Arctic Paper's result affected by rising costs
May 20 2010 Arctic Paper generated revenues of 479.4 million Zlotys in the first quarter of 2010, compared to 475.6 million the same period last year. Operating profit, however, decreased by almost 75 percent due to rising raw material costs.
Arctic Paper's operating profit in the first quarter was 12.7 million Zlotys (50.2), and net profit was 670,000 Zlotys (39.3 million). Rising prices for raw materials is tha major reason for the decreasing profit in the first quarter of 2010 compared to 2009.The prices of pulp rose by over 13 percent and hence increased by over 40 percent since the first quarter of 2009. In Sweden the price of electricity showed a substantial increase, and the shortage of power in the early months of 2010 caused the electricity price to momentarily peek over 500 Euros per MWh, Arctic Paper writes in a press release.
