Borregaard ASA: EBITDA1 of NOK 435 million in the 1st quarter

Borregaard’s operating revenues increased to NOK 1,850 million (NOK 1,615 million)². EBITDA¹ reached NOK 435 million (NOK 400 million). Fine Chemicals and BioMaterials had result improvements while BioSolutions had a decrease. The net currency impact on EBITDA¹ was positive compared with the 1^st quarter of 2022.

The result improvement in Fine Chemicals was due to increased sales prices, a high production output and improved product mix. The EBITDA¹ improvement in BioMaterials was mainly a result of increased sales prices and positive net currency effects. Reduced margin and volume for traded vanillin products were the main reasons for the EBITDA¹ decrease in BioSolutions. Cost Inflation related to wood and other raw materials, maintenance and labour affected all business areas.

Operating profit reached NOK 320 million (NOK 291 million). Net financial items were NOK -28 million (NOK -14 million). Profit before tax was NOK 292 million (NOK 277 million). Earnings per share were NOK 2.32 (NOK 2.18).

Borregaard will invest NOK 100 million in a new green technology platform and build a commercial scale demonstration plant with an annual capacity of 1,000 tonnes at the Sarpsborg biorefinery. The platform will enable deliveries of next generation lignin-based biopolymers and granulation of existing and new products. Targeted application areas are home care, industrial cleaners, water treatment and agriculture.

- We are pleased with the Group’s solid performance in the quarter. The strategic investments in Alginor and lignin-based biopolymers will contribute to further specialisation and value growth for Borregaard, says President and CEO Per A. Sørlie.

Contacts:
Director Investor Relations, Knut-Harald Bakke, +47 905 79 164
Director Communications, Tone Horvei Bredal, +47 924 67 711

1. Operating profit before depreciation, amortisation and other income and expenses
2. Figures in parentheses are for the corresponding period in the preceding year

This information is subject to the disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.

Attachments

• 1st quarter 2023 presentation
• 1st quarter 2023 report
• Quarterly and accounting figures 1st quarter 2023