Unaudited

Stora Enso ensures that all material information that has an impact on Stora Enso’s share price is simultaneously available to the general public and financial community in order to ensure the right share price level in relation to the company’s history, assets and future prospects. In its engagement with the capital markets, Stora Enso’s Investor Relations aims to support the brand with accurate, consistent and credible financial communications.

Shares and shareholders

Shares and voting rights

The shares of Stora Enso Oyj (hereafter the “Company” or “Stora Enso”) are divided into A and R shares, which entitle holders to the same dividend but different voting rights. Each A share and each ten R shares carry one vote at a shareholders’ meeting. However, each shareholder has at least one vote.

On 31 December 2017, Stora Enso had 176 392 320 A shares and 612 227 667 R shares in issue, of which the Company held no A shares or R shares. The total number of Stora Enso shares in issue was 788 619 987 and the total number of votes was at least 237 615 087.

Share listings

Stora Enso shares are listed on the Nasdaq Helsinki and the Nasdaq Stockholm. Stora Enso shares are quoted in Helsinki in euros (EUR) and in Stockholm in Swedish crowns (SEK).

American Depositary Receipts (ADRs)

Stora Enso has a sponsored Level I American Depositary Receipts (ADR) facility. Stora Enso ADRs are traded over-the-counter (OTC) in the USA. The ratio between Stora Enso ADRs and R shares is 1:1, i.e. one ADR represents one Stora Enso R share. Citibank, N.A. acts as the depositary bank for the Stora Enso ADR programme. The trading symbol is SEOAY and the CUSIP number is 86210M106.

Share registers

The Company’s shares are entered in the Book-Entry Securities System maintained by Euroclear Finland Oy, which also maintains the official share register of Stora Enso Oyj.

On 31 December 2017, 93 316 941 of the Company’s shares were registered in Euroclear Sweden AB and 15 115 842 of the Company’s R shares were registered in ADR form in Citibank, N.A.

Distribution by book-entry system, 31 December 2017
Number of shares Total A shares R shares
Euroclear Finland Oy 680 187 204 165 297 663 514 889 541
Euroclear Sweden AB1 93 316 941 11 094 657 82 222 284
Citi administered ADRs1 15 115 842 - 15 115 842
Total 788 619 987 176 392 320 612 227 667
1 Share registered in Euroclear Sweden and ADRs are both nominee registered in Euroclear Finland.

Ownership distribution, 31 December 2017
% of shares % of votes % of shareholders
Solidium Oy1 12.3% 27.3% 0.0%
FAM AB2 10.2% 27.3% 0.0%
Social Insurance Institution of Finland (KELA) 3.2% 10.1% 0.0%
Finnish institutions (excl. Solidium and KELA) 11.1% 9.0% 2.8%
Swedish institutions (excl. FAM) 5.7% 4.9% 1.7%
Finnish private shareholders 3.8% 2.3% 44.6%
Swedish private shareholders 3.1% 2.2% 48.4%
ADR holders 1.9% 0.6% 1.6%
Under nominee names (non-Finnish/non-Swedish shareholders) 48.7% 16.3% 1.0%
1 Entirely owned by the Finnish state.
2 As confirmed to Stora Enso.

Share capital

On 31 December 2017, the Company’s fully paid-up share capital entered in the Finnish Trade Register was EUR 1 342 million. The current accountable par of each issued share is EUR 1.70.

Conversion

According to the Articles of Association, holders of Stora Enso A shares may convert these into R shares at any time. The conversion of shares is voluntary. The conversions of a total of 114 770 A shares into R shares were recorded in the Finnish Trade Register during the year 2017.

Changes in share capital 2010–2017
No. of A shares issued No. of R shares issued Total no. of shares Share capital (EUR million)
Stora Enso Oyj, 1 Jan 2010 177 152 481 612 386 018 789 538 499 1 342
Conversion of A shares into R shares, Dec 2009–Nov 2010 -300 300 - -
Stora Enso Oyj, 31 Dec 2010 177 149 784 612 388 715 789 538 499 1 342
Conversion of A shares into R shares, Dec 2010–Nov 2011 -1 012 1 012 - -
Stora Enso Oyj, 31 Dec 2011 177 148 772 612 389 727 789 538 499 1 342
Conversion of A shares into R shares, Dec 2011–Nov 2012 -1 000 1 000 - -
Stora Enso Oyj, 31 Dec 2012 177 147 772 612 390 727 789 538 499 1 342
Cancellation of shares owned by the Company, 15 May 2013 -918 512 788 619 987 -
Conversion of A shares into R shares, Dec 2012–Nov 2013 -51 568 51 568 - -
Stora Enso Oyj, 31 Dec 2013 177 096 204 611 523 783 788 619 987 1 342
Conversion of A shares into R shares, Dec 2013–Nov 2014 -40 000 40 000 - -
Stora Enso Oyj, 31 Dec 2014 177 056 204 611 563 783 788 619 987 1 342
Conversion of A shares into R shares, Dec 2014–Nov 2015 -524 114 524 114 - -
Stora Enso Oyj, 31 Dec 2015 176 532 090 612 087 897 788 619 987 1 342
Conversion of A shares into R shares, Dec 2015–Nov 2016 -25 000 25 000 - -
Stora Enso Oyj, 31 Dec 2016 176 507 090 612 112 897 788 619 987 1 342
Conversion of A shares into R shares, Dec 2016–Nov 2017 -114 770 114 770 - -
Stora Enso Oyj, 31 Dec 2017 176 392 320 612 227 667 788 619 987 1 342
For more historical data about the share capital, please visit storaenso.com/investors

