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UPM-Kymmene Oyj
F:RPL

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UPM-Kymmene Oyj
F:RPL
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Price: 26.59 EUR 0.34% Market Closed
Market Cap: €14.2B

UPM-Kymmene Oyj
Investor Relations

UPM-Kymmene Oyj, often simply known as UPM, stands as a distinguished entity in the forest-based bioindustry, seamlessly integrating traditional papermaking with innovative biotechnology. Rooted in Finland, the company has carved out a reputation for leveraging renewable materials to create sustainable solutions. UPM operates through six business areas: UPM Biorefining, UPM Energy, UPM Raflatac, UPM Specialty Papers, UPM Communication Papers, and UPM Plywood. Each plays a critical role in its ecosystem, with UPM Biorefining focusing on producing pulp, timber, and biofuels, while UPM Energy manages its hydro and nuclear power assets, contributing to the company’s low-carbon footprint. UPM Raflatac, a market leader in self-adhesive labels, continues to innovate, catering to industries from retail to pharmaceuticals. The interplay across these segments not only solidifies UPM's position in the market but also underscores its commitment to sustainable development and bioinnovation.

At the heart of UPM’s financial success lies its adaptability and forward-thinking approach. The company’s investment in new technologies and sustainable practices yields robust, long-term value creation. For instance, through UPM Specialty Papers and UPM Communication Papers, it delivers customized, high-quality solutions while optimizing resource efficiency. Meanwhile, UPM's venture into the biofuels sector exemplifies its ability to tap into emerging market demands, particularly as global attention turns to environmentally friendly alternatives to fossil fuels. By harnessing its extensive global network and integrating sustainable practices across its operations, UPM effectively reduces environmental impact while generating diversified revenue streams. This multifaceted approach enables the company not only to anticipate market shifts but also to steer the industry towards a circular economy, positioning itself as a resilient and future-ready corporation in the bioforestry sector.

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Last Earnings Call
Fiscal Period
Q3 2025
Call Date
Oct 29, 2025
AI Summary
Q3 2025

EBIT Performance: Comparable EBIT in Q3 was EUR 153 million, up 21% quarter-on-quarter but down 47% year-on-year, with an EBIT margin of 6.7%.

Segment Variations: Advanced Materials and Decarbonization Solutions saw improved year-on-year performance, while Renewable Fibres and Communication Papers suffered from volatile markets and weak demand.

Cost Actions: UPM will close two paper mills, reducing capacity by 13% and cutting annual fixed costs by EUR 70 million.

Cash Flow & Leverage: Operating cash flow reached EUR 218 million; net debt is EUR 3.218 billion with a net debt-to-EBITDA ratio of 2.36x, above the company's policy limit.

Guidance Unchanged: Second half 2025 comparable EBIT is expected in the EUR 425–650 million range, with Q4 supported by energy refunds and possible forest value revaluation.

CapEx Outlook: CapEx is expected to be lower in 2026 and 2027, with maintenance CapEx at around EUR 250 million per year.

Plywood Strategic Review: UPM is considering divestment or other options for its Plywood business, aiming to conclude the review by end of 2026.

Leuna Biochemical Plant: First products from the new Leuna plant are expected to be sold in Q4, with full production and positive EBIT targeted in 2027.

Key Financials
Comparable EBIT
EUR 153 million
EBIT Margin
6.7%
Operating Cash Flow
EUR 218 million
Net Debt
EUR 3.218 billion
Net Debt-to-EBITDA Ratio
2.36x
Fibres South EBIT
EUR 80 million
Fibres South EBIT Margin
22%
Fibres North EBIT
EUR -37 million
Paper Capacity Reduction
570,000 tonnes (13% of current capacity)
Annual Fixed Cost Reduction
EUR 70 million
Average Sales Price for Electricity
up 17% YoY, up 12% QoQ
Pulp Prices (Q3 YoY)
down 23% YoY, down 11% QoQ
Communication Paper Deliveries
down 13% YoY
Earnings Call Recording
Other Earnings Calls

Management

Mr. Massimo Reynaudo
President & CEO
No Bio Available
Mr. Petri Hakanen
SVP of Tech, Head of Uruguayan Dev Projects and SVP of Fibres Finland Operations & UPM Fibres
No Bio Available
Ms. Saara Tahvanainen M.Sc. (Soc.)
Executive Vice President of Marketing, Sustainability & Communications
No Bio Available
Ms. Riitta Savonlahti M.Sc. (Econ.)
Executive Vice President of Human Resources
No Bio Available
Ms. Pirkko Harrela M.A.
Executive Officer
No Bio Available
Ms. Anu Ahola
Senior Vice President of SBU Newspaper Publishing for UPM Paper Europe & North America
No Bio Available
Mr. Kari Stahlberg M.Sc. (Eng.)
Executive Vice President of Strategy
No Bio Available
Mr. Jaakko Nikkila
Executive Vice President of UPM Specialty Papers
No Bio Available
Mr. Aki Temmes
Executive Vice President of UPM Fibres
No Bio Available
Mr. Mika Kekki
Executive Vice President of UPM Plywood
No Bio Available

Contacts

Address
ETELA-SUOMEN
Helsinki
Alvar Aallon katu 1
Contacts
+35820415111.0
www.upm.com
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