sca interim report q1 2011
TRANSCRIPT
SCA Interim Report1 January – 31 March 2011
Interim Report Q1 2011
Summary Q1 2011Summary – Q1 2011 Sales increased 6%*
H i b i Hygiene business Stable demand in mature markets Good growth in emerging markets, 8%**
Packaging and Forest Products Packaging and Forest Products Corrugated volumes flat, prices increased 15% Publication paper volumes decreased 5% Solid-wood product volumes increased 13%
EBIT increased 10%*** Higher prices and volumes Cost savings Cost savings Significantly higher raw material costs, SEK 1.3bn Negative currency impact, SEK 300m
Profit before tax increased 10%*** Cash flow from current operations: SEK 353m
Interim Report Q1 20112
* Adjusted for exchange rate movements and divestments** Adjusted for exchange rate movements*** Excluding restructuring costs and adjusted for exchange rate movements
Significantly increased raw material prices
190EUR/t10251050 USD/Metric tonneUSD/metric ton
NBSK pulpEUR/ton
Recovered paper - Europe
Significantly increased raw material prices
130
150
170
190
750775800825850875900925950975
10001025
50
70
90
110
450475500525550575600625650675700725750
1,75EUR/Kg
30-00 -01 -02 -03 -04 -05 -06 -07 -08 -09 -10 -11
OCC ONP/OMG
400425450
-98 -99 -00 -01 -02 -03 -04 -05 -06 -07 -08 -09 -10 -11
NBSK PIX Value
Recovered paper - US Oil based material
1,00
1,25
1,50
300
350
400
450USD/short ton EUR / kg
0,25
0,50
0,75
100
150
200
250
0,00jan-03 jan-04 jan-05 jan-06 jan-07 jan-08 jan-09 jan-10 jan-11
Polyethylene (PE) Bags, backsheet, pack.film Propylene (Contract fd) SuperabsorbentOil (eur/kg) Polypropylene (PP homo) NW, Fibres
3
0
50
-93 -94 -95 -96 -97 -98 -99 -00 -01 -02 -03 -04 -05 -06 -07 -08 -09 -10 -11
High grade deinking
Interim Report Q1 2011
Q1 2011 resultsQ1 2011 resultsSEK millions Q1 Q1 Change, Change,SEK millions Q1 Q1 Change, Change,
unless otherwise stated 2011 2010 % %**
Net sales 25,393 26,199 *** -3 6 ****
EBIT* 2,112 2,027 4 10
EBIT margin* (%) 8.3 7.7
Profit before ta * 1 810 1 748 4 10Profit before tax* 1,810 1,748 4 10
Earnings per share (SEK) 1.89 1.53 24
Cash flow from current operations 353 1,148
Debt/Equity ratio 0.49 0.57
* Adjusted for Packaging restructuring costs in 2010
4 Interim Report Q1 2011
Adjusted for Packaging restructuring costs in 2010** Adjusted for exchange rate movements*** Net sales from SCA recycling business have been reclassified to other income with retroactive adjustment from 2010**** Adjusted for exchange rate movements and divestments
Q1 2011 vs. Q4 2010SSummaryGroup
Sales decreased 3%* Sales decreased 3%• Seasonally lower volumes• Higher prices
EBIT decreased 16%*• Seasonally lower volumes• Increased raw material and energy costs, SEK 300m• Negative currency impact
Profit before tax decreased 17%* Profit before tax decreased 17%
Business areas Personal Care, EBIT decreased 19%*
• Seasonally lower volumes
Tissue, EBIT decreased 18%*• Seasonally lower volumes
Packaging, EBIT decreased 9%* • Significantly higher raw material cost• Higher prices and volumes
Forest Prod cts EBIT decreased 16%
55
Forest Products, EBIT decreased 16%• Higher raw material costs
* Adjusted for exchange rate movements
Interim Report Q1 2011
Personal CareQ1 2011 Q1 2010Q1 2011 vs. Q1 2010
Sales decreased 5% (+3%*)
-5%
6,1095,820
Sales decreased 5% (+3% ) Incontinence care increased 3%* Baby diapers increased 5%*
SALES SEKm Q111 Q110
Feminine care increased 1%* Emerging markets increased 8%*
• Incontinence care 4%*SALES SEKm Q111 Q110
737
• Baby diapers 14%*• Feminine care 2%*
-21%
583 EBIT decreased by 21% (-15%*) Significantly higher raw material cost Increased market activities
EBIT margin 12.1%10.0%
EBIT SEKm
Increased market activities Higher volumes Negative currency impact
Q111 Q110
6 Interim Report Q1 2011
* Adjusted for exchange rate movements
TissueQ1 2011 Q1 2010Q1 2011 vs. Q1 2010
Sales decreased by 5% (+4%*)
-5%
9,7289,278
Sales decreased by 5% (+4% ) Consumer tissue increased 2%* AFH tissue increased 7%* Emerging markets increased 8%*
SALES SEKm
Emerging markets increased 8%*• Consumer tissue increased 8%*• AFH tissue increased 9%*
Q111 Q110
710627
SALES SEKm
EBIT decreased by 12% (-5%*) Significantly higher raw material costs
Hi h i
Q111 Q110
-12% Higher prices Negative currency impact
EBIT margin
EBIT SEKm
7.3%6.8%
Q111 Q110
7 Interim Report Q1 2011
* Adjusted for exchange rate movements
PackagingQ1 2011 Q1 2010Q1 2011 vs. Q1 2010
0%*
6,7306,697 Sales flat (+15%*) Higher prices and volumes
SALES SEKm
EBIT increased to SEK 480m (SEK 192m**) Higher prices and volumes
S i f t t iQ111 Q110
480
SALES SEKm Savings from restructuring program Significantly higher raw material costs Negative currency impact
Q111 Q110
150%**192**
EBIT margin 2.9%**7.2%
EBIT SEKm Q111 Q110
8 Interim Report Q1 2011
* Adjusted for exchange rate movements, divestments and closures** Excluding restructuring costs
Forest ProductsQ1 2011 Q1 2010Q1 2011 vs. Q1 2010
4 1104 110 Sales flat (+2%*)0%
4,1104,110 Sales flat (+2% )Publication papers, lower sales
• Higher prices• Lower volumes
SALES SEKm
• Lower volumes• Negative currency impact
Solid-wood products and Pulp, higher sales• Higher pricesQ111 Q110
487495
SALES SEKm Higher prices
EBIT increased 2% Higher prices
Q111 Q110
2%
487495 Higher prices Higher raw material costs Negative currency effect
EBIT margin 11.8%12.0%
EBIT SEKm Q111 Q110
9 Interim Report Q1 2011
* Adjusted for exchange rate movements
Outlook 2011Outlook 2011
G d d d f ll b iGood demand for all businessesGood growth in Emerging markets for Hygiene businessesContinued high raw material costs Increasing corrugated pricesPrice increases for Personal Care, Tissue and publication
papers during H2
Interim Report Q1 201110
Q & A
11 Interim Report Q1 2011
12 Interim Report Q1 2011