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Suominen Corporation's Interim Report for January 1 – September 30, 2024: Profitability affected by operational issues, outlook unchanged
Suominen Corporation Interim Report on November 6, 2024, at 9:30 a.m. (EET)
Suominen Corporation's Interim Report for January 1 – September 30, 2024:
Profitability affected by operational issues, outlook unchanged
KEY FIGURES
In this interim report, figures shown in brackets refer to the comparison period of the previous year if not otherwise stated.
July–September 2024 in brief:
- Net sales increased by 5% from the corresponding period of 2023 and were EUR 111.6 million (106.4)
- Comparable EBITDA decreased to EUR 3.3 million (5.2)
- Cash flow from operations was EUR -2.6 million (8.0)
January–September 2024 in brief:
- Net sales increased by 2% from the corresponding period of 2023 and were EUR 343.8 million (335.9)
- Comparable EBITDA increased to EUR 12.8 million (10.5)
- Cash flow from operations was EUR -2.6 million (17.6)
Outlook for 2024
Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2024 will increase from 2023. In 2023, Suominen's comparable EBITDA was EUR 15.8 million.
Tommi Björnman, President & CEO:
“During the third quarter our net sales increased by 5% and were EUR 111.6 million (106.4). Our sales volumes, sales prices as well as sales margins increased from Q3/2023. Currencies impacted the net sales negatively by EUR 1.4 million.
Our quarterly comparable EBITDA decreased to EUR 3.3 million (5.2). In Q3, we had major operational issues, which led into unplanned production downtime and additional expenses. These issues impacted EBITDA negatively by approximately EUR 3.0 million. We took immediate actions to address the issues. Operational excellence continues to be our focus and we are strengthening our capabilities and resources in continuous improvement.
Our ability to innovate and meet market needs is reflected in the share of new products of our net sales, which continued on a good level and exceeded 30% in the third quarter and 35% in January–September.
Sustainability is at the core of both our strategy and all daily operations. In 2024 we took part in the EcoVadis assessment for the third time and improved our score from a Silver Medal level to a Gold Medal level. This result places us in the top 1% of companies in the industry of manufacturing other textiles and in the top 5% of all companies in all industries rated by EcoVadis. Reaching a gold level in this year's assessment is a result of the continuous improvement of our sustainability work.
In line with our strategy and vision to be the frontrunner in sustainability, we announced in August that we are strengthening our capabilities in sustainable products by investing in a new production line in our site in Alicante, Spain. With this investment we respond to the accelerating demand of sustainable nonwovens in Europe. The total value of the investment is approximately EUR 20 million and the investment project will be completed in the second half of 2025.
Generally, Suominen's target market is stable with some uncertainty related to the global economic sentiment. In the short term we do not see any major changes in the target market. Our full year guidance on comparable EBITDA remains unchanged.”
NET SALES
July–September 2024
In July–September 2024, Suominen's net sales increased from the comparison period by 5% to EUR 111.6 million (106.4). Sales volumes, sales prices as well as sales margins increased from the corresponding period of 2023. Currencies impacted the net sales negatively by EUR 1.4 million.
Suominen has two business areas, Americas and Europe. Net sales of the Americas business area amounted to EUR 69.5 million (70.9) and net sales of the Europe business area to EUR 42.1 million (35.6).
January–September 2024
In January–September 2024, Suominen's net sales increased from the comparison period by 2% and amounted to EUR 343.8 million (335.9). Sales volumes increased from the corresponding period of 2023, but sales prices decreased following the decline in raw material prices. Currencies impacted the net sales negatively by EUR 1.4 million.
Net sales of the Americas business area amounted to EUR 215.2 million (215.7) and net sales of the Europe business area to EUR 128.6 million (120.2).
