Stora Enso Oyj (STE_A) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Hello, everyone, and welcome to Stora Enso's first quarter 2025 results presentation. Thank you for joining us today. I'm Hans Solström, the president and CEO of Stora Enso, and I'm here with our CFO, Niklas Rosenlev. Today's presentation, titled Consistent Programs in Improving Performance, will primarily address our performance, market environment and our plans to implement a new, leaner and flatter organizational structure, reflecting stronger focus on renewable packaging business. We have the broadest renewable packaging offering in the industry. Our packaging products include a diverse range of renewable wood-based materials and solutions, such as cartons, boxes, trays, cups and bags catering to industries like food and beverage, e-commerce, pharmaceutical and cosmetics. These products are daily essentials, as you can see here on the front page. We will now guide you through our performance for the first quarter of 2025 and address any questions you might have towards the end of this session. I am pleased to present our financial results for the first quarter. Sales grew by 9% and we have achieved a robust adjusted EBIT of 175 million euros representing an increase of 18% year over year with an EBIT margin of 7.4%. Operating working capital decreased by 3% points to 7%. This marks the fourth consecutive quarter of a year over year improvement in our financial performance. And for the first time since the third quarter of 2022, we have achieved positive adjusted EBIT across all divisions. This milestone has been reached as a result of our cost-saving actions and efficiency improvements, which are yielding increasingly impactful results and solidifying our resistance in disruptive markets. We are also excited to announce the successful production start of our new ...