Svenska Cellulosa Aktiebolaget SCA Announces Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2016 and Parent Earnings Results for the Year Ended December 31, 2016
January 26, 2017 at 12:51 pm IST
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Svenska Cellulosa Aktiebolaget SCA (publ) announced consolidated earnings results for the fourth quarter and year ended December 31, 2016 and parent earnings results for the year ended December 31, 2016. For the fourth quarter of 2016, on consolidated basis, the company reported net sales of SEK 30,897 million against SEK 29,040 million a year ago. Operating profit was SEK 2,989 million against SEK 4,151 million a year ago. Profit before tax was SEK 2,700 million against SEK 3,892 million a year ago. Net profit for the period earnings attributable to owners of the parent was SEK 1,398 million or SEK 1.99 per basic and diluted share against SEK 2,827 million or SEK 4.03 per basic and diluted share a year ago. Total adjusted operating profit was SEK 3,685 million against SEK 3,454 million a year ago. The Group's adjusted operating profit for the fourth quarter of 2016, excluding currency translation effects, acquisitions and divestments, rose 5% compared with the same period a year ago. The increase is mainly related to a better price/mix, higher volumes, cost savings and lower raw material costs. Operating cash flow increased by 6%. Adjusted profit before tax was SEK 3,396 million against SEK 3,195 million a year ago. Adjusted net profit for the period was SEK 2,203 million against SEK 2,149 million a year ago.
For the year, on consolidated basis, the company reported net sales of SEK 117,314 million against SEK 115,316 million a year ago. Operating profit was SEK 11,279 million against SEK 10,947 million a year ago. Profit before tax was SEK 10,360 million against SEK 9,992 million a year ago. Net profit for the period earnings attributable to owners of the parent was SEK 5,570 million or SEK 7.93 per basic and diluted share against SEK 7,002 million or SEK 9.97 per basic and diluted share a year ago. Cash flow from operating activities was SEK 15,556 million against SEK 13,989 million a year ago. Net debt at the end of the period was SEK 35,361 million against SEK 29,478 million a year ago. Investment in tangible and intangible assets was SEK 9,368 million against SEK 7,591 million a year ago. Total adjusted operating profit was SEK 13,989 million against SEK 13,014 million a year ago. Adjusted profit before tax rose 8% to SEK 13,070 million against SEK 12,059 million a year ago. Adjusted net profit for the period was SEK 8,295 million against SEK 8,753 million a year ago.
For the year the parent company reported operating loss was SEK 492 million against SEK 879 million a year ago. Profit before tax was SEK 42,902 million against SEK 10,097 million a year ago. Net profit for the period was SEK 42,545 million against SEK 9,732 million a year ago.
Svenska Cellulosa Aktiebolaget SCA specializes in the production and marketing of paper and wood. Net sales break down by activity as follows:
- production of pulp (26.2%): operates a pulp mill in Sweden;
- production of paper (24.9%): 2 production sites located in Sweden at the end of 2022;
- sale of wood products (24.6%): owns 5 sawmills located in Sweden;
- forestry (24.3%): 2.7 million hectares of forest assets operated in Sweden and the Baltic States. The group also develops a renewable energy production activity.
Net sales are distributed geographically as follows: Sweden (18.9%), Germany (10.6%), the United Kingdom (9.7%), Europe (35.3%), the United States (12.2%), Asia (7.9%) and other (5.4%).
Svenska Cellulosa Aktiebolaget SCA Announces Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2016 and Parent Earnings Results for the Year Ended December 31, 2016