Billerud reported third-quarter net sales of USD 1,025m (SEK 10,166m), up 3% year on year, with adjusted EBITDA of USD 104m (SEK 1,032m) and cash conversion of 127%. Region Europe delivered an EBITDA margin of 12%, its best since the first quarter of 2025, while Region North America's 15% margin was held back by operational problems during the Escanaba maintenance shutdown. For the fourth quarter Billerud expects stable markets in both regions and positive pricing to offset input cost inflation.
Why this mattersBillerud passed energy-driven cost inflation through to customers in both regions, a sign that cost-led price increases in kraft paper and board are holding.
- Q3 net sales rose 3% to USD 1,025m (SEK 10,166m) from USD 999m (SEK 9,905m) a year earlier
- Adjusted EBITDA was USD 104m (SEK 1,032m), down from USD 107m (SEK 1,058m), margin 10% versus 11%
- Region Europe EBITDA margin reached 12%, its best quarter since Q1 2025
- Region North America EBITDA margin was 15%, affected by the Escanaba maintenance shutdown
- Cash conversion was 127% in the quarter
- Evolution investment programme in the US will finish in 2027 with approximately USD 50m (SEK 500m) remaining
Sylvamo, Sustana, Billerud and Sappi have introduced fuel or freight surcharges, citing higher diesel and transport costs. Sylvamo charges USD 20 per short ton from 1 October 2026, Sustana USD 20 per ton from 12 October, Billerud USD 25 per ton from 1 November and Sappi USD 25 per ton on graphic paper from 6 November. Coverage, effective-date rules and review mechanisms differ by supplier.
Why this mattersFour producers adding freight surcharges within weeks passes diesel costs through to paper and board buyers outside base-price negotiations.
- Sylvamo: USD 1 per hundredweight (USD 20 per short ton) on covered shipments from 1 October 2026, with orders acknowledged before 25 September exempt.
- Sustana: USD 20 per ton on all grades and formats shipped from 12 October 2026, reviewed weekly.
- Billerud: USD 25 per ton on paper and paperboard orders with confirmed delivery dates from 1 November 2026.
- Sappi: USD 25 per ton on graphic paper deliveries from 6 November 2026, covering McCoy, Opus, Somerset, Flo, Private Label, EuroArt and Galerie grades.
- Sylvamo, Billerud and Sappi tie surcharge review to diesel-price benchmarks.
- Kruger will add a USD 1/100lb (USD 20/short ton) transport surcharge from 1 November 2026, itemised separately on invoices.
- ND Paper will apply a USD 25/short ton surcharge on its Orion, Oxford and Pennacook grades from 13 November 2026, tied to the EIA On-Highway Diesel Price remaining below USD 4.66 for four consecutive weeks.
- ND Paper's USD 25-per-short-ton surcharge applies to all basis weights, finishes and grade extensions of its Orion, Oxford and Pennacook paper from 13 November 2026, covering existing and new orders
- Removal of ND Paper's surcharge requires the EIA On-Highway Diesel Price Index to stay below USD 4.66 for four consecutive weeks
- Garda will add USD 1.25 per hundredweight (USD 25 per short ton) to coated two-side paper invoices from 9 November 2026; orders acknowledged before 16 October keep prior pricing
Swedish forest-sector organisations have published a roadmap, Fardplan for svensk lovindustri 2026-2040, aimed at building a competitive domestic hardwood industry and increasing use of hardwood in processed products such as sawn timber. Billerud, which currently sources 15-20% of its wood fibre from hardwood species with nearly half of that imported, says greater domestic hardwood supply would give the pulp industry better access to hardwood fibre.
Why this mattersA stronger Swedish hardwood supply chain could reduce pulp and paper producers' reliance on imported hardwood fibre and diversify raw-material sourcing.
- Roadmap 'Fardplan for svensk lovindustri 2026-2040' targets a competitive Swedish hardwood industry by 2040.
- Billerud currently uses 15-20% hardwood fibre in its production.
- Nearly half of Billerud's hardwood fibre is imported.
- Roadmap developed jointly by Svenskt tra, Trecentrum, Smalands skogs- och trastrategier and Skogforsk.
- Billerud Wood Supply head Mattias Luxhoj von Knorring says diversifying forestry toward hardwood would raise its economic value for forest owners.
Cartonboard converter Alzamora Group won three categories at the European Carton Excellence Awards 2026, presented by Pro Carton and the European Carton Makers Association in Rome on 17 September. The company was recognised for a child-resistant mono-material pack, a postal-optimised skincare pack and a tequila gift pack, taking its cumulative Pro Carton award tally to 16.
Why this mattersThe wins show cartonboard displacing multi-material and plastic formats in child-safety and e-commerce packs as regulators tighten material rules.
- Awards presented in Rome on 17 September 2026 at the 30th European Carton Excellence Awards.
- Innovation Award went to KidGuard, a single-piece cartonboard child-resistant pack made from Billerud's CrownBoard Kraft, developed with Proquimia.
- Sustainability Award went to a postal-ready pack for UK skincare brand Skin + Me, made from Stora Enso's Ensocoat 2S, fitting a 25mm postal-format limit.
- Beverage Award went to the Tequila Buen Amigo Duo Pack for Zamora Company, made from Metsä Board's FBB Bright folding board.
- KidGuard's child-resistant mechanism was tested on children aged 12 to 35 months by product safety institute AIJU.
- The three wins bring Alzamora Group's total Pro Carton award count to 16.
