Borregaard (BRG) Pre-Close Call summary

Executive summary

• Annual report for 2024 published, following the European Sustainability Reporting Standard (ESRS).

• The call reiterated the previous quarter's outlook and addressed current market and operational developments.

Trading performance and revenue trends

• Biosolutions sales volume for 2025 expected at 330,000 tons, with Q1 at 80,000 tons; strong agriculture sales anticipated.

• Biomaterials sales volume for 2025 projected at 150,000-155,000 tons, with higher specialization rates and Q1 volume at 38,000 tons.

• Fine chemical intermediates sales volume expected to grow further in 2025 compared to 2024.

Profitability and margins

• Product mix, especially growth in specialties, was the main driver of improved profitability in biosolutions in 2024 and remains the focus for 2025.

• Average price for biomaterials expected to be 8%-10% higher than H1 2024, mainly due to real price increases.

• Bioethanol prices expected to decline in 2025, returning to 2022 levels, impacting margins.