Earnings per share excluding special items were EUR 0.37 (0.32) and reported EUR 0.36 (0.01). Operating profit excluding special items was EUR 225 million, 8.7% of sales (230 million, 9.1% of sales). Growth projects began contributing to UPM’s earnings, with a strong start in the expanded UPM Kymi pulp mill and UPM Biofuels reaching break-even level. In addition, the speciality paper machine at the UPM Changshu mill in China started production in December. The profit improvement programme exceeded its target, reaching a cost reduction impact of EUR 41 million in Q4 2015 (annualised EUR 165 million). Operating cash flow was strong at EUR 390 million (462 million), and net debt decreased to EUR 2,100 million (2,401 million).
Earnings per share excluding special items were EUR 1.75 (1.17) and reported EUR 1.72 (0.96). Operating profit excluding special items was EUR 1,163 million, 11.5% of sales (847 million, 8.6% of sales). In 2015, UPM completed several growth projects: the speciality paper machine at UPM Changshu mill, expansion of the UPM Kymi pulp mill, Lappeenranta advanced biofuel refinery and UPM Raflatac expansions in Poland and APAC. New expansion projects began at the Kaukas pulp mill and Otepää plywood mill. UPM closed 800,000 tonnes of graphic paper production capacity in Europe in H1 2015. The Board proposes a dividend of EUR 0.75 (0.70) per share, representing 34% of operating cash flow per share.
UPM story describes our strategy and transformation process, how we at UPM ensure growth and sustainable value creation.
The story outlines our short and medium term strategic actions and the value our businesses create throughout the value chain. Responsibility is an integral part of our daily work at UPM and we see it also as good business. UPM story rounds-off with financial targets and UPM’s value proposition to investors.