Årsredovisning 2025

Year 2025
Stora Enso’s development in 2025 was characterised by 
financial improvement, strategic asset management, 
organisational transformation, and a continued focus on 
operational excellence. Despite market volatility and subdued 
demand, the Group’s proactive measures and structural 
changes strengthened its competitiveness and resilience in 
an evolving global environment.
The operating environment remained exceptionally challenging in 2025. 
Market uncertainty was amplified by geopolitical tensions and supply 
chain disruptions, undermining consumer confidence and dampening 
demand across several business areas. Fluctuating demand, 
overcapacity, instability in the pulp market, and weakness in the 
construction sector exerted pressure on the entire industry.
Wood prices continued to rise and remained high throughout the year, 
increasing cost pressures, particularly in Finland and Sweden. This situation 
reinforced the need to adjust operations, enhance efficiency, and 
safeguard long-term competitiveness.
Despite the challenging market conditions, Stora Enso continued to 
strengthen profitability and secure cash flow. Net debt to EBITDA ratio 
improved to approximately 2.8x at the end of 2025, reflecting effective 
working capital management and targeted asset arrangements.
The value creation programme also progressed as planned. By year-end, 
its cumulative impact on results was significant, providing a solid 
foundation for further improvements in profitability.
Main strategic actions
Throughout 2025, Stora Enso pursued systematic efforts across the Group 
to improve profitability, cash flow, and cost competitiveness through 
initiatives in sourcing, operational efficiency, commercial excellence, 
working capital management, and fixed cost optimisation.
The new consumer board line at the Oulu site in Finland started operations 
in the beginning of 2025. The flexible converted line with an annual 
capacity of 750,000 tonnes produces folding box board (FBB) and coated 
unbleached kraft (CUK) for frozen, chilled and dry food, as well as beverage 
multi-packaging, primarily for customers in Europe and North America. The 
EUR 1 billion investment further strengthens the Group’s strategic focus on 
renewable packaging materials.
The acquisition of the Finnish sawmill company Junnikkala Oy was finalised 
in May. It secures a cost-efficient wood supply to Stora Enso’s packaging 
board site in Oulu, and supports the Group’s wood products business with 
new production assets.
In September, Stora Enso finalised the divestment of 12.4% of its Swedish 
forest holdings at an enterprise value of EUR 900 million, in line with the 
accounting fair value of the divested forest assets.
In November, Stora Enso’s Board of Directors approved a plan to separate 
Stora Enso’s Swedish forest assets into a new publicly-listed company in 
2027, creating Europe’s largest listed pure play forest company.
Also in November, Stora Enso initiated a strategic review of its Central 
European sawmills and building solutions operations. The review covers 
seven sawmills in Austria, Czechia, Poland, and Lithuania, and further 
processing units with three cross-laminated-timber (CLT) mills. While the 
business holds a strong position in an attractive market, it does not create 
synergies for Stora Enso’s renewable packaging operations.
Sales and adjusted EBIT margin
Sales, EUR millionAdjusted  EBIT, %
2022 2023 2024 2025
0
3,000
6,000
9,000
12,000
15,000
0%
5%
10%
15%
20%
25% Net debt to adjusted EBITDA 
Net debt, EUR million
Net debt to adjusted EBITDA
Target <2.0
2022 2023 2024 2025
0
1,000
2,000
3,000
4,000
0.0
1.0
2.0
3.0
4.0 Cash flow
Cash flow from operations, EUR million
Cash flow after investing activities, EUR million
2022 2023 2024 2025
0
500
1,000
1,500
2,000 Adjusted ROCE excl. Forest 
Adjusted  ROCE, % Target >13%
2022 2023 2024 2025
0%
5%
10%
15%
20%
25%
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===== SIDA 50 =====

Markets and deliveries
Global cartonboard consumption grew 2% in 2025. Demand in Europe 
remained stagnant. Macroeconomic and geopolitical uncertainties limited 
growth potential. The global cartonboard market remained oversupplied 
due to heavily increased capacity, especially in China.
