05/02/2009
Sales increased by 8% year on year
Metsä Tissue's sales totalled EUR 930 million (861), and EBIT was EUR 42
million (35). The steady development of Metsä Tissue's own brands, customer
label offering as well as efficiency programs contributed to the improvement of
the result.
Sales increased by 8% year on year. Growth was promoted by an increase in sales
volumes (3%), increasing selling prices and changes in product mix (5%). “The
company's long term commitment to consistent brand building is also shown in
the result,” comments Hannu Kottonen, CEO. “The sales of Metsä Tissue's own
brands increased by 12% in comparison to the previous year and, for example,
Lambi's strong success continued. The invoicing for the brand exceeded EUR 100
million.”
The result includes one-time expenses amounting to approximately EUR 5 million
due to the closure of the Bork warehouse in Germany. Additionally, there were
one-time insurance related income and costs connected with a warehouse fire in
Zilina, Slovakia.
Exchange rate development - the weakened British pound, Swedish crown and US
dollar in particular - had a negative impact on sales and EBIT. Part of the
negative effects caused by higher raw material, energy and transportation costs
were successfully minimised by continuous improvement programs.
“The general economic uncertainty is not expected to have a considerable impact
on the demand for tissue and cooking paper. However, it is expected that the
growth in emerging markets, in particular, will slow down,” states Markus Holm,
CFO. The demand for Away-from-Home products may weaken due to the decrease in
travel and services purchasing. On the other hand, the same trend may increase
the demand for consumer products. The raw material cost inflation will reverse.
Metsä Tissue continues to invest in its strong brands. Both product and service
offering will be developed further. Efficiency improvements of both production
and business operations will stay in focus. Business development in eastern
Europe continues.
Metsä Tissue's Result 2006-2008
2008 2007 2006
Turnover, MEUR 930 861 799
EBT, MEUR 42 35 19