Metsä Board Unveils 2026-2030 Strategy Targeting Growth and Profitability

Metsä Board Oyj has outlined its new strategy and long-term financial objectives for the period 2026–2030. The company aims to solidify its position as a partner for consumer brand packaging solutions, with a particular focus on expanding its consumer packaging operations.

The strategy is structured in two phases. The initial phase involves continuing the ongoing cost savings and profitability improvement program, targeting a EUR 200 million increase in EBITDA by the end of 2028. The second phase will shift focus to growth, driven by packaging solutions that emphasize material efficiency, recyclability, and commercial appeal.

The renewed "Lead the Pack" strategy centers on three business areas: Consumer Packaging, Retail Packaging, and Market Pulp. Consumer Packaging, which includes solutions for food, food service, and healthcare, is designated as a strategic growth area with projected annual revenue growth exceeding 4%. The Retail Packaging segment aims to enhance profitability by optimizing the utilization of existing production capacity.

In the Market Pulp business, the objective is to reduce exposure and achieve a more balanced cash flow. Metsä Board has invested approximately EUR 1 billion over recent years to boost operational competitiveness and environmental performance. These investments have increased production capacity by 250,000 tonnes and significantly reduced fossil carbon dioxide emissions, with no major new capital expenditures planned during the upcoming strategy period.

Metsä Board's financial targets include achieving a return on capital employed (ROCE) of at least 8% for 2027–2028, rising to at least 12% from 2029 onwards. The target for net debt to comparable EBITDA remains unchanged at a maximum of 2.5. The company plans to distribute a dividend of at least half of its earnings over time.