Global containerboard demand increased 2% in 2025. In Europe, 
conversions of former graphic paper mills to recycled testliner increased  
capacity and kept market oversupplied.
European publication paper demand declined 9% in 2025, driven by 
structural demand erosion and macroeconomic uncertainty. As result of 
weaker demand, market remained oversupplied despite of some 
capacity closures.
European corrugated packaging demand grew 2% in 2025, led by Central 
and Eastern Europe, especially Poland. E-commerce and retail sales 
supported growth, while stable inflation and low unemployment provided 
a favourable backdrop. However, overcapacity remains a challenge.
Global demand for chemical market pulp increased 2.3% in 2025. Demand 
for hardwood pulp increased 3.2%, whereas growth in softwood pulp 
demand was modest at 0.7%.
The global chemical market pulp capacity remained flat in 2025. 
Hardwood market pulp capacity increased by 1.6% as new capacity was 
ramping up in South America. Softwood capacity continued to decline by 
2.1% due to capacity closures. Unbleached kraft pulp (UKP) capacity 
increased slightly by 0.9%. The overall shipment-to-capacity balance stood 
at 90%, nearly 2 percent points up from 2024.
Global pulp inventories were considered balanced in 2025. Softwood pulp 
inventories have remained elevated throughout the year despite capacity 
curtailments. Hardwood pulp inventories were balanced most of the year 
thanks to capacity curtailments and grade conversions.
Global softwood markets stabilised in 2025 after a weak 2024, with modest 
year-on-year demand growth of around 1–2% driven mainly by North 
America and early signs of recovery in Europe. Asia remained mixed, with 
China below previous peak levels but providing a stable baseline for global 
trade, while Oceania stayed steady at a small scale. Raw material 
availability (sawlogs) improved modestly in many regions as harvesting 
and forest access normalised, but supply tightness persists in selected 
markets (like Central Europe) and keeping pressure on input costs despite 
recovering demand.
Estimated consumption of board, pulp, sawn softwood, and paper in 2025 
Tonnes, million Europe North America Asia and Oceania
Consumer board 1 9.0 8.4 36.6
Containerboard 1 31.9 32.8 101.9
Corrugated board (billion m2) 2 8.7 n/a n/a
Chemical market pulp 15.9 7.8 40.3
Sawn softwood (million m3) 76.0 101.0 71.0
Newsprint 1 2.6 0.9 4.2
Uncoated magazine paper 1 1.2 0.5 0.1
1 Europe excluding Russia & Belarus
2 European focus markets (Benelux, FI, PL, SE)
Source: Afry, CEPI, Numera, ICCA, PPPC, Stora Enso, Forest Economic Advisors (FEA)
Production and external deliveries
2025 2024 Change % 2025–2024
Consumer board deliveries, 1,000 tonnes 2,852 2,778  2.6% 
Consumer board production, 1,000 tonnes 2,901 2,793  3.8% 
Containerboard deliveries, 1,000 tonnes 1,296 1,242  4.3% 
Containerboard production, 1,000 tonnes 1,613 1,530  5.4% 
Corrugated packaging European deliveries, million m2 1,216 1,205  0.9% 
Corrugated packaging European production, million m2 1,161 1,157  0.3% 
Market pulp deliveries, 1,000 tonnes 2,019 2,029  -0.5% 
Wood products deliveries, 1,000 m3 4,440 3,892  14.1% 
Wood deliveries, 1,000 m3 13,255 13,451  -1.5% 
Paper deliveries, 1,000 tonnes 561 611  -8.1% 
Paper production, 1,000 tonnes 568 592  -4.0% 
Alternative performance measures
The alternative performance measures used by Stora Enso are explained in the chapter Alternative performance 
measures.
 .
