Holmen wood products division more than doubles annual sales31 January 2022
Net sales for Swedish sawmiller Holmen’s wood products division more than doubled for the full year 2021 to SEK4.8bn (2020: SEK2.22bn).
Operating profits for the vision also grew extensively to SEK1.66bn (2020: SEK185m).
Annual production and deliveries for the group’s sawmills expanded to 1.46 million m3 (2020: 1.02 million m3) and 1.37 million m3 (2020: 1.05 million m3) respectively.
The increase in profit was attributable to substantially higher selling prices, at the same time that volumes increased through the acquisition of Martinsons and the expansion of Braviken sawmill.
Holmen said that although wood products markets peaked last autumn and prices decreased in Q4, inventory levels in the US were low and prices turned upwards towards the turn of the year.
“Although our profit from wood products decreased in the fourth quarter due to lower prices, it remained high at SEK350m,” Holmen said.
“During the quarter we decided to invest SEK400m to increase both capacity and the level of value added at Iggesund Sawmill. The investment is yet another step in developing the wood products business and contributing to the green transition.”