Metsä Board Annual review 2023

METSÄ BOARD Annual review 2023

Ten years in figures

Price development and number of shares

2023

2022

2021

2019

2018

Adjusted share prices, EUR

Business operations and value creation 2 This is Metsä Board 4 CEO’s review 6

2023 2022

2021

2020 2019 2018

2017

2016 2015

2014

A share

high

13.05

10.50

11.00 8.50 9.38 9.48 11.01 7.50 8.61 9.14

8.80 4.80 8.64 6.88 8.79 4.47 8.62 6.12

7.98 5.46 6.14 6.56 6.65 3.86 6.00 5.26

Income statement, eur million Sales

low

7.48 7.80

7.66

1,942

2,479 2,084 1,890 1,932

1,944 1,849

1,720 2,008 2,008

closing average

10.15 9.48

- change, %

-21.7

19.0

10.3

-2.2

-0.1

5.2

7.5

-14.3

-0.0

-0.5

10.06

EBITDA, comparable

216

603

472

316

279

344

289

231

283

236

Strategy and financial targets

- % of sales

11.1

24.3

22.7

16.7

14.4

17.7

15.6

13.4

14.1

11.8

B share

high

13.05

10.49

8

Value creation

Operating result

121

532

376

227

181

246

207

132

199

117

low

7.48 7.80

7.09 8.77 8.73

Operating result, comparable

122

521

387

221

184

252

193

137

180

137

closing average

- % of sales

6.3

21.0

18.6

11.7

9.5

13.0

10.5

8.0

9.0

6.8

Financial development 10 Key figures 12

10.06

Result for the period

102

461

314

170

145

203

150

90

137

69

Trading volume at Nasdaq Helsinki, number of shares A share

Report of the Board of Directors

535,219

849,346

1,802,589

1,758,683

694,519

Balance sheet, eur million Balance sheet total

% of total number of shares

1.6

2.6

5.5

5.3

2.1

3,055 3,403 2,922 2,302 2,270 2,284 2,226 2,194 2,220 2,149

20 72

• Sustainability statement • Sustainability statement assurance report

B share

117,021,973

87,832,699

98,057,575

155,232,570

220,170,829

Equity attributable to shareholders of parent company

1,897

2,082

1,699 1,384 1,338 1,323

1,167

1,052

1,029

841

% of average number of shares

36.3

27.2

30.4

48.1

68.3

Interest bearing net liabilities

-144

-94

-78

236

308

335

358

464

333

427

74

Consolidated financial statements

Number of shares at year end A share

Key figures per share and distribution equity owners of the parent company Dividend and equity distribution, EUR million Dividend and equity distribution per share, EUR Payout ratio including equity distribution, %

32,802,175 322,710,571 355,512,746 354,750,822

32,802,175 322,710,571 355,512,746 355,359,331

32,802,175 322,710,571 355,512,746 355,512,746

32,887,151

33,087,647 322,425,099 355,512,746 355,512,746

B share

322,625,595 355,512,746 355,512,746

88.7 1) 0.27 1) 93.5 1)

205.6

145.8

92.4 0.26

85.3 0.24 58.5

103.1 0.29 50.9

74.7 0.21 50.0

67.5 0.19 76.0

60.4

39.4 0.12

78 Notes to the consolidated financial statements 126 Parent company financial statements 129 Notes to the parent company financial statements 142 The Board’s proposal to the Annual General Meeting for the distribution of funds 143 Auditor’s Report 147 Shares and shareholders 151 Ten years in figures 152 Taxes 153 Production capacities 155 Calculation of key ratios and comparable performance measures Corporate governance 157 Corporate governance statement 165 • Board of Directors of Metsä Board 168 • Corporate Management Team of Metsä Board

Total

0.58 50.4

0.41

0.17

Number of shares at year end

49.9 54.31

43.6

57.1

Market capitalisation at year end, EUR million

2,576.1 62,501

3,161.5 56,887

3,086.2 54,904

3,065.2 48,165

2,136.1 50,420

Dividend yield, %

3.5 1)