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Financial results – Group
Group sales increased 3% year-on-year to EUR 9,326 (9,049) million, supported by higher deliveries in all segments, 
partially impacted by the Finnish political strike in 2024. The structural changes had a positive impact as the 
Junnikkala acquisition and the consumer board line ramp-up in Oulu increased sales. Adjusted EBIT was EUR 528 
(598) million, and the adjusted EBIT margin was 5.7%. Adjusted EBIT decreased mainly due to  the ramp-up of the 
Oulu consumer board line. Higher sales prices and lower fixed costs were offset by increased wood costs. Earnings 
per share was EUR 0.88 (-0.17) and earnings per share excluding fair valuations was EUR 0.41 (-0.56).
The IFRS operating result was EUR 942 (93) million. The IFRS operating result includes a positive net effect of EUR 401 
(positive 421) million from biological asset valuation from subsidiaries and joint operations. The positive impact 
comes mainly from the increase in fair valuation in Stora Enso owned forests in Sweden, mostly driven by increases 
in estimated long-term wood prices. There is also a positive net effect of EUR 89 (positive 52) million from Stora 
Enso’s share of net result of associated companies. The positive impact comes mainly from Finnish forests 
operational result, through Stora Enso’s 41% investment in Tornator. A storm in the end of December negatively 
affected a portion of the Swedish forest assets. Estimated damages of EUR 29 million were booked as reduction in 
biological assets, adversely impacting the IFRS result. The full extent of the damage and potential insurance 
compensation is still being assessed.
Tangible and intangible asset (including goodwill) impairments amounted to EUR 26 (746) million.
The items affecting comparability (IAC) had an adverse impact of EUR 19 (870) million on IFRS operating result. 
The main IACs in 2025 relate to the disposal of Swedish forest assets, restructuring costs related to various units 
and forest related damages. The IACs in 2024 mainly relate to the impairments in Packaging Materials, Packaging 
Solutions and Wood Products segments as well as restructuring related costs. Fair valuations and non-operational 
items (FV) had a positive net impact on the IFRS operating result of EUR 434 (364) million. The main IAC and FV items 
are presented in the chapter Alternative Performance Measures.
Net financial expenses at EUR 159 (211) million were EUR 52 million lower than a year ago. Net interest expenses, 
at EUR 153 million, increased by EUR 27 million. The net interest expense increase was mainly due to a significant 
reduction in interest income from deposits and cash equivalents, driven by lower average interest rates and cash 
balances during the year. Although interest expenses on loans decreased due to lower average borrowings, the 
reduction did not fully offset the decline in interest income. Other net financial expenses, at EUR 26 million, were 
EUR 38 million lower, mainly due to reversal of EUR 25 million impairment related to the sale of Russia operations. 
The net foreign exchange impact in respect of cash equivalents, interest-bearing assets and liabilities and related 
foreign-currency hedges amounted to a gain of EUR 20 (loss of EUR 20) million, mainly due to revaluation of foreign 
currency net debt in subsidiaries located in China.
The net tax totalled EUR -97 (-65) million, equivalent to an effective tax rate of 12.4% (-55.4%), as described in more 
detail in note 2.6 Income taxes.
The loss attributable to non-controlling interests was EUR 9 (EUR 48) million, leaving a profit of EUR 695 (loss of 
EUR 136) million attributable to Company shareholders.
Adjusted return on capital employed was 3.8% (4.3%).
The Group capital employed was EUR 13,830 million on 31 December 2025, an increase of EUR 134 million, due to 
investment projects, mainly the consumer board investment at the Oulu site, increase of the fair valuation of forest 
and energy assets, acquisition of Junnikkala sawmills, partly offset by the disposal of part of the Swedish forests.
