Svenska Cellulosa Aktiebolaget SCA (publ) (SCA_A) Q4 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to this presentation of SCA's 2025 year-end report. With me here today, I have President and CEO, Ulf Larsson, and CFO, Andreas Evert, to go through the results and take your questions. Over to you, Ulf. Thank you, Anders, and also from my side, good morning, and a very warm welcome to the presentation of SCA's result for the full year and the fourth quarter 2025. During 2025, SA showed resilience. Despite the increasing wood, raw material costs, a challenging market environment, and a currency headwind, we reached 6.6 billion SEC on an EBITDA level, and by that, an EBITDA margin of 32% for the year. Our high degree of self-sufficiency in strategic areas continued to be an important factor to mitigate high costs. Harvesting from our own forest increased and reached 5.4 million cubic meters during 2025, partly offsetting the higher cost of wood-drawn materials. SA continued to gradually increase production in the sites where strategic investments had been made, and this has resulted in high delivery volumes in comparison to last year, driven by the new paper machine in Obola, the grading mill in Bollstad-Somil, the biorefinery in Gothenburg, and so on. These investments will contribute to increased productivity and cash flow generation during upcoming years. The book value of SEA forest assets decreased slightly compared to last year and amounted to 104 billion SEK at the end of 2025. As you already know, SEA bases the valuation of the forest on complete transactions in the region where SEA owns land. Turning over to some financial KPIs related to the full year 25. As already said, our EBITDA reached 6.6 billion SEC for 25, which corresponds to a 32% EBITDA margin. Our industrial return on capital employed came out to 4% for the full year 25, ...