stora enso

Stora Enso’s sales down by 16%

Article by Günther Jauk (adapted for; translated by Eva Guzely) | 23.07.2020 - 10:52

In Q2, the Finnish group’s sales fell by 16% or € 65 million year on year to € 347 million. Compared to Q1, they decreased by 2.4%. In the first half year, sales also fell by 16% compared to the same period of 2019. The company explains this negative development with lower sawn timber sales due to the COVID-19 pandemic as well as lower sales prices.

The sale of the solid structural timber plant in Pfarrkirchen/DE and of the thermal wood production Uimaharju in Joensuu/FI as well as the closing down of the sawmill in Kitee/FI led to a decrease in sales if € 36 million.

In the first half year, operative EBIT fell by one third to € 65 million. According to the group, low sales prices were only partly compensated by low raw material and fixed costs.

Nonetheless, the market situation seems to be better than expected. Currently, Stora Enso is working on more than 500 timber construction projects around the world, including several student dormitories in Scandinavia and Great Britain as well as numerous office and housing projects in France, Belgium and Australia.