Period-end comment from Setra for Q3 2023
Wood products company Setra has reported an operating profit of SEK 8 million (231) for the third quarter of 2023. Net sales totalled SEK 1,207 million (1,343).
“The wood products market continued to be challenging in the third quarter. The main negative impact on earnings continues to be the combination of historically high raw material prices and falling sales prices. Demand developed favourably in the US and Asia during the quarter, while underlying demand in Scandinavia and Europe remains weak,” says Marcus Westdahl, Setra’s CEO.
Linköping is gaining another sustainable building in wood. Construction of the seven-storey Green House will begin in the autumn, with Setra supplying the CLT and glulam frame. Green House will have 59 rental apartments and a ground floor of office and retail space. The building, with its gross area of 3,600 square metres, is being built in Linköping’s new development area of Folkungavallen. “This is an interesting project with high environmental standards – the building is set to achieve Silver level in Sweden’s Miljöbyggnad certification scheme,” reports Therese Jansson, Account Manager at Setra.
At the beginning of September, it was announced that Setra and Mestergruppen have signed a cooperation agreement that makes Setra a priority supplier of glulam to the chain of builders’ merchants. The agreement also includes skills development for sellers within Mestergruppen.
The construction of a new saw line for small-diameter logs at Setra’s sawmill in Skinnskatteberg is proceeding according to plan. The investment, which includes other future measures, is an important step in Setra’s development strategy and is expected to be operational by spring 2024.
Cash flow from operating activities in the third quarter amounted to SEK X million (305). In May Setra paid out SEK 476 million (629) in dividends to shareholders.
| Key figures* | Jul–Sep (3 months) | Jan–Sep (9 months) | |||||
| 2023 | 2022 | 2023 | 2022 | ||||
| Net sales, SEKm | 1,207 | 1,343 | 3,989 | 4,969 | |||
| Operating profit/loss, SEKm | 8 | 231 | -46 | 1,275 | |||
| Profit/loss after tax, SEKm | 4 | 182 | -37 | 1,006 | |||
| Operating margin, % | 0.7 | 17.2 | -1,2 | 25.7 | |||
| Return on operating capital, %, RTM | -5 | 80 | |||||
| Cash flow from operating activities, SEKm Dividend to Setra´s owners |
217 | 305 | 210 476 |
922 629 |
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* Setra does not publish a complete period-end report.
For further information, please contact:
Marcus Westdahl, President and CEO, phone +46 8-705 03 75, mobile +46 73-098 14 00
Johanna Gydingsgård, CFO, phone +46 8 705 03 03, mobile +46 72 453 85 41
At Setra, we believe in “Grönsamhet”. When a business is profitable for everyone, we call it Grönsamhet – Green profit. 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