Stora Enso Financial Statement Release 2024: Improved results in challenging markets
Stora Enso reported improved financial results for Q4/2024, with sales increasing 7% to EUR 2,322 million and adjusted EBIT rising to EUR 121 million. The company's adjusted EBIT margin increased to 5.2% from 2.3% year-over-year.
For the full year 2024, sales were EUR 9,049 million, with adjusted EBIT of EUR 598 million, marking a 75% increase. The company achieved EUR 110 million in fixed cost reductions through its profit improvement programme. The fair value of forest assets increased to EUR 8.9 billion.
Key developments include the planned sale of 12% of Swedish forest assets, surpassing the 2030 greenhouse gas emissions reduction target, and progress on the Oulu site consumer board investment. The Board proposed a dividend of EUR 0.25 per share. Looking ahead, Stora Enso expects subdued and volatile demand, with the Oulu board line ramp-up expected to impact 2025 adjusted EBIT by approximately EUR 100 million.
Stora Enso ha riportato risultati finanziari migliorati per il Q4/2024, con vendite aumentate del 7% a 2.322 milioni di EUR e EBIT rettificato salito a 121 milioni di EUR. Il margine EBIT rettificato dell'azienda è aumentato al 5,2% rispetto al 2,3% dell'anno precedente.
Per l'intero anno 2024, le vendite sono state di 9.049 milioni di EUR, con EBIT rettificato di 598 milioni di EUR, segnando un incremento del 75%. L'azienda ha raggiunto una riduzione dei costi fissi di 110 milioni di EUR attraverso il suo programma di miglioramento dei profitti. Il valore equo degli attivi forestali è aumentato a 8,9 miliardi di EUR.
Le principali novità includono la vendita pianificata del 12% degli attivi forestali svedesi, il superamento dell'obiettivo di riduzione delle emissioni di gas a effetto serra per il 2030 e i progressi sull'investimento nel cartone per consumatori nel sito di Oulu. Il Consiglio ha proposto un dividendo di 0,25 EUR per azione. Guardando al futuro, Stora Enso prevede una domanda attenuata e volatile, con l'aumento della linea di produzione di cartone di Oulu che dovrebbe impattare l'EBIT rettificato del 2025 di circa 100 milioni di EUR.
Stora Enso reportó resultados financieros mejorados para el Q4/2024, con ventas que aumentaron un 7% a 2,322 millones de EUR y EBIT ajustado subiendo a 121 millones de EUR. El margen de EBIT ajustado de la compañía aumentó al 5.2% desde el 2.3% del año anterior.
Para el año completo 2024, las ventas fueron de 9,049 millones de EUR, con EBIT ajustado de 598 millones de EUR, marcando un aumento del 75%. La empresa logró reducciones de costos fijos por 110 millones de EUR a través de su programa de mejora de beneficios. El valor justo de los activos forestales aumentó a 8.9 mil millones de EUR.
Los desarrollos clave incluyen la venta planificada del 12% de los activos forestales suecos, superando el objetivo de reducción de emisiones de gases de efecto invernadero para 2030, y el progreso en la inversión en la línea de cartón para consumidores en el sitio de Oulu. La Junta propuso un dividendo de 0.25 EUR por acción. De cara al futuro, Stora Enso espera una demanda moderada y volátil, con el aumento de la línea de cartón en Oulu que se espera impacte el EBIT ajustado de 2025 en aproximadamente 100 millones de EUR.
Stora Enso는 2024년 4분기 재무 실적이 개선되었다고 보고했으며, 판매는 7% 증가하여 23억 2,200만 유로에 이르렀고 조정된 EBIT는 1억 2,100만 유로로 증가했습니다. 회사의 조정된 EBIT 마진은 전년 대비 2.3%에서 5.2%로 증가했습니다.
2024년 전체 연도에 대한 판매는 90억 4,900만 유로였으며 조정된 EBIT는 5억 9,800만 유로로 75% 증가했습니다. 회사는 이익 개선 프로그램을 통해 고정 비용 1억 1,000만 유로를 절감했습니다. 산림 자산의 공정 가치는 89억 유로로 증가했습니다.
주요 개발 사항으로는 스웨덴 산림 자산의 12% 매각 계획, 2030년 온실가스 배출 감소 목표 초과 달성, 그리고 Oulu 사이트 소비자 보드 투자 진전이 포함됩니다. 이사회는 주당 0.25 유로의 배당금을 제안했습니다. 앞으로 Stora Enso는 저조하고 변동성이 큰 수요를 예상하며, Oulu 보드 라인의 증가가 2025년 조정된 EBIT에 약 1억 유로의 영향을 미칠 것으로 예상하고 있습니다.
