Koskisen’s revenue increased – challenging market conditions and operational challenges weakened profitability

Koskisen’s revenue increased – challenging market conditions and operational challenges weakened profitability

This release is a summary of Koskisen Corporation’s January–March 2026 Interim Report. The complete Interim Report is attached, and also available on the company’s website at koskisen.com/investors.

January–March 2026 in brief

• Revenue increased and amounted to EUR 105.0 (86.3) million.
• EBITDA amounted to EUR 6.5 (9.4) million.
• The EBITDA margin was 6.2 per cent (10.9).
• Adjusted EBITDA amounted to EUR 6.6 (9.5) million.
• The adjusted EBITDA margin was 6.3 per cent (11.0).
• Operating profit amounted to EUR 2.5 (6.2) million and was 2.4 per cent (7.2) of revenue.
• The profit for the financial period amounted to EUR 0.9 (4.2) million.
• Basic earnings per share were EUR 0.04 (0.18).

The figures in brackets refer to the comparison period, i.e. the corresponding period in the previous year, unless specified otherwise. The business operations of Iisveden Metsä are included in the figures in this Interim Report starting from 1 June 2025.

The updated profit guidance (published on 13 May 2026):

Koskisen Group’s revenue for 2026 is expected to increase from the level of 2025. The adjusted EBITDA margin is expected to be below the level of full year 2025 (2025: 8.1%).

The previous profit guidance (published on 13 February 2026):

Koskisen Group’s revenue for 2026 is expected to increase from the level of 2025. The adjusted EBITDA margin is expected to be 8–12 per cent.

Key figures

CEO Jukka Pahta:

Despite challenges, Koskisen Group’s development continued to be strong in terms of revenue. Revenue for the quarter reached an all-time high of EUR 105.0 (86.3) million, exceeding EUR 100 million for the first time. This was the eighth consecutive quarter of growth, which proves that the determined implementation of the growth strategy continues. However, profitability was clearly weaker than in the comparison period. Adjusted EBITDA amounted to EUR 6.6 (9.5) million.

At the beginning of the year, the operating environment showed cautious but more broad-based positive trends in several key markets. In particular, this was reflected in the gradual strengthening of consumer sentiment. However, the trend turned quickly when the situation changed significantly due to the unstable foreign policy of the US, the war in Iran, damage to energy infrastructure and Iran’s decision to close the Strait of Hormuz. The closure of the Strait of Hormuz affected critical maritime traffic and led to serious disruptions in energy supply chains in particular.

The prices of energy, esp. natural gas and oil, rose rapidly as a result of the supply disruptions, which was broadly reflected in increased cost pressures. As inflation expectations turned up again, the pressure to tighten monetary policy also increased. This was reflected in increasing Euribor interest rates and the expected interest rate cuts in the US being postponed further into the future. This had a particularly negative impact on the already weak consumer sentiment and slowed down recovery in both the construction and consumer goods markets.

Sawn Timber Industry had a challenging start to the quarter. The Järvelä sawmill fell significantly short of the planned production volumes due to challenges in the production ramp-up after the maintenance shutdown as well as the cold weather at the beginning of the year. However, the production level was raised to the targeted monthly level, and the production gap was partially closed. In Iisvesi, production proceeded as planned. Profitability was burdened by the weak market situation and high raw material costs; EBITDA declined to EUR 2.9 (5.4) million.

The market for sawn timber remained soft and there was no significant change in prices. The prolonged weak market situation was reflected in customers’ financial situation and the tightening of credit insurance limits that are key to sales. The price of wood raw material remained high in relation to the market conditions, especially with the prices of wood chips produced as by-products of production and fibrewood obtained in connection with wood procurement falling significantly.

Thanks to good winter harvesting conditions, wood procurement went according to plan for almost the entire quarter, until the rapid warming of the weather limited harvesting at the end of the season. Both the standing and factory stocks remained at target levels. Demand for energy fractions was strong, and the surplus stock accumulated from the previous heating season was mainly cleared.

In the Panel Industry segment, birch plywood demand and prices remained stable during the period. Demand for chipboard remained soft due to the weak economic cycle in the domestic construction and furniture markets. Despite challenging market conditions, Kore had a good start to the year in terms of both sales and production, as did the thin plywood business in Hirvensalmi. Overall, EBITDA of Panel Industry declined to EUR 4.0 (4.5) million. Availability of birch raw material remained normal and the planned volumes of raw material were available for production.

In plywood production, the ramp-up of the automated puttying line continued. There were challenges especially in the behaviour of the putty in cold conditions. Puttying also had to be carried out as overtime on the parallel old line, which had a negative impact on both production throughput and costs.

The Panel Industry’s Zero product family was expanded to the building panel product category. Being bio-based and made entirely from renewable materials, the ZeroFloor and ZeroWall building panels facilitate the emissions reduction from construction. Zero product family meets the increased demand for bio-based solutions in many industries. In its sustainability programme, Koskisen is committed to reducing the climate emissions in its own operations and the value chain.

The risks in the operating environment remain elevated. The prolongation of the energy crisis and tightening of the interest rate environment may lead to a broader and longer-term deterioration of the economy. In addition, the nesting-time tree harvesting restrictions that may enter into force this spring pose a risk to the raw material supply in Panel Industry in the spring and early summer, as the effects would be targeted at the current period. However, preparations for this have been carried out proactively in wood procurement where possible.

Webcast

A webcast (in Finnish) in relation to January-March 2026 Interim Report will be held today on 15 May 2026 at 10:00 a.m. EEST. The webcast can be followed at koskisen.com/videos. The presentation material and a recording of the webcast will be available on the company’s website afterwards.

For further information, please contact:

Jukka Pahta, CEO, Koskisen Corporation
[email protected]
puh. +358 20 553 4561

Media enquires:

Sanna Väisänen, Director, Sustainability and Communications, Koskisen Corporation
[email protected]
puh. +358 20 553 4563

Koskisen is an international wood processing specialist and known for its agility and ability to listen to the customer. We utilise our valuable wood raw material as thoroughly as possible, up to the last particle of sawdust. We manufacture high-quality and sustainable circular bioeconomy products that store carbon for decades. The Group’s revenue in 2025 was EUR 355 million. Read more: koskisen.com