Metsä Board Annual review 2023

METSÄ BOARD Annual review 2023

Quarterly data

Calculation of key ratios

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

Alternative performance measures

Full year

Quarterly

EUR million

2023

2022 IV/2023 III/2023 II/2023 I/2023 IV/2022 III/2022 II/2022 I/2022

Sales

1,941.9 2,479.6

422.6

479.0

498.2

542.1

599.8

647.3

650.5

582.0

Definition

Key figure

Justification for the use of the key figure

Strategy and financial targets

Profitability

2023 122.2

2022 IV/2023 III/2023 II/2023 I/2023 IV/2022 III/2022 II/2022 I/2022

8

Value creation

= Result before income tax, financial income and expenses, exchange gains and losses and share of results from associated companies and joint ventures

Operating result, comparable

520.7

0.7

5.5

27.3

88.7

100.8

152.5

145.9

121.5

The key figure describes the Group’s ability to produce a profit from its busi- ness, and it is independent of the company’s capital structure

Operating result

2023 120.8

2022 IV/2023 III/2023 II/2023 I/2023 IV/2022 III/2022 II/2022 I/2022

Financial development 10 Key figures 12

The key figure shows how much margin is left over from the Group’s sales after deducting the variable and fixed costs of business before depreciation, amortisation and impairment The key figure describes the Group’s ability to produce a profit with the assets invested in the Group by shareholders

= Operating result before depreciation, amortisation and impairment losses

Operating result

531.5

-0.2

3.1

29.5

88.4

94.7

153.4

142.6

140.7

EBITDA

Result before income tax - income taxes

Share of profit from associated companies

0,0 2.6

0.0

0.0

0.0

0.0

0.0

0.0 -1.8

0.0

0.0

0.0

Report of the Board of Directors

Return on equity (%)

=

Exchange gains/losses

-5.0

1.8

2.1

-0.6

-0.8

-0.5 -0.6

-2.3 -0.3

-0.4

Shareholder’s equity (average)

20 72

• Sustainability statement • Sustainability statement assurance report

Other financial income and expenses

-2.5

-1.7

-0.2

-1.0

-1.5

0.2

0.5

-1.2

= Result before income taxes + net exchange differences and other financial expenses Balance total – non-interest bearing liabilities (average)

Return on capital employed (%)

The key figure describes the Group’s ability to produce a profit on the capital invested, from the point of the party investing the capital

Result before tax

120.9

524.9

1.4

4.3

27.5

87.7

93.4

152.4

140.0

139.1

2023

2022 IV/2023 III/2023 II/2023 I/2023 IV/2022 III/2022 II/2022 I/2022

74

Consolidated financial statements

Financial position

Operating result, % of sales

6.3

21.4

0.2

1.1

5.5

16.4

15.8

23.7

21.9

24.2

Shareholder’s equity

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

The key figure describes the Group’s capital structure, solvency and ability to take care of its commitments in the long run

Equity ratio (%)

=

Full year

Quarterly

Balance total - advance payments received

1,000 t

2023

2022 IV/2023 III/2023 II/2023 I/2023 IV/2022 III/2022 II/2022 I/2022

Interest-bearing net liabilities

Deliveries Folding boxboard

Net gearing ratio (%)

=

The key figure describes the Group’s capital structure and financial position

Shareholder’s equity

1,373

1,208

299

340 228

353 235

380 255

285 133 105

308 146 124

308 164 152

307 166 122 187

White kraftliner

906 467 684

609 503

188

Interest-bearing liabilities – cash and cash equivalents and interest-bearing receivables

Interest-bearing net liabilities =

The key figure describes the Group’s indebtedness

Metsä Fibre’s pulp 1) Metsä Board’s pulp

111

112

118

126

717

120

107

83

83

162

177

192

Other

The key figure describes the Group’s application of funds for maintaining and renewing its production machinery and plants and for expanding its business with corporate acquisitions

2023

2022 IV/2023 III/2023 II/2023 I/2023 IV/2022 III/2022 II/2022 I/2022

Investments in owned and leased fixed assets and investments in business combinations

Total investments

=

Production Folding boxboard

1,289.4

1,272

280.0

307.2 132.0

331.6 136.6

370.5 143.3

264 133 319 190

337

336

335 162 368

= Net cash flow arising from operating activities + net interest expenses

White kraftliner

516,0 136.5

605

104.1

147

164

Interest cover

The key figure describes the Group’s ability to meet its debt obligations

Net interest expenses

Metsä Fibre’s pulp 1) Metsä Board’s pulp

1,409

38.6

39.7

30.0

28.2

360

362

1,941.9

731

422.6

479.0

498.2

542.1

190

171

181

Share performace indicators

1) Corresponds to Metsä Board’s ownership of 24.9 per cent in Metsä Fibre.

Key figure

Definition

= Profit attributable to shareholders of parent company Adjusted number of shares (average

Earnings per share

Equity attributable to shareholders of parent company Adjusted number of shares at the end of the period

Shareholders’ equity per share =

Dividends Adjusted number of shares at 31 December

Dividend per share

=

Dividend per share Earnings per share

Payout ratio (%)

=

Dividend per share Share price at 31 December Share price at 31 December Earnings per share Share price at 31 December Shareholders' equity per share

170 Remuneration report 174 Investor relations and investor information

Dividend yield (%)

=

Price/earnings ratio (P/E ratio) (%)

=

P/BV (%)

=

Total traded volume per share (EUR) Average adjusted number of shares traded during the financial year

Adjusted average share price =

Market capitalisation

= Number of shares x market price at the end of period

The presentation of earnings per share is regulated by the Decree of the Ministry of Finance on the Regular Duty of Disclosure of an Issuer of a Security. In addition, the earnings per share ratio is regulated by the IAS 33 standard.

154

155

Key figures | METSÄ BOARD ANNUAL REVIEW 2023

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