Holmen Reports Second Quarter Operating Profit of 689 MSEK

Forest products group Holmen reported an operating profit of 689 million SEK for the second quarter of 2026. The result reflects persistent weakness in the construction sector, which has continued to pressure demand for wood products and impact overall earnings.

Operations in the forestry segment have faced complications from storm damage in Swedish forests, leading to higher harvesting costs and the need to relocate resources. As a result, Holmen expects reduced harvesting volumes from its own forest holdings throughout 2026 and 2027. Despite these operational hurdles, the company indicated that the direct impact on the 2026 bottom line will be contained.

The energy division remains a key component of the company's portfolio, with performance influenced by shifting electricity prices across European markets. Holmen maintained its capital allocation strategy, returning 2.5 billion SEK to shareholders during the first half of 2026 through dividends and share buybacks. The debt-to-equity ratio rose to 12.1 percent by the end of June.

Looking ahead, the company continues to focus on balancing production levels to align with subdued demand. Management remains committed to optimizing assets while navigating the current volatility in commodity and energy markets.