Billerud Ab · OMXSTO:BILL
Billerud Ab — BillerudKorsnäs — Q3 2024 Earnings Presentation
16 slides from Billerud Ab's earnings presentation, Oct 24, 2024
Slide 1: Solid performance with growth and increased profitability in both regions
Solid performance with growth and increased profitability in both regions Interim report January-September 2024 Ivar Vatne Andrei Krés CEO CFO 24th of October 2024
Slide 2: Performance and key highlights Q3 2024
INTERIM REPORT JANUARY-SEPTEMBER 2024 Performance and key highlights Q3 2024 Q3-24 Change vs Change vs Organic and currency adjusted sales growth of 9% SEKm Q2-24 Q3-23 Net sales 10,798 +0% +6% Strong profit recovery in Region Europe Adjusted EBITDA 1,555 +55% +33% % of net sales 14% +5 ppt +3 ppt A
Slide 3: Slightly better market conditions for most categories during Q3
INTERIM REPORT JANUARY-SEPTEMBER 2024 Slightly better market conditions for most categories during Q3 Clear negative shift of sentiment going into Q4 Sales split, %1 Food & Drink Printing & Publishing Papers Consumer & Luxury Industrial LPB (9.4bn) 100% Cartonboard (2.8bn) 25% 75% Containerboard (5.
Slide 4: 6% sales increase on the back of improved volume/mix and higher pricing
INTERIM REPORT JANUARY-SEPTEMBER 2024 Q3’24: 6% sales increase on the back of improved volume/mix and higher pricing Net sales, SEKm +6% +6% -1% 10 798 +3% 10 210 -2% Q3 2023 Currency Pricing Volume/Mix Managed Q3 2024 rates Packaging
Slide 5: Solid profitability improvement driven by volume/mix and efficiency program
INTERIM REPORT JANUARY-SEPTEMBER 2024 Q3’24: Solid profitability improvement driven by volume/mix and strong progress in efficiency enhancement program Adj EBITDA, SEKm +33% 220 233 1 527 28 1 555 117 - 71 - 201 1 167 62 Q3 2023 Currency Pricing Volume & Net of raw Efficiency Other Q2 2024 Maintenan
Slide 6: Region Europe
INTERIM REPORT JANUARY-SEPTEMBER 2024 REGION Europe
Slide 7: Europe
INTERIM REPORT JANUARY-SEPTEMBER 2024 • Clear uplift of profitability – best quarter since Q3’22 Region • Solid net sales growth driven by Paperboard and Sack & Kraft Paper Europe • • Positive pricing & mix help fully offset cost inflation Strong delivery of our profit enhancement program SEKm Q3-24
Slide 8: Pulpwood costs continued to increase in the quarter
INTERIM REPORT JANUARY-SEPTEMBER 2024 Pulpwood costs continued to increase in the quarter Q4 cost headwind from pulpwood and seasonally higher energy prices Stable cost Lower Higher cost Lower for logistics for fiber energy costs chemicals costs Further pulpwood prices Seasonally lower Mix driven co
Slide 9: Region North America
INTERIM REPORT JANUARY-SEPTEMBER 2024 REGION North America
Slide 10: North America
INTERIM REPORT JANUARY-SEPTEMBER 2024 • Very strong organic net sales growth fueled by volume and pricing Region • Another excellent profitability quarter (18% EBITDA) North • More volume momentum, but still operating rates around 70% America • Maintenance stop in Escanaba executed according to plan
Slide 11: Cost tailwind in the quarter, minor increase expected into Q4
INTERIM REPORT JANUARY-SEPTEMBER 2024 Cost tailwind in the quarter Minor increase expected into Q4 Lower Stable cost Stable Lower cost for for energy logistics fiber chemicals costs costs Mix driven cost decrease in the quarter
Slide 12: Lower cash flow due to working capital build-up; net debt well below target
INTERIM REPORT JANUARY-SEPTEMBER 2024 Lower cash flow due to working capital build-up Net debt levels well below target SEKm Q3-24 Q3-23 Working capital increase due to stock build and phasing of operating liabilities Profit before tax 745 372 Adjustments for non-cash items 575 347 Clear target to i
Slide 13: Efficiency enhancement program: The success story continues
INTERIM REPORT JANUARY-SEPTEMBER 2024 Efficiency enhancement program: The success story continues Well positioned to outperform 2024 target High-performing quarter, now close to 90% of 2024 target achieved • Incremental impact of 220 MSEK in Q3 (610 MSEK YTD) • On track to reach beyond target of 700
Slide 14: Outlook for Q4 2024
INTERIM REPORT JANUARY-SEPTEMBER 2024 Outlook for Q4 2024 Softer demand and price pressure in Europe Stable market conditions in North America Increased input costs
Slide 15: Billerud invites analysts, investors and financial media to a Capital Markets Day
INTERIM REPORT JANUARY-SEPTEMBER 2024 Billerud invites analysts, investors and financial media to a Capital Markets Day Date: 2 December Time: 12:00-16:00 CET Where: IVA Conference Center, Stockholm To participate, please register on our website no later than 7th of November
Slide 16: INTERIM REPORT JANUARY-SEPTEMBER 2024
INTERIM REPORT JANUARY-SEPTEMBER 2024