Holmen Reports Lower 2024 Profit, Proposes Increased Dividend
Holmen AB has released its full-year 2024 financial report, showing a decrease in operating profit compared to 2023. The company's board proposes a higher dividend per share.
Holmen AB reported a full-year operating profit of SEK 3,721 million for 2024, down from SEK 4,755 million in 2023. The company cited lower paper prices and the absence of a prior-year positive impact from surplus electricity sales as reasons for the decline. The operating margin for the year stood at 16 percent, compared to 21 percent in 2023.
Operating profit for the fourth quarter of 2024 was SEK 716 million, a decrease of SEK 362 million from the previous quarter. This reduction was attributed to maintenance shutdowns, seasonally higher costs, and slightly lower deliveries.
The group's profit after tax for 2024 was SEK 2,861 million, down from SEK 3,697 million in 2023, corresponding to earnings per share of SEK 18.0 (2023: 23.0). The book value of Holmen's forest assets increased by 3 percent to SEK 57,843 million.
Despite the profit decline, Holmen's board proposed an increase in the ordinary dividend to SEK 9 per share from SEK 8.5, along with an extra dividend of SEK 3 per share. The company also repurchased own shares worth SEK 647 million during 2024.