Stora Enso’s Q1 2025 sales increased by 9% to Euro 2,362 million, mainly due to higher prices and mix management in all divisions except in Biomaterials. Improved deliveries contributed to topline growth, due to increased demand and, in part, by the political strike in Finland during Q1 2024. Currencies had a small positive impact on sales in the Q1.
Adjusted EBIT increased 18%, Adjusted EBIT increased, for the fourth consecutive quarter compared year-on-year, to Euro 175 million. Higher prices and volumes increased profitability by Euro 98 million and Euro 15 million, respectively. Adjusted EBIT margin increased to 7.4%.
Variable costs were Euro 122 million higher, caused by increased wood costs. Energy and pulp costs decreased compared to year ago. Fixed costs remained flat.
Net foreign exchange rates had a positive Euro 29 million impact. The impact from structural changes, depreciations, associated companies and other was a positive Euro 7 million.
Fair valuations and non-operational items (FV) had a positive impact on the operating result of Euro 7 million. Items affecting comparability (IAC) had an adverse impact of Euro 11 million on the operating result.
Outlook and focus for 2025
Stora Enso expects market demand to remain subdued and volatile, affected by heightened macroeconomic and geopolitical uncertainty due to trade-related tensions, and lower consumer sentiment.
Guidance
Stora Enso anticipates that its adjusted EBIT for the full year of 2025 will be adversely impacted by approximately Euro 100 million due to the ramp-up of the new packaging board line in Oulu, Finland. A majority of this is expected in Q2 2025.
The Group's capital expenditure forecast for the full year of 2025 is Euro 730–790 million.
In the Q2 2025, maintenance costs are expected to increase by approximately Euro 20 million from Q1 2025. Fiber costs are expected to remain at high levels.
Stora Enso’s President and CEO Hans Sohlström says: “During the Q1 2025, we continued to make good progress in building a stronger and more profitable Stora Enso. We recorded a robust adjusted EBIT of Euro 175 million, an 18% increase year-on-year, with an EBIT margin of 7.4%. This improvement primarily resulted from higher prices, alongside increased volumes, favourable foreign exchange rates, and the positive impact of cost-saving and value-creation initiatives, which helped mitigate continued high fiber costs.
This marks the fourth consecutive quarter with a year-on-year result improvement. Furthermore, in the Q1, all divisions achieved positive adjusted EBIT for the first time since the Q3 2022. Group sales rose by 9% year-on-year, driven by higher deliveries and increased sales prices across most divisions.”
Stora Enso is the leading provider of renewable products in packaging, biomaterials, and wooden construction, and one of the largest private forest owners in the world.
