Period-End Comment from Setra for Q2 2024

The wood industry company Setra reports an operating profit of SEK 31 million (10) for the second quarter of 2024. Net sales amounted to SEK 1,370 million (1,368).

During the second quarter, higher sales prices and reduced fixed costs contributed to an improvement in results compared to the same period last year. However, the timber price level continues to rise, putting pressure on Setra’s margins.

– Despite expected increases in sales prices during the last quarter, the weak economic conditions have not improved in the short term. The current situation in the raw materials market, with low supply relative to demand, means that there is still a need for both higher sales prices and efficiency measures to reduce costs,” says Marcus Westdahl, Setra’s CEO.

During the quarter, the new small timber line in Skinnskatteberg was put into operation. Simultaneously, Setra’s investment in Malå is proceeding according to plan, with the construction of a sawmill for a new saw line. Both investments will strengthen Setra’s competitiveness.

On May 24, the annual general meeting of Setra Group was held, and incumbent chairman Anders Källström was re-elected. Per Olof Nyman replaced Lennart Sundén as a board member. Other board members were also re-elected.

Cash flow from operating activities in the second quarter amounted to SEK -72 million (75).

Source: Setra Group AB