Bergs Timber Declared Robust Q1, Strong Future Market Prospects

SEATTLE (Scrap Monster): Sweden-headquartered Bergs Timber announced robust results for the first quarter of the current year.

The company reported multi-fold surge in EBITDA during the quarter, surging higher from SEK 29 million a year before to SEK 65 million. This was mainly on account of higher sales prices for its products. The EBITDA margin stood at 11%. The operating profit was SEK 47 million, as compared with SEK 13 million a year before. The quarterly operating margin was 7.9%.

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The earnings per share too witnessed sharp increase from SEK 0.06 to SEK 0.15. The company reported 12% surge in net sales, which totalled SEK 593 million during the quarter. The cash flow from operating activities was negatively impacted by seasonally high working capital. The company reported financial debt of SEK 94 million as of 31^st March, 2021, the press release said.

Bergs Timber expects the favourable market conditions to continue in second as well as third quarters of the year. The strong order intake for products will help the company to fully utilize its capacities. It expects rising interest in wood as a building material, which in turn will deliver market performance from all of its product areas.