EBITDA, OPERATING PROFIT AND RESULT
July–September 2024
Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) decreased and was EUR 3.3 million (5.2). EBITDA was EUR 3.4 million (5.2). The items affecting comparability of EBITDA during Q3 totaled EUR +0.1 million (-0.0). The effect of currencies on the comparable EBITDA was EUR -0.3 million. The items affecting comparability were related to the closure of Mozzate plant in Italy as well as to the restructuring program announced in Q2.
Comparable operating profit decreased from the comparison period and amounted to EUR -1.5 million (0.7). Operating profit decreased from the comparison period and amounted to EUR -1.4 million (0.6). The items affecting comparability of operating profit totaled EUR +0.1 million (-0.0).
Profit before income taxes was EUR -3.3 million (-0.5), and profit for the reporting period was EUR -3.2 million (0.8). Income taxes for the period were EUR +0.1 million (+1.3).
January–September 2024
Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) was EUR 12.8 million (10.5). Higher sales volumes as well as lower raw material costs contributed to the improvement in comparable EBITDA. Currency impact on comparable EBITDA was EUR -0.4 million. The items affecting comparability were related to the closure of Mozzate plant in Italy as well as to the restructuring program announced in Q2.
EBITDA increased to EUR 11.8 million (5.9). The items affecting comparability of EBITDA totaled EUR
-1.0 million (-4.6).
Comparable operating profit was EUR -1.2 million (-3.4). Operating profit was EUR -2.1 million (-8.2). The items affecting comparability of operating profit totaled EUR -1.0 million (-4.8).
Profit before income taxes was EUR -5.9 million (-12.2), and profit for the reporting period was
EUR -6.1 million (-11.4).
Income taxes for the period were EUR -0.2 million (+0.8).
FINANCING
The Group's net interest-bearing liabilities at nominal value amounted to EUR 63.3 million (52.2) at the end of the review period. The gearing ratio was 57.1% (40.1%) and the equity ratio 37.1% (40.9%).
In January–September, net financial expenses were EUR -3.8 million (-4.0), or -1.1% (-1.2%) of net sales. Fluctuations in exchange rates increased the net financial expenses by EUR 0.2 million (in 2023, decreased by EUR 0.0 million).
Cash flow from operations in July–September was EUR -2.6 million (8.0) and in January–September EUR -2.6 million (17.6), representing a cash flow per share of EUR -0.05 (0.31). The decline in the cash flow from operations for January–September was mainly due to more capital tied to net working capital, especially in inventory.
In the third quarter the change in net working capital in the cash flow from operations was EUR -2.7 million (+4.5). The change in net working capital in the cash flow from operations in January–September was EUR -9.7 million (+16.6).
On March 28, 2024, Suominen agreed on extending the maturity of the EUR 100 million syndicated revolving credit facility with an additional year to July 2026.
CAPITAL EXPENDITURE
In January–September, the gross capital expenditure totaled EUR 8.8 million (8.9) and of which the largest single investment was related to the upgrade of one of the production lines at the Bethune plant in the US. Other investments were mainly normal maintenance investments.
In 2024 Suominen has announced two large investments which strengthen its capabilities in sustainable products. In May, Suominen announced an approximately EUR 10 million investment in enhancing and upgrading one of the production lines in Bethune, South Carolina, USA. The investment project will be completed in the first half of 2025. In August, Suominen announced of an investment in a new production line to its site in Alicante, Spain. The total value of the investment is approximately EUR 20 million and the investment project will be completed in the second half of 2025.
Both of these investments are made in line with Suominen's strategy, and they support company's vision to be the frontrunner in nonwovens innovation and sustainability.
Depreciation, amortization and impairment losses for the review period amounted to EUR 13.9 million (14.1).
PROGRESS IN SUSTAINABILITY
During the third quarter of 2024, we were awarded a gold level rating from the EcoVadis sustainability assessment. This was the third time that we completed the EcoVadis assessment. This result places us in the top 1% companies in the industry of manufacturing other textiles and in the top 5% of all companies in all industries rated by EcoVadis.
