Sweden's SCA Q2 sales hit by lower prices but beat estimates

Svenska Cellulosa Aktiebolaget SCA

22/07/2026 07:13

    

    Overview
  
Sweden forest products firm's Q2 sales fell 4% yr/yr but beat analyst expectations
Q2 EBITDA margin dropped to 25.3% from 37.8% a year earlier
Lower selling prices, higher costs and negative FX weighed on quarterly earnings

    

    Outlook
  
Company expects kraftliner price increases to gradually impact results in H2 2026
SCA says demand for packaging paper remains supported by strong e-commerce and consumables
Company notes stable supply of wood raw material and balanced sawlog and pulpwood markets

    

    Result Drivers
  
LOWER SELLING PRICES - Co said lower selling prices were the main reason for declines in sales and earnings vs a year earlier
HIGHER RAW MATERIAL AND FUEL COSTS - Co said higher raw material and fuel costs negatively affected earnings, though self-sufficiency helped mitigate the impact
NEGATIVE FX EFFECTS - Co said negative exchange rate effects weighed on sales and earnings

    
Company press release: ID:nWkr47Ky6j

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
Q2 Sales
Beat
SEK 5.15 bln
SEK 5.06 bln (9 Analysts)
Q2 EBITDA
 
SEK 1.30 bln
 
Q2 EBITDA Margin
 
25.30%
 

    

    Analyst Coverage
  
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 11 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the forest & wood products peer group is "hold."
Wall Street's median 12-month price target for Svenska Cellulosa Aktiebolaget SCA is SEK110.50, about 9.2% above its July 21 closing price of SEK101.15
The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 24 three months ago

    

    Reuters Recommended Reads
  
July 20 - Germany's STEICO H1 EBIT falls 31% as costs rise, confirms FY outlook
July 22 - Sweden's Sinch Q2 sales, adjusted EBITDA beat on growth in Americas
July 22 - Sweden's Medicover Q2 revenue rises on Polish sports/wellness growth

    
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)