BillerudKorsnas AB (publ)
OTC:BLRDY
BillerudKorsnas AB (publ)
BillerudKorsnäs AB, headquartered in Solna, Sweden, stands as a dynamic player in the global packaging industry. The company was born from a strategic merger between two Swedish powerhouses, Billerud and Korsnäs, in 2012. This blend of expertise has forged a path for BillerudKorsnäs to become a leader in sustainable packaging solutions. The company primarily focuses on producing high-quality paper and board materials designed for consumer goods. Its diverse product portfolio includes cartonboard, containerboard, and specialty papers that are integral to packaging in various sectors, from food and beverages to pharmaceuticals. Through its innovation-driven approach, BillerudKorsnäs continuously aims to replace traditional packaging materials with sustainable alternatives, thus carving a niche in reducing environmental footprints.
The company's business model hinges on the integration of forestry resources and production facilities across Sweden and Finland. Owning and managing forests allow BillerudKorsnäs to ensure a steady, sustainable raw material supply, vital for maintaining its operations' ecological integrity. The company operates through three main business areas: Paper, Board, and Solutions. Each segment is tailored to meet the specific needs of different markets, ensuring that BillerudKorsnäs can cater to a broad customer base while maintaining its commitment to sustainability. Through its meticulous focus on sustainable forestry practices, cutting-edge production technology, and strategic marketing, BillerudKorsnäs capitalizes on the increasing global demand for eco-friendly packaging, ensuring both robust revenue streams and a commitment to a more sustainable future.
BillerudKorsnäs AB, headquartered in Solna, Sweden, stands as a dynamic player in the global packaging industry. The company was born from a strategic merger between two Swedish powerhouses, Billerud and Korsnäs, in 2012. This blend of expertise has forged a path for BillerudKorsnäs to become a leader in sustainable packaging solutions. The company primarily focuses on producing high-quality paper and board materials designed for consumer goods. Its diverse product portfolio includes cartonboard, containerboard, and specialty papers that are integral to packaging in various sectors, from food and beverages to pharmaceuticals. Through its innovation-driven approach, BillerudKorsnäs continuously aims to replace traditional packaging materials with sustainable alternatives, thus carving a niche in reducing environmental footprints.
The company's business model hinges on the integration of forestry resources and production facilities across Sweden and Finland. Owning and managing forests allow BillerudKorsnäs to ensure a steady, sustainable raw material supply, vital for maintaining its operations' ecological integrity. The company operates through three main business areas: Paper, Board, and Solutions. Each segment is tailored to meet the specific needs of different markets, ensuring that BillerudKorsnäs can cater to a broad customer base while maintaining its commitment to sustainability. Through its meticulous focus on sustainable forestry practices, cutting-edge production technology, and strategic marketing, BillerudKorsnäs capitalizes on the increasing global demand for eco-friendly packaging, ensuring both robust revenue streams and a commitment to a more sustainable future.
Regional Performance: North America continued to show strong results with a 20% EBITDA margin, while Europe faced weak demand and oversupply, pulling down both sales and profits.
Revenue Decline: Group net sales were down 14% in Q4 (currency-adjusted) and down 7% for the full year, with European volumes falling sharply.
Cost Relief: Significant cost relief is expected in 2026, especially from falling Nordic pulpwood prices, with SEK 130 million in cost savings anticipated for Q1 and further relief in Q2.
Cost Reduction Program: The SEK 500 million cost saving program for 2026 is on track, with SEK 40 million savings in Q1 and SEK 150 million in Q2.
Dividend Proposal: The board proposes a dividend of SEK 2 per share, roughly SEK 500 million, to be paid in Q2.
Outlook: North America expected to remain strong; in Europe, weak conditions and price pressure persist, especially for liquid packaging board, which is seeing a 2–3% sequential price decline in Q1.
Capital Expenditure: 2026 CapEx guidance is SEK 2.6 billion, lower than prior plans, and expected to decrease further after 2026.
Strategic Exit: Billerud will exit its Follum JV, leading to a SEK 50 million noncash write-off in Q1.
