Setra reports increased earnings and invests in the future26 October 2017
Swedish wood products manufacturer Setra has reported an operating profit of SEK107m for January to September, up from SEK86m a year ago.
Net sales totalled SEK3.02bn, while operating profit for Q3 was SEK17m (Q3 2016: SEK10m), with Q3 net sales of SEK945m.
“Due to good market conditions, we have been able to increase both selling prices and sales and production volumes for comparable units,” said Hannele Arvonen, president and CEO of Setra.
“Going forward we see continued good demand from our customers and a positive development for the wood products market, both in Sweden and internationally,” she added.
Import restrictions imposed by Algeria in the spring have since been partially lifted, so deliveries will be able to begin again to some extent from October.
Setra’s Board has decided to invest SEK300m in a new trim saw with integrated planing machine at Hasselfors sawmill.
With the new facility in place, the mill in Hasselfors is expected to produce 320,000m3 of wood products. Planed products will make up around two thirds of overall production.
The new investment, which is expected to deliver major efficiency gains, forms part of Setra’s clear strategy to increase the proportion of finished products in response to the growing demand in the global construction market.
Setra has also set in motion the sale of its operation in Rolfs, Kalix.