by Sean Ungerer | Sep 7, 2020 | Forestry and Paper
Following UPM and SCA’s announced capacity closures, Stora Enso could follow suit: According to Talouselämä, Stora is considering the closure of its Veitsiluoto and Anjala mills. As with the UPM and SCA closures, both mills are in Finland. Finland has recently been...
by Sean Ungerer | Sep 4, 2020 | Forestry and Paper
SAP’s European operations are roughly 3x Lecta’s (based on volumes: Lecta’s Q2 19A EBITDA margin contracted by 727 bps y/y to 1.0%. This was ahead of SAP’s -0.2% EBITDA margin over the same period.Lecta’s sales volumes underperformed Sappi: Lecta’s CWF volumes...
by Sean Ungerer | Aug 27, 2020 | Forestry and Paper
Total impact on UPM: Around 840 roles could be reduced, mostly in Finland with a restructuring cost of EUR 115m (48% cash and 52% non-cash) mainly impacting their Communication Papers segment.Potential newsprint sale and conversion provides negative read-through for...
by Sean Ungerer | Aug 26, 2020 | Forestry and Paper
Intention to exit publication paper: Having previously closed over 1mtpa, remaining assets are cash flow negative. Negotiations have been initiated for the closure of all three paper machines at the Ortviken mill within next six months. This will remove 775ktpa of...
by Sean Ungerer | Aug 18, 2020 | Forestry and Paper
Q2 20A saw adjusted EBITDA increase by 35% y/y (38% q/q): This was driven by the Pulp segment, where sales volumes increased by 25% y/y (-3% q/q) supporting a robust EBITDA margin of 52%, despite bottom of cycle pulp pricing. Unfortunately, bottom line looks messy due...
by Sean Ungerer | Aug 6, 2020 | Forestry and Paper
Dividends resume: As with Smurfit Kappa, MNP resumed dividends in line with its stated dividend policy (2-3x underlying EPS). Last dates to trade cum-dividend are 18 August (JSE) and 19 August (LSE). FY 19A and H1 20A DPS yield 3%.Strong Corrugated performance (36% of...
