Period-end comment from Setra for Q1 2023

Wood products company Setra has reported an operating loss of SEK -64 million (480) for the first quarter of 2023. Net sales totalled SEK 1,414 million (1,834).

“The strong deliveries continued in the first quarter, but unfortunately with negative margins for Setra. This is mainly down to low prices and high raw material costs combined with higher electricity costs,” explains Setra’s CEO Katarina Levin.

Prices picked up over the quarter, but not enough to compensate for the rising costs of raw materials, electricity and fuel. Activity in most markets was slightly better than expected, with the exception of the Swedish market, which was characterised by a marked decline in new housing construction. However, the construction of commercial and public buildings has shown better activity, relatively speaking.

In mid-February, it was announced that Setra has appointed Marcus Westdahl as the new CEO of the company. Marcus Westdahl is currently CEO of EFG European Furniture Group and has held several other senior positions in the wood and paper industries over the past 20 years. Setra’s current CEO Katarina Levin informed the Board in October 2022 that, for personal reasons, she would be leaving her position at the company’s Annual General Meeting on 8 May 2023. Marcus Westdahl will take up his position on 9 May 2023.

During the quarter it was announced that Setra and builders’ merchant Karl Hedin Bygghandel have entered into an agreement regarding deliveries of glulam. The basis of the agreement between the two companies is that they will be priority partners for each other.

Sustainability, flexibility and fast-paced deliveries will define the construction of Renshammarskolan in Bollnäs, for which Setra will shortly deliver 2,200 cubic metres of CLT. It is the company’s largest ever volume of CLT supplied for a single building.

Cash flow from operating activities in the first quarter amounted to SEK -82 million (8). Net cash totalled SEK 1,319 million (1,563) at the end of the period.

* Setra does not publish a complete period-end report.

For further information, please contact:

Katarina Levin, President and CEO, phone +46 8 705 03 10, mobile +46 70 594 92 54
Johanna Gydingsgård, CFO, phone +46 8 705 03 03, mobile +46 72 453 85 41

At Setra, we believe in “Grönsamhet”. When a business profits everyone, we call that “Grönsamhet”. Setra is one of Sweden’s largest wood industry companies. We process raw material from responsibly managed forests into climate-friendly products such as glulam, planed products, components, CLT and sawn wood products. We also sell bioproducts such as bark, chips and sawdust to customers in the paper and pulp industry, and for energy production. Our customers are located all over the world. Find out more at setragroup.com