During the third quarter, Suominen continued preparing to report in accordance with EU's Corporate Sustainability Reporting Directive (CSRD) for the first time in its 2024 Report by the Board of Directors.
During the third quarter Suominen conducted a Diversity, Equity and Inclusion (DEI) survey. The results identified positive areas as well as opportunities for improvement and based on the results, a development plan will be created.
By the end of September there have been 3 LTAs at Suominen sites. We will continue our systematic safety work and preventive actions. We have initiated a a safety awareness campaign to highlight the importance of Suominen Life Saving Rules. The campaign started in October.
We systematically measure our employee engagement and collect feedback by conducting an engagement survey, Suominen Vibe, annually. This year's Suominen Vibe survey is set to start in December.
We are constantly improving our production efficiency and the efficient utilization of natural resources. In the third quarter we continued our actions towards our targets to reduce energy consumption, greenhouse gas emissions, water consumption and waste to landfill by 20% per ton of product by 2025 compared to the base year of 2019.
Sustainability is at the core of our R&D, and we are continuously developing new innovative solutions into our already comprehensive portfolio of sustainable nonwovens. Our target is to increase the sales of sustainable products by 50% by 2025 compared to 2019, and to have at least 10 sustainable product launches per year.
Suominen reports progress in its sustainability KPIs annually.
As part of our Annual Report 2023 published in March 2024, we reported on the progress of our sustainability performance. Our sustainability reporting in 2023 was done in accordance with the GRI Standards of the Global Reporting Initiative and it was assured by an external partner.
INFORMATION ON SHARES AND SHARE CAPITAL
Share capital
The number of Suominen's registered shares was 58,259,219 shares on September 30, 2024, equaling to a share capital of EUR 11,860,056.00.
Share trading and price
The number of Suominen Corporation shares traded on Nasdaq Helsinki from January 1 to September 30, 2024, was 619,821 shares, accounting for 1.1% of the average number of shares (excluding treasury shares). The highest price was EUR 2.93, the lowest EUR 2.37, and the volume-weighted average price EUR 2.69. The closing price at the end of review period was EUR 2.58. The market capitalization (excluding treasury shares) was EUR 148.9 million on September 30, 2024.
Treasury shares
On September 30, 2024, Suominen Corporation held 532,116 treasury shares.
In accordance with the resolution by the Annual General Meeting, in total 25,088 shares were transferred in May to the members of the Board of Directors as their remuneration payable in shares.
As a part of the CEO's share-based payment plan vested, in total 9,556 shares were transferred to the CEO in June.
The portion of the remuneration of the members of the Board of Directors paid in shares
The Annual General Meeting held on April 4, 2024, decided that 75% of the annual remuneration of the members of the Board of Directors is paid in cash and 25% in Suominen Corporation's shares.
The number of shares forming the remuneration portion payable in shares was determined based on the share value in the stock exchange trading maintained by Nasdaq Helsinki Ltd, calculated as the trade volume-weighted average quotation of the share during the two-week period immediately following the date on which the Interim Report of January‒March 2024 of the company was published. The shares were given out of the treasury shares held by the company by the decision of the Board of Directors on May 16, 2024.
Share-based incentive plans for the management and key employees
The Group management and key employees participate in the company's share-based long-term incentive plans. The plans are described in more detail in the Financial Statements and in the Remuneration Report, available on the company's website www.suominen.fi .
Company's Performance Share Plan currently includes three 3-year performance periods, calendar years 2022–2024, 2023–2025 and 2024–2026. The aim of the Performance Share Plan is to combine the objectives of the shareholders and the persons participating in the plan in order to increase the value of the company in long-term, to build loyalty to the company and to offer them competitive reward plans based on earning and accumulating the company's shares.
Performance Share Plan: Ongoing performance periods
The President & CEO of the company must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of his or her annual gross salary. A member of the Executive Team must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of half of his or her annual gross salary. Such number of shares must be held as long as the participant's employment or service in a group company continues.
