FORESTRY & PAPER: Textiles Fibre Update
Key message: Cotton in the green, but polyester and VSF down again this week. VSF inventory days now up to 24.0, while the average operating jumps to 69%. VSF/DWP spread is up 24% YTD.
FORESTRY & PAPER: Industry Update
Key message: Softwood pulp comes under further pressure. CWF and LWC prices continue to improve (+1% w/w) and containerboard reaches a new high…
FORESTRY & PAPER: Textiles Fibre Update
Key message: Cotton in the green, while polyester and VSF in the red. VSF inventory days improve to 23.0 with the average operating rate increasing to 60%. VSF/DWP spread is up 27% YTD.
FORESTRY & PAPER: Sappi Q4 21A Insights
Key message: Results broadly in line with our expectations. However, USD 30mn of EBITDA “lost” in Q4 21A due to logistic constraints. Q1 22E guidance better than our base case but CapEx guidance of USD 395mn disappointing in terms of FCF generation in FY 22E.
FORESTRY & PAPER: Industry Update
Key message: 1st signs of weakness for Europe pulp this week. Graphic Paper prices make further ground & containerboard continues to reach new highs.
FORESTRY & PAPER: Sappi Q4 21E Insights
Key message: Maintain OVERWEIGHT. Strong Q4 expected, marking the 5th consecutive quarter of improving EBITDA to USD 189mn and EPS of USD 0.11/share. We expect net debt/EBITDA to decline to 3.8x.
FORESTRY & PAPER: Textiles Fibre Update
Key message: Cotton in the green, polyester in the red and VSF stable. VSF inventory days are currently 23.5 with an average operating rate of 58%. VSF/DWP spread is up 28% YTD.
Forestry & Paper: Industry Price Update
Key message: Pulp prices under further pressure in China. Graphic Paper prices stable but producers confirm further surcharges related to energy costs. In our view, surcharges across the supply chain are likely to further increase the trend towards online communication.
Forestry & Paper: Lenzing Q3 21A Textile Fibre Insights
Key message: Q3 EBIT down 53% q/q. Textile demand outlook for next few months remains uncertain, while cotton dynamics appear supportive of VSF. Lenzing continues to assume a LT DWP price of USD 900/t.
Forestry & Paper: Smurfit Kappa Packaging Insights
Key message: Positive read-though for Mondi. Corrugated volumes +9-11% y/y. European containerboard stocks remain tight and SKG remains bullish on the outlook for containerboard into 2022 and potentially 2023/2024.