Your SlideShare is downloading. ×
0
INTERIM REPORT | JANUARY-MARCH 2012Per Lindberg, CEO and President, and Susanne Lithander, CFO | 26 April, 2012           ...
AGENDA • Highlights • Development by Business Area • Financials • Outlook                                  2
HIGHLIGHTS IN Q1 2012 • Increase in net sales and sales volumes vs. Q4 2011 • Operating profit of MSEK 142, 6% operating m...
INCREASED SALES DUE TO HIGHER VOLUMES                           NET SALES                                        SALES VOL...
BUSINESS AREAS & SEGMENTSPACKAGING &SPECIALITY PAPER                                                   PACKAGING BOARDSKra...
PACKAGING & SPECIALITY PAPERMarket situation in Q1 2012  • Improved order situation vs. Q4 2011  • Sack paper had higher o...
PACKAGING & SPECIALITY PAPERFinancials – Q1 2012 vs. Q4 2011                                                            16...
PACKAGING BOARDSMarket situation in Q1 2012  • Somewhat improved order situation      ‒ Slightly lower levels than normal ...
PACKAGING BOARDSFinancials – Q1 2012 vs. Q4 2011                                                             140  • Operat...
MARKET PULPMarket situation in Q1 2012  • Pulp market improved vs. Q4 2011  • Price increased to ~850 USD/tonne at end of ...
MARKET PULPFinancials – Q1 2012 vs. Q4 2011                                                                     50  • Oper...
Q1 2012 IN SUM • 10% increase in net sales due to higher sales volumes   (vs. Q4 2011) • Operating profit of MSEK 142, 6% ...
FINANCIAL INFORMATION                        13
QUARTERLY KEY FIGURES                         Q1 -12   Q4 -11   Q1 -11Net sales, MSEK          2,291    2,086    2,547Oper...
OPERATING PROFIT BRIDGE Q1 2012 vs. Q4 2011       160                              +69                                    ...
CASH FLOW GENERATION FROM OPERATION      MSEK                                            Q1 -12   Q4 -11   Q1 -11      Ope...
WORKING CAPITAL KEY RATIOS           Days sales outstanding                            Overdue                            ...
MARKET PRICES AFFECTING RESULTElectricity index (Sweden*)                                   Wood price index280           ...
MARKET PRICES AFFECTING RESULTMarket pulp (USD/t)                                               TCW index*                ...
CURRENCY SITUATION    • Profit effect of net flow hedging MSEK 44 (99) for Q1 2012    • Market value of outstanding contra...
OUTLOOK          21
OUTLOOK • The market shows signs of an upturn during the second quarter. • The order situation in the packaging paper segm...
OUTLOOK CONT. • Acquisition-related non-recurring costs will be charged to results in the   quarter in which the acquisiti...
Q&A  We believe in embracing what is important to our customers, our company,our employees and the environment. By always ...
Upcoming SlideShare
Loading in...5
×

Billerud Interim Report Q1 2012 presentation

321

Published on

Billerud Interim Report Q1 2012 presentation

Published in: Economy & Finance, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total Views
321
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
2
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Transcript of "Billerud Interim Report Q1 2012 presentation"

