Mondi (MNDI) investor relations material

Executive summary

• Underlying EBITDA for H1 2026 was €379 million, down from €564 million in H1 2025, reflecting margin pressure from lower average selling prices and higher input costs, partially offset by higher sales volumes, cost control, and pricing actions.

• Basic underlying earnings per share fell to 11.6 euro cents from 42.7 euro cents year-over-year.

• Cash generated from operations was €347 million, compared to €416 million in H1 2025, supported by strong working capital management.

• Special item charges of €320 million were recognized, mainly for €296 million in non-cash impairments and €24 million in restructuring/closure costs, with limited expected cash effect.

• Six converting plant closures are underway, expected to reduce headcount by 580 and optimize the network for future growth.

Financial highlights

• Group revenue rose to €3,975 million (H1 2025: €3,909 million), driven by acquired plants and higher organic sales volumes, though offset by lower average selling prices.

• Underlying EBITDA margin declined to 9.5% (H1 2025: 14.4%).

• Net debt at 30 June 2026 was €2,632 million, with net debt to underlying EBITDA at 3.2x (31 Dec 2025: 2.6x).

• CapEx guidance for 2026 reduced to €500 million, down from €550 million.

• Recognized a €35 million forestry fair value loss (vs. €18 million gain last year), mainly from lower South African wood prices.

Outlook and guidance

• Trading momentum improved through H1 2026, with higher packaging paper prices and strong order books entering H2.

• Full effect of price increases expected in Q3 2026.

• Input costs, especially wood and energy, remain volatile and elevated, with higher wood costs expected in Central and Eastern Europe.

• Full-year depreciation and amortization guidance reduced to €475 million; maintenance shut impact reduced to €80 million.

• Full-year net finance costs expected around €125 million.