Holmen Delivers Resilient Results in 2025 Amid Weak Markets; Dividend Raised and Renewable Capacity Expanded

Stockholm, 30 January 2026 – Holmen AB reported a solid financial performance for the full year 2025 despite weak construction markets, subdued demand for wood products and persistently low electricity prices in northern Sweden.

Operating profit for the year amounted to SEK 3,270 million (2024: SEK 3,721 million), corresponding to an operating margin of 15%. Profit after tax reached SEK 2,879 million, with earnings per share of SEK 18.5. The Board of Directors proposes an increased ordinary dividend of SEK 9.5 per share (SEK 9.0).

Net sales totalled SEK 22.1 billion, slightly below the previous year, while cash flow before investments amounted to SEK 3.9 billion. Net financial debt increased to SEK 5.0 billion, corresponding to a low debt/equity ratio of 9%, underlining Holmen’s strong financial position.

Holmen continued to invest in long-term value creation, with total investments of approximately SEK 2.1 billion, including the completion of the Blisterliden Wind Farm, strengthening the Group’s renewable energy platform. Once fully operational, Holmen will deliver approximately 2.2 TWh of renewable hydro and wind power annually.

The Forest business delivered stable earnings supported by high wood prices, although results were negatively affected by an inventory impairment loss. Board and Paper reported strong profitability despite weak markets, supported by low energy costs. Wood Products recorded a loss for the year due to high log costs and a rebuild shutdown at Iggesund Sawmill.

During 2025, Holmen returned significant capital to shareholders through dividends of SEK 1.9 billion and share buybacks of SEK 1.65 billion, corresponding to 2.65% of outstanding shares.

Holmen remains well positioned going forward, supported by extensive forest holdings, competitive industrial assets, and continued focus on efficiency, sustainability and long-term growth.

🔍 Key Extracted Updates & Disclosures

1. Financial Performance (FY 2025)

• Net sales: SEK 22,056m (2024: SEK 22,759m)

• Operating profit: SEK 3,270m (↓ YoY)

• Profit after tax: SEK 2,879m

• Operating margin: 15%

• EPS: SEK 18.5

2. Dividend & Shareholder Returns

• Proposed dividend: SEK 9.5 per share (increase from SEK 9.0)

• Dividend payment date: Record date proposed 1 April 2026

• Share buybacks 2025:

  • SEK 1.65 billion

  • 2.65% of total shares outstanding

• Proposal to renew authorization to repurchase up to 10% of shares at 2026 AGM

3. Capital Expenditure & Investments

• Total investments 2025: ~SEK 2.1 billion

• Major investment:

  • Blisterliden Wind Farm – completed and commissioned slightly ahead of schedule

  • Investment linked to project: ~SEK 916 million

• Ongoing investments in:

  • Forestry and reforestation

  • Processing efficiency and capacity improvements

4. Projects & Capacity Updates

• Renewable Energy

  • Annual renewable power delivery capacity increased to ~2.2 TWh

  • Earnings negatively impacted in 2025 due to low electricity prices in northern Sweden

• Wood Products

  • Rebuild shutdown at Iggesund Sawmill impacted production and profitability

• Board and Paper

  • Planned maintenance shutdown at Iggesund Mill in Q3 2026

  • Expected negative earnings impact: ~SEK 150 million

5. Impairments, Shutdowns & One-Offs

• Inventory impairment loss:

  • SEK 160 million related to felling rights inventory (Wood Products / Forest)

• Maintenance shutdown impact (2025):

  • Board & Paper Q3 earnings reduced by SEK 150 million

6. Business Segment Highlights

• Forest

  • Operating profit: SEK 1,948m

  • Book value of forest assets: SEK 56.7bn (↓ 2%)

• Renewable Energy

  • Operating profit: SEK 18m (2024: SEK 265m)

• Wood Products

  • Operating loss: SEK -182m

• Board and Paper

  • Operating profit: SEK 1,697m

  • Return on capital employed: 22%

7. Balance Sheet & Liquidity

• Net financial debt: SEK 4.98bn

• Debt/equity ratio: 9%

• Available credit facilities: SEK 5.1bn, fully undrawn

• Credit rating: BBB+ (Stable outlook, S&P)

8. Outlook & Strategy

• Markets remain uncertain due to:

  • Weak construction demand

  • Global geopolitical risks

  • Volatile energy prices

• Holmen highlights:

  • Strong resilience from forest ownership

  • Focus on efficiency improvements

  • Long-term value creation through renewable energy and sustainable materials