Mayr-Melnhof Karton AG: MM reports Annual Results 2025

Mayr-Melnhof Karton AG / AT0000938204

Mayr-Melnhof Karton AG / Key word(s): Annual Results


17.03.2026 / 07:45 CET/CEST
The issuer is solely responsible for the content of this announcement.

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Successfully prevailed in a challenging environment Successful ramp-up of the Group-wide Fit-For-Future programme for sustainable earnings improvement Adjusted operating profit up 3 % (pro forma excl. TANN up 15 %) Around EUR 70 million earnings contribution already in 2025 Sustainable earnings improvement of more than EUR 250 million expected in 2027 Balance sheet strengthened: higher equity ratio, lower net debt Dividend increase of 11 % to EUR 2.00/share in line with new dividend policy Further reduction of absolute CO2 emissions by 11 % Weak market conditions and structural overcapacity persist Group Key indicators - IFRS

Consolidated, in millions of EUR	2025	2024	+/-
Sales	3,885.3	4,079.6	-4.8 %
Adjusted EBITDA	418.2	418.5	-0.1 %
Adjusted operating profit	195.4	190.0	+2.8 %
Adjusted operating margin (in %)	5.0 %	4.7 %	+37 bp
Profit before tax	145.7	114.3	+27.4 %
Profit for the year	77.0	110.5	-30.3 %
Earnings per share (in EUR)	3.86	5.41	-28.7 %
Cash flow from operating activities	231.1	516.3	-55.2 %

