Stora Enso decides to discontinue the divestment process of its Beihai production site in China (Inside information)
Stora Enso has decided to halt the divestment process of its Beihai packaging board production site and forestry business in China, which was announced in December 2022. The company believes the value of keeping the assets exceeds potential sale value. The site will focus on operational excellence, cost optimization, and increasing production of liquid packaging board and premium grades. Stora Enso owns 80% of the Beihai operations, with local partners and IFC holding the remainder. The decision will impact financial reporting, with adjusted EBIT and IFRS operating results decreasing by EUR 7.5 million per quarter, totaling EUR 30 million for 2024, due to previously suspended depreciation.
Stora Enso ha deciso di interrompere il processo di dismissione del suo impianto di produzione di cartone per imballaggi di Beihai e dell'attività forestale in Cina, annunciato nel dicembre 2022. L'azienda crede che il valore di mantenere gli asset superi il potenziale valore di vendita. L'impianto si concentrerà sull'eccellenza operativa, sull'ottimizzazione dei costi e sull'aumento della produzione di cartone per imballaggi liquidi e gradi premium. Stora Enso possiede l'80% delle operazioni di Beihai, con partner locali e IFC che detengono il restante. La decisione avrà un impatto sulla rendicontazione finanziaria, con un EBIT rettificato e risultati operativi IFRS in diminuzione di 7,5 milioni di euro a trimestre, per un totale di 30 milioni di euro nel 2024, a causa della precedente sospensione delle ammortizzazioni.
Stora Enso ha decidido detener el proceso de desinversión de su planta de producción de cartón para embalaje de Beihai y negocio forestal en China, que fue anunciado en diciembre de 2022. La empresa cree que el valor de mantener los activos supera el potencial valor de venta. La planta se enfocará en la excelencia operativa, la optimización de costos y el aumento de la producción de cartón para embalajes líquidos y grados premium. Stora Enso posee el 80% de las operaciones de Beihai, con socios locales e IFC manteniendo el resto. La decisión afectará los informes financieros, con un EBIT ajustado y resultados operativos IFRS disminuyendo en 7,5 millones de euros por trimestre, totalizando 30 millones de euros para 2024, debido a la depreciación previamente suspendida.
Stora Enso는 2022년 12월에 발표된 중국의 베이하이 포장재 생산 사이트와 임업 사업에 대한 매각 프로세스를 중단하기로 결정했습니다. 이 회사는 자산을 보유하는 가치가 잠재적 매각 가치보다 높다고 믿고 있습니다. 이 사이트는 운영 우수성, 비용 최적화 및 액상 포장재와 프리미엄 등급 생산을 증가시키는 데 집중할 것입니다. Stora Enso는 베이하이 운영의 80%를 소유하고 있으며, 지역 파트너와 IFC가 나머지를 보유하고 있습니다. 이 결정은 재무 보고에 영향을 미쳐 조정된 EBIT와 IFRS 운영 결과가 분기당 750만 유로 감소하고, 2024년에는 총 3000만 유로에 이를 것입니다. 이는 이전에 연기된 감가상각 때문입니다.
Stora Enso a décidé d'interrompre le processus de cession de son site de production de carton d'emballage à Beihai et de son activité forestière en Chine, annoncé en décembre 2022. L'entreprise estime que la valeur de la conservation des actifs dépasse celle d'une vente potentielle. Le site se concentrera sur l'excellence opérationnelle, l'optimisation des coûts et l'augmentation de la production de carton d'emballage liquide et de qualités premium. Stora Enso possède 80% des opérations à Beihai, les partenaires locaux et l'IFC détenant le reste. Cette décision aura un impact sur le reporting financier, avec un EBIT ajusté et des résultats opérationnels IFRS diminuant de 7,5 millions d'euros par trimestre, totalisant 30 millions d'euros pour 2024, en raison de l'amortissement précédemment suspendu.
Stora Enso hat beschlossen, den Veräußungsprozess für seinen Standort zur Produktion von Verpackungskarton in Beihai und das Forstgeschäft in China, der im Dezember 2022 angekündigt wurde, zu stoppen. Das Unternehmen glaubt, dass der Wert der Beibehaltung der Vermögenswerte den potenziellen Verkaufswert übersteigt. Der Standort wird sich auf operative Exzellenz, Kostenoptimierung und die Erhöhung der Produktion von Flüssigverpackungskarton und Premium-Qualitäten konzentrieren. Stora Enso besitzt 80% der Beihai-Operationen, während lokale Partner und IFC den Rest halten. Die Entscheidung wird sich auf die Finanzberichterstattung auswirken, da das angepasste EBIT und die IFRS-Betriebsergebnisse um 7,5 Millionen Euro pro Quartal sinken, insgesamt 30 Millionen Euro für 2024, aufgrund zuvor ausgesetzt Abschreibungen.
- Improved cost competitiveness of Beihai site due to global cost escalation of wood and logistics
- Strategic strengthening of global supplier position in premium packaging board market
- No significant capital expenditure expected in mid-term
- EUR 30 million decrease in adjusted EBIT and IFRS operating result for full year 2024
- Quarterly decrease of EUR 7.5 million in operating results due to depreciation restatement
STORA ENSO OYJ INSIDE INFORMATION 23 October 2024 at 13:00 EEST
Stora Enso's strategic ambition is to build on its global leading position in the fiber-based packaging market. The business of the Beihai site will be developed through a continued focus on operational excellence, cost optimisation, and product development. By adjusting the product mix to increase the share of liquid packaging board and other premium grades, the Beihai site will strengthen Stora Enso's leading position as a global supplier. No significant capital expenditure is expected in the mid-term.
The Group's other liquid packaging board production sites include Imatra,
"Following a thorough review and negotiations with potential buyers, we have decided to terminate the divestment process and focus on the ongoing business. We are confident that Stora Enso is the best positioned to continue operating this site going forward. Given the recent global cost escalation of wood and logistics, the relative cost competitiveness of the Beihai site has improved. Through the Beihai site, we will continue to serve our global and most demanding customers with premium packaging board in the
Stora Enso owns approximately
Impact on financial reporting
The Beihai site was classified as assets held for sale from the end of 2023. As at the end of September 2024, such classification has been ceased. Adjusted EBIT and IFRS operating result for Q1 to Q3/2024 will decrease by
Part of the global bioeconomy, Stora Enso is a leading provider of renewable products in packaging, biomaterials and wooden construction, and one of the largest private forest owners in the world. We create value with our low-carbon and recyclable fiber-based products, through which we support our customers in meeting the demand for renewable sustainable products. Stora Enso has approximately 20,000 employees and our sales in 2023 were
STORA ENSO OYJ
For further information, please contact:
Carl Norell
SVP Corporate Communications
tel. +46 72 241 0349
Investor enquiries:
Anna-Lena Åström
SVP Investor Relations
tel. +46 70 210 7691
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SOURCE Stora Enso Oyj
FAQ
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