Stora Enso’s activities in capital markets during 2017

Stora Enso’s Investor Relations activities cover equity and fixed-income markets to ensure full and fair valuation of the Company, continual access to funding sources and stable bond pricing. Investors and analysts are met on a regular basis in Europe, North America, and parts of Asia and Latin America. In 2017, the IR team conducted several individual and group meetings with equity investors, whilst maintaining regular contact with equity research analysts at investment banks and brokerage firms. There were also meetings with fixed-income analysts and investors. In addition, Stora Enso arranged a webinar for ESG investors and analysts on its sustainability strategy and activities.

The group arranged site visits to mills in Finland, China, and Uruguay for the members of the investment community. In addition, visit to innovation centre in Stockholm and to Wood City in Helsinki were arranged. Senior management and IR personnel also gave presentations at equity and fixed-income investor conferences in Scandinavia, Continental Europe, the United Kingdom and North America. During the year, the group arranged three large group presentations for private investor in Sweden.

Stora Enso arranged Capital markets day (CMD) on 8 November 2017 in London. At the event, the CEO, CFO and the Divisional heads of Consumer Board, Packaging Solutions and Biomaterials gave their presentations, which were followed by break-out sessions with the CEO, CFO and divisional heads providing an opportunity for further discussion with the management. In addition, Renewable Packaging, Intelligent Packaging, Microfibrillated Cellulose (MFC), Biocomposites, and Carbon fibre were shown on demo stations during the event. The CMD was attended by sell-and-buy side analysts, equity and fixed income investors, and relationship bank representatives.

Shareholdings of other group-related bodies at 31 December 2017

E.J. Ljungberg’s Education Foundation owned 1 780 540 A shares and 2 336 224 R shares, E.J. Ljungberg’s Foundation owned 39 534 A shares and 101 579 R shares, Mr. and Mrs. Ljungberg’s Testamentary Foundation owned 5 093 A shares and 13 085 R shares and Bergslaget’s Healthcare Foundation owned 626 269 A shares and 1 609 483 R shares.

Shareholders

At the end of 2017, the Company had approximately 80 366 registered shareholders, including about 40 791 Swedish shareholders and about 1 248 ADR holders. Each nominee register is entered in the share register as one shareholder.

The free float of shares excluding shareholders with holdings of more than 5% of shares or votes is approximately 586 million shares, which is 74% of the total number of shares issued. The largest shareholder in the Company is Solidium Oy based in Finland.

 

Major shareholders as at 31 December 2017
By voting power A shares R shares % of shares % of votes
1 Solidium Oy1 61 255 036 35 792 540 12.3% 27.3%
2 FAM AB2 63 123 386 17 000 000 10.2% 27.3%
3 Social Insurance Institution of Finland 23 825 086 1 279 062 3.2% 10.1%
4 Varma Mutual Pension Insurance Company 9 913 018 140 874 1.3% 4.2%
5 MP-Bolagen i Vetlanda AB, (Werner von Seydlitz dödsbo) 4 803 000 3 087 000 1.0% 2.2%
6 Ilmarinen Mutual Pension Insurance Company 3 492 740 15 231 189 2.4% 2.1%
7 Erik Johan Ljungberg's Education Foundation 1 780 540 2 336 224 0.5% 0.8%
8 Swedbank Robur Funds - 10 454 540 1.3% 0.4%
9 The State Pension Fund - 7 900 000 1.0% 0.3%
10 Bergslaget's Healthcare Foundation 626 269 1 609 483 0.3% 0.3%
11 Nordea Investment Funds - 7 242 182 0.9% 0.3%
12 Unionen (Swedish trade union) - 5 297 200 0.7% 0.2%
13 Keva (Local Government Pensions Institution) - 5 251 101 0.7% 0.2%
14 SEB Investment Management - 5 231 079 0.7% 0.2%
15 Investment Fund OP Suomi - 4 253 482 0.5% 0.2%
Total 168 819 075 122 105 956 37.0% 3 76.1% 3
Nominee-registered shares 74 491 298 467 494 861 68.7% 3 4 51.0% 3 4
1 Entirely owned by the Finnish State.
2 As confirmed to Stora Enso.
3 As some of the shareholdings on the list are nominee registered, the percentage figures do not add up to 100%.
4 According to Euroclear Finland.
The list has been compiled by the Company on the basis of shareholder information obtained from Euroclear Finland, Euroclear Sweden and a database managed by Citibank, N.A (Citi). This information includes only directly registered holdings, thus certain holdings (which may be substantial) of shares held in nominee or brokerage accounts cannot be included. The list is therefore incomplete.