Key figures
2025 2024 2023
Sales, EUR million  9,326  9,049  9,396 
Adjusted EBIT, EUR million  528  598  342 
Adjusted EBIT margin  5.7%  6.6%  3.6% 
Operating result (IFRS), EUR million  942  93  -322 
Operating result margin (IFRS)  10.1%  1.0%  -3.4% 
Return on equity (ROE)  6.7%  -1.7%  -3.8% 
Adjusted ROCE  3.8%  4.3%  2.4% 
Adjusted ROCE excl. Forest segment  2.7%  3.6%  1.0% 
Net debt/equity ratio  0.29  0.37  0.29 
EPS (basic), EUR  0.88  -0.17  -0.45 
EPS excluding FV, EUR  0.41  -0.56  -0.73 
Dividend per share1, EUR  0.25  0.25  0.20 
Payout ratio, excluding FV  60.4%  -44.6%  -27.4% 
Payout ratio (IFRS)  28.4%  -145.4%  -44.2% 
Dividend yield, (R share)  2.3%  2.6%  1.6% 
Price/earnings (R share), excluding FV  25.85  -17.33  -17.17 
Equity per share, EUR  13.69  12.86  13.93 
Market capitalisation 31 Dec, EUR million  8,433  7,657  9,864 
Closing price 31 Dec, A share, EUR  10.65  9.68  12.45 
Closing price 31 Dec, R share, EUR  10.71  9.72  12.53 
Average price, A share, EUR  9.83  11.54  12.82 
Average price, R share, EUR  9.44  11.53  11.93 
Number of shares 31 Dec (thousands)  788,620  788,620  788,620 
Trading volume A shares (thousands)  1,594  1,199  968 
% of total number of A shares  0.9%  0.7%  0.5% 
Trading volume R shares (thousands)  476,746  425,082  476,654 
% of total number of R shares  77.8%  69.3%  77.8% 
Average number of shares, basic (thousands)  788,620  788,620  788,620 
Average number of shares, diluted (thousands)  789,697  789,772  789,714 
1 Proposed dividend. The Board of Directors proposes that the dividend be paid in two instalments. See the Board of Directors’ proposal for the distribution of dividend.
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Breakdown of capital employed change
EUR million Capital employed
31 December 2024  13,696 
Capital expenditure excluding investments in biological assets 
less depreciation  196 
Investments in biological assets less depletion of capitalised 
silviculture costs  -59 
Impairments and reversal of impairments  -25 
Fair valuation of forest assets  143 
Unlisted securities (mainly PVO)  307 
Associated companies  153 
Net liabilities in defined benefit plans  39 
Operative working capital and other interest-free items, net  30 
Emission rights  -27 
Net tax liabilities  -2 
Acquisition of subsidiaries  144 
Disposal of subsidiaries  -740 
Translation difference  89 
Other changes  -115 
31 December 2025  13,830 
Financing
Cash flow from operations was EUR 897 (1,187) million and cash flow after 
investing activities was EUR 122 (74) million. Cash flow from operations had 
a positive impact from a decrease in working capital of EUR 51 (283) million 
and cash flow after investing activities benefited from lower fixed assets 
outflows related to Oulu as compared to 2024. Payments related to 
previously recognised provisions were EUR 39 (100) million.
Operative cash flow
EUR million 2025 2024
Adjusted EBITDA  1,144  1,223 
IAC on adjusted EBITDA  39  -125 
Other adjustments  -337  -194 
Change in working capital  51  283 
Cash flow from operations  897  1,187 
Cash spent on fixed and biological assets  -775  -1,113 
Acquisitions of associated companies  0  -1 
Cash flow after investing activities  122  74 
As at 31 December 2025, Group net interest-bearing liabilities were EUR 3,181 
(3,707) million. The decrease in net interest-bearing liabilities was mainly 
driven by the sale of the 12.4% share of the Group’s Swedish forest assets at 
the end of the third quarter. Cash and cash equivalents net of bank 
overdrafts decreased to EUR 1,206 (1,993) million. The net debt/equity ratio 
at 31 December 2025 decreased to 0.29 (0.37). The ratio of net debt to the 
last 12 months’ adjusted EBITDA decreased to 2.8 (3.0) due to lower net 
interest-bearing liabilities. The average interest rate on borrowings for the 
full year 2025 decreased to 3.8% (4.1%) with a run-rate of 4.0% as per the end 
of the fourth quarter.
