Interim Report January-September 2008 Quarter January-September Full year MSEK 3-08 2-08 3-07 2008 2007 2007 Net turnover 4 591 4 826 4 637 14 291 14 086 19 159 Operating profit 64 257 642 767 1 804 2 843 Operating profit excl. items affecting comparability* 362 320 642 1 128 1 804 2 286 Profit after tax -24 124 438 371 1 164 1 505 Earnings per share (after dilution), SEK -0.3 1.5 5.2 4.4 13.7 17.8 Return on -0.6 3.0 10.6 3.0 9.5 9.2 equity, % * Item affecting comparability in the third quarter of 2008 relates to a provision of costs for the closure of Wargön Mill of MSEK 298. The second quarter figure includes a cost of MSEK 115 for the closure of PM2 at Hallsta Paper Mill and income of MSEK 52, corresponding to the effects on the result of the fire at Braviken Paper Mill. Items affecting comparability of 2007 relate to a write-down of MSEK 1 603 within Holmen Paper, a reversed write-down of MSEK 60 within Holmen Timber, and a positive revaluation of forests by MSEK 2 100 within Holmen Skog. · The Group's net turnover for January-September 2008 amounted to MSEK 14 291 (January-September 2007: 14 086). · Profit after tax was MSEK 371 (1 164). · Earnings per share after dilution amounted to SEK 4.4 (13.7). Return on equity was 3.0% (9.5). · The operating profit was MSEK 767 (1 804). This figure includes net costs affecting comparability of MSEK 361 within Holmen Paper, of which a provision in the third quarter for the closure of Wargön Mill accounted for MSEK 298. The operating profit excluding items affecting comparability amounted to MSEK 1 128 (1 804). The decline in the result is due to lower newsprint prices and the higher cost of wood and other input goods. · The operating profit excluding items affecting comparability for the third quarter amounted to MSEK 362, which was MSEK 42 higher than for the second quarter. The improvement in the result is mainly attributable to seasonally lower personnel and maintenance costs, whereas the result was adversely affected by higher costs of input goods. · Demand for newsprint in Europe was lower than in the previous year, while exports from Europe rose, imports declined and some capacity was taken out of production. This has resulted in a high level of capacity utilisation at European producers. Deliveries of virgin-fibre board from European producers to Europe during January-September were broadly the same as in the previous year. Prices have been increased in Europe during the second half of the year. For further information please contact: Magnus Hall, President and CEO, tel +46 8 666 21 05 Anders Almgren, CFO, tel +46 8 666 21 16 Ingela Carlsson, Public Relations Director, tel +46 8 666 21 15
Interim Report January-September 2008
| Source: Holmen AB