Metsa Board Oyj Class A · OMXHEX:METSA
Metsa Board Oyj Class A — Q3 2025 Earnings Presentation
73 slides from Metsa Board Oyj Class A's earnings presentation, October 2025
Slide 1: Investor presentation January–September 2025
Investor presentation January–September 2025 Metsä Board
Slide 2: Disclaimer
Disclaimer This presentation includes forward-looking statements. The words “believe”, “expect”, “anticipate”, “intend”, “may”, “plan”, “estimate”, “will”, “should”, “could”, “aim”, “target”, “might” or in each case, their negative, or any similar expressions identify certain of these forward-lookin
Slide 3: Contents
Contents This is Metsä Board 4 Cost structure and profit drivers 17 Results for January–September 26 Transformation programme 39 Operating environment and regulation 45 ESG 54 Development work 67 Owners and management 71
Slide 4: Investment highlights
Investment highlights Focus on premium A leading position High level ambition in Recent investments in fresh fibre paperboards in a growing market ESG sustainable growth • Recyclable and lightweight paperboards • Metsä Board is #1 producer in folding • Helps customer to improve their • Large-scale i
Slide 5: Metsä Board is part of Metsä Group
Metsä Board is part of Metsä Group Metsä Group’s interest is to increase the value of the forest of owner-members by processing wood into valuable and sustainable end-products All figures based on FY2024 METSÄ GROUP Sales EUR 5.7 billion │ Operating margin: 3.5% │ Personnel 9,000 Parent company: MET
Slide 6: Company in figures
Company in figures Sales split by product Sales split by region Other operations APAC Comparable operating result 6% FY2024: EUR 69 million or 3.6% of sales Market 4% pulp 600 25 14% Americas 27% 500 20 400 15 300 FY 2024 SALES FY 2024 SALES 10 EUR 1.9bn EUR 1.9bn 200 100 5 0 0 Folding 2020 2021 202
Slide 7: Financial targets and dividend policy
Financial targets and dividend policy IB net debt/comparable Dividend policy Comparable ROCE, % EBITDA Dividend/net result, % 98 5,3 94 Target: 21 Pay-out ratio 19 Target > 12% at least 50% 54 50 50 2 Target < 2.5x 5 3 0,7 0,2 2020 2021 2022 2023 2024 -0,2 -2 2021 2022 2023 2024 09/2025 2021 2022 20
Slide 8: Focus on premium and recyclable fresh fibre paperboards, end-uses mainly in consumer products
Focus on premium and recyclable fresh fibre paperboards, end-uses mainly in consumer products Graphic end uses e-Commerce Other Folding consumer White products Other boxboard kraftliners consumer products 1.6mton 0.7mton* Various retail solutions Food and food service * of which 2/3 is coated WKL So
Slide 9: Metsä Board's main markets are Europe and North America
Metsä Board’s main markets are Europe and North America Total paperboard deliveries in 2024 were 1.5 million tonnes (2023: 1.4mt) Regional focus on key demand drivers EMEA Further strengthening our leading market position 65% in EUROPE • Environmental awareness and regulatory requirements support re
Slide 10: Metsä Board's production is close to the main raw material – northern wood
Metsä Board’s production is close to Total paperboard capacity: Folding boxboard (FBB): 1,350,000 t/a White kraftliner (WKL): 715,000 t/a the main raw material – northern wood Total pulp / BCTMP capacity: BCTMP: 750,000 t/a Chemical pulp: 910,000 t/a 24.9% ownership in Metsä Fibre, total pulp capaci
Slide 11: Self-sufficiency in energy is 90%