The Group repaid EUR and USD nominated bank loans totalling 
E U R   1 6 0   m i l l i o n  i n  t h e  f i r s t  q u a r t e r  a n d  S E K - d e n o m i n a t e d  b o n d s  a m o u n t i n g  
t o  E U R    2 8 3   m i l l i o n  i n  t h e  s e c o n d  q u a r t e r .  I n  t h e  s a m e  p e r i o d ,  a  p r e v i o u s l y  
u n d r a w n  E U R   4 3 5   m i l l i o n  a m o r t i s i n g  l o a n  f r o m  t h e  E u r o p e a n  I n v e s t m e n t  
Bank was drawn, with final maturity in 2037.
I n  t h e  s e c o n d  h a l f  o f  t h e  y e a r ,  S t o r a  E n s o  r e p a i d  a  E U R   1 2 5   m i l l i o n  b o n d  a n d  
r e d u c e d  i n t e r e s t - b e a r i n g  l i a b i l i t i e s  f u r t h e r  b y  r e p a y i n g  E U R   2 0 0   m i l l i o n  o f  
b a n k  l o a n s  a n d  E U R   3 6   m i l l i o n  o f  S E K - d e n o m i n a t e d  b o n d s  a t  m a t u r i t y .  I n  
addition, the Group executed early debt repayments, including a 
E U R   5 0 0   m i l l i o n  b o n d  r e p u r c h a s e d  b e f o r e  m a t u r i t y  t h r o u g h  a  m a k e - w h o l e  
p r o c e s s  a n d  E U R   2 5 0   m i l l i o n  o f  b a n k  l o a n s  s e t t l e d  a h e a d  o f  s c h e d u l e .
Stora Enso had in total EUR 800 million committed undrawn credit facilities 
as per 31 December 2025. 
The changes in the fair value of forest land, net of deferred taxes, which are 
recognised in other comprehensive income (OCI) decreased the equity by 
EUR 307 million (decreased by EUR 223 million), mainly due to increase in 
the discount rate.
The changes in the fair valuation of equity investments fair valued through 
other comprehensive income increased equity by EUR 298 (decreased by 
EUR 203) million. The increase is mainly due to a higher fair valuation of the 
Group’s shareholding in Pohjolan Voima Oy (PVO), explained especially by 
higher electricity price forecasts. The changes in the fair valuation of cash 
flow hedges fair valued through other comprehensive income increased 
equity by EUR 67 million, mainly driven by stronger SEK and weaker USD.
At the end of the year, the ratings for Stora Enso’s rated bonds were as 
follows:
Rating agency Long/short-term rating Valid from
Fitch Ratings BBB- (stable) 17 July 2025
Moody’s Baa3 (stable) / P-3 21 November 2024
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Financial results – Segments
Packaging Materials
Packaging Materials is a global leader and expert partner in circular 
packaging providing premium packaging boards, made from virgin and 
recycled fiber. Stora Enso helps customers reduce the use of fossil-based 
materials by offering renewable and recyclable products for their food, 
beverage, and transport packaging based on a wide selection of base 
boards and barrier coatings. 
