2025-02-13 08:00:00 CET
2025-02-13 08:00:42 CET
REGULATED INFORMATION
Valmet Corporation - Financial Statement Release
Valmet's Financial Statements Review January 1 - December 31, 2024: Orders received increased, but Net sales and Comparable EBITA remained steady in 2024
Valmet's Financial Statements Review January 1 - December 31, 2024: Orders
received increased, but Net sales and Comparable EBITA remained steady in 2024:
Valmet Oyj's stock exchange release on February 13, 2025 at 9:00 a.m. EET
Figures in brackets, unless otherwise stated, refer to the comparison period,
i.e., the same period of the previous year.
October-December 2024: Orders received increased to a new record of close to EUR
2.5 billion
· Orders received increased to EUR 2,463 (EUR 1,155 million).
· Orders received increased in all three segments.
· Orders received increased in South America, Asia-Pacific and North America,
and decreased in China and EMEA (Europe, Middle East and Africa).
· Orders received included a landmark order for a complete pulp mill with full
-scope automation and flow control solutions to Brazil from Arauco, valued at
over EUR 1 billion.
· Net sales remained at the previous year's level and amounted to EUR 1,528
million (EUR 1,499 million).
· Net sales increased in the Automation and Services segments and decreased in
the Process Technologies segment.
· Comparable earnings before interest, taxes and amortization (Comparable
EBITA) increased 5 percent to EUR 192 million (EUR 183 million).
· Comparable EBITA increased in the Services segment, remained at the previous
year's level in the Automation segment, and decreased in the Process
Technologies segment.
· Comparable EBITA margin was 12.6 percent (12.2%).
· Earnings per share (EPS) were EUR 0.53 (EUR 0.56). EPS remained at previous
year's level. Adjusted EPS was EUR 0.60 (EUR 0.65).
· Items affecting comparability amounted to EUR -19 million (EUR -10 million)
and were mainly related to Process Technologies and Automation segments.
· Cash flow provided by operating activities totaled EUR 178 million (EUR 123
million).
January-December 2024: Orders received increased to EUR 5.8 billion
· Orders received increased 18 percent to EUR 5,837 million (EUR 4,955
million).
· Orders received increased in all three segments.
· Orders received increased in South America, North America and Asia-Pacific
and decreased in China and EMEA.
· Net sales remained at the previous year's level and amounted to EUR 5,359
million (EUR 5,532 million).
· Net sales increased in the Automation and Services segments and decreased in
the Process Technologies segment.
· Comparable EBITA remained at the previous year's level and amounted to
EUR 609 million (EUR 619 million).
· Comparable EBITA increased in the Services segment, remained at the previous
year's level in the Automation segment, and decreased in the Process
Technologies segment.
· Comparable EBITA margin was 11.4 percent (11.2%).
· EPS was EUR 1.52 (EUR 1.94). EPS decreased mainly due to lower operating
profit and higher net financial expenses. Adjusted EPS was EUR 1.93 (EUR 2.28).
Adjusted EPS decreased mainly due to lower operating profit and higher net
financial expenses.
· Items affecting comparability amounted to EUR -53 million (EUR -14 million)
and were mainly related to Process Technologies segment.
· Cash flow provided by operating activities totaled EUR 554 million (EUR 352
million).
Dividend proposal
The Board of Directors proposes to the Annual General Meeting, which is planned
to be held on March 26, 2025, a dividend of EUR 1.35 per share for 2024. The
proposed dividend equals 89 percent of the net result and it would be paid in
two installments.
Guidance for 2025
Valmet estimates that net sales in 2025 will remain at the previous year's level
in comparison with 2024 (EUR 5,359 million) and Comparable EBITA in 2025 will
remain at the previous year's level in comparison with 2024 (EUR 609 million).
Short-term market outlook
The short-term market outlook is given for January-June 2025 compared with
October-December 2024. It is Valmet's estimate of the customer activity and
should not be interpreted as guidance for Valmet's orders received.
