Borregaard ASA
SWB:BO4

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Borregaard ASA
SWB:BO4
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Price: 16.74 EUR -0.24% Market Closed
Market Cap: 1.7B EUR

Borregaard ASA
Investor Relations

Nestled in the lush landscapes of Norway, Borregaard ASA has meticulously carved out a distinctive niche for itself in the world of biorefinery. Emerging from its roots in traditional pulp and paper production, Borregaard has adeptly transformed itself into a global leader of advanced and sustainable biochemicals. The company's biorefinery operation skillfully harnesses the potential of wood as its raw material, extracting high-value lignin, cellulose, vanillin, and other specialty chemicals. This innovative approach enables Borregaard to capitalize on its ability to not only replace fossil-based products but also to create environmentally friendly solutions for a range of industries such as agriculture, construction, and pharmaceuticals. The firm's dedication to sustainability and specialization reflects a forward-looking mindset that aligns with evolving market demands and global environmental standards.

Revenue at Borregaard flows predominantly from its divisions, all working in concert to sustain its diverse portfolio. The Performance Chemicals division, for example, primarily markets lignin-based products, which serve as vital ingredients in concrete admixtures and battery components. Meanwhile, the Specialty Cellulose division transforms cellulose into unique applications, ranging from food additives to cosmetics, and fuels the company's growth in diverse markets. Then there is the Fine Chemicals department, which refines vanillin for flavor and fragrance industries. The company's tactical orientation towards innovation and sustainable production not only ensures a steady stream of revenue but also galvanizes its standing as a beacon of environmental responsibility in the chemical industry. In sum, Borregaard's story is one of transformation and foresight, leveraging its expertise to craft a profitable model that harmonizes with the planet's ecological aspirations.

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Last Earnings Call
Fiscal Period
Q3 2025
Call Date
Oct 22, 2025
AI Summary
Q3 2025

EBITDA Decline: EBITDA for Q3 was NOK 440 million, down from NOK 524 million last year, mainly due to lower bioethanol prices and a production disruption in cellulose.

Revenue Drop: Operating revenue fell 8% year-over-year, with BioMaterials facing lower sales volumes and Fine Chemicals hit by lower bioethanol prices.

BioSolutions Growth: BioSolutions sales volume rose 4%, marking a seventh consecutive quarter of agricultural growth, though margins were stable and influenced by sales mix.

Production Disruption: A facility outage resulted in a NOK 40 million EBITDA impact, primarily affecting cellulose grades and causing delayed deliveries.

Capacity Expansion: A second investment phase of NOK 308 million has been approved for capacity expansion at Sarpsborg, aiming for a 5–10% increase in total capacity by second half 2026.

Wood Costs: Elevated wood costs in Q3 due to inventory mix; Q4 expected to see lower wood costs, with further relief possible in 2026.

Guidance Maintained: CapEx guidance for 2025 remains at NOK 1 billion, with heavy Q4 spending expected; sales volumes for BioSolutions and BioMaterials expected to be below last year in Q4.

US Antidumping Actions: Borregaard challenged US antidumping claims on specialty cellulose, but expects limited impact on exports and projects legal costs to be in the low double-digit millions NOK.

Key Financials
EBITDA
NOK 440 million
EBITDA Margin
24.5%
Earnings Per Share
NOK 1.96
BioSolutions EBITDA
NOK 277 million
BioSolutions EBITDA Margin
26.2%
BioMaterials EBITDA
NOK 112 million
BioMaterials EBITDA Margin
19.2%
Fine Chemicals EBITDA
NOK 51 million
Fine Chemicals EBITDA Margin
30.5%
Currency Net Impact on EBITDA
NOK 30 million positive year-on-year
Cash Flow from Operating Activities
NOK 423 million
Investments (CapEx)
NOK 160 million (quarter)
Equity Ratio
60%
Leverage Ratio
1.11
Earnings Call Recording
Other Earnings Calls

Management

Mr. Per Arthur Sørlie
President & CEO
No Bio Available
Mr. Per Bjarne Lyngstad
Chief Financial Officer
No Bio Available
Mr. Rolf Sveinung Heggen
General Counsel
No Bio Available
Mr. Dag Arthur Aasbø
Senior Vice President of Organisation & Public Affairs
No Bio Available
Mr. Tom Erik Foss-Jacobsen
Executive Vice President of BioSolutions
No Bio Available
Mr. Gisle Løhre Johansen
Executive Vice President of Speciality Cellulose & Fine Chemicals
No Bio Available
Ms. Kristin Misund
Senior Vice President of R&D and Business Development
No Bio Available
Ms. Liv Longva
Senior Vice President of Procurement & Strategic Sourcing
No Bio Available
Mr. Knut-Harald Bakke
Director of Investor Relations
No Bio Available
Ms. Tuva Barnholt
Senior Vice President of Strategic Sourcing
No Bio Available

Contacts

Address
OSTFOLD
Sarpsborg
Hjalmar Wessels vei 6
Contacts
+4769118000.0
www.borregaard.com