Stora Enso Oyj Class A · OMXHEX:STEAV
Stora Enso Oyj Class A — Investor Day (November 2017)
21 slides from Stora Enso Oyj Class A's investor day presentation, Nov 8, 2017
Slide 1: Packaging Solutions – Delivering on profitable growth
Packaging Solutions – Delivering on profitable growth Gilles van Nieuwenhuyzen EVP, Packaging Solutions division
Slide 2: Our road to success in the bioeconomy
Our road to success in the bioeconomy Introducing Addressing Delivering Generating xxxx xxxx attractive xxxx sustainable xxxx superior new products and services end-use profitable ROCE segments growth 2 8 November 2017 Stora Enso CMD
Slide 3: Packaging Solutions, a strong regional and global partner
Packaging Solutions, a strong regional and global partner 1 Innovation centre Renewable and recyclable raw 10 DesignStudios material Design experts Material experts 3 containerboard mills 1 044 MEUR sales 2016 Packing process experts 3 rigid box plants +22.8% Q3 YOY 2017 Intelligent packaging expert
Slide 4: Our strategic roadmap
Our strategic roadmap Growth in attractive product Innovation and customer value Operational, supply chain and segments creation sourcing excellence Digitalisation 4 8 November 2017 Stora Enso CMD
Slide 5: Continued strengthening financial performance
Continued strengthening financial performance Sales (MEUR) Operational EBIT (MEUR) ROOC (%) • Sales growth Q3 of 23% YoY • Performance and volume improvements in China Packaging • Price increases in European based businesses • Varkaus kraftliner mill reached financial target run-rate • Payoff from o
Slide 6: Varkaus conversion delivers better than promised
Varkaus conversion delivers better than promised • A step in Stora Enso transformation - conversion of fine paper machine to kraftliner production: 390 Kt capacity • Varkaus reached its targeted operational EBITDA run- rate of 15% • Several factors behind strong results − Integrated mill operations
Slide 7: Favorable containerboard market growth, virgin fibre market is tight
Favorable containerboard market growth, virgin fibre market is tight Virgin fibre containerboard • Growth drivers: • Old Corrugated Containers (OCC) scarcity and quality Urbanisation Growing Global middle- warming • Food safety class • High barriers to entry • Healthy market Digitalisation Eco aware
Slide 8: We have strong market position and growth in our home packaging markets
We have strong market position and growth in our home packaging markets… Europe China Using virgin fibre boards from Beihai and Europe Nordics Poland & Russia China Nordics Baltics Russia Russia 0.7 BEUR 1.5 BEUR 1.7 BEUR 1.8 BEUR 0–1% CAGR 3–5% CAGR 3% CAGR 5–6% CAGR #1 #2 #4 #5 107%* 85%* 62%* ~20
Slide 9: …creating sustainable profitable growth
…creating sustainable profitable growth Future growth and innovation Announced activities Delivered since 2015 • Varkaus Mill conversion • Heinola SC fluting quality investment • Virgin fibre focus in containerboard • Innovation Centre Helsinki • Restructuring of corrugated Finland • Growth in packa
Slide 10: This is our differentiation in Containerboard…
This is our differentiation in Containerboard… Customer insights Value selling Cost competitiveness Innovation 10 8 November 2017 Stora Enso CMD
Slide 11: …and in Corrugated packaging
…and in Corrugated packaging Customer insights Beyond design Services Innovation 11 8 November 2017 Stora Enso CMD
Slide 12: What is value selling?
What is value selling? Performance based selling Beyond design Step changing business performance of a corrugator in New retail ready packaging solution supports sales Latin America increase of more than 10x in Russia 75% Increased production speed = Revenue growth 18% Less material per box = Margin
Slide 13: How services add to our profitable growth
How services add to our profitable growth Design services Total cost optimisation Technical customer service 13 8 November 2017 Stora Enso CMD
Slide 14: Innovative and award-winning design
Innovative and award-winning design • Leak-tight renewable and 100% recyclable packaging • Original design replacing traditional pressed pulp for fresh fish packaging for eggs • WorldStar packaging award • Best packaging and label award for Food at • Sustainability award by World Packaging Organisat
Slide 15: Customer insights drive packaging innovations in e-commerce
Customer insights drive packaging innovations in e-commerce Consumer journey insights Customer journey insights New e-commerce portfolio “App” for consumer diary and Structured interviews with e-tailers e-TALES – packaging product suite documentation of packaging and visiting fulfillment centers tai
Slide 16: Our innovation strategy
Our innovation strategy Value creating services and products Continuous Short-term (< 1 year) innovation new value creation Scalable packaging concepts Intelligent Packaging Disruptive Innovation X Medium/long (3–7 years) platforms new value creation Innovation Y 16 8 November 2017 Stora Enso CMD
Slide 17: Intelligent packaging commercialised
Intelligent packaging commercialised • New value creation − Supply chain management 8. Apps & installations 1. Solution design − Consumer Engagement − Brand and counterfeit protection • Partners 7. Analysis 2. Package design − Microsoft – Azure cloud solution − NXP – Microchips − Impinj – Reader har
Slide 18: Delivering on profitable growth
Delivering on profitable growth • Attractive growth in our packaging markets • Well positioned in containerboard especially virgin fibre • Delivering on Varkaus strategic investment • Strong financial performance 18 8 November 2017 Stora Enso CMD
Slide 19: E-commerce to add total market growth
E-commerce to 3 BEUR new, add total market growth = renewable business of 2% until 2021
Slide 20: Disclaimer
Disclaimer It should be noted that Stora Enso and its business are exposed to various risks and uncertainties and certain statements herein which are not historical facts, including, without limitation those regarding expectations for market growth and developments; expectations for growth and profi
Slide 21: The Renewable Materials Company
THE RENEWABLE MATERIALS COMPANY