Self-sufficiency in energy is 90% Energy consumption by sourcing method Sourced Gas, oil, waste, peat, from market sourced from market 15% Biomass, Own 7% own generation Biomass, generation 31% sourced from Sourced 82% from Metsä Metsä Fibre Fibre 11% 12% ELECTRICITY FUELS (HEAT) Total 2.0 TWh Total
Slide 12: Self-sufficiency in pulp is secured through ownership of Metsä Fibre
Self-sufficiency in pulp is secured Metsä Fibre’s pulp sales split by region 2024 MEA&Americas through ownership of Metsä Fibre 14% APAC 42% Europe 44% Metsä Fibre is globally #1 producer in softwood market pulp (NBSK) • Capacity ~4 million tonnes/year chemical pulp (80% SW, 20% HW) Metsä Fibre’s pu
Slide 13: Major investments are now completed
Major investments are now completed Year 2025 • Total YTD investments were EUR 64 million • FY 2025 estimated investments roughly EUR 100 million, depreciation at the level of 2024 Investments and depreciation 2020–YTD2025 • Simpele modernisation investment ~EUR 60 million completed 300 Years 2026-2
Slide 14: Investments for sustainable growth and improved competitiveness
Investments for sustainable growth and improved competitiveness Kemi development programme Husum FBB capacity expansion BEFORE 2025 COMPLETED EUR 110 million EUR 230 million +40,000 t/a of coated WKL +200,000 t/a of FBB Investment completed in 09’23 Investment completed in 11’23 ▪ New technology enh
Slide 15: Urbanisation and climate change are megatrends driving demand for fresh fibre paperboards
Urbanisation and climate change are megatrends driving demand for fresh fibre paperboards Population growth, Regulation and Brand owners’ Availability of high- urbanisation and rising consumer preferences commitments to quality recycled fibre living standards drive favour fossil-free recyclable pack
Slide 16: Global need for packaging is growing
Global need for packaging is growing Global packaging market value is USD 1.175 billion and it is growing by 3.9% per year Paperboard is growing faster than all packaging Folding boxboard and foodservice board have materials on average fastest growth rates of all cartonboards +2.8%/a 2023–2028 CAGR
Slide 17: Cost structure and profit drivers
Cost structure and profit drivers
Slide 18: Cost development and structure
Cost development and structure Metsä Board’s cost structure in 2024 Q1–Q3’25 (vs Q1–Q3’24) Total costs EUR 1.8 billion (1.7) • Lower chemical costs, but higher wood and logistics costs Other fixed 10% Wood • More costs related to maintenance and investment 20% shutdowns at mills Personnel 11% • Cost
Slide 19: Main profit drivers and sensitivities
Main profit drivers and sensitivities Impact on EBIT, Component Unit Change approximately Folding boxboard Price / tonne +/- 10% >EUR 100 million White kraftliners Price / tonne +/- 10% >EUR 50 million FX1) USD/EUR +/- 10% EUR 60 million SEK/EUR +/- 10% EUR 40 million Pulp2) PIX price of SW/HW per t
Slide 20: Wood is the main raw material
Wood is the main raw material Wood usage • In 2024, Metsä Board used1) 6.8 million m3 wood for its products, of which 92% was certified (PEFC, FSC®) • Wood1) represents roughly 30% of Metsä Board’s total costs Wood supply • Metsä Group is responsible for Metsä Board’s wood sourcing • Metsä Group’s t
Slide 21: Impacts of FX
Impacts of FX Annual FX transaction exposure total EUR 1.1 billion GBP Other 4% • Impact, including hedges, actual 9% USD – Q3 2025 vs Q3 2024: EUR +9 million 55% SEK – Q1–Q3’25 vs Q1–Q3’24: EUR 0 32% The foreign currency transaction exposure consists of • Estimated impacts, including hedges foreign
