FDBusiness.com

Metsä Board: Demand for folding boxboard weakens in Q3

 Breaking News
  • Irish Supermarkets Benefit From the Christmas Spirit The latest grocery market share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending 31 December 2017, reveal that shoppers spent an extra €90 million on groceries over the festive period. David Berry, director at Kantar Worldpanel, comments: “Over the Christmas period the average household spent a record €1,532 on groceries – an increase of [...]...
  • Britvic Continues to Put Health at the Heart of its New Sustainable Business Programme Britvic has launched ‘A Healthier Everyday’, its new sustainable business programme which builds on its commitment to: help consumers make healthier choices; support the well-being of communities; and minimise its impact on the planet. The creation of ‘A Healthier Everyday’ follows a review by the company into how it can ensure that its sustainability programme is [...]...
  • Bayn Europe Sets Up Chinese Subsidiary For Sugar Reduction Bayn Europe AB has signed a joint venture agreement with real estate development company HuaHe International Asset Management to introduce sugar reduction to the China market. Both partners agreed on a co-operation model and mutual commitments for the set up of joint venture. Bayn will hold 65% of equity and HuaHe will hold 35%. Further to [...]...
  • Ishida X-ray Flexibility Ensures Premium Product Quality Ishida X-ray inspection technology is helping to maintain the premium quality reputation of one of Russia’s most popular traditional snack brands. The ‘ROSTRAGROEXPORT’ company was founded by Mr Boris Aleksandrov in 1995, who spotted a niche in the Russian food market for a good quality traditional curd snack.  Its ‘B.Y. Aleksandrov’ brand, named after the company’s [...]...
  • ‘Latte Levy’ – Coffee Drinkers Want to Go Green, But Price is a Barrier As the UK Government aims to eliminate avoidable waste with the announcement of its 25-Year Environmental Plan, Mintel research reveals that Britain’s coffee shop drinkers are happy to do their bit for the environment, but not at any cost. 40% of out of home hot drinks consumers wouldn’t mind paying extra for drinks served in 100% [...]...

Metsä Board: Demand for folding boxboard weakens in Q3

Metsä Board: Demand for folding boxboard weakens in Q3
November 07
15:35 2012

Paperboard manufacturer Metsä Board has said that orders for its folding boxboard products have slowed down in recent weeks

The Finnish firm said that the global economic slowdown had made its food industry customers cautious.

The news comes as the firm announced its Q3 results. Sales for Q3 were €532m compared to €616m the year before.

Its results before taxes excluding non-recurring items was €10m compared to a loss of €11m in the same period last year.

Orders

Metsä Board said orders for folding boxboard had slowed recently but “the price situation is stable”.

According to Reuters, chief executive Mikko Helander said that orders from food packaging customers may remain slow during the coming months due to the current economic situation.

Helander told a conference call: “We have now some concerns in the food segment especially…in the last weeks (its) order inflows have been about 10% lower than normally.”

In a statement, Helander added: “Paperboard delivery volumes are estimated to be slightly lower in the fourth quarter than in the third quarter, due to seasonal factors.

“Market prices of pulp are expected to increase in the fourth quarter, but it is estimated that the average price of deliveries will be slightly lower than in the third quarter. The overall situation in the global economy is currently uncertain, which makes business forecasting more difficult than in normal conditions.”

Metsä Board, formerly known as M-real, eliminated most of its paper production in the past few years and now focuses on more profitable consumer packaging.

Expansion

Helander said: “Our profitability improved further in the third quarter. Favourable development in the paperboard business continued, and delivery volumes increased as expected. Despite the extensive maintenance shutdown at the Husum mill, the operating result of the paper and pulp business remained at the second quarter level.

“We completed the paperboard business area’s investment programme as planned with the inauguration of the biopower plant at the Kyro mill. Our production machinery is now top class in the world, and our folding boxboard capacity, which was expanded by 150,000 annual tonnes, will be fully available from the beginning of 2013. New capacity is necessary in order for us to ensure the availability of board for our customers in all situations.”

Metsä Board Q3 results

Q3 2012                                Q3 2011

Sales             €532m          €616m

Results before taxes excl. non-recurring items       €10m      (€11)m

About Author

colin

colin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • January 16, 2018Sival Plant Production Trade Show
  • January 17, 2018Anfas Food Product
  • January 17, 2018Dutch Organic Trade Fair
  • January 19, 2018International Green Week
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements