Annual Report 1998

24
Graphic Paper
STRONG IMPROVEMENT IN EARNINGS
Firm demand for all grades of paper increased
operating profit for the year by 109%.
Production levels were high.
Key ratios 1998
Group
share % 1997
Net sales (SEK M) 18,902 31 16,562
of which, intra-Group 1,114 909
Operating profit (SEK M) 1,851 29 884
Operating margin (%)
Operating cash
10 5
flow (SEK M)
Capital employed
2,119 30 1,109
excl. goodwill (SEK M) 14,705 31 15,114
Return (%)
Capital expenditures
(SEK M)
13 6
– strategic – – 69
– current 768 37 667
Average no. of employees* 5,905 18 6,051
* Excluding Transforest.
Production capacities shown on page 75.
Net No. of
Net sales and sales, SEK M employees
number of employees 1998 1997 31 Dec. 1998
SCA Graphic Paper 10,242 8,838 2,445
of which, intra-Group 1,278 1,350
SCA Fine Paper 5,934 5,426 2,118
of which, intra-Group 1,268 1,214
SCA Paper Trade 5,272 4,862 1,171
Other – – 24
Total 18,902 16,562 5,758
Production and deliveries
Produced volumes, Change
tons 1998 1997 %
Newsprint* 524,000 499,000 5
SC paper 320,000 294,000 9
LWC paper 356,000 334,000 7
Fine paper 735,500 804,000 –9
* Including SCA’s share from Aylesford Newsprint Ltd (50%).
Change
Deliveries, tons 1998 1997 %
Newsprint1 530,000 498,000 6
SC paper 318,000 295,000 8
LWC paper 351,000 342,000 3
Fine paper2 813,600 808,000 1
1 Including SCA’s share from Aylesford Newsprint Ltd (50%).
2 Including Tatra.
PRODUCTION FACILITIES
SCA Graphic Paper
Production of LWC and SC papers, newsprint and pulp at
four plants in Sweden, Great Britain and Austria.
SCA Fine Paper
Production of coated and uncoated fine papers and pulp
at three plants in Sweden, Germany and Austria.
SCA Paper Trade
Merchanting of fine papers in Europe.