Slide 22: Price development of folding boxboard and white kraftliner in Europe
Price development of folding boxboard and white kraftliner in Europe EUR/tonne EUR/tonne 1 600 1 600 1 500 1 500 1 400 1 400 1 300 1 300 Folding boxboard 1 200 1 200 1 100 1 100 1 000 1 000 900 900 White top kraftliner 800 800 700 700 600 600 500 500 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Slide 23: Price development of pulp (PIX)
Price development of pulp (PIX) Long-fibre (SW) and short-fibre (HW) pulp 1 700 1 700 1 600 1 600 1 500 Long-fibre Europe, USD 1 500 1 400 1 400 1 300 1 300 1 200 Short-fibre Europe, USD 1 200 USD or EUR USD or EUR 1 100 1 100 1 000 1 000 900 900 800 800 700 700 600 600 500 500 400 Short-fibre Europ
Slide 24: Price development of pulpwood in Finland and Sweden
Price development of pulpwood in Finland and Sweden Price (delivery at roadside, on bark) of pulpwood Price (delivery at roadside, under bark) of pulpwood in Finland, EUR/m3 in Sweden, SEK/m3 60 750 700 55 650 50 600 45 550 500 40 450 35 400 30 350 300 25 250 20 200 2017 2010 2011 2012 2013 2014 201
Slide 25: FX rates development: EUR/USD and EUR/SEK
FX rates development: EUR/USD and EUR/SEK EUR/USD EUR/SEK 1,25 12,00 1,20 11,50 1,15 11,00 1,10 10,50 1,05 10,00 1,00 0,95 9,50 30.9.2020 30.9.2021 30.9.2022 30.9.2023 30.9.2024 30.9.2025 30.9.2020 30.9.2021 30.9.2022 30.9.2023 30.9.2024 30.9.2025
Slide 26: Results for January–September 2025
Results for January–September 2025
Slide 27: Key financials
Key financials Change Change Q3’25 Q3’24 Q3’25 vs Q1–Q3’25 Q1–Q3’24 Q1–Q3’25 vs FY’24 Q3’24 Q1–Q3’24 Sales EUR, m 441 499 -12% 1,382 1,493 -7% 1,939 EBITDA* EUR, m -18 66 - 39 150 -74% 175 Operating result* EUR, m -46 42 - -45 73 - 69 % of sales* % -10.3 8.4 - -3.3 4.9 - 3.6 Metsä Fibre’s share of E
Slide 28: Negative result development highlights need for action
Negative result development highlights need for action Comparable EBITDA Q3 2025 in brief EUR million • Profitability hit by low pulp prices, major maintenance 225 216 and investment shutdowns and market-driven 200 production curtailments 175 • Paperboard deliveries decreased compared to Q2 175 • Tr
Slide 29: Consumer board
Consumer board 57% Metsä Board’s FBB delivery volumes of total sales in Q1–Q3’25 1 000 Folding boxboard (FBB) 800 Q1–Q3’24: 770kt Q1–Q3’25: 703kt 1,000 tonnes 600 • In Europe, subdued demand and increased supply 400 keep capacity utilization below long-term average 200 906 992 242 260 268 222 248 24
Slide 30: Containerboard
Containerboard 25% Metsä Board’s WKL delivery volumes of total sales in Q1–Q3’25 500 400 White kraftlainer (WKL) Q1–Q3’24: 360kt Q1–Q3’24: 356kt 1,000 tonnes 300 • In Europe, stable but moderate demand for both coated 200 and uncoated kraftliners 100 467 480 123 117 120 120 119 120 116 0 FY'23 FY'24
Slide 31: Market pulp
Market pulp 12% Market pulp delivery volumes, Metsä Board (left) and Metsä Fibre (right) of total METSÄ METSÄ FIBRE sales1) in BOARD Q1–Q3’25 500 2747 3000 2484 Softwood pulp (NBSK) 400 Q1–Q3’24: Q1–Q3’25: 2500 Metsä Board 313kt Metsä Board 280kt 1,000 tonnes 2000 300 Metsä Fibre 1,758kt Metsä Fibre
Slide 32: YTD sales EUR 1.4 billion, profitability unsatisfactory
YTD sales EUR 1.4 billion, profitability unsatisfactory Sales, quarterly Comparable operating result, quarterly EUR million EUR million and % of sales FY 2023: FY 2024: Q1–Q3’25: FY 2023: FY 2024: Q1–Q3’25: EUR 122m EUR 69m EUR -45m EUR 1,942m EUR 1,939m EUR 1,382m margin 6.3% margin 3.6% margin -3.
