SCA’s Q2 16 results were below consensus estimates, with fading organic growth and extraordinary charges being the major setbacks. Organic sales growth, a key performance measure, was reduced to only 2% (vs. 3% and 5% in Q1 16 and Q4 15, respectively). Below is an illustration of SCA’s organic growth by segments for the past six quarters: Besides slowing growth in hygiene (SCA’s strategic focus), an extremely difficult operating environment in forest products (both weak pric
20 Jul 2016
Waning organic growth and extraordinary charges add to the bottom-line's woes
Sign up to access
Get access to our full offering from over 30 providers
Get access to our full offering from over 30 providers
Waning organic growth and extraordinary charges add to the bottom-line's woes
Svenska Cellulosa AB SCA Class B (SCA:STU) | 0 0 0.5% | Mkt Cap: 55,579m
- Published:
20 Jul 2016 -
Author:
Varun Sikka -
Pages:
3
SCA’s Q2 16 results were below consensus estimates, with fading organic growth and extraordinary charges being the major setbacks. Organic sales growth, a key performance measure, was reduced to only 2% (vs. 3% and 5% in Q1 16 and Q4 15, respectively). Below is an illustration of SCA’s organic growth by segments for the past six quarters: Besides slowing growth in hygiene (SCA’s strategic focus), an extremely difficult operating environment in forest products (both weak pric