Holmen AB (publ)

Holmen did not give group revenue or EPS in the call, but management said the quarter delivered a “really good”/solid result and that financial position remains strong. In Forest, results were hurt by lower prices and storm-related harvesting costs of approximately SEK 10 million to SEK 15 million in Q2; for the full year, management said higher harvesting costs will be about SEK 30 million to SEK 40 million. In Wood Products, the loss improved from about SEK 100 million per quarter to about SEK 50 million. In Energy, second-quarter profitability remained at a good level, though output was curtailed by national grid maintenance; the company said the energy business has historically generated roughly SEK 330 per megawatt hour in cash flow on average. For Q3, management flagged a normal maintenance shutdown in Board and Paper of about SEK 150 million, and said Board and Paper order books are healthy, while Wood Products prices and paper/board prices are broadly flattish.

Henrik Sjölund framed the quarter as broadly solid and pointed to a mixed year-to-date picture: unusually strong Energy contribution earlier in the year and now stronger deliveries from Board and Paper. His strategic message centered on long-term advantages in northern Sweden and Norway, where abundant fossil-free electricity and land could support new industrial uses, including AI/data centers. He also emphasized that the company is seeing structural tightness on the supply side in wood products and believes demand can improve with only modest market recovery.

Stefan Lorehn highlighted the main financial drivers by segment: Forest saw SEK 10 million to SEK 15 million of higher-than-normal harvesting costs in Q2 and the full-year increase is expected to be SEK 30 million to SEK 40 million; Wood Products cut its loss to about SEK 50 million per quarter; and Board and Paper got tailwind from high deliveries and lower wood costs. He said the group’s energy exposure was back to a “normal energy situation” in Q2, with no major impact from last year’s volatility. On capital allocation, he noted roughly SEK 2.5 billion was distributed to shareholders in H1 through dividends and buybacks, CapEx is a bit more than SEK 1 billion for 2026, and there are no major plans for next year either.

Analysts focused on Board and Paper volumes, which management said were helped by a mix of strong deliveries and some quarter-to-quarter timing, with Q3 typically softer; the order book was described as healthy but not dramatic. Questions on forest costs centered on the storm impact and the “backpack” of higher-priced harvesting rights; management said the volume effect is limited because lower harvesting is partly offset by changes in forest value, but higher harvesting costs will still pressure results. Analysts also asked about pricing, operating rates, Chinese/Asian competition, and the new kraftliner product, and management repeatedly said the product is still too small to guide on, board and paper prices are mostly stable, and European operating rates remain around the mid-70% range while Holmen aims higher.