Stora Enso Oyj

Sales were stable at EUR 2.4 billion in Q2. Adjusted EBIT increased 27% year over year to EUR 160 million. Management said profitability improved versus last year due to disciplined own actions and progress in the Oulu ramp-up. In Consumer Packaging, adjusted EBIT increased by EUR 42 million, and Hans Sohlstrom said the EBIT margin improved from about 2.3% last year to 6.5% in Q2 this year. In Biomaterials, adjusted EBIT increased by EUR 23 million. Net debt decreased in Q2 following the EUR 1 billion hybrid issuance, and net debt to adjusted EBITDA improved to around 2.2x. For guidance, management said the new consumer board line in Oulu is expected to reach full capacity during next year. They also reiterated that EUR 500 million to EUR 700 million of value-creation initiatives are underway, but did not provide numeric full-year earnings guidance.

Hans Sohlstrom emphasized disciplined execution in a volatile market and repeatedly framed the quarter as proof that Stora Enso is improving performance through its own actions rather than relying on the market. He highlighted customer value, innovation, sustainability, and operational excellence as the core strategic priorities, and pointed to stronger customer feedback in Consumer Packaging and continued progress at Oulu. His tone was confident and assertive, especially on portfolio optimization, margin expansion, and the view that the company is building a more focused Stora Enso.

Niclas Rosenlew said sales were stable at EUR 2.4 billion and adjusted EBIT rose to EUR 160 million, with profitability helped by lower capital expenditure, better operating performance, and progress in Oulu. He explained that lower trade receivables, lower payables, and higher inventories affected working capital, while the EUR 1 billion hybrid issuance reduced net debt and strengthened financial flexibility; net debt to adjusted EBITDA improved to around 2.2x. On segment performance, he cited Consumer Packaging adjusted EBIT up EUR 42 million, Biomaterials up EUR 23 million, and pressure in Other from lower Swedish external wood prices and higher Central European sawlog costs. He also said the company is reducing CapEx after a period of significant investment and maintaining capital discipline.

Analysts focused heavily on Oulu ramp-up timing and the profitability impact, with Hans saying full capacity should be reached during next year and declining to disclose exact operating rates or mill-level EBITDA. On Central European sawmills and the Other segment, management said the business is still profitable but below ambition, and that leadership changes and stronger self-help actions are underway; they expect to conclude the strategic review by year-end. Questions also covered Chinese imports, containerboard supply/demand, and pulp trends; Hans said Stora Enso is not facing direct head-on competition from Chinese board producers in its core products, sees kraft liner as in a good supply-demand position, and noted that softwood pulp is weaker while the company’s more specialized pulp assets remain profitable.