Stora Enso a signalé des résultats financiers améliorés pour le T4/2024, avec des ventes en hausse de 7 % à 2 322 millions d'EUR et un EBIT ajusté en hausse à 121 millions d'EUR. La marge EBIT ajustée de l'entreprise est passée de 2,3 % à 5,2 % d'une année sur l'autre.
Pour l'année entière 2024, les ventes se sont élevées à 9 049 millions d'EUR, avec un EBIT ajusté de 598 millions d'EUR, marquant une augmentation de 75 %. L'entreprise a réalisé 110 millions d'EUR d'économies de coûts fixes grâce à son programme d'amélioration des bénéfices. La juste valeur des actifs forestiers a augmenté à 8,9 milliards d'EUR.
Parmi les développements clés, on trouve la vente prévue de 12 % des actifs forestiers suédois, le dépassement de l'objectif de réduction des émissions de gaz à effet de serre pour 2030 et les progrès réalisés dans l'investissement dans l'usine de cartons pour consommateurs à Oulu. Le Conseil a proposé un dividende de 0,25 EUR par action. En perspective, Stora Enso s'attend à une demande modérée et volatile, l'augmentation de la ligne de cartons à Oulu devant avoir un impact d'environ 100 millions d'EUR sur l'EBIT ajusté de 2025.
Stora Enso berichtete für das 4. Quartal 2024 von verbesserten finanziellen Ergebnissen, mit einem Umsatzanstieg von 7% auf 2.322 Millionen EUR und einem angepassten EBIT von 121 Millionen EUR. Die angepasste EBIT-Marge des Unternehmens stieg im Vergleich zum Vorjahr von 2,3% auf 5,2%.
Für das gesamte Jahr 2024 erzielte das Unternehmen einen Umsatz von 9.049 Millionen EUR und ein angepasstes EBIT von 598 Millionen EUR, was einem Anstieg von 75% entspricht. Das Unternehmen erzielte durch sein Programm zur Verbesserung der Rentabilität Einsparungen bei festen Kosten in Höhe von 110 Millionen EUR. Der faire Wert der Waldressourcen stieg auf 8,9 Milliarden EUR.
Zu den wichtigsten Entwicklungen gehören der geplante Verkauf von 12% der schwedischen Waldressourcen, das Übertreffen des Ziels zur Reduzierung von Treibhausgasemissionen bis 2030 und Fortschritte bei der Investition in die Verbraucherboardanlage am Standort Oulu. Der Vorstand schlug eine Dividende von 0,25 EUR pro Aktie vor. Ausblick: Stora Enso erwartet eine gedämpfte und volatile Nachfrage, wobei der Anlauf der Oulu-Boardlinie voraussichtlich einen Einfluss von etwa 100 Millionen EUR auf das angepasste EBIT im Jahr 2025 haben wird.
- Sales increased 7% YoY to EUR 2,322 million in Q4/2024
- Adjusted EBIT increased 75% to EUR 598 million in 2024
- Fixed costs reduced by EUR 110 million through improvement programme
- Forest assets value increased to EUR 8.9 billion
- Dividend increased to EUR 0.25 from EUR 0.20 per share
- Achieved 53% reduction in Scope 1 and 2 greenhouse gas emissions
- Net debt increased by EUR 540 million to EUR 3,707 million
- Net loss of EUR 379 million in Q4/2024
- Negative EPS of EUR -0.43 in Q4/2024
- Expected EUR 100 million negative impact on 2025 adjusted EBIT from Oulu ramp-up
- Operating result (IFRS) was EUR -279 million in Q4/2024
STORA ENSO OYJ FINANCIAL STATEMENT RELEASE 11 February 2025 at 8:30 EET
Q4/2024 (year-on-year)
- Sales increased by
7% toEUR 2,322 (2,174) million. - Adjusted EBIT increased to
EUR 121 (51) million. - Adjusted EBIT margin increased to
5.2% (2.3% ). - Operating result (IFRS) was
EUR -279 (-326) million, including items affecting comparability ofEUR -768 million related mainly to impairments booked as part of the annual impairment review, and fair valuations and other non-operational items ofEUR 368 million mostly from increase in the fair value of the standing growing trees (biological assets). - Earnings per share (EPS) were
EUR -0.43 (-0.36) and EPS excl. fair valuations (FV) wasEUR -0.81 (-0.64). - The fair value of the forest assets increased to
EUR 8.9 (8.7) billion, equivalent toEUR 11.28 per share. - Cash flow from operations amounted to
EUR 325 (323) million. Cash flow after investing activities wasEUR 88 (-9) million. - Net debt increased by
EUR 540 million toEUR 3,707 (3,167) million, mainly due to the board investment at the Oulu site. - The net debt to adjusted EBITDA (LTM) ratio improved to 3.0 (3.2). The target to keep the ratio below 2.0 remains.