The President & CEO's share-based incentive plan
The Board of Directors of Suominen Corporation resolved on May 19, 2023, to establish a new share-based incentive plan for the company's President & CEO. The aim of the plan is to align the objectives of the shareholders and the President & CEO in order to increase the value of Suominen in the long-term, to retain the President & CEO at the company, and to offer him a competitive reward plan that is based on acquiring, receiving and accumulating the company's shares.
Under the plan the President & CEO is expected to own or acquire up to 30,000 shares of Suominen Corporation at a price formed in public trading on Nasdaq Helsinki. Suominen will match the share investment by way of the President & CEO receiving, without consideration, up to 60,000 matching shares (gross, including also the proportion to be paid in cash).
The plan includes three vesting periods, June 1, 2023–June 1, 2024, June 1, 2023–June 1, 2025, and June 1, 2023–June 1, 2026. The potential reward will be paid partly in shares and partly in cash in three equal installments after each vesting period, provided that the President & CEO's service in the company is in force at the time of the reward payment. The cash proportion is intended to cover taxes and tax-related costs arising from the rewards to the President & CEO.
The first vesting period ended in June 2024, and in total 9,556 shares were transferred to the CEO.
ANNUAL GENERAL MEETING
The Annual General Meeting (AGM) of Suominen Corporation was held on April 4, 2024.
The AGM adopted the Financial Statements for 2023 and discharged the members of the Board of Directors and the President and CEO from liability for the 2023 financial year.
The AGM resolved to approve the Remuneration Report for the Company's governing bodies for 2023. The resolution made is advisory. The AGM resolved to support the Remuneration Policy for the Company's governing bodies. The resolution made is advisory. The AGM approved the Board of Directors' proposals concerning the authorization for the Board to decide on repurchasing of the company's shares as well as issuance of shares and granting of options and other special rights entitling to shares.
The AGM confirmed the remuneration of the Board of Directors. The Chair will be paid an annual fee of EUR 74,000, the Deputy Chair an annual fee of EUR 45,000 and other Board members an annual fee of EUR 35,000. Chair of the Audit Committee will be paid an additional fee of EUR 10,000. Further, the members of the Board will receive a fee for each Board and Committee meeting as follows: EUR 500 for each meeting held in the home country of the respective member, EUR 1,000 for each meeting held elsewhere than in the home country of the respective member and EUR 500 for each meeting attended by telephone or other electronic means.
75% of the annual fee is paid in cash and 25% in Suominen Corporation's shares.
Compensation for expenses is paid in accordance with the company's valid travel policy.
The AGM decided that the number of Board members remains unchanged at six (6). Mr. Andreas Ahlström, Mr. Aaron Barsness, Mr. Björn Borgman, Ms. Nina Linander and Ms. Laura Remes were re-elected as members of the Board. Mr. Charles Héaulmé was elected as a new member of the Board.
Mr. Charles Héaulmé was elected as the Chair of the Board of Directors.
Ernst & Young Oy, Authorised Public Accountant firm, was re-elected as the auditor of the company for the next term of office in accordance with the Articles of Association. Ernst & Young Oy appointed Mr. Toni Halonen, Authorised Public Accountant, as the principally responsible auditor of the company.
Suominen published a stock exchange release on April 4, 2024, concerning the resolutions of the Annual General Meeting and the organizing meeting of the Board of Directors. The stock exchange release and an introduction of the new Board member can be viewed on Suominen's website at www.suominen.fi.
In compliance with the resolution of the Annual General Meeting, on April 15, 2024, Suominen paid out dividends in total of EUR 5.8 million for 2023, corresponding to EUR 0.10 per share.
Organizing meeting and permanent committees of the Board of Directors
In its organizing meeting held after the AGM, the Board of Directors elected Andreas Ahlström as Deputy Chair of the Board.