Process Technologies
Valmet estimates that the customer activity will remain stable. It is typical
that customers' large investment decisions can have a major impact on the market
activity.
Services
Valmet estimates that the customer activity is gradually improving, but the
capacity utilization rates and profitability levels of customers cause
uncertainty to the short-term market outlook.
Automation
Valmet estimates that the customer activity will remain stable.
President and CEO Thomas Hinnerskov: Navigating challenges and celebrating
successes in 2024
"The year 2024 was marked by multiple achievements and key events for Valmet.
The main highlights were the successful launch of Valmet DNAe, our next
-generation industrial automation system, and the landmark order to supply the
world's largest single-phase pulp mill project, valued at over a billion euros,
to Arauco in Brazil. In terms of financial results, we were pleased to see
Valmet's orders received increase to a new record with a mix of roughly 60
percent stable business and 40 percent capital business. A strong order backlog
of close to EUR 4.5 billion gives us a solid starting point going into 2025.
Despite the increase in orders received, Valmet's net sales and Comparable EBITA
did not grow in 2024 and we saw a clear decrease both in revenues and
profitability in the Process Technologies segment. Going forward, we need to
make sure we have an efficient operation that will perform also in the
challenging market.
Looking at the fourth quarter, the big order from Arauco meant that we set a
record for quarterly order intake for Valmet. I was pleased to see orders
growing strongly in all our three segments. When looking at Comparable EBITA, I
would like to highlight the strong performance of Services, which ensured a
strong finish for the year for Valmet.
Towards the end of the year, we have initiated work to renew our strategy with
the aim of defining our future growth areas, accelerating growth, and
simplifying our ways of working. I'm excited about this and believe the changes
we are planning will enable us to be faster and more focused as an organization.
Our legacy, spanning more than 225 years, provides a solid foundation for the
next chapter in our story."
Key figures[1]
[][][][][]
EUR million, or Q4/2024 Q4/202 Change 2024 2023 Change
as indicated 3
Orders received 1,155 >100% 4,955 18 %
2,463 5,837
Order backlog[2] 3,973 12 % 3,973 12 %
4,452 4,452
Net sales 1,499 2 % 5,532 -3 %
1,528 5,359
Comparable EBITA 183 5 % 619 -2 %
192 609
% of net sales 12.6 % 12.2 11.4 11.2 %
% %
EBITA 172 0% 605 -8 %
173 557
% of net sales 11.3 % 11.5 10.4 10.9 %
% %
Operating profit 148 1 % 507 -11 %
(EBIT) 150 449
% of net sales 9.8 % 9.9% 8.4 % 9.2 %
Profit before 133 1 % 473 -19 %
taxes 134 383
Profit for the 103 -4 % 359 -22 %
period 98 281
Earnings per 0.56 -4 % 1.94 -22 %
share, EUR 0.53 1.52
Adjusted 0.65 -8 % 2.28 -15 %
earnings per 0.60 1.93
share, EUR
Equity per 13.93 2 % 13.93 2 %
share, EUR[2 ] 14.15 14.15
Cash flow 123 44 % 352 57 %
provided by 178 554
operating
activities
Cash flow after -316 -181
investing 151 316
activities
Comparable 12.7 14.5 %
return on %
capital
employed
(Comparable
ROCE) before
taxes
Return on 11.4 14.2 %
capital employed %
(ROCE)
before taxes
Return on equity 10.8 14.1 %
(ROE) %
Net debt to 1.55
EBITDA ratio[ ] 1.46
Gearing[2] 39 % 40 %
Equity to assets 44 % 43 %
ratio[2]
[1] The calculation of key figures is presented on section ‘Formulas for
calculation of indicators'.
[2] At end of period.