  1. 1. INTERIM REPORT | JANUARY-MARCH 2012Per Lindberg, CEO and President, and Susanne Lithander, CFO | 26 April, 2012 1
  2. 2. AGENDA • Highlights • Development by Business Area • Financials • Outlook 2
  3. 3. HIGHLIGHTS IN Q1 2012 • Increase in net sales and sales volumes vs. Q4 2011 • Operating profit of MSEK 142, 6% operating margin • Non-recurring costs of MSEK 14 • Price cuts halted ‒ ~2% lower prices in local currency for packaging paper ‒ ~25 USD/tonne price increase for NBSK pulp in Europe • Price increases announced for sack and kraft papers • Lower wood costs 3
  4. 4. INCREASED SALES DUE TO HIGHER VOLUMES NET SALES SALES VOLUME 2 500 400 Sales volume, ktonnes +10% 350 +14%Net sales, MSEK 2 000 300 1 500 250 2 086 2 291 200 315 360 1 000 150 500 100 50 0 0 Q4 -11 Q1 -12 Q4 -11 Q1 -12 4
  5. 5. BUSINESS AREAS & SEGMENTSPACKAGING &SPECIALITY PAPER PACKAGING BOARDSKraft & Sack Paper S/C Fluting, Liner, Liquid Board MARKET PULP Nordic Bleached Softwood Kraft PulpNote: Graph shows sales breakdown per business area for Q1 2012. 5
  6. 6. PACKAGING & SPECIALITY PAPERMarket situation in Q1 2012 • Improved order situation vs. Q4 2011 • Sack paper had higher order levels than normal while kraft paper was at normal levels towards the end of Q1 • Price cuts halted • 80 EUR/tonne in price increase announced from 1 June for sack and kraft papers 6
  7. 7. PACKAGING & SPECIALITY PAPERFinancials – Q1 2012 vs. Q4 2011 160 • Operating profit up by MSEK 35 140 Operating profit, MSEK 120 • Mainly due to higher sales volumes 100 and lower variable costs 80 60 40 20 0 Q1 -11 Q2 -11 Q3 -11 Q4 -11 Q1 - 12 Q1 -12 Q4 -11 Q1 -11 FY 2011 Net sales, MSEK 1,091 941 1,217 4,293 Operating profit, MSEK 100 65 140 450 Operating margin, % 9 7 12 10 7
  8. 8. PACKAGING BOARDSMarket situation in Q1 2012 • Somewhat improved order situation ‒ Slightly lower levels than normal • Price cuts halted 8
  9. 9. PACKAGING BOARDSFinancials – Q1 2012 vs. Q4 2011 140 • Operating profit down by MSEK 4 120 Operating profit, MSEK • Lower prices were partly offset by 100 higher sales volumes and lower 80 costs 60 40 20 0 Q1 -11 Q2 -11 Q3 -11 Q4 -11 Q1 - 12 Q1 -12 Q4 -11 Q1 -11 FY 2011 Net sales, MSEK 663 644 728 2,772 Operating profit, MSEK 56 60 97 370 Operating margin, % 8 9 13 13 9
  10. 10. MARKET PULPMarket situation in Q1 2012 • Pulp market improved vs. Q4 2011 • Price increased to ~850 USD/tonne at end of Q1 2012 from ~825 USD/tonne at end of Q4 2011 • Price increase to 870 USD/tonne announced for April 10
  11. 11. MARKET PULPFinancials – Q1 2012 vs. Q4 2011 50 • Operating profit improved by MSEK 8 40 Operating profit, MSEK • Higher sales volumes and lower fixed 30 costs compensated for lower prices 20 10 0 Q1 -11 Q2 -11 Q3 -11 Q4 -11 Q1 -12 -10 -20 -30 Q1 -12 Q4 -11 Q1 -11 FY 2011 Net sales, MSEK 436 416 436 1,752 Operating profit, MSEK -16 -24 38 64 Operating margin, % -4 -6 9 4 11
  12. 12. Q1 2012 IN SUM • 10% increase in net sales due to higher sales volumes (vs. Q4 2011) • Operating profit of MSEK 142, 6% operating margin • Non-recurring costs of MSEK 14 • Price cuts halted • Price increases announced for sack and kraft papers • Lower wood costs • Closing of the deal with UPM-Kymmene anticipated to take place in Q2 2012 12
  13. 13. FINANCIAL INFORMATION 13
  14. 14. QUARTERLY KEY FIGURES Q1 -12 Q4 -11 Q1 -11Net sales, MSEK 2,291 2,086 2,547Operating profit, MSEK 142 75 332Operating margin 6% 4% 13%Profit/share, SEK 0.94 0.44 2.28Net debt/equity ratio -0.04 -0.05 0.05Sales volume (ktonnes) 360 315 369 14
