Billerud Ab · OMXSTO:BILL
Billerud Ab — BillerudKorsnäs — Q1 2016 Earnings Presentation
12 slides from Billerud Ab's earnings presentation, Apr 21, 2016
Slide 1: Interim Report January-March 2016
INTERIM REPORT JANUARY-MARCH 2016 2016-04-21 Per Lindberg, CEO and President, and Susanne Lithander, CFO 1
Slide 2: Stable markets and stable performance despite slow ramp-up
STABLE MARKETS AND STABLE PERFORMANCE DESPITE SLOW RAMP-UP EBITDA reached SEK 1 017 million and EBITDA margin 19% Underlying markets were in general stable during the quarter Ramp-up issues after rebuilds had impact on Q1 2016 Lost growth in Consumer Board Production approx 20 kton below plan Despit
Slide 3: Total production output improving
TOTAL PRODUCTION OUTPUT IMPROVING Outcome vs. ramp-up plan 97% during 110% Q1 16 100% 90% 80% Production output Ramp-up plan Linear trend 70% Oct 15 Nov 15 Dec 15 Jan 16 Feb 16 Mar 16 3
Slide 4: Improving profitability
IMPROVING PROFITABILITY DRIVEN BY IMPROVED VOLUMES AND LOWER MAINTENANCE COSTS EBITDA (SEKm) improvement +52% +87 -34 -27 1 017 Net FX incl. variable hedging Prices in +320 and local fixed currency costs 671 Net shutdown and rebuild costs 407 SEKm improvement related to rebuilds and extra costs duri
Slide 5: Stable performance despite slow ramp-up: net sales and EBITDA
STABLE PERFORMANCE DESPITE SLOW RAMP-UP COMPARABLE NET SALES ON SAME LEVEL AS LAST YEAR EBITDA ABOVE TARGET NET SALES EBITDA SEKm SEKm 6 000 1 300 +52% +3% +2%* vs. 4Q15 vs. 4Q15 1 200 5 800 0%* vs. 1Q15 vs. 1Q15 1 100 1 051 1 000 5 600 5 634 1 017 995* 900 5 400 800 5 362* 5 357 700 5 200 5 213 671
Slide 6: Stable performance despite slow ramp-up: cash flow, ROCE, net debt
STABLE PERFORMANCE DESPITE SLOW RAMP-UP DECREASE IN OP. CASH FLOW, ROCE ABOVE TARGET, NET DEBT/EBITDA IN LINE WITH PREVIOUS QUARTER OP. CASH FLOW ROCE NET DEBT/EBITDA SEKm % multiple 1 000 20 2,50 800 16 2,00 733 15 15 1,85 600 12 1,50 11 1,24 1,24 400 8 1,00 360 200 4 0,50 155 0 0 0,00 Q1 15 Q4 15
Slide 7: Packaging Paper business area Q1 2016
PACKAGING PAPER BUSINESS AREA Q1 2016 Lower pulp and brown sack paper prices impact sales and profitability Net sales SEK 2 087 million, -4% Q1-15 EBITDA SEK 358 million, -18% Q1-15 EBITDA margin 17% Markets Stable prices in local currencies except for weaker brown sack paper market Stable order sit
Slide 8: Consumer Board business area Q1 2016
CONSUMER BOARD BUSINESS AREA Q1 2016 Net sales SEK 2 024 million, +0% Q1-15 EBITDA SEK 484 million, +4% Q1-15 EBITDA margin 24% Markets Stable order situation and pricing in local currencies Lost growth due to ramp-up delays Continued tight supply situation Volume growth 8
Slide 9: Corrugated Solutions business area Q1 2016
CORRUGATED SOLUTIONS BUSINESS AREA Q1 2016 Net sales SEK 879 million, +10% Q1-15 EBITDA SEK 217 million, +23% Q1-15 EBITDA margin 25% Markets Stable pricing and order books during the quarter Increasing market supply may create price pressure on both liner and fluting Value growth 9
Slide 10: Outlook
OUTLOOK Demand and orders situation for the second quarter is expected to be stable with normal seasonal variances for all business areas. Average prices in local currency in the second quarter are in general anticipated to be stable. Prices within Corrugated Solutions may be impacted by the increas
Slide 11: Q&A
BILLERUDKORSNAS Q&A WE CHALLENGE CONVENTIONAL PACKAGING FORA SUSTAINABLE FUTURE 11
Slide 12: thy
thy BILLERUDKORSNAS