Svenska Cellulosa Aktiebolaget Sca (publ) Stock Earnings Reports

SCA reported Q1 2026 EBITDA of SEK 1.1 billion (23% margin) on net sales of SEK 4.7 billion, with net profit SEK 380 million (SEK 0.54/share). Key balance-sheet metrics: net debt ~SEK 12 billion, net debt/equity ~12%, forest assets valued at SEK 104 billion. Segment highlights: Renewable Energy delivered a record quarter driven by high electricity prices, ramp-up of the new Fasikan wind farm and strong liquid biofuel margins (benefitting from RED III and tighter controls on imports). Forest: stable internal harvesting but higher sawlog prices in Q1 (storm-related increased availability expected to push prices down later). Wood Products: volume decline vs. prior year, price up modestly but margin hit by higher wood input costs and currency effects (Wood EBITDA margin fell to 4%). Pulp: sales and EBITDA down sharply on weak NBSK prices and negative currency effects; inventories high for softwood pulp while hardwood inventories are low. Containerboard: volumes up but EBITDA down (weaker prices, higher energy costs); implemented kraftliner price increases (EUR 60 brown / EUR 40 white from 1 April) to restore margins. Costs and outlook: currency and lower market prices were major headwinds in Q1; management expects modest declines in pulpwood and sawlog costs in Q2 (1–3%), with larger effects in H2; energy exposure remains relevant but SCA benefits from high degree of self-sufficiency (biofuels, wind). Capital spending is winding down (current-year CapEx ~SEK 1.5bn plus ~SEK 0.4–0.45bn strategic), focus on ramp-ups and cash generation; M&A not a priority near term. Key risks: energy and freight cost inflation (Middle East tensions), currency, and continued weak pulp/CTMP demand; positives include improving containerboard demand, potential further kraftliner price recovery, and strong renewables performance.