The Board of Directors elected from among its members the members for the Audit Committee, Personnel and Remuneration Committee and Strategy Committee. Nina Linander was re-elected as the Chair of the Audit Committee and Andreas Ahlström and Laura Remes were re-elected as members. Charles Héaulmé was elected as the Chair of the Personnel and Remuneration Committee and Björn Borgman and Aaron Barsness were re-elected as members. Laura Remes was re-elected as the Chair of the Strategy Committee and Andreas Ahlström and Aaron Barsness were re-elected as members.
Authorizations of the Board of Directors
The AGM authorized the Board of Directors to decide on repurchasing a maximum of 1,000,000 company's own shares. The company's own shares shall be repurchased otherwise than in proportion to the holdings of the shareholders by using the non-restricted equity through trading on regulated market organized by Nasdaq Helsinki Ltd at the market price prevailing at the time of acquisition. The shares shall be repurchased and paid in accordance with the rules of Nasdaq Helsinki Ltd and Euroclear Finland Ltd.
The shares shall be repurchased to be used in the company's share-based incentive programs, in order to disburse the remuneration of the members of the Board of Directors, for use as consideration in acquisitions related to the company's business, or to be held by the company, to be conveyed by other means or to be cancelled.
The Board of Directors shall decide on other terms and conditions related to the repurchase of the company's own shares. The repurchase authorization is valid until June 30, 2025, and it revokes all earlier authorizations to repurchase company's own shares.
The AGM authorized the Board of Directors to decide on the share issue, conveying the company's own shares held by the company and/or granting of options and other special rights referred to in Chapter 10, Section 1 of the Companies Act.
By virtue of the proposed authorization, the Board of Directors may, by one or several resolutions, issue a maximum of 5,000,000 shares. The share issue and shares granted by virtue of options and other special rights are included in the aforementioned maximum number. Option and other special rights may not be granted as a part of the company's remuneration system.
The share issue can be made either against payment or without payment and can also be directed to the company itself. The authorization entitles the Board of Directors to issue the shares also otherwise than in proportion to the shareholdings of the shareholders (directed share issue). The authorization can be used to carry out acquisitions or other arrangements related to the company's business, to finance investments, to improve the company's financial structure, as part of the company's remuneration system or to pay the share proportion of the remuneration of the members of the Board of Directors or for other purposes decided by the Board of Directors.
The authorizations shall revoke all earlier authorizations regarding share issue and issuance of special rights entitling to shares. The Board of Directors shall decide on all other terms and conditions related to the authorizations. The authorizations are valid until June 30, 2025.
NOTIFICATIONS UNDER CHAPTER 9, SECTION 5 OF THE SECURITIES MARKET ACT
During the review period Suominen received no notifications under Chapter 9, Section 5 of the Securities Market Act.
CHANGES IN THE EXECUTIVE TEAM
On May 31, 2024, Suominen announced that Klaus Korhonen, EVP, HR & Legal will leave the company.
On August 26, 2024, Suominen announced that Thomas Olsen, EVP, Americas will leave the company. Markku Koivisto was appointed as interim EVP, Americas in addition to his current role as EVP, EMEA and CTO.
NOMINATION BOARD
Suominen's three largest registered shareholders Ahlstrom Capital B.V., Etola Group Oy and Oy Etra Invest Ab have nominated the following members to the Shareholders' Nomination Board:
Charles Héaulmé, Chair of Suominen's Board of Directors, serves as the fourth member of the Nomination Board. The shareholders entitled to appoint members to the Nomination Board were determined on the basis of the registered holdings in the company's shareholders' register on September 2, 2024.
In its organizing meeting on September 19, 2024, the Nomination Board elected Jyrki Vainionpää as the Chair of the Nomination Board.
SHORT TERM RISKS AND UNCERTAINTIES
Regarding the war in Ukraine, the direct impact to Suominen's business is minor as we have no customers nor suppliers in Russia, Belarus or Ukraine. Suominen as a company is mostly affected by the indirect economic impacts of the war.
