Summary

Interim report Q4/2014: UPM reports strong earnings momentum, record strong balance sheet
 
Q4 2014 compared with Q4 2013

• Earnings per share excluding special items were EUR 0.32 (0.27), and reported EUR 0.01 (0.06)
• Operating profit excluding special items increased to EUR 230 million, 9.1% of sales (207 million, 8.0% of sales)
• UPM announced a new profit improvement programme, targeting annualised EUR 150 million impact by the end of 2015
• Net debt decreased to the record-low level of EUR 2,401 million (3,040 million)
• The UPM Lappeenranta Biorefinery started commercial production of advanced renewable diesel in January 2015

Full year 2014 compared with 2013

• Earnings per share excluding special items were EUR 1.17 (0.91), and reported EUR 0.96 (0.63)
• Operating profit excluding special items increased to EUR 847 million, 8.6% of sales (683 million, 6.8% of sales), due to the success of the EUR 200 million profit improvement programme
• Growth projects in pulp, labelling materials and self-adhesive labels proceeded well and will be completed during 2015
• Operating cash flow was strong at EUR 1,241 million (735 million)
• The Board proposes an increased dividend of EUR 0.70 (0.60) per share
Key figures Q4/2014 Q4/2013 Q3/2014 Q1-Q4/2014 Q1-Q4/2013
Sales, EURm 2,531 2,588 2,415 9,868 10,054
EBITDA, EURm 330 302 346 1,287 1,155
   % of sales 13.0 11.7 14.3 13.0 11.5
Operating profit (loss), EURm 71 134 236 674 548
   excluding special items, EURm 230 207 235 847 683
   % of sales 9.1 8.0 9.7 8.6 6.8
Profit (loss) before tax, EURm 57 115 214 667 475
   excluding special items, EURm 216 188 213 774 610
Profit (loss) for the period, EURm 8 36 182 512 335
Earnings per share, EUR 0.01 0.06 0.34 0.96 0.63
   excluding special items, EUR 0.32 0.27 0.32 1.17 0.91
Return on equity, % 0.4 1.9 9.7 6.9 4.5
   excluding special items, % 9.2 7.5 9.1 8.3 6.4
Operating cash flow per share, EUR 0.86 0.49 0.57 2.33 1.39
Equity per share at end of period, EUR 14.02 14.08 14.33 14.02 14.08
Gearing ratio at end of period, % 32 41 36 32 41
Net interest-bearing liabilities at end of period, EURm 2,401 3,040 2,726 2,401 3,040