Higher sales prices helped Holmen Timber to maintain a profit in 2010, but the business witnessed a decline during the final quarter due to increased supplies of timber on the market.
The division recorded a SKr20m operating profit for the whole year (2009: SKr21m), from sales of SKr586m (2009: €553m). The profit margin was 4%, but slipped to -4% during the fourth quarter.
The division’s results were affected by SKr28m costs for the new Braviken whitewood sawmill.
It produced 285,000m³ during the year – 9% lower than in 2009 – and 72,000m³ in the fourth quarter.
“After a weak start to the year, partly due to the harsh winter, deliveries have risen and were on a normal level in the fourth quarter,” it said.
The wider Holmen Group reported profits after tax of SKr704m, compared to SKr1bn for 2009. The company posted net sales of SKr17.5bn (2009: SKr18.07bn).
