Stora Enso Q3 Report 2023

Quarterly financial highlights

• Sales decreased by 28% to EUR 2,127 (2,963) million.
• Operational EBIT decreased to EUR 21 (527) million.
• Operational EBIT margin decreased to 1.0% (17.8%).
• Operating result (IFRS) was EUR -1 (511) million.
• Earnings per share (EPS) were EUR -0.04 (0.47) and EPS excl. fair valuations (FV) was EUR -0.05 (0.47).
• The value of the forest assets increased to EUR 8.3 (8.1) billion, equivalent to EUR 10.47 per share.

Group sales decreased by 28%, or EUR 836 million, to EUR 2,127 (2,963) million. Lower demand decreased deliveries in all divisions. This was also reflected in lower sales prices, especially in Wood Products, Biomaterials and containerboard.

Third quarter 2023 results (compared with Q2/2023)

Group sales decreased by 10%, or EUR 247 million, to EUR 2,127 (2,374) million. Lower sales prices, especially in Wood Products, Biomaterials and Packaging Materials reduced the topline. Weak demand resulted in lower deliveries, especially in Wood Products and Packaging Materials and Forest, partly related to seasonality.

Operational EBIT decreased to EUR 21 (37) million and the margin to 1.0% (1.6%). The sales prices continued to decline especially in Wood Products, Biomaterials and Packaging Materials, decreasing operational EBIT by EUR 111 million. Variable costs decreased by EUR 21 million, and most input costs started to support profitability. Volumes had a positive EUR 3 million and net foreign exchange rates positive EUR 4 million impact on operational EBIT. Fixed costs were EUR 61 million lower despite higher maintenance activity. The impact from structural changes, depreciations, equity accounted investments and other was positive EUR 7 million.