“As expected, the wood products market has weakened worldwide in Q3. Delivery volumes and prices have been squeezed while costs of raw material and inputs have increased. But although uncertainty remains regarding economic developments, we are seeing growing activity in our deliveries in the latter part of Q3,” says Setra CEO Katarina Levin.
Wood is continuing to rapidly take market share from other construction materials in Europe and also in North America and Asia. The advantages wood offers over other materials in terms of sustainability is making it very attractive.
Setra has been commissioned to supply locally produced CLT and glulam for the first phase of Greenhouse Sthlm, a climate-smart development by Electrolux on Kungsholmen in Stockholm, The contract is for around 5,000 cubic metres of CLT and 600 cubic metres of glulam, which will be manufactured at the Setra Timber Industry Centre in Långshyttan, Dalarna. Deliveries are set to begin in 2023. Electrolux is expanding its headquarters in central Stockholm over the next few years. Under the name Greenhouse Sthlm, the entire block will be transformed into a greener and more sustainable neighbourhood, which will include 100 new apartments and rooftop growing beds.
Setra has decided to invest in solar panels at Setra Kastet in Gävle and at Setra Wood Products in the UK. This is a strategic investment that will boost electricity production and reduce electricity costs for a long time to come. It is an investment completely in line with Setra’s Grönsamhet vision.
Cash flow from operating activities in the third quarter amounted to SEK 305 million (571). Net cash totalled SEK 1,700 million (1 288) at the end of the period. In May Setra paid out SEK 629 million in dividends to shareholders.
|Key figures*||Jul–Sept (3 months)||Jan–Sep (9 months)||Full year|
|Net sales, SEKm||1,343||1,565||4,969||4,278||5,841|
|Operating profit/loss, SEKm||231||600||1,275||1,219||1,588|
|Profit/loss after tax, SEKm||182||473||1,006||958||1,258|
|Operating margin, %||17.2||38.3||25.7||28.5||27.2|
|Return on operating capital, %, RTM||80||70||84|
|Cash flow from operating activities, SEKm||305||571||922||1,009||1,488|
* Setra does not publish a complete period-end report.