Valmet changes its financial reporting structure and provides comparative segment information for 2021

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27 Apr, 2022, 08:08 GMT

HELSINKI, April 27, 2022 /PRNewswire/ -- Starting from January 1, 2022, Valmet has decided to change its financial reporting structure to better highlight the performance of Valmet's businesses. The new reporting structure reflects Valmet's operational model, anticipates the integration of Neles into Valmet, and is aligned with the way Valmet management follows the operational performance of Valmet's businesses.

Valmet consists of three reportable segments: Services, Automation and Process Technologies. In addition to orders received and net sales, Valmet will disclose profitability of the segments.

Valmet's segments are as follows:

Services segment, which consists of the Services business line
Automation segment, which consists of the Flow Control (starting from 1 April, 2022) and Automation Systems business lines
Process Technologies segment, which consists of the Pulp and Energy, and Paper business lines.

The Services segment provides customers with flexible and fit-for-purpose services throughout the lifecycle to improve process performance and reliability. The Automation segment delivers flow control technologies and services as well as automation solutions ranging from single measurements to mill- or plant-wide process automation systems. The Process Technologies segment provides technology solutions for pulp and energy production, as well as for biomass conversion and emission control, and complete production lines, machine rebuilds and process components for board, tissue and paper production. Each segment has strong position in the growing market of converting renewables and long-term growth possibilities supported by favourable megatrends.

Valmet will continue to report orders received and net sales for its business lines. Valmet's business lines are Services, Flow Control, Automation Systems, Paper, and Pulp and Energy. Automation Systems business line was previously called Automation. Reporting lines in Valmet's Executive Team remain unchanged.

To provide a basis for comparison, the following tables show Valmet's segment financial information on an unaudited basis for all four quarters of 2021 and for the full year 2021. Valmet does not provide pro forma comparative figures for the Flow Control business line.

Orders received, EUR million	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	383	370	341	387	1,481
Automation	123	116	109	119	467
Automation Systems business line	123	116	109	119	467
Process Technologies	807	742	657	587	2,793
Pulp and Energy business line	458	320	145	237	1,160
Paper business line	349	423	512	350	1,634
Total	1,312	1,228	1,107	1,093	4,740

Net sales, EUR million	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	288	337	322	413	1,360
Automation	67	94	91	160	412
Automation Systems business line	67	94	91	160	412
Process Technologies	503	512	522	626	2,163
Pulp and Energy business line	227	236	257	302	1,022
Paper business line	275	277	265	324	1,141
Total	858	943	935	1,199	3,935

Comparable EBITA, EUR million	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	36	47	50	71	204
Automation	5	15	19	40	79
Process Technologies	43	41	46	45	175
Other	-4	-8	-8	-10	-30
Total	80	95	107	147	429

Comparable EBITA, % of net sales	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	12.6%	13.9%	15.5%	17.2%	15.0%
Automation	7.2%	16.4%	20.5%	25 .2%	19.2%
Process Technologies	8.5%	8 .0%	8.9%	7.2%	8.1%
Total	9.4%	10 .1%	11.4%	12.2%	10.9%

EBITA, EUR million	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	41	47	50	72	210
Automation	4	16	19	43	83
Process Technologies	43	41	46	44	173
Other	-	-7	-8	-4	-18
Total	89	97	107	155	448

EBITA, % of net sales	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	14.4%	14 .0%	15.5%	17.3%	15.5%
Automation	6.6%	17.1%	21.0%	27 .0%	20.1%
Process Technologies	8.5%	7.9%	8.8%	7.0%	8.0%
Total	10.3%	10.3%	11.4%	12.9%	11.4%

Items affecting comparability, EUR million	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	5	-	-	1	6
Automation	-	1	-	3	4
Process Technologies	-	-	-1	-2	-3
Other	4	1	-	6	11
Total	8	2	-	8	19

Amortization, EUR million	Q1/2021	Q2/2021	Q3/2021	Q4/2021	2021
Services	-2	-2	-1	-1	-6
Automation	-3	-3	-3	-3	-11
Process Technologies	-2	-2	-2	-2	-8
Other	-6	-6	-5	-6	-24
Total	-13	-13	-12	-12	-49

Further information, please contact:

Pekka Rouhiainen, Director, Investor Relations, Valmet, tel. +358 10 672 0020

VALMET

Kari Saarinen

CFO

Pekka Rouhiainen

Director, Investor Relations

DISTRIBUTION:

Nasdaq Helsinki

Major media

www.valmet.com

Valmet is a leading global developer and supplier of process technologies, automation and services for the pulp, paper and energy industries. With our automation systems and flow control solutions we serve an even wider base of process industries.

We aim to become the global champion in serving our customers. Our 17,000 professionals work close to our customers and are committed to improving our customers' performance - every day.

The company has over 220 years of industrial history and a strong track record in continuous improvement and renewal. In 2022, a major milestone was achieved when the flow control company Neles was merged into Valmet. The combined company net sales in 2021 was approximately EUR 4.5 billion based on the respective company figures.

Valmet's shares are listed on the Nasdaq Helsinki and the head office is in Espoo, Finland.