Rottneros as an investment
Rottneros’ shares have been listed on Nasdaq Stockholm, Basic Resources on Mid Cap, since 1987. Over the past five years (2018-2022), the share price has risen by 80%, but there are still more reasons to invest in Rottneros.
Part of the green transition
Together with the entire forest industry, Rottneros is part of the green transition to a circular economy, with solutions that have a positive effect on the environment and climate.
Pulp is replacing fossil-based raw materials, and is used for the production of renewable products. Rottneros’ goal is to achieve fossil-free production by 2030.
Long-term profitability
Rottneros focuses on areas of use where our products create added value. By increasing production volumes, we counteract cost inflation.
The investment in moulded fibre trays gives a broadened revenue base, which reduces exposure in the long run to the pulp market. In 2022, EBIT was MSEK 550, corresponding to an EBIT margin of 18%.
Solid finances
Over time, the Group has maintained a strong equity/assets ratio and debt/equity ratio. The equity/assets ratio for 2022 was 66% thanks to good profitability and a reduced debt burden. Net cash was MSEK 354 and cash flow from operating activities amounted to MSEK 541.
Good return
Rottneros’ policy is to distribute 30%-50% of net profit to the shareholders. The dividend for 2022 to shareholders was SEK 1.40/share. Total return including appreciation for 2022 was +23%. This compares with the average total return on the Stockholm Stock Exchange according to OMX Stockholm GI in the same year, which was -22%.
A market with conditions for long-term growth
Several global trends show that pulp markets have the right conditions for long-term growth. One example is the transition from plastic to fibre-based packaging. The potential to expand within our selected niche markets is great, and Rottneros is already the world leader today in E-pulp and filter pulp, and has groundbreaking skills in the development of eco-friendly fibre-based food trays.
