OREANDA-NEWS. October 24, 2014. Wood products company Setra reports an operating profit of SEK 192 million (USD26.4 million) for the period January-September 2014.

This corresponds to an operating margin of 6.1%. The return on operating capital amounts to 14.8% for the past twelve-month period, as the company said in the press release received by Lesprom Network.

“We are focusing on those things we have control over. The improvement in earnings is explained by our internal efficiency measures to improve long-term competitiveness combined with market and currency developments,” says Hannele Arvonen, President and CEO of Setra.

Cash flow from operating activities for January-September amounted to SEK 179 million ((USD 24.6 million) and the net debt/equity ratio at the end of the period was 19%.

“Although the long-term global demand for wood products looks positive, there are several short-term challenges. Demand is slowing in key importing countries in Asia and Europe and we are seeing an increasingly supply-driven market with a resulting pressure on prices,” says Arvonen.

Setra is one of Sweden’s largest wood products companies and a leading player in Europe. The company offers eco-certified wood products for interiors and construction to customers in the building materials trade and industry.