Rottneros increased operating profit in 2Q2017 y-o-y

Rottneros’ Vallvik pulp mil
Photo: Rottneros

Rottneros reported 14.3% increase of net turnover for the second quarter of 2017. The net turto SEK 472 million (around USD 59 million) up from SEK 413 million y-o-y. The company increased its operating profit to SEK 62 million from SEK 57 million (margin 13.1%).

In January-June 2017, the company decreased its operating profit to SEK 119 million amid net turnover of SEK 944 million.

Lennart Eberleh, President and CEO of Rottneros, commented:

“During the second quarter, the underlying trend of rising production rates continued in our mills. Operating profit increased by SEK 5 million despite some negative effects from unplanned items. We can see that the extensive investments within the framework of the Agenda 500 programme are paying off in higher volumes, even though the unplanned shutdown at Vallvik held back growth for the quarter as a whole. We steadfastly continue to take a structured approach to further improve safety and increase capacity utilization, thereby sustainably increasing volumes in our niches.”

Check other wood business-related companies 2Q2017 schedules for financial and operating results.

The company’s pulp mill in Sweden lost around 7.5% of planned production for 2Q2017 due to unplanned downtime.

Earlier Rottneros gave Swedbank a mandate to hold meetings with bond investors

About Rottneros:

The company is an independent and flexible supplier of customized and high-quality pulp. It produces paper pulp at two pulp mills in Sweden: chemical pulp is produced at Vallvik; mechanical pulp is produced at the mill in Rottneros.  It also includes the wood procurement company Rottneros Baltic SIA in Latvia. Rottneros had turnover of approximately SEK 1.5 billion in the 2014 financial year employing around 250 people.

Source: Woodbizforum