Stora Enso Narrows Focus as Earnings Pressure Meets Strategic Reshaping

Stora Enso Oyj ( ($SE:STE.A) ) just unveiled an update.

Stora Enso reported 2025 sales of EUR 9.33 billion, slightly above 2024, but adjusted EBIT fell to EUR 528 million, reflecting lower pulp and board prices, adverse currency effects, and the ongoing ramp-up of its new consumer board line in Oulu, which weighed on fourth-quarter profitability. Despite weaker adjusted earnings and lower cash flow from operations year-on-year, the company’s IFRS operating result and earnings per share improved markedly, supported by fair value gains on biological assets, while leverage eased with net debt to adjusted EBITDA improving to 2.8x, and the board proposing an unchanged dividend of EUR 0.25 per share, payable in two instalments in 2026.
Stora Enso is sharpening its strategic focus by preparing to separate its Swedish forest assets into a new publicly listed company by the first half of 2027 and launching a strategic review, including potential divestment, of its Central European sawmills and building solutions operations to concentrate more tightly on renewable materials and packaging. The company continues to ramp up the Oulu consumer board line, expected to reach full capacity in 2027, and has signalled upcoming changes to financial targets and reporting from 2026, while its inclusion on CDP’s 2025 Climate Change A List underlines its positioning as a sustainability leader in the sector.

The most recent analyst rating on ($SE:STE.A) stock is a Hold with a SEK113.00 price target. To see the full list of analyst forecasts on Stora Enso Oyj stock, see the SE:STE.A Stock Forecast page.

More about Stora Enso Oyj

Stora Enso Oyj is a global provider of renewable materials, focusing on fiber-based packaging, biomaterials, wooden construction solutions and forest assets management. The company operates industrial sites and forest holdings primarily in the Nordic region and Central Europe, with a strategic emphasis on sustainable packaging and replacing fossil-based materials in global value chains.

Average Trading Volume: 2,909

Technical Sentiment Signal: Sell

Current Market Cap: SEK81.99B

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