Sappi Ltd S/Adr (SPPJY) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good day, and thank you for standing by. Welcome to the SAPI Q4 2025 results call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1 1 on your telephone. You will then hear an automated message advising your hand is raised. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Steve Binney, CEO. Please go ahead. Good day. Thank you, everybody, for joining. As always, I'll go through the investor presentation, calling out page numbers as I move through. I'm just starting briefly on page two, just drawing your attention to the forward-looking statements disclosure. Turning to page three, which is summarizing the year. as a whole, the financial year 2025, and it's fair to say it was a challenging year marked by ongoing global economic weakness. We did see difficult market conditions across all our segments, actually, and obviously partially driven by the weak economic conditions, but also the global trade tensions. As a result of all that, we saw downward pressure on selling prices, and from a materiality perspective, particularly on dissolving pulp, they dropped quite sharply during the year. And on the paper side, added to that, we have seen excess supply globally in our key market segments. Despite all those challenges, we did have some operational highlights. We saw our DWP and packaging volumes growing year on year, and in the graphic paper space, we were able to gain market share. I'm thrilled to say that we've obviously completed the Somerset PM2 conversion and expansion. And that's an important step in our strategy, and the machine is p...