Slide 33: Operating result comparison
Operating result comparison Q3 2024 vs Q3 2025 Q1–Q3 2024 vs Q1–Q3 2025 80 50 40 60 30 40 EUR 73 EUR 42 * million 20 million 20 10 Q3/2025 Q1–Q3/2025 0 0 Q3/2024 Q1–Q3/2024 -10 -20 EUR -46 -20 EUR -45 million million -40 -30 -40 Positives: Positives: -60 -50 FX impact including hedges Paperboard
Slide 34: Cash flow enhanced through inventory optimisation
Cash flow enhanced through inventory optimisation Cash flow from operations and after investing, Q3 2025 cash flow break-down EUR million EUR million 140 400 400 8 122 120 131 300 300 100 94 Target is to release -29 80 45 working 200 200 capital by EUR 150 126 60 million in 124 122 89 94 H2/2025-38
Slide 35: Solid financial standing despite leverage growth – Net debt decreased
Solid financial standing despite leverage growth – Net debt decreased September 2025 Net debt, MEUR and leverage 600 6,0 • Total interest-bearing debt was EUR 551 million, 5,3 and net debt was EUR 338 million – clearly down from 500 5,0 H1’25 levels • Liquidity totals EUR 413 million: Liquid assets
Slide 36: Interest-bearing debt and liquidity
Interest-bearing debt and liquidity 30 September 2025 Interest-bearing debt Liquidity EUR 551 million EUR 413 million Financial leases Loans from and other loans financial institutions Syndicated credit 8 facility (RCF) Liquid assets and investments 95 448 200 213 Bonds Liquidity is complemented by:
Slide 37: Debt maturity and credit ratings
Debt maturity and credit ratings Maturity of interest-bearing debt 30 September 2025 Total EUR 551 million • Total interest-bearing debt was EUR 551 million, and EUR million net debt was EUR 338 million 300 • The average interest rate on loans at the end of the 200 review period was 2.9%, and the av
Slide 38: Outlook
Outlook Trends in operating environment, 3-6 months Metsä Board specific outlook for Q4’25 (compared to Q3’25) Paperboard • Weak consumer sentiment and U.S tariffs weaken • Cash flow-based steering continues; market-driven the predictability of sales development production curtailments expected to k
Slide 39: Transformation programme towards profitability and focused value creation
Transformation programme towards profitability and focused value creation In a volatile operating environment, we strengthen our profitability and competitiveness by sharpening our focus on commercial excellence, optimising costs and leveraging our strong competitive advantages.
Slide 40: Challenging market situation demands new thinking
Consumers’ cautious Intensified competition purchasing behaviour Challenging market situation demands new thinking Geopolitical instability and High wood raw material US tariffs costs
Slide 41: Leveraging our core strengths
Committed and Long-term Premium A high level of highly skilled customer paperboards sustainability personnel relationships built on deep supported by a expertise unique value chain Leveraging our core strengths
Slide 42: Strategic direction remains, now focus on cash flow and profitability improvement
Strategic direction remains, now focus on cash flow and profitability improvement STRATEGIC DIRECTION COST SAVINGS AND PROFITABILITY IMPROVEMENT PROGRAMME Growth in fresh fibre-based packaging Targeted EUR 200 million annual EBITDA run-rate increase by end of 2027 Work started to update strategy – P
Slide 43: Cost savings and profit improvement programme underway
Cost savings and profit improvement programme underway EUR 150 million • Inventory reduction through tighter commercial steering and release in Cash release inventory planning working capital • Optimization of payables and receivables “FIT FOR During H2 2025 THE • Up to 315 FTE reduction planned in
Slide 44: Strong performance in working capital release and cash flow improvement in Q3'25
Strong performance in working capital release and cash flow improvement in Q3’25 Operating net working capital, MEUR Cash flow from operations and after investments, MEUR -120M€ FY Q1/25 Q2/25 Q3/25 480 2024 360 EBITDA 176 44 7 -17 490 -90 M€ 400 Inventories Adjustments, net financials -41 -10 -1 8
Slide 45: Operating environment and impacts from regulation
Operating environment and impacts from regulation
Slide 46: Global annual demand for cartonboards
