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Norske Skog remains under pressure

Norske Skog posted a net loss of NOK 1,39 bn for januari-september, a 60 % decline compared with same period last year.
Norske Skog’s gross operating earnings in the third quarter of 2013 were NOK 176 million, down from NOK 371 million in the third quarter of 2012. The decrease was due to divestments and lower margins.

Cash flow from operating activities was NOK -91 million in the third quarter, and was weaker than the third quarter of 2012. The decrease was due to lower operating earnings and increased working capital.
- The total production capacity has been reduced in line with market demand. A better balance between supply and demand has given room for price increases in the second half of the year.

–This, combined with a favourable exchange rate development and stable raw material costs, contributes to a brighter margin outlook, says CEO Sven Ombudstvedt.
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