Select Sappi Full-Year Report 2023

Highlights for the year

• EBITDA excluding special items US$731 million (FY22: US$1,339 million)
• Profit for the period US$259 million (FY22: US$536 million)
• EPS excluding special items 52 US cents (FY22: 138 US cents)
• Net debt of US$1,085 million (FY22: US$1,163 million)
• Dividend 15 US cents per share (FY22: 15 US cents)

Against a backdrop of a persistently volatile and challenging macroeconomic environment Sappi delivered EBITDA excluding special items of US$731 million for the year ended September 2023. The widespread disruption caused by ongoing geopolitical instability, weak global economic growth, rising interest rates, and an underperforming Chinese economy negatively impacted markets for our products. The unfavourable trading conditions faced in 2023 were further exacerbated by a prolonged period of downstream inventory destocking as buyers slowly worked through inventories that had been built up in the second half of 2022. In response to these headwinds, we concentrated on preserving selling prices, efficiently managed our capacity and inventories to optimize working capital and implemented various cost-saving initiatives across our operations, all of which positively contributed to the earnings performance.