  15. 15. OPERATING PROFIT BRIDGE Q1 2012 vs. Q4 2011 160 +69 +41 142 0 140 120 +37 100MSEK 75 -56 80 60 -24 40 20 0 Operating Sales & Selling prices Effects of Change in Change in Change in Operating profit production (in respective exchange rate variable costs fixed costs depreciation profit Q4 2011 volumes* sales currency) fluctuations, Q1 2012 incl. hedging * Includes product mix. 15
  16. 16. CASH FLOW GENERATION FROM OPERATION MSEK Q1 -12 Q4 -11 Q1 -11 Operating surplus, etc 298 238 481 Change in working capital, etc. 22 48 -301 Net financial items, taxes, etc. -202 -12 -181 Cash flow from operating activities 118 274 -1 Current net investments -155 -178 -82 Operating cash flow -37 96 -831) Minus equals increase in net debt 16
  17. 17. WORKING CAPITAL KEY RATIOS Days sales outstanding Overdue WC as % of quarterly sales 70 6,0 70% Working capital (excl. IAS)/quartely net turnover 60 60% 5,0 50 50% 4,0 % of total receivablesDSO days 40 40% 3,0 30 30% 2,0 20 20% 10 1,0 10% 0 0,0 0% 17
  18. 18. MARKET PRICES AFFECTING RESULTElectricity index (Sweden*) Wood price index280 160240 140200 120160120 100 80 80 2004 Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - 2004 Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - 05 06 07 08 09 10 11 05 06 07 08 09 10 11Source: Nordpool. *Price area Sweden Source: Billerud 18
  19. 19. MARKET PRICES AFFECTING RESULTMarket pulp (USD/t) TCW index* 118 1 050 1 000 115 950 112 900 850 109 800 106 750 103 700 650 100 600 97 550 94 2004 Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - 2004 Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - Q4 - 05 06 07 08 09 10 11 05 06 07 08 09 10 11Note: Average price for the quarter Source: Riksbanken *Total Competitiveness Weights Index 19
  20. 20. CURRENCY SITUATION • Profit effect of net flow hedging MSEK 44 (99) for Q1 2012 • Market value of outstanding contracts not relating to trade receivable was MSEK 38* Hedge level 12 months forward: Average hedged currency rates (share of net flow) Q2 -12 Q3 -12 Q4 -12 Q1 -13 Total 12 months EUR 50% 9.19 9.16 9.10 8,99 9.15 (83%) (65%) (41%) (14%) (50%) 6.74 6.81 6.88 6.82 6.79 USD 49% (84%) (57%) (38%) (16%) (49%) 10.58 10.68 10.74 10.71 10.65 GBP 49% (83%) (62%) (36%) (16%) (49%)Note: Data in table and graph are as of 31 March 2012. *As of 31 March 2012. 20
  21. 21. OUTLOOK 21
  22. 22. OUTLOOK • The market shows signs of an upturn during the second quarter. • The order situation in the packaging paper segments improved in the first quarter, compared to the previous one, and had at the beginning of the second quarter on average returned to normal levels. It is anticipated that the order situation will remain good in the next quarter. • Price cuts in the packaging paper segments halted during the quarter. • Price rises have during the quarter been announced in certain product categories and a price increase of 8-10% for sack and kraft paper was announced after the end of the quarter, to take effect on 1 June 2012. 22
  23. 23. OUTLOOK CONT. • Acquisition-related non-recurring costs will be charged to results in the quarter in which the acquisition of UPM-Kymmene’s packaging paper business will be completed. These costs are estimated to an additional approximately SEK 15 million. Added to this figure will be non-recurring costs, already disclosed, estimated at approximately SEK 22 million to separate off the business acquired. The costs will accrue over the three remaining quarters of the year. • Wood prices are anticipated to be lower in 2012 than in 2011. 23
  24. 24. Q&A We believe in embracing what is important to our customers, our company,our employees and the environment. By always giving back more than we take, we are building a company for future generations. 24
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×