Stora Enso Corp Stock Price, News & Analysis

Stora Enso (SEOAY) has agreed to sell 12.4% of its Swedish forest holdings, approximately 175,000 hectares, for an enterprise value of EUR 900 million. The newly formed company will be owned by Soya Group (40.6%), a MEAG-led consortium (44.4%), and Stora Enso (15%). The transaction includes a 15-year wood supply agreement with a possible 15-year extension, ensuring continued wood availability for Stora Enso's Swedish operations.

The divestment is expected to reduce Stora Enso's net debt by EUR 790 million, though it will decrease the Group's adjusted EBITDA by approximately EUR 25 million annually. The deal, announced in October 2024, is expected to close in Q3 2025, subject to regulatory approvals.

Stora Enso reported strong Q1/2025 performance with sales increasing 9% to EUR 2,362 million and adjusted EBIT rising 17.7% to EUR 175 million. The company achieved an improved EBIT margin of 7.4%, marking the fourth consecutive quarter of year-on-year growth.

Key developments include the start of production at the new consumer packaging board line in Oulu, Finland, and regulatory approval for the Junnikkala Oy acquisition. The company announced plans to implement a new organizational structure from July 2025, expanding from five to seven business areas with focus on renewable packaging.

Financial highlights include earnings per share of EUR 0.14, forest assets value increase to EUR 9.3 billion, and improved net debt to adjusted EBITDA ratio of 3.2. The company declared a dividend of EUR 0.25 per share for 2024, while noting market challenges due to macroeconomic uncertainty and lower consumer sentiment.

Stora Enso Oyj held its Annual General Meeting on March 20, 2025, where several key resolutions were approved. The company will distribute a dividend of EUR 0.25 per share for 2024 in two installments: EUR 0.13 on April 2, 2025, and EUR 0.12 on October 2, 2025.

The AGM elected nine Board members, including two new members - Elena Scaltritti and Antti Vasara. Kari Jordan was elected as Chair and Håkan Buskhe as Vice Chair. The meeting approved increased board remuneration, with the Chair to receive EUR 221,728, Vice Chair EUR 125,186, and Members EUR 85,933.

PricewaterhouseCoopers Oy was appointed as both auditor and sustainability reporting assurer. The Board received authorization to repurchase up to 2,000,000 R shares (0.25% of all shares) and issue the same amount for incentive schemes. Several amendments to the Articles of Association were also approved.

Stora Enso has released its Annual Report and Remuneration Report 2024, which includes strategic report, corporate governance, sustainability statement, and financial statements. The company published its annual financial statements following the European Single Electronic Format (ESEF) requirements, with primary financial statements labeled with XBRL tags.

The Sustainability Statement is prepared according to European Sustainability Reporting Standards (ESRS) and has received Assurance from PricewaterhouseCoopers Oy. The firm also provided Reasonable Assurance for Stora Enso's Scope 1 and 2 greenhouse gas emissions reporting. The company reported EUR 9 billion in Group sales for 2024 and employed approximately 19,000 people.

Stora Enso reported improved financial results for Q4/2024 despite challenging market conditions. Sales increased 7% to EUR 2,322 million, with adjusted EBIT rising to EUR 121 million from EUR 51 million year-on-year. The company's profit improvement programme achieved EUR 110 million in fixed cost reductions, approaching its EUR 120 million target.

Key highlights include a 53% reduction in greenhouse gas emissions, surpassing the 2030 target, and progress on the consumer board investment at the Oulu site. The company plans to sell approximately 12% of its Swedish forest assets, valued at EUR 6.3 billion.

For 2024, full-year sales were EUR 9,049 million, with adjusted EBIT of EUR 598 million, marking a 75% increase. The Board proposed a dividend of EUR 0.25 per share. Looking ahead, Stora Enso expects demand to remain subdued and volatile, with high wood prices persisting throughout 2025. The company forecasts approximately EUR 100 million negative impact on adjusted EBIT in 2025, primarily in H1, due to the Oulu packaging board line ramp-up.

Stora Enso reported improved financial results for Q4/2024, with sales increasing 7% to EUR 2,322 million and adjusted EBIT rising to EUR 121 million. The company's adjusted EBIT margin increased to 5.2% from 2.3% year-over-year.

For the full year 2024, sales were EUR 9,049 million, with adjusted EBIT of EUR 598 million, marking a 75% increase. The company achieved EUR 110 million in fixed cost reductions through its profit improvement programme. The fair value of forest assets increased to EUR 8.9 billion.

Key developments include the planned sale of 12% of Swedish forest assets, surpassing the 2030 greenhouse gas emissions reduction target, and progress on the Oulu site consumer board investment. The Board proposed a dividend of EUR 0.25 per share. Looking ahead, Stora Enso expects subdued and volatile demand, with the Oulu board line ramp-up expected to impact 2025 adjusted EBIT by approximately EUR 100 million.

Stora Enso has announced its Annual General Meeting (AGM) to be held on March 20, 2025, at Marina Congress Center in Helsinki, Finland. Key points include:

The Board proposes a dividend of EUR 0.25 per share, to be paid in two installments: EUR 0.13 on April 2, 2025, and EUR 0.12 on October 2, 2025. The company's distributable capital as of December 31, 2024, was EUR 1.44 billion.

The Shareholders' Nomination Board proposes increasing Board members' remuneration by 3%, with the Chair to receive EUR 221,728, Vice Chair EUR 125,186, and members EUR 85,933. The Board will have nine members, with Elena Scaltritti and Antti Vasara proposed as new members.

The Board seeks authorization to repurchase up to 2,000,000 R shares (approximately 0.25% of all shares) for incentive and remuneration schemes.

Stora Enso has announced the conversion of 450 A shares into R shares during the December 2024 conversion period. The converted shares were recorded in the Finnish trade register on January 15, 2025, with trading of the new R shares commencing on January 16, 2025.

Following the conversion, the company's share structure stands at 175,663,629 A shares and 612,956,358 R shares, totaling 788,619,987 shares. Each A share carries one vote, while ten R shares are required for one vote, resulting in a total of at least 236,959,264 votes.

Stora Enso, a leading provider of renewable products in packaging, biomaterials, and wooden construction, reported sales of EUR 9.4 billion in 2023 and employs approximately 20,000 people. The company's shares are listed on Nasdaq Helsinki, Nasdaq Stockholm, and traded in the USA on OTC Markets.

Stora Enso Oyj announced that BlackRock, Inc.'s holding in the company's shares decreased below the 5% threshold on December 26, 2024. The previous position showed BlackRock holding 4.76% shares with 0.27% through financial instruments, totaling 5.04%. The company has two share series: 175,664,079 A shares and 612,955,908 R shares, with a total of 788,619,987 shares. Each A share and every ten R shares carry one vote, resulting in at least 236,959,669 total votes.

BlackRock's holdings include various financial instruments such as American Depositary Receipts, securities lent, and CFDs. Stora Enso is listed on Nasdaq Helsinki (STEAV, STERV), Nasdaq Stockholm (STE A, STE R), and trades in OTC Markets as ADRs and ordinary shares (SEOAY, SEOFF, SEOJF).