Wood products company Setra is reporting an operating profit of SEK 107 million ($12.8 million) for the period January – September 2017. Net sales totalled SEK 3,027 million ($362 million). Operating profit for the 3Q amounted to SEK 17 million ($2 million) with net sales of SEK 945 million ($113 million), as the company said in the press release received by Lesprom Network.
“We’re reporting an operating profit for the first three quarters of SEK 107 million ($12.8 million), which is an improvement of SEK 21 million ($2.5 million) on the previous year. Due to good market conditions, we have been able to increase both selling prices and sales and production volumes for comparable units. Going forward we see continued good demand from our customers and a positive development for the wood products market, both in Sweden and internationally,” says Hannele Arvonen, President and CEO of Setra.
Disruptions in the freight market for much of the year had a negative impact on earnings. However, the situation improved in the third quarter. The import restrictions that Algeria imposed in the spring have since been partially lifted, so that deliveries will be able to begin again to some extent from October.
Cash flow from operating activities for the period January – September amounted to SEK 222 million ($26.6 million). The Group’s financial position is strong even after a dividend of SEK 100 million ($12 million) was paid to shareholders. The Group’s financial net debt amounted to SEK 14 million ($1.7 million) at the end of the period, which corresponds to a net debt/equity ratio of 1%.
Setra is one of Sweden’s largest wood products companies.
