,270,851
Non-current assets or disposal groups classified as held for sale		3,708		-		13		-		46		-		-		-		3,767
Total current assets		3,334,258		37,465		268,218		72,123		132,886		22,422		388,650		18,596		4,274,618

Non-current assets
Other non-current financial assets		16,747		-		-		-		-		-		-		-		16,747
Other non-current non-financial assets		58,937		-		24,043		-		629		8		1,419		-		85,036
Trade and other non-current receivables		2,784		-		9,891		458		-		-		1,505		51,097		65,735
Investments accounted for using equity method		106,784		211,345		41,352		-		-		-		47,130		-		406,611
Intangible assets other than goodwill		52,318		-		2,368		-		63		-		1,231		-		55,980
Goodwill		41,286		-		10,039		-		-		-		-		-		51,325
Property, plant and equipment		8,917,848		-		462,845		-		228,153		-		1,225		-		9,610,071
Right of use assets		225,551		-		544,198		-		1,932		-		205		-		771,886
Non-current biological assets		2,554,897		-		192,997		-		-		-		-		-		2,747,894
Deferred tax assets		21,407		-		48,554		-		714		-		2,734		-		73,409
Total non-current assets		11,998,559		211,345		1,336,287		458		231,491		8		55,449		51,097		13,884,694

Total assets		15,332,817		248,810		1,604,505		72,581		364,377		22,430		444,099		69,693		18,159,312

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

	U.S dollar		Euros		Brazilian real		Argentine pesos		Mexican pesos		Other currencies		Chilean pesos		U.F.		Total
December 31, 2024	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Liabilities
Current liabilities
Other current financial liabilities		191,900		67,987		36,538		-		-		-		-		52,480		348,905
Current lease liabilities		13,273		113		13,435		-		584		965		22,582		4,899		55,851
Trade and other current payables		188,747		21,414		78,396		47,373		24,199		16,411		331,286		38,145		745,971
Accounts payable to related companies		426		-		3,007		-		-		-		7,130		-		10,563
Other short-term provisions		490		-		-		-		-		-		111		1,236		1,837
Current tax liabilities		3,086		12,092		1,184		8,252		2,951		-		-		-		27,565
Current provisions for employee benefits		-		-		-		-		-		-		6,669		-		6,669
Other current non-financial liabilities		125,483		94		21,938		6,714		2,999		9		8,328		24		165,589
Total liabilities, current		523,405		101,700		154,498		62,339		30,733		17,385		376,106		96,784		1,362,950

Non-current liabilities
Other non-current financial liabilities		3,534,436		255,430		164,899		-		-		-		-		1,766,947		5,721,712
Non-current lease liabilities		120,661		295		490,778		-		523		49		43,238		16,595		672,139
Other non-current payables		23,942		-		3,266		-		-		-		8,102		-		35,310
Non-current accounts payable to related companies		26,207		-		-		-		-		-		-		-		26,207
Other long-term provisions		-		-		6,785		26,294		-		-		42		-		33,121
Deferred tax liabilities		1,443,086		-		21,645		-		4,781		-		-		-		1,469,512
Non-current provisions for employee benefits		-		-		-		-		1,211		-		76,423		-		77,634
Other non-current non-financial liabilities		-		-		36,075		64		-		-		873		-		37,012
Total non-current liabilities		5,148,332		255,725		723,448		26,358		6,515		49		128,678		1,783,542		8,072,647

Total liabilities		5,671,737		357,425		877,946		88,697		37,248		17,434		504,784		1,880,326		9,435,597

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

	12-31-2025						12-31-2024
	Up to 90 days		From 91 days to 1 year		Total		Up to 90 days		From 91 days to 1 year		Total
	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Total current liabilities		1,306,967		624,608		1,931,575		1,021,171		341,779		1,362,950

Other current financial liabilities		163,130		545,340		708,470		60,710		288,195		348,905
U.S. dollar		71,285		165,439		236,724		36,401		155,499		191,900
Euros		-		76,916		76,916		-		67,987		67,987
Brazilian real		91,845		17,339		109,184		24,309		12,229		36,538
U.F.		-		285,646		285,646		-		52,480		52,480

Bank borrowings		91,845		219,854		311,699		28,154		220,673		248,827
U.S. dollar		-		125,599		125,599		3,845		140,457		144,302
Euros		-		76,916		76,916		-		67,987		67,987
Brazilian real		91,845		17,339		109,184		24,309		12,229		36,538

Other borrowings		71,285		325,486		396,771		32,556		67,522		100,078
U.S. dollar		71,285		39,840		111,125		32,556		15,042		47,598
U.F.		-		285,646		285,646		-		52,480		52,480

Current lease liabilities		18,605		37,218		55,823		15,116		40,735		55,851
U.S. dollar		4,160		12,119		16,279		3,612		9,661		13,273
Euros		32		78		110		30		83		113
Brazilian real		6,176		9,876		16,052		3,729		9,706		13,435
Mexican pesos		177		251		428		147		437		584
Other currencies		103		238		341		107		858		965
Chilean pesos		5,557		10,873		16,430		5,698		16,884		22,582
U.F.		2,400		3,783		6,183		1,793		3,106		4,899

