UPM Energy

UPM Energy creates value through cost competitive,

low-emission electricity generation and through physical electricity and

financial trading. UPM Energy is the second largest electricity producer in

Finland and a frontrunner in reshaping the Nordic electricity market.

UPM’s power generation capacity consists of hydropower, nuclear power and condensing power.​

​Our direction

  • Create value in electricity generation as well as physical and financial trading
  • Profitable growth on the Nordic electricity market with CO2 emission-free generation

 

Our strengths

  • Cost competitive, low-emission electricity generation portfolio
  • Hydropower as flexible capacity to create value in markets impacted by increasing price volatility
    caused by renewable energy
  • Reliable nuclear as base load generation
  • Value creation track record in physical and financial electricity trading
  • Lean, agile and competent organisation

UPM Energy value created

Important Image

Market trends

  • Cost of new technologies is declining fast
  • Balancing of the grid is more challenging due to increasing share of weather-dependent wind and solar supply
  • Decentralisation of electricity production
  • Security of supply weakened due to capacity closures
  • Growth outlook for electricity consumption is modest
  • Changes in regulation and policies are impacting the willingness of the energy industry to make long term investments
  • Market integration increased through investments in grid interconnectors
  • Digitalisation brings new opportunities to the industry

Key figures

​2016​2015
​Sales, EURm​357​415
​Comparable EBIT, EURm​116​181
​% of sales​32.743.6
​Capital employed (average), EURm​2,340​2,716
​Comparable ROCE, %​5.0​6.7
​Personnel on 31 December​71​73

 

Business areas

Driving for top performance in all business areas

UPM as an investment

Targeting attractive total return

Financial targets

Profitability improved in 2015