Global annual demand for cartonboards SBB = solid bleached board WLC FBB CUK = coated unbleached SBB CUK kraftboard white-lined chipboard folding boxboard 19 Mt 3 Mt 3 Mt FSB = foodservice board 14 Mt LPB = liquid packaging board Grey board Folding graphic boards FSB LPB 8 Mt 39 Mt 5 Mt 5 Mt Cartonb
Slide 47: Global annual demand for containerboards
Global annual demand for containerboards Metsä Board’s linerboards are at the top of the quality pyramid – in a very niche market Coated white Uncoated white fresh fibre fresh fibre linerboard* linerboard <1 Mt 3.5 Mt White fresh fibre linerboard* White recycled Brown kraftliner Brown testliner line
Slide 48: Global demand for folding cartonboard
Global demand for folding cartonboard* Europe (excl. Russia & Belarus) total 6.4 million tonnes Asia total 26.7 million tonnes Americas 10 million tonnes FBB WLC 33 % 44 % FBB FBB 10 % SBS/CUK WLC 40 % WLC FSB 15 % 46 % 28 % 8% SBS/CUK 42 % SBS/CUK FSB FSB 5% 20 % 9% FSB = food service board FBB = f
Slide 49: Folding boxboard and white kraftliner capacity in Europe
Folding boxboard and white kraftliner capacity in Europe (excluding Russian and Belarusian producers) FBB producers in Europe WKL producers in Europe Total capacity 4.2 million tonnes Total capacity 2.2 million tonnes 1 400 800 1 200 700 600 1 000 ’000 metric tonnes ’000 metric tonnes 500 800 182 19
Slide 50: Recyclable packaging is strongly driven by regulation and brand owners' commitments
Recyclable packaging is strongly driven by regulation and brand owners’ commitments All packaging shall be recyclable by 2030 • EU Packaging and Packaging Waste Regulation sets further REGULATION (EU) 2025/40 requirements – All packaging recyclable by 2030, including reusables – Packaging waste redu
Slide 51: Packaging and packaging waste regulation (PPWR)
Packaging and packaging waste regulation (PPWR) Metsä Board’s approach • Metsä Board’s paperboards are well aligned with PPWR, which emphasizes – plastic reduction – packaging minimization and lightweighting – recyclability and compostability • Metsä Board’s packaging design service supports custome
Slide 52: Regulation on Deforestation-free products (EUDR)
Regulation on Deforestation-free products (EUDR) Metsä Board’s / Metsä Group’s approach • Metsä Group fully supports the objectives of the EUDR • Metsä Group’s reporting system and internal due diligence system will be finalised to be ready when the reporting obligations start to apply EUDR in a nut
Slide 53: Nature Restoration Regulation
Nature Restoration Regulation Metsä Board’s / Metsä Group’s approach • Metsä Group's principles of regenerative land use aim to improve the state of nature • Metsä Group Plus -management model for owner-members focus especially on forest biodiversity Main objectives and status • Aims to ensure recov
Slide 54: ESG
ESG
Slide 55: Key sustainability figures
Key sustainability figures Accidents at work Certified wood fibre TARGET TRIF, TARGET 0 TARGET 100% set for 2030 ACTUAL 5.0 ACTUAL 90% ACTUAL Q3 2024: 4.5 Q3 2024: 93 Q3 2025 FY2024: 3.4 FY2024: 92 Fossil-based CO2 Process water use2) Energy efficiency2) emissions1) Scopes 1 & 2 TARGET -35% TARGET +
Slide 56: Forest management plan as part of Metsä Group's regenerative forestry
Forest management plan as part of Metsä Group’s regenerative forestry Forest management plan for typical forest Forest management plan at stands biodiversity hot spot* 1 2 3 4 5 More diverse Increased dead More diverse Protected valuable Habitat restoration tree species wood volumes forest structure
Slide 57: Zero fossil CO2 emissions
Metsä Board’s 1.5°C aligned Science Based target ZERO FOSSIL CO2 EMISSIONS Fossil-free production by 2030* *including Scope 1 and Scope 2 market-based
Slide 58: 89% of total energy use is fossil-free
89% of total energy use is fossil-free Total energy consumed in 2024 Fuel consumption in 2024 Total 8.3 TWh Total 6.2 TWh Waste Fossil-based Oil 1% Peat 0.3% fuels Gas 4% 11% 7% Renewable Wood-based energy, mainly renewable Nuclear power wood-based side fuels 15% streams 88% 74% • In 2024, the share
Slide 59: Metsä Board has reduced its fossil-based CO2 emissions by 56% since 2018
Metsä Board has reduced its fossil-based CO2 emissions by 56% since 2018 Target is to reduce fossil-based CO2 emissions by 100% by the end of 2030 Fossil-based CO2 emissions, Scope 1+2 Emission allowances t CO2 Kg CO2 / t • Metsä Board has received emission allowances in 700 000 200 accordance with
