Borregaard: all-time high result

Borregaard's operating revenues reached NOK 1,256 million (NOK 1,167 million)¹ in the 2nd quarter of 2017. EBITA adj.² increased to NOK 243 million (NOK 200 million), an all-time high quarterly result. Compared with the 2nd quarter of 2016, all business areas improved their EBITA adj. Final insurance settlement related to the seasoning silos had a positive impact on the result. Currency impact, including hedging effects, was slightly positive. Energy, raw material and chemicals costs increased compared with the corresponding quarter of 2016.  Depreciation increased mainly as a result of expansion investments.

Performance Chemicals achieved an all-time high quarterly EBITA adj. as positive reallocation effects and favourable mix within Specialities offset the effect of cost increases and a 3% reduction in sales volume. The improved result in Speciality Cellulose was due to increased sales prices, high sales volume and improved product mix. The increased EBITA adj. in Other Businesses was primarily due to a strong quarter for Fine Chemicals.

Profit before tax increased to NOK 241 million (NOK 207 million). Earnings per share were NOK 1.81 (NOK 1.54).

-  We are pleased with the Group’s strong performance and the favourable product mix development in both Performance Chemicals and Speciality Cellulose, says President and CEO Per A. Sørlie.

 

1. Figures in parentheses are for the corresponding period in the preceding year
2. Operating profit before amortisation and other income and expenses