Instabilities in the Middle East continue to generate uncertainty globally. Possible impacts to Suominen as a company are expected to be mainly indirect. However, possible effects on raw material and logistic costs would impact Suominen directly.
Suominen's other risks and uncertainties include but are not limited to: risks related to manufacturing, competition, raw material prices and availability and customer specific volumes and credits, changes in legislation, political environment or economic conditions and investments, and financial risks.
A more detailed description of risks is available in Suominen's Annual Report 2023 at suominen.fi/investors.
BUSINESS ENVIRONMENT
Suominen's nonwovens are, for the most part, used in daily consumer goods, such as wipes as well as in hygiene and medical products. In these target markets of Suominen, the general economic situation determines the development of consumer demand, even though the demand for consumer goods is not very cyclical in nature. North America and Europe are the largest market areas for Suominen. In addition, the company operates in the South American markets. The growth in the demand for nonwovens has typically exceeded the growth of gross domestic product by a couple of percentage points.
We follow closely market development and signals from our customers, but the overall global economic uncertainty and fierce competition continue to make the longer-term visibility challenging. It remains to be seen how the current economic climate impacts the end consumer demand and consumer preferences regarding wipes. Historically, the wipes market has been rather steady despite the general economic situation.
Instabilities in the Middle East and the war in Ukraine continue to generate uncertainty globally. Possible impacts to Suominen as a company are expected to be mainly indirect. However, possible effects on raw material and logistic costs would impact Suominen directly. We continue to monitor the situations.
OUTLOOK FOR 2024
Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2024 will increase from 2023. In 2023, Suominen's comparable EBITDA was EUR 15.8 million.
CORPORATE GOVERNANCE AND REMUNERATION REPORT
Suominen has prepared a separate Corporate Governance Statement and a Remuneration Report for 2023, which comply with the recommendations of the Finnish Corporate Governance Code for listed companies. The statements also cover other central areas of corporate governance. The statements have been published on Suominen's website, separately from the Report of the Board of Directors, at www.suominen.fi
AUDIOCAST AND CONFERENCE CALL
Tommi Björnman, President & CEO, and Janne Silonsaari, CFO, will present the result in English in an audiocast and a conference call for analyst, investors, and media on November 6 at 11:00 a.m. (EET). The audiocast can be followed at https://suominen.videosync.fi/q3-2024/register . The recording of the audiocast and the presentation material will be available after the event at www.suominen.fi.
Conference call participants can access the teleconference by registering at https://palvelu.flik.fi/teleconference/?id=50048414 . The phone numbers and a conference ID to access the conference will be provided after the registration.
NEXT FINANCIAL REPORT
Suominen Corporation will publish its Financial Statements Release 2024 on March 5, 2025, approximately at 9:30 a.m. (EET).
EVENTS AFTER THE REPORTING PERIOD
Minna Rouru, M.Sc. Social Sciences, has been appointed Chief People & Communications Officer at Suominen. She will be a member of Suominen's Executive Management Team and report to President and CEO Tommi Björnman. Ms. Rouru will start in her new role by February 2025 at the latest.
SUOMINEN GROUP JANUARY 1 – SEPTEMBER 30, 2024
The figures in this interim report are mainly presented in EUR thousands. As a result of rounding differences, the figures presented in the tables do not necessarily add up to total.
This interim report has not been audited.
This interim report has been prepared in accordance with the principles defined in IAS 34 Interim Financial Reporting. The principles for preparing the interim report are the same as those used for preparing the consolidated financial statements for 2023, with the exception of the effect of the new accounting standards and interpretations which have been applied from 1.1.2024.
The new or amended standards or interpretations applicable from 1.1.2024 are not material for Suominen Group.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
CONSOLIDATED STATEMENT OF CASH FLOWS
KEY RATIOS
CALCULATION OF KEY RATIOS AND ALTERNATIVE PERFORMANCE MEASURES
Key ratios per share are either IFRS key ratios (earnings per share) or required by Ordinance of the Ministry of Finance in Finland or alternative performance measures (cash flow from operations per share).