Slide 60: Transition towards fossil-free production by 2030
Transition towards fossil-free production by 2030 Baseline: HUSUM, KASKINEN, KYRO, SIMPELE 577,875 tonnes The power plant’s backup fuels will be replaced with renewable fuels KYRO KASKINEN The power plant’s new Process fuels in chemicals recovery turbine and generator will be replaced with renewable
Slide 61: Metsä Board's total greenhouse gas emissions
Metsä Board’s total greenhouse gas emissions Scope 1, 2 and 3 Total greenhouse gas emissions ca. 2 million tonnes CO2e tCO2e 1000000 43% 44% 800000 600000 400000 9% 200000 4% 0 Scope 3 Upstream Scope 2 Scope 1 Scope 3 Downstream In 2024: tCO₂e tCO₂e tCO₂e tCO₂e • Market-based indirect • Direct GHG e
Slide 62: The carbon footprint of packaging material depends in particular on
The carbon footprint (CO2) of packaging material depends in particular on: Energy used in Material and resource production efficiency Metsä Board uses Lightweighting reduces the 89% fossil-free energy use of fibre, energy and water in its production and generates less waste More information: The tec
Slide 63: Roughly 2 million tonnes global potential for cartonboard from plastic reduction
Roughly 2 million tonnes global potential for cartonboard* from plastic reduction in selected food categories *excluding liquid packaging board and cupstock Fruit, vegetables, bakery, confectionery total size 2.5Mt1) Potential plastic replacement in selected food categories Plastic represents roughl
Slide 64: Fresh fibre paperboards support the circular economy
Fresh fibre paperboards support the circular economy • Packaging is needed to protect the product and to reduce wastage • Packaging accounts for only few percent of the total environmental impact of a food 83% product’s entire life cycle of paper and paperboard • Paperboard is widely collected for r
Slide 65: External assessments and own commitments
External assessments and own commitments Metsä Board has an “A” score in the Climate, Total score 91/100. Metsä Board has Latest full ratings update in August 2025. Latest full ratings update in May 2025. Forests and Water rating and is placed on achieved the highest rating level every year Link to
Slide 66: Development work
O ce) R a Metsa
Slide 67: Our R&D work aims to resource efficiency and reduce carbon footprint of packaging material
Our R&D work aims to resource efficiency and reduce carbon footprint of packaging material Light and resource efficient Developing barrier boards as paperboards an alternative to plastics 67
Slide 68: High-yield pulp makes the difference between folding boxboard and other grades
High-yield pulp makes the difference between folding boxboard and other grades Benefits of lightweighting: Lightweight yet Improved Improved strong and stiff yield sustainability = = = paperboard for cost-efficient, more cartons per tonne less natural resources used, sustainable and sturdy lower car
Slide 69: As part of Metsä Group, we are looking for new growth opportunities
As part of Metsä Group, we are looking for new growth opportunities Metsä Spring* invests expertise and financial resources into initiatives with the ambition to reshape the forest-based bioeconomy Wood-based 3D Wood-based textile Wood composite Bioactive products products fibres products from birch
Slide 70: Owners and management
i * Owners and management
Slide 71: Market cap and ownership distribution
Market cap and ownership distribution Metsä Board has over 70,000 shareholders, combined amount of A and B shares Market cap and foreign owners Ownership distribution 30 September 2025 % Foreign owners EUR million 3 500 25 6% 3 000 Domestic private 20 owners 2 500 23% 2 000 15 1 500 10 Metsäliitto 1
Slide 72: Metsä Board's new Management Team
Metsä Board’s new Management Team Minna Björkman Erja Hyrsky Jussi Noponen SVP, Containerboard SVP, Commercial Operations SVP, Production and Supply Chain From 5 January 2026 From 1 August 2025 Member of CMT since 2016 Esa Kaikkonen CEO Chair of CMT since 2025 Laura Remes Henri Sederholm Camilla Wik
Slide 73: Katri Sundström, Vice President, IR
Katri Sundström Vice President, IR +358 10 462 0101 katri.sundstrom@metsagroup.com