EUR million 2025 2024
Sales  4,478  4,502 
Adjusted EBITDA  419  472 
Adjusted EBITDA margin  9.4 %  10.5 %
Adjusted EBIT  124  172 
Adjusted EBIT margin  2.8 %  3.8 %
Fair valuations and non-operational items (FV)1  5  2 
Items affecting comparability (IAC)1  -46  -343 
Operating result (IFRS)  83  -169 
Adjusted EBIT, LTM  124  172 
Operating capital, LTM  3,575  3,490 
Adjusted ROOC, LTM  3.5 %  4.9 %
Cash flow from operations  381  462 
Cash flow after investing activities  -68  -323 
Board deliveries, 1,000 tonnes 5,009 4,920
1 The IAC for 2025 included EUR -32 million of restructuring costs related to various units (mainly HQ, Finland, 
Sweden and China), claims and penalties of EUR -8 million and forest storm related damages (China) of EUR -5 
million. The IAC for 2024 included asset impairments of EUR -141 million for China operations, EUR -90 million for 
the Varkaus containerboard unit, EUR -47 million for the Langerbrugge paper unit, EUR -27 million for the Poland 
containerboard unit, and EUR -38 million restructuring and other related to various units (mainly HQ, 
Anjalankoski, Imatra, Swedish operations, China). The fair valuations for 2025 included non-operational fair 
valuation changes of biological assets of EUR 5 (2) million.
The Packaging Materials segment’s sales decreased by 1% to 4,478 (4,502) 
million, primarily impacted by a significantly weaker US dollar. The negative 
effect was largely offset by sales price increases and higher volumes, the 
l a t t e r  m a i n l y  a t t r i b u t a b l e  t o  t h e  r a m p - u p  o f  t h e  n e w  O u l u  c o n s u m e r  
board line.
Adjusted EBIT decreased by EUR 48 million to EUR 124 (172) million, entirely 
d u e  t o  s t a r t - u p  c o s t s  r e l a t e d  t o  t h e  O u l u  b o a r d  l i n e .  E x c l u d i n g  t h e s e  c o s t s ,  
adjusted EBIT improved, supported by lower variable costs - particularly in 
energy and chemicals - and a substantial reduction in fixed costs. These 
improvements, reflecting the positive effects of internal efficiency 
measures, more than compensated for higher wood costs.
Packaging Solutions
Packaging Solutions is a packaging converter that produces premium 
fiber-based packaging products for leading brands across multiple 
market areas, including retail, e-commerce, and industrial applications. 
Additionally, the offering includes design and sustainability services to help 
customers optimise material use, improve logistics, and reduce CO2 
emissions.
EUR million 2025 2024
Sales  1,027  987 
Adjusted EBITDA  80  62 
Adjusted EBITDA margin  7.8%  6.3% 
Adjusted EBIT  14  -15 
Adjusted EBIT margin  1.4%  -1.5% 
Items affecting comparability (IAC)1  -12  -379 
Operating result (IFRS)  2  -394 
Adjusted EBIT, LTM  14  -15 
Operating capital, LTM  602  934 
Adjusted ROOC, LTM  2.4%  -1.6% 
Cash flow from operations  73  78 
Cash flow after investing activities  20  31 
Corrugated packaging European deliveries, 
million m2  1,228  1,217 
1 The IAC for 2025 included asset impairments of EUR - 4 million and restructuring costs of EUR - 7 million related 
to various units. The IAC for 2024  included asset impairments of EUR -371 million related to operations in 
western Europe, and EUR -8 million restructuring costs related to various units.
The Packaging Solutions segment’s sales increased by 4%, to EUR 1,027 (987) 
million, supported by value-based selling. Sales volumes grew by 1% 
despite continued overcapacity in the main markets.
Adjusted EBIT improved by EUR 29 million to EUR 14 (-15) million), driven by 
value-creation actions in all businesses, the successful ramp-up of the De 
Lier site in the Netherlands, and lower depreciation following the 
i m p a i r m e n t  r e c o g n i s e d  i n  D e c e m b e r   2 0 2 4 .
European corrugated packaging demand rose by 2%, led by Central and 
Eastern Europe, particularly Poland. Growth was supported by 
e - c o m m e r c e  a n d  r e t a i l  s a l e s .  N e v e r t h e l e s s ,  p e r s i s t e n t  o v e r c a p a c i t y  
continued to pose challenges.
