CEO Per Lindberg comments on the development during Q3 2013:
“Third quarter’s results show a stable performance. Our adjusted operating
profit reached SEK 331 million corresponding to an adjusted operating margin of
7% which, taking the negative impact from the planned maintenance shutdowns into
consideration is satisfactory.
The quarter has been very eventful in our production units with two planned
maintenance shutdowns in Karlsborg and Skärblacka. After some delay in
Skärblacka in connection with the major rebuild, all machines are now up and
running again and performing as planned.
During the quarter, we have agreed on new long-term contracts with all major
customers for liquid packaging board, which will contribute to long-term
stability of demand. In general, however, the European market currently
continues sideways, without strong signs of improvement. We therefore strengthen
our efforts to increase sales outside Europe in markets with more healthy demand
and we re-allocate resources from Europe to these areas.
The Board of Directors have approved an investment in one of the board machines
in Gävle amounting to approximately SEK 220 million. The purpose of the
investment is to increase machine capacity with approximately 10% to support
further growth within the attractive liquid packaging board market. The
investment will also improve both cost efficiency and product quality and the
rebuild will take place during the planned maintenance shutdown next year.
During the quarter the remaining 70% of the shares in PACCESS Packaging LLC in
the US were acquired. This is strengthening BillerudKorsnäs’ position to bring
smarter packaging solutions to brand owners and is a further step in challenging
The integration efforts are progressing relentlessly and I am pleased to end on
the note that we now have realised synergies corresponding to an annual pace of
approximately SEK 300 million. The synergy targets are expected to be reached
approximately a year ahead of plan during 2014.
Finally, I just want to remind you of our Capital Markets Day on 14 November
2013, in Stockholm. I hope to meet many of you there.”
For further information, please contact:
Per Lindberg, President and CEO +46 (0)8 553 335 00
Susanne Lithander, CFO, +46 (0)8 553 335 00
Sophie Arnius, Investor Relations & Financial Media Director, +46 (0)70 590 80
The information is such that BillerudKorsnäs AB (publ) is obligated to publish
under the Swedish Securities Market Act. Submitted for publication at 07.02 CET,
30 October 2013.
BillerudKorsnäs – Packaging manufacturers and brand owners are offered added
value in the form of brand-strengthening, productivity-boosting and environment
-enhancing packaging solutions. BillerudKorsnäs has a world-leading market
position within primary fibre-based packaging paper. The company has annual
sales of around SEK 20 billion and is listed on NASDAQ OMX Stockholm.
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