Posted May 17, 2018
Wood products company Setra has reported an operating profit of SEK 92 million ($10.5 million) for the 1Q 2018. Net sales totalled SEK 1,130 million ($130 million), compared to SEK 1,007 million ($115 million) in 1Q 2017, as the company said in the press release received by Lesprom Network.
“We’re reporting an operating profit of SEK 92 million ($10.5 million) for the 1Q 2018, which is an improvement of SEK 59 million ($6.7 million) on the previous year. This increase reflects the continued positive development of the wood products market, which has enabled us to increase sales prices as well as sales volumes. During the first quarter, we were affected by disruption to timber flows to our production units resulting from severe winter conditions and lack of capacity in the transport sector, which impacted negatively on production volumes as well as profit. We envisage a continued strong market for wood products and good demand among our customers moving forward,” said Hannele Arvonen, President and CEO at Setra.
Cash flow from operating activities in the 1Q was SEK 30 million ($3.4 million). The Group’s financial position is strong. The Group’s financial net debt amounted to SEK 29 million ($3.3 million) at the end of the period, which corresponds to a net debt/equity ratio of 2%.
Setra is one of Sweden’s largest wood products companies.