Year 2024 (year-on-year)
- Sales were
EUR 9,049 (9,396) million. - Adjusted EBIT was
EUR 598 (342) million. - Operating result (IFRS) was
EUR 93 (-322) million. - Earnings per share (EPS) were
EUR -0.17 (-0.45) and EPS excl. fair valuations (FV) wasEUR -0.56 (-0.73). - Cash flow from operations amounted to
EUR 1,187 (954) million. Cash flow after investing activities wasEUR 74 (-40) million. - Adjusted ROCE excluding the Forest division increased to
3.6% (1.0% ), the target being above13% .
Key highlights
- The profit improvement programme, initiated in Q1/2024 with a target of
EUR 120 million in annual gross fixed cost savings, progressed well, with the full impact realised from the start of 2025. During the year, fixed costs decreased byEUR 110 million . - Stora Enso signed an agreement to acquire the Finnish sawmill company Junnikkala Oy to secure a cost-efficient wood supply to the packaging board site in Oulu,
Finland , and to support the wood products business with new production assets. - Stora Enso achieved a
53% reduction in Scope 1 and 2 greenhouse gas emissions by year-end, surpassing the 2030 target of a50% reduction from the 2019 base year. - The consumer board investment at the Oulu site in
Finland is progressing on schedule. Production is estimated to start in the coming months with full capacity estimated to be reached during 2027. - Stora Enso intends to sell approximately
12% of its total forest assets of 1.4 million hectares inSweden , with a fair value ofEUR 6.3 billion . The sales process is ongoing.
Proposed dividend
The Board of Directors will propose a dividend of
Outlook
NB: As a change to prior practices, Stora Enso will continue to provide comments on its outlook but not a specific annual EBIT guidance. This aligns with international practice.
We expect demand to remain subdued and volatile, affected by macroeconomic confidence and continued geopolitical uncertainty. Wood prices are expected to remain at high levels. Throughout 2025, we continue with our actions to reduce costs and strengthen operational and commercial excellence with the aim to improve operational performance and competitiveness.
In the first quarter of 2025, maintenance costs are expected to decrease to
During the full year 2025, the Group's adjusted EBIT is anticipated to be adversely impacted by approximately
The Group's capital expenditure forecast for the full year 2025 is EUR 730–790 million.
Packaging Materials
The fiber packaging market is currently challenged by soft demand due to slow economic recovery, low operating rates and uncertain visibility. Consumer board volumes in Q1/2025 are anticipated to increase following planned maintenance stops and seasonally low demand in Q4/2024. With continued weak demand and excess capacity, containerboard operating rates in fresh fiber are expected to improve but still remain at a relatively low level. Recycled containerboard volumes are expected to remain stable. High wood fiber costs continue to put pressure on margins. The division's average price level is expected to remain stable quarter-on-quarter.
Packaging Solutions
Market demand continues to be unpredictable and volatile with vast overcapacity. The first quarter typically represents a low season for the division. Volumes in Q1/2025 in Central, Northern and
Biomaterials
The pulp market is currently positioned near its cyclical low. Leading pulp producers have announced price increases, with potential effects likely becoming more apparent in Q2/2025. Demand outlook is uncertain driven by economic activity and geopolitical risks.
Wood Products
The overall outlook for Q1/2025 is expected to remain relatively unchanged from Q4/2024, characterised by low and stable demand for classic sawn in
Forest
Wood demand in the Nordics is expected to remain robust in Q1/2025, despite reductions in pulpwood consumption from curtailments in packaging and pulp markets, as forest companies are minimising costly imports.
