Swedish forestry group, Södra has returned a profit of SKr230m, down from SKr443m last year. Net sales were SKr5.87bn, compared with SKr5.52bn.
The company said that the profits fall was mainly due to lower pulp values, with the weaker dollar limiting the ability of the company to increase prices in Swedish krona terms.
However, Sodra says that demand for sawn timber products was relatively high. Södra Timber’s six sawmills produced 475,000m3, up from 433,000m3 in the period. The company’s ongoing “action programme” improved the mills’ operating income deficit from SKr44m last year to SKr4m. Its new Mönsterås sawmill, which was reported to be “developing according to plan”, accounted for the main volume increase.