(For complete interim report see attached file)
┌─────────────────────────────────┬─────────┬─────────┬──────┬─────────┬──────┐
│Period in rewiev │ │ │ │ │ │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│ │Jan-Mar │Oct-Dec │change│Jan-Mar │change│
│ │2014 │2013 │ │2013 │ │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│Net turnover, SEK m │380 │317 │63 │354 │26 │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│Operating Income, SEK m │21 │-42 │64 │-6 │27 │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│ including items affecting │21 │-42 │64 │-6 │27 │
│comparability │ │ │ │ │ │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│Income after net financial items,│20 │-43 │63 │-4 │24 │
│SEK m │ │ │ │ │ │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│Profit/loss after tax, SEK m │16 │-43 │59 │-4 │20 │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│Earnings per share after tax, SEK│0.10 │-0.28 │0.38 │-0.03 │0.13 │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│ including items affecting │0.10 │-0.28 │0.38 │-0.03 │0.13 │
│comparability │ │ │ │ │ │
├─────────────────────────────────┼─────────┼─────────┼──────┼─────────┼──────┤
│Cash flow before investments, SEK│9 │2 │7 │21 │-12 │
│m │ │ │ │ │ │
└─────────────────────────────────┴─────────┴─────────┴──────┴─────────┴──────┘
• Profit after net financial items amounted to SEK 20 million for the first
quarter of 2014, compared with losses of SEK -43 million for the fourth
quarter of 2013 and SEK -4 million for the first quarter of 2013.
• The average PIX price for NBSK amounted to USD 916 for the first quarter of
2014. The price increase in Swedish kronor is twelve per cent compared with
the same period of 2013. The price increase is two per cent compared with
the previous quarter and was affected negatively by the weak dollar.
• Stable production at Vallviks Bruk during the first quarter resulted in
lower direct costs, which had a positive impact on the result.
• Cash flow from operating activities amounted to SEK 9 (21) million for the
first quarter of 2014. Net borrowing amounted to SEK ‑25 (‑33) million on
31 March.
CEO’s statement
It is both gratifying and inspiring to report an improvement in our results for
the first quarter. Our operating profit increased by SEK 27 million, to
SEK 21 million, compared with the same quarter of last year. This improvement
was primarily driven by higher pulp prices, although it was also helped by
lower variable costs attributable to better production stability at Vallviks
Bruk.
The extensive programme of change that we initiated in the autumn of 2013 is
continuing on track and on time. The objective of these changes is to
strengthen our competitiveness and assure our long-term profitability. The
first phase of this programme (Focus 15) will be completed by January 2015.
Focus 15 is primarily targeted at improving operational efficiency and boosting
production volumes. We expect to see the impact of Focus15 even more clearly
towards the end of the year when the measures we have implemented will start to
bear fruit in the form of among other things increased volumes, mainly at
Vallviks Bruk. We are focusing on establishing clear routines and areas of
responsibility where safety continues to represent a common theme within all of
our activities. We are also making greater efforts to provide clear leadership
and will reinforce our common set of core values.
The market has developed strongly during the first quarter, with continuing
increase of demand for chemical pulp. The CTMP market also strengthened and
demonstrated good balance during the quarter, with a price rise that was
primarily driven by growing demand in Asia.
I rejoice at the positive and open attitude I meet in many parts of the
organisation, which represents a basic precondition for bringing about change.
I am firmly convinced that our intensive work will provide us with the
availability and productivity and, not least, also establish the culture
required for our long‑term profitability.
Carl-Johan Jonsson
President and CEO
Rottneros AB (publ)
Corp. ID no. 556013-5872
Box 144, SE-826 23 Söderhamn
Tel. +46 8 590 010 00, fax +46 8-590 010 01
www.rottneros.com
Rottneros discloses the information provided herein pursuant to the Securities
Markets Act and/or the Financial Instruments Trading Act. This information was
submitted for publication on 25 April 2014 at 08.30. A Swedish and an English
version of this report have been drawn up. The Swedish version shall prevail in
the event of differences between the two reports.
