Koskisen Corporation stock exchange release, May 9, 2025, at 08:30 a.m. EEST
This release is a summary of Koskisen Corporation's January-March 2025 Interim report. The complete Interim Report is attached, and also available on the company's website at koskisen.com/investors.
January-March 2025 in brief
- Revenue increased and amounted to EUR 86.3 (63.7) million.
- EBITDA increased and amounted to EUR 9.4 (5.5) million.
- The EBITDA margin was 10.9 per cent (8.7).
- Adjusted EBITDA amounted to EUR 9.5 (5.5) million.
- The adjusted EBITDA margin was 11.0 per cent (8.7).
- Operating profit amounted to EUR 6.2 (3.1) million and was 7.2 per cent (4.9) of revenue.
- The profit for the financial period amounted to EUR 4.2 (2.3) million.
- Basic earnings per share were EUR 0.18 (0.10).
The figures in brackets refer to the comparison period, i.e. the corresponding period in the previous year, unless specified otherwise.
Profit guidance for 2025 unchanged (published on 17 February 2025)
Koskisen Group's revenue for 2025 is expected to grow from the level of 2024. The adjusted EBITDA margin is expected to be 7-11 per cent.
Key figures
| EUR million | 1-3 2025 | 1-3 2024 | Change, % | 1-12 2024 |
| Revenue | 86.3 | 63.7 | 35.4 | 282.3 |
| EBITDA | 9.4 | 5.5 | 69.8 | 24.2 |
| EBITDA margin, % | 10.9 | 8.7 | 8.6 | |
| Adjusted EBITDA | 9.5 | 5.5 | 71.6 | 24.3 |
| Adjusted EBITDA margin, % | 11.0 | 8.7 | 8.6 | |
| Operating profit (EBIT) | 6.2 | 3.1 | 99.2 | 13.0 |
| Operating profit (EBIT) margin, % | 7.2 | 4.9 | 4.6 | |
| Profit for the period | 4.2 | 2.3 | 85.4 | 8.3 |
| Basic earnings per share, EUR | 0.18 | 0.10 | 0.36 | |
| Diluted earnings per share, EUR | 0.18 | 0.10 | 0.36 | |
| Gross investments | 3.6 | 4.5 | 22.2 | |
| Equity per share, EUR | 6.7 | 6.5 | 6.5 | |
| Return on capital employed (ROCE), % | 7.5 | 8.1 | 6.1 | |
| Working capital, end of period | 58.7 | 49.7 | 45.9 | |
| Net cash flow from operating activities | -1.2 | -5.5 | 14.0 | |
| Equity ratio, % | 54.9 | 55.6 | 54.0 | |
| Gearing, % | 18.3 | 5.3 | 15.4 |
CEO Jukka Pahta:
Koskisen Group's first-quarter profitability improved year-on-year, with adjusted EBITDA amounting to EUR 9.5 (5.5) million. The adjusted EBITDA margin was 11.0 per cent (8.7). The year started very strongly, as our revenue grew and profitability improved clearly year-on-year. This is already the fourth consecutive quarter with revenue growth compared to the corresponding period.
Market uncertainty continued and even increased due to the unpredictable US trade policy. Koskisen has little trade with the USA, so the direct impacts were minor. Indirect impacts, on the other hand, are very difficult to assess as the situation is constantly changing. In Europe, on the other hand, there was a positive vibe: Germany announced significant investments in infrastructure, energy production and defence. Their spill-over effects might extend widely geographically and across different industries.
The profitability of the Sawn Timber Industry segment improved substantially during the first quarter year-on-year, with EBITDA amounting to EUR 5.4 (0.7) million. Sawmill production reached an all-time quarterly record, which is also clearly reflected in production and cost efficiency. In addition to strong production, deliveries increased significantly year-on-year, while sawn timber prices increased slightly.
The new log yard was commissioned in February, which further supports the improvement in raw material efficiency in sawmill production. The full-scale deployment of the new log yard will take place during the second quarter of the year, when the cost benefits and emission reductions in logistics will become fully visible. Supporting the growth of the Sawn Timber industry segment continues: an approximately four-kilometre-long district heating connection pipe will be built between the plant areas in Järvelä. This will cover the increased energy consumption of the Sawn Timber Industry segment, improve energy efficiency and make it possible to increase sawmill production from the current level of 400,000 m3.
Wood procurement was carried out according to plan. Wood reserves remained at a good level, and wood stocks increased towards the end of the quarter. This guarantees us security of supply until the summer holiday season and, at the same time, flexibility in purchasing raw materials for subsequent months as the price level is very high. The current raw material price is not sustainable from the point of view of the profitability of the industry. The demand for energy fractions in the review period was lower than normal due to the short and warm winter, but their prices remained stable.
Profitability of the Panel Industry segment decreased year-on-year, with EBITDA amounting to EUR 4.5 (5.3) million. Profitability was burdened by the increase in wood raw material and general production costs. Early in the year, production of plywood and chipboard was slightly restricted. Thereafter, there has been a slight increase in the demand for plywood in all main applications. The demand for chipboard remains weak as the recovery in construction is delayed. On the positive side, however, the prices of panel products have remained stable.
The ramp-up of the new production plant for the Kore business in Skwierzyna, Poland, was completed as planned; we will continue to establish production and the operating model and thereby optimise the cost level and profitability. The ongoing investment programme in domestic plywood and chipboard production has progressed as planned, with equipment installations scheduled for the second half of the year. The total value of the investments for 2025 is approximately EUR 12 million.
In March, we announced the acquisition of Iisveden Metsä Oy's business. The acquisition is a key part of our sustainable growth strategy. The Annual General Meeting of Iisveden Metsä approved the transaction in March and the competition authorities in Finland and Estonia in April. Integration planning is well underway. We expect the acquisition to be completed as planned during the second quarter. Once completed, the acquisition of Iisveden Metsä will support the growth targets of both businesses: it will directly increase the revenue of the Sawn Timber Industry segment by approximately one-third and ensure the availability of raw materials and enable organic growth in the Panel Industry segment.
Webcast
A webcast (in Finnish) in relation to January-March 2025 Interim report will be held today on 9 May 2025 at 10:00 a.m. EEST. The webcast can be followed at koskisen.com/videos. The presentation material and a recording of the webcast will be available on the company's website afterwards.
For further information, please contact:
Jukka Pahta, CEO, Koskisen Corporation
jukka.pahta@koskisen.com
puh. +358 20 553 4561
Media enquires:
Sanna Väisänen, Director, Sustainability and Communications, Koskisen Corporation
sanna.vaisanen@koskisen.com
puh. +358 20 553 4563
Koskisen is an international wood processing specialist with more than a century of experience and known for its agility and ability to listen to the customer. We utilise our valuable wood raw material as thoroughly as possible, up to the last particle of sawdust. We manufacture high-quality and sustainable circular bioeconomy products that store carbon for decades. The Group's revenue in 2024 was EUR 282 million. Read more: koskisen.com