Share price performance and volumes

Helsinki

The Stora Enso R (STERV) share price increased by 30% during 2017 (22% increase in 2016). Over the same period, the OMX Helsinki Index increased by 6%, the OMX Helsinki Benchmark Index by 7% and the OMX Helsinki Basic Materials Index by 13%.

Stockholm

The Stora Enso R (STE R) share price increased during 2017 by 32% (28% increase in 2016). Over the same period, the OMX Stockholm 30 Index increased by 4% and the OMX Stockholm Basic Materials Index increased by 20%.

OTC

Stora Enso ADR (SEOAY) share price increased by 48% during 2017 (17% increase in 2016). Over the same period, the Standard & Poor’s Global Timber and Forestry Index increased by 11%.

Share prices and volumes 2017
Helsinki, EUR Stockholm, SEK OTC, USD
A share 13.87 135.70
High R share 13.80 135.10 15.95
A share 10.20 95.30
Low R share 9.56 90.65 10.02
A share 13.20 130.0
Closing, 31 Dec 2017 R share 13.22 129.5 15.78
A share 27% 28%
Change from previous year R share 30% 32% 48%
A share 6 768 170 2 041 449
Cumulative trading volume, no. of shares R share 571 717 014 140 626 449 4 341 440

The volume-weighted average price of R shares over the year was EUR 8.03 in Helsinki (EUR 7.88 in 2016), SEK 70.84 in Stockholm (SEK 76.63 in 2016) and USD 13.05 on the OTC in the USA (USD 9.66 in 2016). The percentage of R shares traded was 62.5% (58.2% in 2016) in alternative trading venues, 29.9% (35.0% in 2016) in Helsinki, 7.4% (6.5% in 2016) in Stockholm and 0.2% (0.3% in 2016) on the OTC in the USA. Total market capitalisation on the OMX Helsinki at year-end was EUR 10.4 billion (EUR 8.1 billion).

Alternative trading venues

Stora Enso shares can be traded outside Nasdaq Helsinki and Nasdaq Stockholm, where the shares are listed. During 2017, the largest alternative trading venues included Cboe BXE, Cboe CXE, Turquoise, and LSE. The alternative trading venues’ market share of monthly turnover in Stora Enso shares varied between 52% and 72%. Of the alternative trading venues, Cboe BXE had the biggest share of the volume with 29% on an annual basis (BATS OTC had the biggest share of the volume in 2016 with 23%).

 

Stora Enso is included in at least the following indices
OMX INDICES STOXX INDICES FTSE INDICES MSCI INDICES SUSTAINABILITY INDICES
OMX Helsinki STOXX Global 1800 FTSE RAFI All-World 3000 MSCI Finland CDP's Climate A list
OMX Helsinki 25 STOXX Europe 600 FTSE RAFI Developed 1000 MSCI Europe FTSE4 Good Index
OMX Helsinki Large Cap STOXX Europe Mid 200 FTSE RAFI Europe MSCI World STOXX® Global ESG Leaders Indicies
OMX Helsinki Benchmark STOXX Nordic FTSE Finland 25 Index ECPI EMU Ethical Equity index
OMX Helsinki Basic Materials EURO STOXX OMX GES Sustainability Nordic Index
OMX Helsinki Basic Resources EURO STOXX Basic Materials Ethibel Sustainability Index (ESI) Excellence Europe and Excellence Investment Register
OMX Helsinki Forestry & Paper EURO STOXX Basic Resources Euronext Vigeo - Europe 120
OMX Stockholm MSCI ESG indices
OMX Stockholm Basic Materials
OMX Stockholm Forestry & Paper
OMX Nordic
OMX Nordic Large Cap
Read more about sustainability indeces in the Sustainability Report 2017.

In 2016, Stora Enso shifted its strategy regarding the provision of ESG information to its stakeholders. The aim is to keep sustainability information widely available on the group website to benefit and serve different stakeholders in equal manner. As a consequence, Stora Enso simultaneously reduces the number of sustainability index survey questionnaires in which it participates. The group is targeting its participation in those questionnaires and enquiries that it has assessed to be the most material. The Company continues with this chosen strategy also in 2018.

