Karl-Henrik Sundström, CEO

Transcription

1 Karl-Henrik Sundström, CEO

2 Our progress

3 Full year 2014 results EUR million FY 2014 FY 2013 Change Sales % Operational EBIT % Operational ROCE 9.5% 6.5% Cash flow from operations % Cash flow after investment % EPS excl. NRI EUR 0.40 EUR 0.40 Net Debt/ last 12 months operational EBITDA

4 Solid quarter supported by FX tailwinds Q year-on-year Sales declined by 3% Increased by 3% excluding structurally declining paper and divested businesses, mainly due to Montes del Plata ramp-up Operational EBIT EUR 220 million 21% increase due to FX gains and lower costs Net debt to EBITDA 2.6 (2.8) Operational ROCE 10.1% (8.6%) Excluding transformational investment project 11.3% 4

5 Our strategy is to transform from a traditional paper and board producer to a customer focused renewable materials growth company 5

6 Transformation journey continues Growth businesses with 62% of sales 6

7 Transformation in Progress Consumer Board Guangxi consumer board mill EUR 800 million (phase one) Construction of the consumer board mill is in full speed Start up in mid-2016 Stora Enso Q Results 22 April

8 Transformation in Progress Consumer Board Investment in Imatra mills EUR 27 million to improve quality and cost-competitiveness Start up in Sep

9 Transformation in Progress Packaging Solutions and Wood Products Conversion to Kraftliner EUR 110 million for conversion at Varkaus Mill EBITDA margin above 15% Capacity tonnes Reduction of paper capacity by tonnes annually Start up Q Wooden elements EUR 43 million investment in a new production line for wooden building elements at Varkaus Mill Start up Q Murow Sawmill EUR 28 million to modernise and develop Murow Sawmill in Poland Start up Q Stora Enso Q Results 22 April

10 Transformation in Progress Biomaterials Montes del Plata Stora Enso s share of investment EUR 850 million and capacity of tonnes Mill ramp-up proceeding well Reached EBIT break even in December 2014 Sunila Mill Biorefinery investment EUR 32 million Lignin extracted from the black liquor Commercialisation in 2015/16 Virdia & demonstration plant USD 100 million total investment to hemicellulose extraction in a start up company Commercial product in 2 3 years Stora Enso Q Results 22 April

11 Transformation in Progress Restructuring 2014 Non-core asset divestments Thiele Kaolin in US, EUR 61 million Corenso core and coreboard operations to Powerflute, approximately EUR 103 million Uetersen Mill disposal completed in Q1 2015, cash consideration of EUR 7 million Closures Veitsiluoto PM1 of tonnes of coated magazine paper Corbehem Mill of tonnes of light weight magazine paper Stora Enso Q Results 22 April

12 Paper demand Around 60% of the demand decline is due to digitalisation, remaining due to economy 5% % -4% -3% -6% -15% 12

13 MEUR Paper business generates cash for transformation year-on-year Optimising paper cash flow in the future 500 Cash flow after capex Cash flow after capex to sales 12% Working capital Variable and fixed costs Right segment of paper High machine capacity utilisation % 8% 6% % % % 13

14 Group Leadership Team CEO Karl-Henrik Sundström People and Organisation Lars Häggström Communication Ulrika Lilja Responsibility Noel Morrin CFO Seppo Parvi Sourcing Johanna Hagelberg CTO Markus Mannström Ethics and Compliance Per Lyrvall Consumer Board Jari Latvanen Packaging Solutions Gilles van Nieuwenhuyzen Biomaterials Juan Carlos Bueno Wood Products Jari Suominen Paper Kati ter Horst 22

15 Stora Enso as a taxpayer 15

16 Global Responsibility Actions in 2014 Health and safety performance continued to improve Group wide Human Rights assessment concluded Social Land contract corrections in Guangxi, China proceeding 61% correct at the end of March 2015 Supplier Code of Conduct implementation 77% of the group s spending covered at the end of March 2015 Stora Enso continues to support initially found 640 children in Pakistan working for a subsupplier 289 children attending school at the end of March schools out of 6 in operation in Pakistan 16

17 A Public-Private Partnership with the ILO A unique partnership to promote labour rights and combat child labour Two components: - The global component will strengthen our company policy and practice in line with international labour standards - The Pakistani component promotes decent work and combats child labour 17

18 When you want to know more Read our Progress Book 18