#Finland #Helsinki #Stora Enso #renewable materials #Segment Reporting

Stora Enso Updates Segment Reporting Structure

Stora Enso, a global leader in renewable materials, has made significant changes to its segment reporting effective January 1, 2026. This restructuring aims to align the company's organizational framework more closely with its strategic objectives and operational synergies, thereby enhancing its overall efficiency and focus. As a result of these changes, Stora Enso has restated its comparative figures for the previous year, 2025, to reflect the new reporting segments.

New Reportable Segments

The revamped reporting structure now consists of four new reportable segments:

1. Consumer Packaging: This is a newly established segment that consolidates the Cartonboard, Foodservice, and Liquid Board business areas, which were previously classified under Packaging Materials. The consolidation is based on their shared economic characteristics.

2. Integrated Packaging: Another new reportable segment, Integrated Packaging combines the Containerboard and Packaging Solutions business areas. This aggregation is similarly motivated by the similarities in their economic profiles.

3. Biomaterials: This segment has retained its status as a separate reportable area, reflecting its unique business offerings in renewable material production.

4. Other: The Other segment now encompasses Wood Energy, group functions, Swedish forest assets, the Growth business unit, and the Central European Wood Products operations. The adjustments ensure that intercompany sales of wood and logistics services have been eliminated to streamline reporting.

Discontinued Segments

As part of the restructuring, the Wood Products and Forest segments have been discontinued as separate reportable areas. Northern European Wood Products operations have been transferred to the Consumer Packaging, Integrated Packaging, and Biomaterials segments to optimize resource usage. Meanwhile, the Central European Wood Products operations are under strategic review and thus reported in the Other segment.

The Forest segment has ceased to exist independently, with Swedish forest assets now included in Other and wood supply operations in Finland, Sweden, and the Baltic countries also reported within this segment. Plantations located in Latin America and China remain categorized under Consumer Packaging and Biomaterials, as they are affiliated with local mills.

Energy and Forestry Integration

Stora Enso's energy-related business and its assets in Pohjolan Voima (PVO) have now been incorporated into the Consumer Packaging, Integrated Packaging, and Biomaterials segments. Previously reported in Other, this integration considers proportional energy consumption across segments. Additionally, Stora Enso's forestry-related associated companies in Finland and Sweden are now included with the Consumer Packaging, Integrated Packaging, and Biomaterials segments.

Restated Figures

The revision in segment reporting has led to the restatement of comparative figures for 2025, presented under the new categories. These figures provide insights into total sales, adjusted EBITDA, EBIT margins, and operational results for the year under the revised structure. Comparatively, the report shows a total sale of EUR 9.3 billion, with various financial metrics reported distinctly according to the new segment outline.

Ultimately, these changes signify Stora Enso's commitment to enhancing its focus on renewable materials and aligning its business strategy with market demands. With approximately 19,000 employees, the company's extensive restructuring and strategic alignment efforts are designed not only to improve operational efficiency but also to strengthen its position as a leader in sustainable packaging solutions. For investors and stakeholders, these updates promise enhanced clarity and a more streamlined understanding of Stora Enso's business dynamics moving forward.

For further inquiries or detailed financial questions, investors can reach out to Jutta Mikkola, SVP of Investor Relations. Stora Enso's shares are traded on Nasdaq Helsinki and Stockholm, as well as on OTC Markets in the United States.