Peter Oswald, MM CEO, comments: “In 2025 the MM Group demonstrated a solid performance in a challenging market environment characterised by ongoing soft consumer demand and overcapacity in the European industry and succeeded in increasing its adjusted operating profit compared to the previous year. In the packaging sector, the Food & Premium Packaging division managed to keep its adjusted operating margin at a solid level, while the Pharma & Healthcare Packaging division recorded an encouraging increase. The Board & Paper division showed an improvement over the previous year, primarily driven by cost savings, even though the profit level remained unsatisfactory. Due to the imperative to structurally and sustainably strengthen profitability and competitiveness under ongoing challenging conditions, MM ramped up and accelerated its Group-wide Fit-For-Future transformation programme. By 2025, the programme had already contributed remarkable EUR 70 million to adjusted operating profit. Management is confident that it will achieve an earnings uplift of over EUR 250 million in 2027 compared to 2024, excl. TANN and market-related effects, subsequent to expecting an increase of over EUR 150 million at programme launch. One-off effects at the operating profit level amounted to a total of EUR 25.6 million in 2025 (2024: EUR 0 million). These include income from the sale of TANN Group of EUR 125.1 million, offset by an impairment requirement for assets at Board & Paper of EUR 70.5 million and expenses from Fit-For-Future restructurings of EUR 29.0 million. At EUR 77.0 million, the profit for the year was below the previous year's figure (EUR 110.5 million) as a result of significantly higher tax expense. In line with the revised dividend policy, which aims at a payout ratio of 40 % – 60 % of the profit for the year depending on net debt (net debt/equity 35 % – 55 %; net debt/adjusted EBITDA 1.5 – 2.5x), major planned investments, future prospects and the principle of dividend continuity, an 11 % increase in the dividend to EUR 2.00 per share (2024: EUR 1.80) will be proposed to the 32nd Annual Shareholders' Meeting on April 29, 2026 for the financial year 2025. The Group's net debt could be reduced to EUR 913.7 million by the end of 2025 (December 31, 2024: EUR 1,078.7 million). Net debt to equity was 43 % and the net debt to adjusted EBITDA ratio was 2.2 (December 31, 2024: 51 %; 2.6). Regarding the non-financial performance, we are pleased to report an 11 % reduction in absolute CO2 emissions. The main reasons for this are the continued switch to renewable energy sources for electricity procurement and energy efficiency measures. The number of occupational accidents has been reduced once again. Looking ahead, Food & Premium Packaging continues to pursue focused development at a high level, despite persistently cautious consumer behaviour. Pharma & Healthcare Packaging is expected to continue growing, particularly in the United States, while individual markets in Europe stay more subdued. In the Board & Paper division, market-related margin pressure remains challenging, but at the same time provides a strong incentive for further efficiency and quality improvements.“ “MM's objective remains to uphold its cost, technology and innovation leadership in its core business cartonboard packaging, even under ongoing challenging market conditions, through an attractive, sustainable offering and a determined transformation.“, underlines Oswald. INCOME STATEMENT
At EUR 3,885.3 million, the Group's consolidated sales were below the previous year's figure (2024: EUR 4,079.6 million) by 4.8 % or EUR 194.3 million. The decline is mainly attributable to the sale of TANN Group at the beginning of June. The rise in adjusted operating profit by 2.8 % to EUR 195.4 million - pro forma excl. TANN +15.0 % - (2024: EUR 190.0 million) was primarily attributable to the MM Board & Paper division. The Group's adjusted operating margin increased to 5.0 % (2024: 4.7 %) and the adjusted return on capital employed amounted to 5.8 % (2024: 5.6 %). Adjusted EBITDA totalled EUR 418.2 million (2024: EUR 418.5 million), resulting in an adjusted EBITDA margin of 10.8 % (2024: 10.3 %). Financial income decreased to EUR 16.5 million (2024: EUR 27.1 million), mainly due to lower cash and interest rates. The decline in financial expenses from EUR -82.9 million to EUR -53.4 million is largely attributable to lower interest levels for variable-interest financing and further repayments. “Other financial result - net” changed to EUR -38.5 million (2024: EUR -19.9 million), mainly owing to currency translations. Profit before tax rose to EUR 145.7 million (2024: EUR 114.3 million), this increase primarily reflecting the TANN divestment. Income tax expense was up to EUR 68.7 million (2024: EUR 3.8 million), driven mainly by the reversal of loss carryforwards in the Board & Paper division, after loss carryforwards capitalised in the previous year - including those from former Essentra Packaging - had reduced the expense. This results in an effective Group tax rate of 47.2 % (2024: 3.4 %), with the Group's standard tax rate amounting to approximately 22.0 % (2024: 19.0 %). Profit for the year therefore reached EUR 77.0 million (2024: EUR 110.5 million). Cash flow from operating activities amounted to EUR 231.1 million (2024: EUR 516.3 million), primarily due to an increase in working capital. DEVELOPMENT IN THE 4TH QUARTER
