Valmet has published restated figures for 2017 and guidance for 2018

Valmet Oyj's stock exchange release on March 21, 2018 at 10:00 a.m. EET

Valmet Oyj's consolidated interim and full year 2017 financials have been restated due to the adoption of IFRS 15 - Revenue from Contracts, as of January 1, 2018. The standard provides a new basis for revenue and cost of sales recognition. Valmet's restated financials for 2017 provide comparatives for quarterly result releases for year 2018. The restated financial information has not been audited.

The cumulative effect of applying IFRS 15 has reduced net sales by EUR 100 million, Comparable EBITA by EUR 8 million and net profit by EUR 6 million in 2017. The cumulative impact of applying IFRS 15 recognized in opening balance of retained earnings as at January 1, 2017 amounted to EUR -9 million. Coupled with 2017 profit for the period, the net impact to retained earnings arising from the restatement is a reduction of EUR 15 million as at January 1, 2018.

Key figures¹

EUR million	Q1/2017	Q2/2017	Q3/2017	Q4/2017	2017
Orders received	1,005	796	743	727	3,272
Order backlog2	2,704	2,714	2,720	2,458	2,458
Net sales	645	732	715	967	3,058
Comparable earnings before interest, taxes and amortization (Comparable EBITA)	34	48	56	81	218
% of net sales	5.3%	6.5%	7.8%	8.4%	7.1%
Earnings before interest, taxes and amortization (EBITA)	37	47	49	69	202
% of net sales	5.7%	6.4%	6.9%	7.1%	6.6%
Operating profit (EBIT)	29	39	41	61	170
% of net sales	4.5%	5.3%	5.8%	6.3%	5.6%
Profit before taxes	26	36	38	57	158
Profit for the period	18	27	27	49	121
Earnings per share, EUR	0.12	0.18	0.18	0.33	0.81
Earnings per share, diluted, EUR	0.12	0.18	0.18	0.33	0.81
Equity per share, EUR	5.54	5.71	5.83	6.09	6.09
Cash flow provided by operating activities	94	31	78	89	291
Cash flow after investments	80	15	62	70	227
Return on equity (ROE) (annualized)					13%
Return on capital employed (ROCE) before taxes (annualized)					14%

¹ The calculation of key figures is presented in the attached Restated Financial Information on page 27.
² At the end of period.

EUR million	As at March 31, 2017	As at June 30, 2017	As at September 30, 2017	As at December 31, 2017
Order backlog, reported	2,613	2,551	2,523	2,292
IFRS 15 impact	91	163	197	165
Order backlog, restated	2,704	2,714	2,720	2,458

Net sales, EUR million	Q1/2017	Q2/2017	Q3/2017	Q4/2017
Services	252	302	284	340
Automation	59	73	60	104
Pulp and Energy	189	192	200	219
Paper	144	165	170	304
Total restated	645	732	715	967
IFRS 15 impact	27	72	34	-32
Total reported	671	803	748	936

Net sales, EUR million	Q1/2017	Q1-Q2/ 2017	Q1-Q3/ 2017	Q1-Q4/ 2017
Services	252	554	838	1,178
Automation	59	132	192	296
Pulp and Energy	189	381	581	800
Paper	144	310	480	784
Total restated	645	1,376	2,091	3,058
IFRS 15 impact	27	98	132	100
Total reported	671	1,475	2,223	3,159

The unaudited consolidated 2017 financials are attached to this stock exchange release.

Guidance for 2018

Valmet estimates that net sales in 2018 will remain at the same level as in 2017 (EUR 3,058 million) and Comparable EBITA in 2018 will increase in comparison with 2017 (EUR 218 million).

Further information, please contact:
Calle Loikkanen, Director, Investor Relations, Valmet, tel. [phone]

VALMET

Kari Saarinen
CFO

Calle Loikkanen
Director, Investor Relations

Valmet is the leading global developer and supplier of process technologies, automation and services for the pulp, paper and energy industries. We aim to become the global champion in serving our customers.

Valmet's strong technology offering includes pulp mills, tissue, board and paper production lines, as well as power plants for bioenergy production. Our advanced services and automation solutions improve the reliability and performance of our customers' processes and enhance the effective utilization of raw materials and energy.

Valmet's net sales in 2017 were approximately EUR 3.1 billion. Our more than 12,000 professionals around the world work close to our customers and are committed to moving our customers' performance forward - every day. Valmet's head office is in Espoo, Finland and its shares are listed on the Nasdaq Helsinki.

Read more www.valmet.com (http://www.valmet.com), www.twitter.com/valmetglobal (http://www.twitter.com/valmetglobal)

Follow Valmet IR on Twitter www.twitter.com/valmetir (http://www.twitter.com/valmetir)

Restated Financial Information 2017 (http://hugin.info/149898/R/2177923/840385.pdf)

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Source: Valmet via Globenewswire