English

Metsä Tissue's result January - June 2008

Report this content 
23/07/2008


Metsä Tissue's result January - June 2008 

Metsä Tissue's turnover from January to June reached EUR 461 million (421) and
its operating profit was EUR 20 million (14). Because of the increase in sales
volumes (+3%) as well as increases in sales prices and in the structure of
sales (+6% combined) the turnover grew 9 percents compared to last year.
Progress in selling more of company's own brands - especially Lambi, Serla,
Katrin and Mola - was significant. 

Fluctuation in exchange rates, especially the weakening of the US dollar and
the British Pound, had an unfavorable impact on the sales volume and the
operating profit. At the same time Metsä Tissue continued to increase its
prices to reduce the negative impacts from the increasing costs of raw
materials and energy. 

Metsä Tissue will increase supply chain efficiency and enhance the service
towards customers in continental Europe by building a 36.000 m² state of the
art warehouse in Düren, Germany. The new warehouse will make operations more
efficient by combining four warehouses earlier used in the region. 

Investments made in Mänttä mill enabled the improvements in the quality of
Serla toilet paper as well as in the efficiency of the production line.
Improvements in quality were followed by modernization of Serla package design. 

Expansion of business activities in Russia continued with the launch of
production of Katrin products in Naro Fominsk, 70 km from Moscow. At the
present Metsä Tissue has a sales office in Moscow and warehousing, distribution
and converting facilities in Naro Fominsk. 

Decline of the economic growth rate in Europe is not expected to influence
dramatically the sales volumes of tissue and cooking paper.

Subscribe