Segment key figures
Orders Q4/2024 Q4/2023 Change 2024 2023
Change
received,
EUR
million
Services 479 404 19% 1,915 1,760
9%
Automation 443 319 39% 1,446 1,340
8%
Flow Control 5%
-3%
185 176 763 789
Automation 80%
24%
Systems 258 143 683 551
Process 1,541 432 >100% 2,477 1,856
33%
Technologies
Pulp and >100%
85%
Energy 1,165 227 1,581 854
Paper 84%
-11%
376 204 897 1,002
Total 2,463 1,155 >100% 5,837 4,955
18%
Net sales, Q4/2024 Q4/2023 Change 2024 2023
Change
EUR million
Services 567 508 12% 1,900 1,784
7%
Automation 424 375 13% 1,437 1,328
8%
Flow Control 5%
2%
206 196 791 777
Automation 21%
17%
Systems 217 180 646 551
Process 537 615 -13% 2,023 2,420
-16%
Technologies
Pulp and -18%
-18%
Energy 221 268 870 1,067
Paper -9%
-15%
317 347 1,152 1,353
Total 1,528 1,499 2% 5,359 5,532
-3%
Comparable Q4/2024 Q4/2023 Change 2024 2023 Change
EBITA, EUR
million
Services 24% 6%
112 91 331 312
Automation 2% 3%
81 79 255 248
Process -40% -34%
Technologies 15 25 73 110
Other 31% -2%
-17 -13 -49 -50
Total 5% -2%
192 183 609 619
Comparable EBITA, % of net sales Q4/2024 Q4/2023 2024 2023
Services 19.8 % 17.9 % 17.4 % 17.5 %
Automation 19.1 % 21.1 % 17.7 % 18.6 %
Process Technologies 2.8 % 4.1 % 3.6 % 4.5 %
Total 12.6 % 12.2 % 11.4 % 11.2 %
EBITA, EUR Q4/2024 Q4/2023 Change 2024 2023 Change
million
Services 113 41% 7%
80 322 302
Automation -5% 1%
76 80 248 245
Process -90% -64%
Technologies 3 29 42 116
Other 10% -4%
-19 -18 -56 -58
Total 173 0 % -8%
172 557 605
News conference and webcast for analysts, investors and media
Valmet will arrange a news conference in English as a live webcast at
https://valmet.videosync.fi/q (https://valmet.videosync.fi/q4
-2024)4 (https://valmet.videosync.fi/q4-2024)
-2024 (https://valmet.videosync.fi/q4-2024) on Thursday, February 13, 2025, at
11:00 a.m. Finnish time (EET). President and CEO Thomas Hinnerskov and CFO Katri
Hokkanen will be presenting the results.
Recording of the webcast will be available shortly after the event on website.
It is possible to take part in the news conference through a conference call by
registering through the link below:
https://player.videosync.fi/valmet/q4-2024/dial-in
After the registration you will be provided phone numbers and a conference ID to
access the conference. If you wish to ask a question during the conference,
please dial *5 to enter the question queue.
The event is held in English.
The event can also be followed on social media platform X at www.x.com/valmetir.
Further information, please contact:
Pekka Rouhiainen, VP, Investor Relations, Valmet, tel. +358 10 672 0020
VALMET
Katri Hokkanen
CFO
Pekka Rouhiainen
VP, Investor Relations
DISTRIBUTION:
Nasdaq Helsinki
Major media
www.valmet.com
Valmet has a global customer base across various process industries. We are a
leading global developer and supplier of process technologies, automation and
services for the pulp, paper and energy industries, and with our automation and
flow control solutions we serve an even wider base of process industries. Our
more than 19,000 professionals around the world work close to our customers and
are committed to moving our customers' performance forward - every day.
The company has more than 225 years of industrial history and a strong track
record in continuous improvement, sustainability and renewal. Valmet's net sales
in 2024 were approximately EUR 5.4 billion.
Valmet's shares are listed on the Nasdaq Helsinki and the head office is in
Espoo, Finland.
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