Trading codes and currencies
Helsinki Stockholm OTC
A share STEAV STE A -
R share STERV STE R -
ADRs - - SEOAY
Segment Large Cap Large Cap -
Sector Materials Materials -
Currency EUR SEK USD
ISIN, A share FI0009005953 FI0009007603
ISIN, R share FI0009005961 FI0009007611
CUSIP - - 86210M106
Reuters STERV.HE
Bloomberg STERV FH Equity

Key share data 2008-2017, total operations (for calculations see Calculation of Key figures)
According to Nasdaq Helsinki 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008
Earnings per share, EUR 0.79 0.59 1.02 0.13 -0.07 0.61 0.43 0.97 -1.12 -0.85
– diluted, EUR 0.79 0.59 1.02 0.13 -0.07 0.61 0.43 0.97 -1.12 -0.85
– excl. IAC, EUR 0.89 0.65 1.24 0.40 0.40 0.33 0.63 0.79 0.19 0.19
Equity/share, EUR 7.62 7.36 6.83 6.43 6.61 7.32 7.45 7.87 6.50 7.09
Dividend and distribution/share, EUR 0.411 0.37 0.33 0.30 0.30 0.30 0.30 0.25 0.20 0.20
Payout ratio, % 52 63 32 231 -429 49 70 26 -18 -24
Dividend and distribution yield, %
A share 3.1 3.56 3.9 4.0 4.1 5.3 5.9 3.2 3.4 3.6
R share 3.1 3.62 3.9 4.0 4.1 5.7 6.5 3.3 4.1 3.6
Price/earnings ratio (P/E), excl. IAC
A share 14.83 16.00 6.8 18.7 18.3 17.3 8.0 10.0 30.8 29.6
R share 14.85 15.71 6.8 18.6 18.3 15.9 7.3 9.7 25.7 29.1
Share prices for the period, EUR
A share
– closing price 13.20 10.40 8.40 7.48 7.31 5.70 5.03 7.90 5.85 5.63
– average price 11.93 8.50 8.87 7.29 6.82 6.15 7.73 6.47 5.03 7.48
– high 13.79 10.45 11.01 8.35 7.49 7.15 9.80 7.94 7.55 11.20
– low 10.26 6.56 6.70 5.73 5.42 5.10 4.70 5.30 2.82 5.16
R share
– closing price 13.22 10.21 8.39 7.44 7.30 5.25 4.63 7.69 4.88 5.52
– average price 11.54 7.88 8.70 7.16 5.79 5.08 6.28 6.03 4.27 7.32
– high 13.75 10.28 10.95 8.38 7.54 5.95 8.99 7.79 6.16 10.44
– low 9.70 6.50 6.58 5.71 4.76 4.14 3.73 4.15 2.65 5.10
Market capitalisation at year-end, EUR million
A share 2 328 1 836 1 483 1 324 1 295 1 010 891 1 400 1 036 997
R share 8 094 6 250 5 135 4 547 4 464 3 212 2 835 4 709 2 989 3 381
Total 10 422 8 085 6 618 5 871 5 756 4 222 3 726 6 109 4 025 4 378
Number of shares at the end of period, (thousands)
A share 176 392 176 507 176 532 177 056 177 096 177 148 177 149 177 150 177 150 177 152
R share 612 228 612 113 612 088 611 564 611 524 612 391 612 389 612 389 612 388 612 386
Total 788 620 788 620 788 620 788 620 788 620 789 538 789 538 789 538 789 538 789 538
Trading volume, (thousands)
A share 6 768 1 254 1 641 1 553 1 656 831 1 402 1 887 2 536 1 712
% of total number of A shares 3.8 0.7 0.9 0.9 0.9 0.5 0.8 1.1 1.4 1.0
R share 571 717 765 122 798 507 731 067 828 401 977 746 1 237 898 1 194 245 1 297 668 1 231 605
% of total number of R shares 93.4 125 130.5 119.5 135.5 159.7 202.1 195.0 211.9 201.1
Average number of shares (thousands)
basic 788 620 788 620 788 620 788 620 788 620 788 620 788 620 788 619 788 620 788 620
diluted 790 024 789 888 789 809 789 210 788 620 788 620 788 620 788 619 788 620 788 620
1 Board of Directors' proposal to the AGM for distribution of dividend.
IAC = Items affecting comparability

Read more about incentive programmes in Note 21 and management interests in Note 7.

Dear reader,

The Stora Enso Financial Report is optimised for mobile devices, but for the best experience, we recommend that you use a larger screen size.