Key figures
EUR million | Q4/24 | Q4/23 | Change % Q4/24–Q4/23 | Q3/24 | Change % Q4/24–Q3/24 | 2024 | 2023 | Change % 2024–2023 |
Sales | 2,322 | 2,174 | 6.8 % | 2,261 | 2.7 % | 9,049 | 9,396 | -3.7 % |
Adjusted EBITDA | 285 | 212 | 34.4 % | 328 | -13.1 % | 1,223 | 989 | 23.6 % |
Adjusted EBIT | 121 | 51 | 138.6 % | 175 | -31.3 % | 598 | 342 | 74.8 % |
Adjusted EBIT margin | 5.2 % | 2.3 % | 7.8 % | 6.6 % | 3.6 % | |||
Operating result (IFRS) | -279 | -326 | 14.4 % | 139 | n/m | 93 | -322 | 128.8 % |
Result before tax (IFRS) | -353 | -378 | 6.6 % | 98 | n/m | -118 | -495 | 76.2 % |
Net result for the period (IFRS) | -379 | -325 | -16.5 % | 84 | n/m | -183 | -431 | 57.4 % |
Net debt | 3,707 | 3,167 | 17.1 % | 3,528 | 5.1 % | 3,707 | 3,167 | 17.1 % |
Forest assets¹ | 8,894 | 8,731 | 1.9 % | 8,758 | 1.6 % | 8,894 | 8,731 | 1.9 % |
Adjusted return on capital employed (ROCE), LTM² | 4.3 % | 2.4 % | 3.7 % | 4.3 % | 2.4 % | |||
Adjusted ROCE excl. Forest division, LTM² | 3.6 % | 1.0 % | 2.7 % | 3.6 % | 1.0 % | |||
Earnings per share (EPS) excl. FV, EUR | -0.81 | -0.64 | -26.4 % | 0.10 | n/m | -0.56 | -0.73 | 23.1 % |
EPS (basic), EUR | -0.43 | -0.36 | -18.5 % | 0.11 | n/m | -0.17 | -0.45 | 62.0 % |
Net debt to LTM² adjusted EBITDA ratio | 3.0 | 3.2 | 3.1 | 3.0 | 3.2 | |||
Average number of employees (FTE) | 18,731 | 20,047 | -6.6 % | 19,364 | -3.3 % | 19,233 | 20,822 | -7.6 % |
1 Total Forest assets value, including leased land and Stora Enso's share of Tornator.
2 LTM=Last 12 months
Stora Enso's President and CEO Hans Sohlström comments on the fourth quarter 2024 results:
2024 marked a year of substantial progress for Stora Enso, demonstrating our commitment to building a foundation for sustained profitable growth. Our actions to improve sourcing and operational efficiency as well as commercial excellence, and the implementation of cost reductions across the Company have borne fruit, enhancing our profitability and competitiveness. Despite facing macroeconomic uncertainties, fluctuations in market demand, and rising wood costs, these actions have progressed well.
In 2024, we increased our adjusted EBIT by
In the fourth quarter of 2024, adjusted EBIT increased by
Our focused actions to reduce operating working capital resulted in an all-time low operating working capital of
The fair value of our total forest assets reached
We are also proud to announce that we have surpassed our 2030 target by achieving a
The
We need to continue with our actions to make Stora Enso more efficient and stronger. While short-term demand outlook continues to be subdued, we continue our systematic and structured work to reduce our fixed and variable costs as well as improve operative performance during 2025.
In the longer term, Stora Enso is poised to leverage the recent big investments and cost reductions to further strengthen our market position, strive to deliver exceptional service to our customers, and continue our journey of sustainable development towards our long-term financial targets and improved shareholder value creation.
I would like to thank all our employees, customers, suppliers, and shareholders for their commitment and support during 2024. I am exceptionally proud of our team's resilience, engagement and dedication, which have been crucial in navigating this year's challenges and setting the stage for future successes.
Webcast for analysts, investors, and media
Analysts, investors, and media are invited to participate in the webcast with a teleconference today at 11:30 am EET (10:30 CET, 9:30 BST, 4:30 EDT). The results will be presented by President and CEO Hans Sohlström and CFO Niclas Rosenlew. The presentation can be followed live via the link: stora-enso-oyj-financial-statement-for-full-year-2024.open-exchange.net
During the webcast presentation, analysts and investors will also have the possibility to ask questions. To participate in the teleconference, please choose the "Teleconference" option on the homepage of the webcast. Recording of the webcast will be available shortly after the event at the same address and at storaenso.com/en/investors/interim-report
Media representatives who wish to ask questions after the publication of the report may contact Carl Norell, SVP Corporate Communications at Stora Enso on +46 72 241 0349.
This release is a summary of Stora Enso's Financial Statements Release 2024. The complete report is attached to this release as a pdf file. It is also available on the company website at storaenso.com/en/investors/interim-report.
Media enquiries:
Carl Norell
SVP Corporate Communications
tel. +46 72 241 0349
Investor enquiries:
Anna-Lena Åström
SVP Investor Relations
tel. +46 70 210 7691
The forest is at the heart of Stora Enso and we believe that everything made from fossil-based materials today can be made from a tree tomorrow. We are the leading provider of renewable products in packaging, biomaterials, and wooden construction, and one of the largest private forest owners in the world. Stora Enso has approximately 19,000 employees and our sales in 2024 were
STORA ENSO OYJ
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SOURCE Stora Enso Oyj
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