Norwegian timber and glulam producer Moelven Industrier ASA has reported a “good year” with turnover notching above NKr7bn.
The turnover increased by NKr937m in 2010, while operating profits were up to NKr242m – a growth of NKr151m compared to 2009.
Moelven, which has 14 sawmills across Norway and Sweden, said all its three divisions – wood products, building systems and sawn timber – improved their results.
“2010 was the first year after the 2008/09 financial crisis with market conditions approaching the normal, and this, combined with cost-cutting measures implemented as a reaction to the crisis, is the main cause for renewed progress,” said Moelven president and CEO Hans Rindal.
“In market terms, we have neither had the breaks nor hit any bad luck this year, we have simply coped to a large extent.
“The most important thing I have learned is that we know so little of what is going to happen beyond the next six months. This means that we have to be prepared for rapid changes, and can adapt to things we can control.”
Moelven expects continued growth for the building systems division, but said results at the start of 2011 would be unsatisfactory due to weak margins in the timber and wood divisions. But lower raw material costs coming into effect at the end of the first quarter are expected to contribute to better margins.
Overall, Moelven believes 2011 groups results will be a little lower than 2010.
