Thursday, April 30, 2020
Amidst crisis and new normal environment, Wood products company Setra has reported a positive operating profit of SEK 12 million for the first quarter. “Setra is continuing to uphold the strong collaborative spirit that exists within and between its units, while maintaining a high level of flexibility. This is helping us effectively manage the difficulties and challenges we face,” says Katarina Levin, Setra’s CEO.
Wood products company Setra has reported an operating profit of SEK 12 million (83) for the first quarter of 2020. Net sales totalled SEK 1,094 million (1,128). The COVID-19 (coronavirus) pandemic began in early 2020. Setra’s crisis management team is monitoring the progress of the virus and its potential impact on Setra’s operations on a daily basis.
The COVID-19 (coronavirus) pandemic began in early 2020. Setra’s crisis management team is monitoring the progress of the virus and its potential impact on Setra’s operations on a daily basis. Setra has reported a positive operating profit of SEK 12 million for the first quarter, which is attributable to high delivery levels coupled with rising selling prices. Earnings for the first quarter have slightly exceeded expectations and have not been noticeably affected by the virus outbreak. There is considerable uncertainty in the market, and in response to declining demand, primarily in Central Europe and the UK, Setra plans to cut back on production by approximately 20 percent over the next few months via the implementation of furloughs.
“Setra is continuing to uphold the strong collaborative spirit that exists within and between its units, while maintaining a high level of flexibility. This is helping us effectively manage the difficulties and challenges we face,” says Katarina Levin, Setra’s CEO.
The end of March saw construction start on Pyrocell’s plant, which is being built next to Setra’s Kastet sawmill. The plant will convert sawdust from the sawmill into pyrolysis oil. It will produce about 25,000 tonnes of pyrolysis oil, equivalent to the annual fuel consumption of 15,000 cars, and is expected to be operational in the fourth quarter of 2021. Setra’s strategic investments in a cross-laminated timber mill in Långshyttan and a trim saw and planing machine in Hasselfors progressed as planned during the quarter.
Tags: Covid-19, europe, first quarter report, novel coronavirus, Setra, wood, wood industry, wood products
Comments: