Stora Enso tops profit expectations, but warns of market uncertainty
Finnish forestry group Stora Enso reported a first-quarter operating profit above market expectations on Friday, but said it expected demand to remain subdued and volatile due to heightened market uncertainty amid global trade tensions and weak consumer sentiment.
Its adjusted operating profit, or earnings before interest and taxes, rose to 175 million euros ($198.42 million) in the first quarter from 149 million euros a year earlier.
That was well above analysts’ 124.9 million euro forecast in a poll by Vara Research.
Stora Enso said it expected the ramp-up of its new packaging board line in Oulu, Finland to have a negative impact of about 100 million euros on its annual adjusted EBIT.
It forecast capital expenditures of 730 million to 790 million euros for the year.
- WHAT COMES TO US TARIFFS, WE ESTIMATE THAT THE DIRECT IMPACT AT CURRENT TARIFF RATES IS LIMITED
- OUTLOOK 2025: ADJUSTED EBIT WILL BE ADVERSELY IMPACTED BY APPROX. EUR 100 MILLION DUE TO RAMP-UP OF NEW PACKAGING BOARD LINE IN OULU, FINLAND
- OUTLOOK 2025: CAPITAL EXPENDITURE FORECAST EUR 730–790 MILLION
- OUTLOOK FOR Q2: MAINTENANCE COSTS ARE EXPECTED TO INCREASE BY APPROXIMATELY EUR 20 MILLION FROM Q1/2025
- IN OUR FOREST DIVISION, THE HIGH DEMAND AND TIGHT MARKETS FOR WOOD AND FRESH FIBER CONTINUED, LEADING TO ANOTHER RECORD-HIGH QUARTERLY EBIT
- OUTLOOK FROM Q1/2025 TO Q2/2025: IN PACKAGING MATERIALS DIVISION, CONTAINERBOARD MARKET IS EXPECTED TO REMAIN STABLE WITH ONGOING PRICE INCREASES
- OUTLOOK FROM Q1/2025 TO Q2/2025: FOREST DIVISION IS EXPECTED TO MAINTAIN ROBUST FINANCIAL PERFORMANCE
- OUTLOOK FROM Q1/2025 TO Q2/2025: PACKAGING SOLUTIONS DIVISION ANTICIPATES INCREASED DEMAND IN WESTERN EUROPE WHILE ASIAN DEMAND SUGGEST RETURN TO LOWER SEASONAL NORMS