Wood products company Setra has reported an operating profit of SEK 10 million ($976,562) for the Q2 2023. Net sales totalled SEK 1 368 million ($130 million), compared to SEK 1 792 million ($175 million) in Q2 2022.
“The market remained challenging in the second quarter, but the higher prices for the quarter have resulted in a better margin than was the case at the beginning of the year,” says Marcus Westdahl, Setra’s newly appointed CEO. “What has mainly affected the company negatively is weak consumption and the fact that costs are still high, especially for raw materials.”
Higher price levels in the Q2 have partly compensated for the increased costs of electricity, fuel and raw materials. Current interest rate levels are pushing back new builds and renovation in most markets globally, and this situation is not expected to improve in the short term. This, combined with the sharp increases in raw material prices announced, means that the operational outlook remains very challenging.
Cash flow from operating activities in the Q2 amounted to SEK 75 million ($7.3 million). In May, Setra distributed SEK 476 million ($46.5 million) to the company's owners.
Setra is one of Sweden’s largest wood industry companies.
