Stora Enso Corp Stock Price, News & Analysis

STORA ENSO OYJ released its Q1 2023 Interim Report on April 25, revealing a 3% decline in sales to EUR 2,721 million and a 53% drop in operational EBIT to EUR 234 million. The operational EBIT margin decreased to 8.6%. Cash flow from operations fell significantly to EUR 254 million, and the company's EPS was reported at EUR 0.24. The company is facing increased costs and a challenging market environment, leading to a lowered full-year EBIT guidance compared to 2022. Despite challenges, Stora Enso’s acquisition of Dutch De Jong Packaging Group completed on January 6, 2023, and the divestment of the Beihai site in China is in progress. Fitch and Moody's changed their outlook to positive with unchanged investment-grade ratings.

Stora Enso's financial results for Q4 2022 indicate a sales increase of 5% to EUR 2,864 million, marking the highest annual financial performance in 22 years. However, operational EBIT fell to EUR 355 million, down 16.7% year-on-year, with a margin of 12.4%. The full-year sales stood at EUR 11,680 million, up 14.9%. Key developments included the completion of the acquisition of De Jong Packaging Group and the discontinuation of the Paper division. The Board proposed a record dividend of EUR 0.60 per share. Outlook for 2023 warns of lower operational EBIT due to market challenges.

Stora Enso reported a strong Q1 2022 with a 23% increase in sales to EUR 2,798 million, and operational EBIT surged 53% to EUR 503 million. The EBIT margin reached 18.0%. Earnings per share (EPS) rose to EUR 0.37, showing strong cash flow and improved debt management. The company continues to focus on renewable packaging and is divesting paper production sites. Despite geopolitical challenges, the financial impact from halted operations in Russia is minimal, accounting for only 3% of total revenues.

Stora Enso reported a record Q4/2021 with a 26.3% increase in sales to EUR 2,719 million. Operational EBIT grew to EUR 426 million, reflecting a margin increase to 15.7%. The annual sales reached EUR 10,164 million, and operational EBIT more than doubled to EUR 1,528 million. The company proposes a dividend of EUR 0.55 per share, up from EUR 0.30. The outlook for 2022 estimates operational EBIT to be in line with 2021.