Slide 1: Strong fourth quarter to end a successful 2021
Year-end report Jan–Dec 2021 Strong fourth quarter to end Q4 a successful 2021 2021 28 January 2021 Christoph Michalski, CEO and Ivar Vatne, CFO
Slide 2: Performance and key highlights Q4
Performance and key highlights Q4 KEY FIGURES Market conditions continue to be strong Change vs SEKm Q4-21 Q4-20 across all segments Net sales 6 688 15% Substantial profitability improvement through price, mix and efficiencies Adjusted EBITDA 1 075 89% Adjusted EBITDA margin 16% 6 pp Strong producti
Slide 3: Performance and key highlights 2021
Performance and key highlights 2021 KEY FIGURES Excellent topline delivery despite Change vs production challenges SEKm 2021 2020 Net Sales +12% vs year ago (FX neutral) Net sales 26 206 10% Substantial profitability improvement Adjusted EBITDA 4 078 51% Operating profit more than doubled Adjusted E
Slide 4: Strongly improved mix delivering high double digit Net Sales growth
Strongly improved Board mix coupled with positive market cycle delivering high double digit Net Sales growth Net sales, SEKm +15% +4% 6 688 +11% 5 803
Slide 5: Business status and market outlook continue to look very positive
Business status and market outlook continue to look very positive Sales split, % Food & Drink Medical & Hygiene Consumer & Luxury Industrial LPB (7.9bn*) 100% Cartonboard (2.2bn) 20% 80% Containerboard (4.4bn) 80% 10% 10% Kraft Paper (3.5bn) 35% 10% 15% 40% Sack Paper (2.7bn) 20% 15% 65% Managed Pac
Slide 6: Solid Earnings growth continued in Q4
Solid Earnings growth continued in Q4, helped by both internal efficiency improvements and positive market momentum Adj EBITDA, SEKm +89% Adj 10% 16% 16% EBITDA %
Slide 7: Cost inflation accelerated during Q4
Cost inflation accelerated during Q4 Relatively Higher Higher Higher Purchased stable cost cost for energy logistics pulp cost for fibre chemicals cost in Q4 cost in Q4 increased Continued good Expecting further 80% of annual Strained global Market prices availability of fibre price inflation near c
Slide 8: Plans for efficiencies and price management more than off-set inflation risk for 2022
Current plans for efficiencies, delivering our cost program and price management more than off-set inflation risk for 2022 Relatively Higher Higher Higher Purchased stable cost cost for energy logistics pulp cost for fibre chemicals cost in Q4 cost in Q4 increased Continued good Expecting further 80
Slide 9: 2021 was another excellent delivery year for our cost and efficiency programme
2021 was another excellent delivery year for our cost and efficiency programme Additional contribution from cost and M SEK efficiency programme in Q4’21 SEK 105 million 650 Programme to date has delivered SEK 650 million of structural savings and efficiencies – ahead of target 620 750 Expect to reac
Slide 10: Very strong cash flow delivery during 2021
Very strong cash flow delivery during 2021 Excellent cash flow from operating SEK m Q4-21 Q4-20 2021 2020 activities throughout 2021 Operating surplus, etc. 1 185 646 3 932 2 406 Change in working capital, etc. 49 517 197 -53 Our healthy financial position continues – Net financial items, taxes, etc
Slide 11: BillerudKorsnäs / Verso: Securing future growth and profitability
BillerudKorsnäs / Verso: Securing future growth and profitability Verso is cost- and quality leader in Graphical- and Speciality Paper and will provide sustainable and profitable growth in PaperBoard over the next 10 years Market proximity to one of the largest and growing markets in primary fibre c
Slide 12: No changes to time table shared at announcement
No changes to time table shared at announcement Early March Approval of Verso’s shareholders at a 2022 special shareholder meeting Q1-Q2 2022 Receipt of regulatory approvals General meeting in BillerudKorsnäs to Q2 2022 resolve on rights issue Q2 2022 Acquisition expected to be completed Q2-Q3 2022
Slide 13: Outlook
Outlook Strong market conditions expected to prevail Higher costs for logistics, energy and chemicals Marginally increased pulpwood prices and good fibre availability Continued focus on mix, efficiency and price management to counteract cost inflation 2022 Priorities: Continue to deliver the strateg
Slide 14: BillerudKorsnäs
BILLERUDKORSNAS