Sveaskog (SVEA) Q3 2024 earnings summary

Executive summary

• Net sales increased by 4% to SEK 1,718 million in Q3 2024, driven by higher timber prices despite an 8% drop in delivery volumes.

• Operating profit rose 79% to SEK 392 million in Q3, mainly due to price increases.

• For Jan–Sep 2024, net sales grew 4% to SEK 6,113 million, with operating profit up 21% to SEK 1,484 million.

• The company continues to focus on sustainable forestry, new business in renewable energy, and efficiency improvements.

• Strategic partnerships for large-scale solar energy and the sale of Hjälmare Kanal were announced.

Financial highlights

• Q3 2024 net income was SEK 193 million (SEK 44 million in Q3 2023), EPS SEK 1.64 (0.37).

• Jan–Sep 2024 net income was SEK 1,116 million (SEK 812 million), EPS SEK 9.43 (6.86).

• Cash flow from operations for Jan–Sep 2024 was SEK 1,015 million (SEK 640 million).

• Operating margin in Q3 2024 was 19.1%.

• Result from associates was negative: -29 MSEK in Q3 and -61 MSEK for Jan–Sep.

Outlook and guidance

• Demand for timber remains high, with continued positive price trends.

• The company expects stable demand in pulp and packaging, and positive long-term prospects for bioenergy.

• Ongoing focus on sustainable forestry, climate adaptation, and new revenue streams from renewable energy.