6.6

4.8

3.0

4.0

5.7

2.9

2.8

2.5

2.7

Number of shareholders, B shares

Key figures – profitability Return on capital employed (ROCE), comparable, %

Key figures

5.1

20.9

18.7

12.2

10.4

14.4

11.2

8.1

11.3

9.1

Return on equity, comparable, %

4.8

22.0

20.2

12.1

11.0

16.7

12.4

9.0

12.9

10.4

EUR million

2023

2022

2021

2019

2018

Earnings per share

Key figures – balance sheet and financing Interest bearing net liabilities / EBITDA, comparable

Result before tax – Income taxes

120.9 -19.3 101.6

524.9 -63.5 461.4

365.8 -51.8 314.0

212.3 -42.2 170.1

165.6 -21.0 144.6

0.7

0.2

-0.2

0.7

1.1

1.0

1.2

2.0

1.2

1.8

Equity ratio, %

67.5

66.4

63.3

60.3

59.1

58.1

52.6

48.2

46.5

39.2

= Result for the period

Net gearing, %

7

4

-4

17

23

25

31

44

32

51

Net cash flow from operations, EUR million

343

232

330

308

201

151

236

77

247

198

– Average number of shares

354,750,822

355,359,331

355,512,746

355,512,746

355,512,746

Net interest expense, EUR million

12

5

8

12

14

19

36 7.6

26

26

42

Interest cover

28.6

50.7

42.7

27.6

15.4

9.0

4.0

10.4

5.7

Earnings per share, basic and diluted, EUR

0.27

1.15

0.82

0.48

0.41

Other key figures Total investments, EUR million

Shareholders’ equity per share, EUR

5.35

5.86 0.58 50.4

4.78 0.41 49.9

3.89 0.26 54.3

3.76 0.24 58.5

229

304

220

166

99

70

65

162

178

44

Dividend per share, EUR

0.25 1)

Depreciation, amortisation and impairment losses, EUR million

Payout ratio, %

93.5

94

83

90

95

114

92

92

102

104

126

Metsä Board shares have no nominal value.

R & D expenditure, EUR million 2)

7

6

6

9

9

6

6

6

8

6

- % of sales

0.4

0.2

0.3

0.5

0.4

0.3

0.3

0.4

0.4

0.3

Dividend yield, % of closing price A share

Personnel, average

2,333 2,352

2,461

2,455 2,433 2,435 2,456 2,588

2,851

3,200

3.2 1) 3.5 1)

5.7 6.6

4.4 4.8

3.0 3.0

3.9 4.0

- in Finland

1,303 1,340 1,490 1,486

1,458

1,433

1,441

1,552

1,538 1,542

B share

Paperboard deliveries, 1,000 t

1,373

1,817

1,922

1,810 1,791

1,830 1,803

1,568 1,404 1,256

Price/earning ratio (P/E ratio) A share

29.2 26.9

8.8 7.6

11.4 10.5

18.1 18.0

15.0 14.6

170 Remuneration report 174 Investor relations and investor information

Dividend and key figures per share for year 2014 have been issue-adjusted. The rights issue factor was 1.030627.

B share

1) The Board of Directors has proposed that a dividend of EUR 0.25 per share be distributed for the 2023 financial year. Dividend yield for 2023 has been calculated including the proposed equity distribution and using the B share closing price as of 31 December 2023. 2) The reporting of research and development expenses has been clarified and the figures for 2019–2023 are comparable.

Price to book value (P/BV), % A share

145.9 134.5

173.2 149.6

196.2 180.1

222.0 221.5

163.3 159.6

B share

Calculation of key ratios is presented on page 155.

1) The Board of Directors has proposed that a dividend of EUR 0.25 per share be distributed for the 2023 financial year.

150

151

Shares and shareholders | METSÄ BOARD ANNUAL REVIEW 2023

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