The sawmiller, which has seven mills, also reported an annual operating loss of SKr72m (2012: SKr135m loss) from sales of SKr1.28bn (2012:SKr1.48bn).

The Boxholm and Sandsjöfors mills will move to two shifts at the end of the first quarter of 2014, while the Tvärskog mill will also extend its operating hours.

Rörvik said its poor 2013 result was primarily due to low capacity utilisastion – just 45% during the first nine months – and continued high raw material prices in relation to selling prices.

However, during 2013 the group’s performance gradually improved and capacity utilisation reached 65% during the fourth quarter, while the operating loss was reduced to SKr10m (2012: SKr56m loss).

Total group annual production amounted to 445,000m3 (2012: 538,000m3).

"Increased prices and delivery volumes, combined with low stock levels, indicate that the sawmill industry has passed the bottom of the worst recession since the 70s," Rörvik said.

It said markets in the US, north Africa, the Middle East and China are expected to continue to improve, while a positive development is being seen in the UK and Germany.