Trade and other current payables		1,002,999		40,242		1,043,241		741,847		4,124		745,971
U.S. dollar		156,408		384		156,792		188,747		-		188,747
Euros		37,180		-		37,180		21,414		-		21,414
Brazilian real		392,040		36,695		428,735		74,610		3,786		78,396
Argentine pesos		41,240		-		41,240		47,373		-		47,373
Mexican pesos		20,036		3,163		23,199		23,861		338		24,199
Other currencies		30,083		-		30,083		16,411		-		16,411
Chilean pesos		285,349		-		285,349		331,286		-		331,286
U.F.		40,663		-		40,663		38,145		-		38,145

Accounts payable to related companies		9,437		-		9,437		10,563		-		10,563
U.S. dollar		559		-		559		426		-		426
Brazilian real		-		-		-		3,007		-		3,007
Chilean pesos		8,878		-		8,878		7,130		-		7,130

Other short-term provisions		3,055		-		3,055		1,837		-		1,837
U.S. dollar		116		-		116		490		-		490
Brazilian real		1,514		-		1,514		-		-		-
Chilean pesos		21		-		21		111		-		111
U.F.		1,404		-		1,404		1,236		-		1,236

Current tax liabilities		28,597		1,808		30,405		18,840		8,725		27,565
U.S. dollar		6,883		1,808		8,691		2,613		473		3,086
Euros		17,598		-		17,598		12,092		-		12,092
Brazilian real		72		-		72		1,184		-		1,184
Argentine pesos		2,791		-		2,791		-		8,252		8,252
Mexican pesos		974		-		974		2,951		-		2,951
Other currencies		279		-		279		-		-		-

Current provisions for employee benefits		7,501		-		7,501		6,669		-		6,669
U.S. dollar		13		-		13		-		-		-
Chilean pesos		7,488		-		7,488		6,669		-		6,669

Other current non-financial liabilities		73,643		-		73,643		165,589		-		165,589
U.S. dollar		17,890		-		17,890		125,483		-		125,483
Euros		150		-		150		94		-		94
Brazilian real		30,553		-		30,553		21,938		-		21,938
Argentine pesos		6,380		-		6,380		6,714		-		6,714
Mexican pesos		7,156		-		7,156		2,999		-		2,999
Other currencies		49		-		49		9		-		9
Chilean pesos		11,465		-		11,465		8,328		-		8,328
U.F.		-		-		-		24		-		24

CELULOSA ARAUCO Y CONSTITUCION S.A. AND SUBSIDIARIES

Consolidated financial statements

December 31, 2025

Amounts in thousands of U.S. dollars, except as indicated

	12-31-2025								12-31-2024
	From 13 months to 3 years		From 3 years to 5 years		More than 5 years		Total		From 13 months to 3 years		From 3 years to 5 years		More than 5 years		Total
	ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$		ThU.S.$
Total non-current liabilities		2,483,597		1,561,743		5,644,370		9,689,710		2,905,653		1,040,941		4,126,053		8,072,647

Other non-current financial liabilities		1,156,587		1,405,814		4,376,887		6,939,288		1,686,157		885,612		3,149,943		5,721,712
U.S. dollar		716,962		1,220,427		2,084,687		4,022,076		1,166,799		495,482		1,872,155		3,534,436
Euros		144,005		73,530		-		217,535		126,200		129,230		-		255,430
Brazilian real		60,984		22,819		-		83,803		120,222		44,677		-		164,899
U.F.		234,636		89,038		2,292,200		2,615,874		272,936		216,223		1,277,788		1,766,947

Bank borrowings		414,511		322,845		207,111		944,467		728,289		173,907		-		902,196
U.S. dollar		209,522		226,496		207,111		643,129		481,867		-		-		481,867
Euros		144,005		73,530		-		217,535		126,200		129,230		-		255,430
Brazilian real		60,984		22,819		-		83,803		120,222		44,677		-		164,899

Other borrowings		742,076		1,082,969		4,169,776		5,994,821		957,868		711,705		3,149,943		4,819,516
U.S. dollar		507,440		993,931		1,877,576		3,378,947		684,932		495,482		1,872,155		3,052,569
U.F.		234,636		89,038		2,292,200		2,615,874		272,936		216,223		1,277,788		1,766,947


Non-current lease liabilities		98,028		83,634		777,575		959,237		104,578		70,490		497,071		672,139
U.S. dollar		34,671		22,517		72,024		129,212		26,402		19,943		74,316		120,661
Euros		159		54		-		213		174		121		-		295
Brazilian real		32,098		43,376		702,609		778,083		36,290		34,477		420,011		490,778
Mexican pesos		504		45		-		549		494		29		-		523
Other currencies		257		-		-		257		49		-		-		49
Chilean pesos		20,396		13,171		-		33,567		32,934		10,304		-		43,238
U.F.		9,943		4,471		2,942		17,356		8,235		5,616		2,744		16,595


Non-current payable		53,713		-		-		53,713		35,310		-		-		35,310
U.S. dollar		24,952		-		-		24,952		23,942		-		-		23,942
Brazilian real		19,558		-		-		19,558		3,266		-		-		3,266
Chilean pesos		9,203		-		-		9,203		8,102		-		-		8,102

Non- current accounts payable to related companies		15,821		612		7,491		23,924		13,655		7,581		4,971		26,207
U.S. dollar		15,821		612		7,491		23,924		13,655		7,581		4,971		26,207

ARAUCO & CONSTITUTION PULP INC 6-K