Bergs reports strong earnings for the fourth quarter
Deliveries and order intake remained strong for the most of the Group's products. Activity in the DIY sector and the RCE sector were high for the season. Continued low interest rates, and financial stimulus packages, contributed to positive market performance. Demand for sawn and planed wood products was unexpectedly strong in the second half of 2020, and the rate of production did not keep pace. This resulted in low inventories and price increases.
Deliveries of impregnated wood and garden products were good for the season. Similarly, deliveries and order intake for our window and door production were healthy. Our two Baltic sawmills, oriented on industrial customers, strengthened profitability in the fourth quarter with gradually rising sales prices. During the quarter, we also noted an improvement in our operations in the UK, the result of such events as the addition of several new customers in our port and distribution operations.
EBITDA for the fourth quarter totalled SEK 78 million, an improvement of SEK 72 million year-on-year. The improved earnings were attributable to higher sales volumes and margins for our products, especially for sawn product. EBITDA for the full year, including discontinued operations, totalled SEK 338 million, of which capital gains from the sale of the Swedish sawmill operations totalled SEK 87 million. EBITDA for continuing operations totalled SEK 212 million, which is an improvement year-on-year when adjusted EBITDA totalled SEK 115 million.
The group's key performance indicators
AMOUNTS IN SEK million 2020 2019 2020 2019
Oct-Dec Oct-Dec Jan-Dec Jan-Dec
3 months 3 months 12 months 12 months
Net sales 558 405 2,149 2,056
EBITDA 78 6 212 133
Adjusted EBITDA (adjusted for 78 9 212 115
items affecting comparability)
Adjusted EBITDA margin, % 14.0 2.2 9.9 5.6
Operating profit/loss 58 -7 137 73
Operating margin, % 10.4 neg 6.4 3.6
Adjusted operating profit 58 -4 137 55
Adjusted operating margin, % 10.4 neg 6.4 2.7
EBITDA incl. discontinued 78 3 338 172
Adjusted EBITDA incl. 78 6 264 154
Adjusted EBITDA margin incl. 14.0 0.9 8.8 4.8
discontinued operations, %
Earnings per share, before and 0.13 -0.06 0.30 0.13
after dilution, SEK
Earnings per share, including 0.13 -0.09 0.49 0.13
discontinued operations, SEK
Equity per share, SEK 3.61 3.18 3.61 3.18
For complete report, go to www.bergstimber.com
Questions regarding the interim report can be answered by President and CEO Peter Nilsson on telephone number 070-315 09 27 or CFO Anders Marklund 070-284 47 96.
The information in this Year-end report report is such that Bergs Timber AB (publ) is required to disclose in accordance with the EU Market Abuse Regulation. The information was submitted for publication on February 3, 2021 at 08:30 a.m. The Year-end report is available on the company's website, www.bergstimber.com
Year-end report for 2020 3 February 2021
Interim report January-March 2021 5 May 2021
Interim report January-June 2021 29 July 2021
Interim report January-September 2021 28 October 2021
This is Bergs
- an international wood products Group
With wood as a raw material, Bergs produces processed wood products from sustainably managed forests in the Baltic Sea region. With years of experience in wood and a great deal of competence in processing, we promote building a sustainable society with renewable materials.
Our operations - conducted through wholly owned subsidiaries in Sweden, Estonia, Latvia and the UK - encompass sawmills and processing as well as distribution and logistics.
The Group has sales of approximately SEK 2.0 billion and around 850 employees. Bergs is listed on Nasdaq Stockholm, and its head office is in Vimmerby, Sweden.
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