Slide 1: Interim report presentation January-March 2025
Interim report presentation January-March 2025 Henrik Sjölund, CEO Stefan Loréhn, CFO May 8th, 2025
Slide 2: Solid earnings despite challenging conditions
Group Solid earnings despite challenging conditions Operating profit* Operating profit SEKm SEKm 8 000 2 000 7 000 1 500 6 000 5 000 1 000 4 000 7 262 1 737 3 000 1 138 1 166 4 755 500 1 078 988 2 000 4 061 944 983 3 721 3 765 714 716 2 479 1 000 0 0 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q
Slide 3: Continued strong performance
Group Continued strong performance Last 10 year average of 19% % 60 50 40 30 20 10 0 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025** Industry's return on capital employed* Average return on capital employed, industry* 3 *Excl. items affecting comparability. **Q2-24 – Q1-25.
Slide 4: SEK 1.9 bn dividend paid in April
Group SEK 1.9 bn dividend paid in April Net debt 10% of equity after dividend SEKm Cash flow Capital employed 8 000 7 000 Forest Renewable Energy 6 000 Wood Products Board and Paper 5 000 4 000 3 000 % Debt/equity ratio 2 000 25 20 1 000 15 10 0 5 20 21 22 23 24 M12* 0 Dividend Buy-back of own share
Slide 5: Forest
Forest 1.3 million ha total land area 1.0 million ha productive forest land
Slide 6: Saw log prices continued to increase
Forest Saw log prices continued to increase Signs of pulpwood prices levelling off Wood cost at mill gate Index (Holmen average) 240 220 200 180 160 140 120 100 80 60 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Saw logs Pulpwood 6
Slide 7: Temporary low harvesting in Q1
Forest Temporary low harvesting in Q1 SEKm SEKm 600 2 000 1 750 500 1 500 400 1 250 300 1 000 1 947 1 982 522 490 482 487 452 750 1 495 1 523 200 390 397 384 1 367 1 401 351 500 100 250 0 0 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 20 21 22 23 24 M12* Operating profit Operating profit 7
Slide 8: Renewable Energy
Renewable Energy 1.9 TWh per year
Slide 9: Power still a scarce resource in Europe
Renewable Energy Power still a scarce resource in Europe Historically low levels in northern Sweden Energy prices EUR/MWh 250 200 150 100 50 0 2019 2020 2021 2022 2023 2024 2025 South Sweden (SE3) North Sweden (SE2) Germany 9 Source: Macrobond
Slide 10: Producing at a premium to market price
Renewable Energy Producing at a premium to market price 30% during last 3 years SEK/MWh 1 600 1 400 1 200 1 000 800 600 400 200 0 Q1-20 Q2-20 Q3-20 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Holmen Renewable Energy North Sweden (SE2) 1
Slide 11: Weak result due to low prices
Renewable Energy Weak result due to low prices 15 EUR/MWh in northern Sweden SEKm % SEKm % 500 100 1 250 25 400 80 1 000 20 300 60 750 15 200 40 282 500 1 006 10 100 213 208 20 135 697 68 59 10 250 5 29 0 0 347 -12 215 265 86 -100 -20 0 0 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 20 21 2
Slide 12: Wood Products
Wood Products 1.5 million m3 per year
Slide 13: Uncertain outlook hampers demand
Wood Products Uncertain outlook hampers demand Prices increased in Q1 due to lack of raw material Index 330 280 230 180 130 80 14 15 16 17 18 19 20 21 22 23 24 25 Export price 'World Price' (FX-basket) Export price Sawn softwood (SEK) 13 Source: Swedish Forest Industries
Slide 14: Global shortage of logs
Wood Products Global shortage of logs World's largest exporter of sawn timber Million m3 2023 25 20 15 10 5 0 Canada Russia Sweden Germany Finland Austria Chile Latvia Belarus Czechia 14 Source: FAO
Slide 15: Q1 burdened by rebuild in Iggesund
Wood Products Q1 burdened by rebuild in Iggesund Higher prices but saw log costs continue to rise SEKm % SEKm % 75 15 2 000 100 50 10 1 500 75 25 55 47 5 23 19 1 0 0 0 -18 1 000 50 -26 -25 -5 1 668 -89 1 237 -50 -10 500 25 -75 -15 185 6 2 29 -100 -20 0 0 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-
Slide 16: Board and Paper
Board and Paper 1.5 million tonnes per year
Slide 17: Demand still below pre-pandemic levels
Board and Paper Demand still below pre-pandemic levels European SBB and FBB demand Prices kton Index 3 000 180 160 2 500 140 2 000 120 100 1 500 80 1 000 60 40 500 20 0 0 16 17 18 19 20 21 22 23 24 M12* 16 17 18 19 20 21 22 23 24 25 FBB Pulp NBSK** *Apr-24 – Mar-25 17 **Adjusted for rebates Source:
Slide 18: Paper consumption still in structural decline
Board and Paper Paper consumption still in structural decline Printing paper demand WE Prices kton Index 16 000 250 14 000 200 12 000 10 000 150 8 000 100 6 000 4 000 50 2 000 0 0 15 16 17 18 19 20 21 22 23 24 15 16 17 18 19 20 21 22 23 24 25 Uncoated magazine & book Coated magazine Newsprint Uncoat
Slide 19: Stellar performance despite challenging market
Board and Paper Stellar performance despite challenging market Strong deliveries and low energy cost SEKm % SEKm % 1 600 40 4 000 80 1 400 35 3 500 70 1 200 30 3 000 60 1 000 25 2 500 50 800 20 2 000 40 3 796 600 15 1 500 30 1 135 2 730 400 10 1 000 1 860 20 724 1 702 611 653 528 200 370 438 5 500 1
Slide 20: We grow houses
We grow houses Leftovers are converted into renewable packaging and paper We harvest the energy that blows and runs through our forests 2.1 Carbon sequestration 8.3 Million tonnes CO2e + 4.9 Storage and substitution from Million Million tonnes tonnes CO2e wood- and fiber products CO2e in 2024 + 2.1
Slide 21: Growing a sustainable future
Growing a sustainable future
Slide 22: holmen.com
HOLMEN holmen.com