Some of the other key ratios Suominen publishes are alternative performance measures. An alternative performance measure is a key ratio which has not been defined in IFRS standards. Suominen believes that the use of alternative performance measures provides useful information for example to investors regarding the Group's financial and operating performance and makes it easier to make comparisons between the reporting periods.
The link between the components of the key ratios per share and the consolidated financial statements is presented in the consolidated financial statements of 2023. The link between the components of the alternative performance measures and the consolidated financial statements is presented in Suominen's Annual Report for 2023.
Calculation of key ratios per share
Earnings per share
Cash flow from operations per share
Equity per share
Market capitalization
Share turnover
Calculation of key ratios and alternative performance measures
Operating profit and comparable operating profit
In order to improve the comparability of result between reporting periods, Suominen presents comparable operating profit as an alternative performance measure. Operating profit is adjusted with material items that are considered to affect comparability between reporting periods. These items include, among others, impairment losses or reversals of impairment losses, gains or losses from the sales of property, plant and equipment or intangible assets or other assets and restructuring costs.
EBITDA and comparable EBITDA
Gross capital expenditure
Interest-bearing net debt
It is the opinion of Suominen that presenting interest-bearing liabilities not only at amortized cost but also at nominal value gives relevant additional information to the investors.
Return on equity (ROE), %
Invested capital
Return on invested capital (ROI), %
Equity ratio, %
Gearing, %
NET SALES BY GEOGRAPHICAL MARKET AREA
QUARTERLY SALES DEVELOPMENT BY BUSINESS AREA
QUARTERLY DEVELOPMENT
RELATED PARTY INFORMATION
The related parties of Suominen include the members of the Board of Directors, President & CEO and the members of the Executive Team as well as their family members and their controlled companies. In addition, shareholders who have a significant influence in Suominen through share ownership are included in related parties. Suominen has no associated companies.
In its transactions with related parties Suominen follows the same commercial terms as in transactions with third parties.
The Annual General Meeting held on April 4, 2024, resolved that 25% of the annual remuneration for the Board of Directors is paid in Suominen Corporation's shares. The number of shares transferred to the members of the Board of Directors as their remuneration payable in shares for 2024 was 25,088 shares. The shares were transferred on May 16, 2024, and the value of the transferred shares totaled EUR 67,236.
A part of the CEO's share-based plan vested, and shares were transferred to the CEO plan in June. The number of the shares transferred was 9,556 shares. The value of the shares and the portion settled in cash was EUR 54,422.
CHANGES IN PROPERTY, PLANT AND EQUIPMENT, INTANGIBLE ASSETS AND RIGHT-OF-USE ASSETS
Goodwill is not included in intangible assets.
CHANGES IN INTEREST-BEARING LIABILITIES
CONTINGENT LIABILITIES
FINANCIAL ASSETS BY CATEGORY
Principles in estimating fair value of financial assets for 2024 are the same as those used for preparing the consolidated financial statements for 2023.
Principles in estimating fair value for financial liabilities for 2024 are the same as those used for preparing the consolidated financial statements for 2023.
FAIR VALUE MEASUREMENT HIERARCHY
Principles in estimating fair value of financial assets and their hierarchies for 2024 are the same as those used for preparing the consolidated financial statements for 2023.
There were no transfers in the fair value measurement hierarchy levels during the reporting period.
SUOMINEN CORPORATION
Board of Directors
For additional information, please contact:
Tommi Björnman, President & CEO, tel. +358 10 214 3018
Janne Silonsaari, CFO, tel. +358 50 409 9264
Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen's nonwovens are present in people's daily life worldwide. Suominen's net sales in 2023 were EUR 450.9 million and we have nearly 700 professionals working in Europe and in the Americas. Suominen's shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.
Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi
Attachment
2321 Rosecrans Avenue. Suite 2200
90245 El Segundo Stati Uniti