Valmet Re-structures Financial Reporting for Future Success
Valmet Oyj recently announced a significant modification to its financial reporting structure, aiming to better align with the company's new strategic direction as outlined in its operating model. This new reporting structure is set to take effect on
July 1, 2025 and marks a crucial step in Valmet's continual evolution in the process technology sector.
A Closer Look at the Changes
The restructuring divides Valmet's operations into two primary reportable segments:
Biomaterial Solutions and Services and
Process Performance Solutions. Each segment caters to different aspects of the company’s diverse customer base within the pulp, paper, and energy industries.
Biomaterial Solutions and Services
This segment will provide technology solutions and lifecycle services tailored for customers engaged in pulp, paper, and energy sectors. It further encompasses three distinct business areas:
- - Pulp, Energy and Circularity
- - Packaging and Paper
- - Tissue
Each area combines Valmet's technology and service offerings, emphasizing customer proximity and lifecycle management to enhance value creation.
Process Performance Solutions
This segment is designed to focus on delivering flow control technologies and automation solutions. It includes two business areas:
- - Flow Control
- - Automation Solutions
These areas cater to a broad spectrum of industries globally, supporting operations that require precise measurement and wide-scale automation systems.
Financial Reporting Framework
For both reportable segments, Valmet plans to disclose metrics such as orders received, net sales, profitability (measured through EBITA), and any impacting items. Additionally, the company intends to highlight service orders specifically for its Biomaterial Solutions and Services segment, recognizing its strategic importance in driving growth.
Moreover, orders received and personnel information will also be reported for each business area, offering granular insights into operational dynamics. This transparency is crucial for investors and stakeholders in tracking performance through various geographical markets which include North America, EMEA, Latin America, China, and the Asia-Pacific.
Future Projections
To provide clarity and context for the forthcoming changes, Valmet will also issue comparative financial data based on the new reporting structure for all quarters in 2024, along with the first quarter results of 2025. This preparation aims to furnish stakeholders with a clear basis for analysis, helping them stay informed about the company's evolving financial landscape.
Valmet has consistently demonstrated resilience and a commitment to sustainability, backed by over
225 years of industrial expertise. With projected net sales reaching approximately
EUR 5.4 billion in 2024, this restructuring underscores the company's focus on long-term strategic growth.
Conclusively
In summary, Valmet's new financial reporting structure represents a pivotal shift to enhance operational performance visibility and align with its strategic objectives. As the company embarks on this transition, maintaining effective communication with stakeholders will be essential for fostering trust and supporting its future endeavors. Through stronger alignment of its reporting with operational focus, Valmet aims not just to meet, but to exceed expectations in a competitive marketplace.
Contact Information
For more details about the changes and their implications, reach out to Pekka Rouhiainen, VP of Investor Relations at Valmet, via phone at +358 10 672 0020.