Svenska Cellulosa slips after Q2 EBITDA miss

Smurfit WestRock

26/07/2024 08:29

** Shares in Svenska Cellulosa (SCA)  SCAb.ST  fall 5.5%
after the Swedish forestry firm posted lower-than-expected Q2
profits
    ** It books its quarterly EBITDA at 1.89 billion Swedish
crowns ($175 million) against 1.95 billion crowns seen in an
LSEG poll of analysts
    ** Jefferies analysts see 5-10% downside risk to consensus
on 2024 EBITDA and cuts of around 10% to EBITDA estimates for
2025 
    ** Jefferies notes a miss in SCA's renewable energy
business, which was hit by lower energy prices, weak biofuels
market
    **  However, J.P. Morgan analysts say results in the
container board business was "the most disappointing" as the
unit's EBIT in the quarter came 68% below the broker's estimates
    ** "We see this as a slight negative read for Corrugated
producers (Mondi  MNDI.L , Smurfit WestRock  SWR.L ) given the
light volume print", J.P. Morgan says
    ** SCA shares wipe away year-to-date gains and are among
bottom stocks on STOXX 600  .STOXX 

($1 = 10.8113 Swedish crowns)

 (Reporting by Boleslaw Lasocki)
 ((boleslaw.lasocki@thomsonreuters.com; +48 58 769 66 00;))