|Net sales by region, %||Per cent|
Annual and sustainability report 2022Download the full report
This is Billerud
Billerud provides paper and packaging materials that challenge conventional packaging for a sustainable future. We are a world-leading company in superior paper and packaging products made of virgin fibre. We are passionately committed to sustainability, quality and customer value.
Net sales 2022 by region
Net sales 2022 by product category
|Net sales by product category, %||Per cent|
|Liquid packaging board||20|
|Kraft and speciality paper||13|
Big steps forward in line with our strategy
Christoph Michalski, President and CEO
The trends affecting our industry
The target is for net sales to increase by 3–4% per year. This target was greatly exeeded in 2022 as net sales increased by 63%, mainly due to the acquisition of Verso. The organic and currency neutral net sales growth was 16% .
The target is an EBITDA margin above 17%. This was achieved in 2022 as the EBITDA margin for the year was 19%. The improved margin was mainly a result of higher sales prices and an improved product mix.
Net interest-bearing debt in relation to EBITDA should be less than 2.5. Proceeds from the rights issue in June 2022 were used to repay loans, and debts were further reduced later in the year. At the end of 2022, the ratio was 0.6, well below the target level.
|Year||Interest-bearing net debt/EBITDA|
The policy is to issue a dividend to shareholders of more than 50% of the net profit. The proposed dividend for 2022 of SEK 7.50 per share, comprising of an ordinary dividend of SEK 5.50 and an extraordinary dividend of SEK 2.00, corresponds to 41% of the net profit for the year.
The 2022 target for emissions of fossil CO2 in the manufacturing process was less than 28 kg/ tonne product. The target was reached as the outcome was 27.7 kg/tonne product in Europe. Billerud’s total carbon footprint increased however by the acquisition of operations in North America.
The number of accidents per million work hours (LTIFR) for employees in the Group was 5.4 in 2022. The target for the year of less then 5 was not reached. Further efforts are needed to improve safety and our vision is zero injuries.
The target for 2022 was that over 78% of customers should consider that Billerud’s work on sustainability creates value. For 2022, we are well over target with 84%.
The customer survey is carried out bi-annually.
Strategy and business model
A strategy for growth in packaging
Our strategy provides a clear direction to profitable and sustainable revenue growth. Since the strategy was first presented in November 2021, major accomplishments have been made. In 2022, Billerud’s net sales grew substantially, both organic and through the acquisition of Verso. The expansion to North America and our strategic choices will enable further profitable growth to 2030 and beyond.
Our business model
Areas where we can make the biggest difference
Sustainability is at the core of everything we do
Our sustainability foundation
With the support of a sustainability foundation, that incorporates those aspects that are fundamental to our sustainability work, our ambition is to continue a sustainable transition by maximising the positive and minimising negative impacts along our value chain.
Thank you for reading
Billerud’s Annual General Meeting will be held on May 24th 2023, 15:00 CET, at 7A Posthuset, Palmsalen, in Stockholm.