Monday, February 17, 2025
Södra delivered a solid performance in 2024 despite having challenging economic climate, reporting an operating profit of SEK 2,630 million. The Board has proposed a profit distribution of SEK 1,753 million to its members. Throughout the year, Södra remained committed to its strategic initiatives, prioritising both short- and long-term competitiveness to maximise value for forest estates.
In 2024, Södra Group recorded net sales of SEK 29,487 million (28,896), with an operating profit of SEK 2,630 million (2,226). By year-end, return on capital employed stood at 10 percent (9), while the equity ratio was 62 percent (64). Throughout the year, a strong focus on continuous improvement drove efficiencies and progress, delivering an annual recurring impact of SEK 613 million.
“Södra delivered a strong result for 2024, especially in light of the raw material market we are operating in. We have been positively impacted by high pulp prices and continued good cost control in particular, but challenged by high raw material prices and the prevailing global uncertainty, which also affected market demand and logistics,” said Södra’s President and CEO Lotta Lyrå.
Södra’s Board proposes that approximately two-thirds of profit for the year be distributed to members, amounting to a profit distribution of SEK 1,753 million. The total corresponds to an average distribution of SEK 33,642 per member and 64 percent of profit before tax. The Annual General Meeting in Växjö on 3 June 2025 will resolve on the profit distribution.
Initiatives for strengthened competitiveness
Södra’s mission is to refine and renew family forestry by ensuring that the mills process the raw material in the most profitable way possible. In 2024, the raw material situation in Sweden was marked by a clear shortage of raw material, which affected both forest estates and Södra’s industrial operations. Raw material from the forest has become exclusive. While this benefits forest estates, it also brought challenges for the mills which handle sawn timber, pulp, energy and chemicals.
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