SCA interim report Q1 2011

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


* 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


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


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



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



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


* 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



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


Q & A


SCA interim report Q1 2011

Investor Relations

Transcript of SCA interim report Q1 2011