The 4th quarter was generally characterised by a continued subdued market demand. Consolidated sales of EUR 905.8 million were below the previous year's level, primarily as a result of the TANN divestment (4th quarter 2024: EUR 1,010.8 million). At EUR 43.5 million, adjusted operating profit was also below the previous year's level (4th quarter 2024: EUR 63.7 million), mainly due to this divestment and planned maintenance standstills at MM Board & Paper. The adjusted operating margin was 4.8 % (4th quarter 2024: 6.3 %). Profit before taxes amounted to EUR -57.2 million (4th quarter 2024: EUR 43.4 million), chiefly resulting from an impairment loss of EUR 70.5 million at MM Board & Paper, and profit for the period was at EUR -89.5 million (4th quarter 2024: EUR 58.2 million). Due to a reversal of loss carryforwards in the Board & Paper division, income tax expense amounted to EUR -32.3 million, compared to a positive level of EUR 14.8 million in the same quarter of the previous year following capitalisation of loss carryforwards, mainly from former Essentra Packaging. Cash flow from operating activities totalled EUR 251.8 million (4th quarter 2024: EUR 348.7 million). At EUR 38.4 million, adjusted operating profit of MM Food & Premium Packaging was below the previous year’s period (4th quarter 2024: EUR 48.8 million), mainly as a result of the TANN sale. The adjusted operating margin remained stable at 10.9 % (4th quarter 2024: 11.2 %). MM Pharma & Healthcare Packaging recorded an increase in adjusted operating profit to EUR 8.0 million (4th quarter 2024: EUR 3.0 million), primarily driven by efficiency improvements. The adjusted operating margin improved to 5.4 % (4th quarter 2024: 2.2 %). The adjusted operating profit of MM Board & Paper at EUR -0.4 million was below the comparable value (4th quarter 2024: EUR 11.9 million), chiefly as a result of planned maintenance stillstands as well as higher CO2 compensation in the previous year. The adjusted operating margin therefore amounted to -0.1 % (4th quarter 2024: 2.5 %). OUTLOOK
The overall macroeconomic and industry-specific conditions remain highly challenging also in 2026. Subdued private consumption in Europe, geopolitical uncertainties, and persisting overcapacity in the cartonboard and paper sector will continue to shape the market environment. Against this backdrop, MM consistently pursues the objective of strengthening and further expanding competitiveness and profitability in the three divisions by focusing on cost, technology, and innovation leadership. At the core is the Group-wide Fit-For-Future transformation programme. Following a significant contribution to 2025, Management is confident that it will achieve an increase in earnings of over EUR 250 million in 2027 compared to 2024 (excl. TANN and market-related effects). This clearly exceeds the initial expectation of over EUR 150 million at programme launch. In addition, selective structural adjustments to increase competitiveness will be continued. Our 2026 investments will again concentrate on strengthening our competitive position and further expanding the share of renewable energies, with the volume expected at around EUR 250 million. The annual maintenance standstills in the Board & Paper division are scheduled for the 3rd and 4th quarters and will again mainly affect the two cartonboard and paper mills in Poland and Finland. The associated expenses are currently estimated at around EUR 40 million (2025: approx. EUR 36 million). In the environmental area, decarbonisation, water efficiency, biodiversity, and waste prevention continue to be our main priorities. In the social area, we are focusing on continuously improving occupational safety and accident prevention. At the same time, we intend to further intensify our close cooperation with customers and suppliers to develop innovative and sustainable solutions. Despite the ongoing challenging market environment, the MM Group is confident about the future. Our balanced positioning across three divisions, an attractive product portfolio, a well-invested asset base, and solid financing form a strong foundation for operating successfully and creating long-term value even under difficult conditions. MM is closely monitoring current developments in the Middle East and their possible impact on the Group. MM operates two packaging plants of the MM Food & Premium Packaging division in that region, which contributed around 2 % to Group sales and around 6 % to the Group's adjusted EBITDA in 2025. Business interruptions are to be expected. ----------------------------- The press release and a video statement of the Management Board are available on the internet under www.mm.group.
The Annual Report 2025 will be available as of April 8, 2026. Forthcoming results:
April 28, 2026   Results for the 1st quarter of 2026
  For further information, please contact:
Stephan Sweerts-Sporck, Investor Relations, Mayr-Melnhof Karton AG,
Brahmsplatz 6, A-1040 Vienna
Tel.: [phone],
E-Mail: [e-mail], Website: www.mm.group

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17.03.2026 CET/CEST This Corporate News was distributed by EQS Group

View original content: EQS News

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Language:	English
Company:	Mayr-Melnhof Karton AG
	Brahmsplatz 6
	1040 Wien
	Austria
Phone:	0043 1 501 36 91180
Fax:	0043 1 501 36 91391
E-mail:	[e-mail]
Internet:	www.mm.group
ISIN:	AT0000938204
WKN:	93820
Indices:	ATX
Listed:	Regulated Unofficial Market in Frankfurt (Basic Board), Munich, Stuttgart, Tradegate BSX; Vienna Stock Exchange (Official Market)
EQS News ID:	2292164

End of News	EQS News Service

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2292164  17.03.2026 CET/CEST