Biomaterials
Biomaterials’ foundation is built on pulp, with the aim of becoming 
customers’ first choice in selected grades. To unlock the full potential of a 
tree, the business also leverages all fractions to create innovative 
biobased solutions, that replace fossil-based and other non-renewable 
materials.
EUR million 2025 2024
Sales  1,458  1,587 
Adjusted EBITDA  252  372 
Adjusted EBITDA margin  17.3%  23.4% 
Adjusted EBIT  110  231 
Adjusted EBIT margin  7.5%  14.6% 
Fair valuations and non-operational items (FV)1  40  32 
Items affecting comparability (IAC)1  -6  -7 
Operating result (IFRS)  144  256 
Adjusted EBIT, LTM  110  231 
Operating Capital, LTM  2,427  2,480 
Adjusted ROOC, LTM  4.5%  9.3% 
Cash flow from operations  241  507 
Cash flow after investing activities  62  332 
Pulp deliveries, 1,000 tonnes  2,280  2,207 
1 The IAC for 2025  included EUR -6 million restructuring costs related to various units. The IAC for 2024 included 
EUR -7 million restructuring costs related to various units.  The fair valuations for 2025 included non-operational 
fair valuation changes of biological assets of EUR 40 (32) million.
The Biomaterials segment’s sales amounted to EUR 1,458 (1,587) million. 
The decline was mainly attributable to lower pulp sales prices and adverse 
currency movements, partly offset by higher volumes. Overall, market 
conditions remained weak.
Adjusted EBIT decreased by 53% to EUR 110 (231) million primarily reflecting 
lower sales prices and negative currency movements impacts, which 
were partly m i t i g a t e d  b y  k e y  c o m m e r c i a l  a n d  o p e r a t i o n a l  v a l u e - c r e a t i o n  
a c t i o n s ,  i n c l u d i n g  c o s t - r e d u c t i o n  m e a s u r e s .
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Wood Products 
Wood Products is Europe’s largest sawn timber producer and a leading 
provider of sustainable wood-based solutions for the global building 
sector. It provides the building sector with renewable and low-carbon 
wood-based solutions that help decarbonise the built environment. 
Additionally, the offering includes window and door components, and co-
products such as pellets made from wood residuals. 
EUR million 2025 2024
Sales  1,817  1,522 
Adjusted EBITDA  43  27 
Adjusted EBITDA margin  2.3%  1.8% 
Adjusted EBIT  -2  -16 
Adjusted EBIT margin  -0.1%  -1.1% 
Items affecting comparability (IAC)1  -14  -57 
Operating result (IFRS)  -16  -73 
Adjusted EBIT, LTM  -2  -16 
Operating capital, LTM  635  609 
Adjusted ROOC, LTM  -0.3%  -2.7% 
Cash flow from operations  50  45 
Cash flow after investing activities  6  -4 
Wood products deliveries, 1,000 m3  4,256  3,718 
1 The IAC for 2025 included asset impairments of EUR -12 million and restructuring costs of EUR -2 million. The IAC 
for 2024 included asset impairments of EUR -56 million related to the operations in northern Europe.
The Wood Products segment’s sales increased by 19% to EUR 1,817 (1,522) 
million, driven by the acquisition of Junnikkala, higher sales prices and 
growth in CLT volumes. The construction market remained weak, and 
the European construction confidence index continued to show negative 
sentiment, although with slight improvement toward the end of the year. 
O v e r a l l  d e m a n d  w a s  m a r g i n a l l y  h i g h e r  y e a r - o n - y e a r .  T o  a d d r e s s  t h e  l o w  
demand and rising raw material costs, production curtailments were 
implemented.
Adjusted EBIT was EUR -2 (-16) million, representing an improvement of 
EUR 15 million. Value creation actions, increased sales prices, and higher 
volumes helped offset the impact of rising raw material costs.
Forest
Forest is responsible for wood sourcing for Stora Enso’s Nordic and Baltic 
operations as well as for B2B customers. It manages the Group’s forest 
assets in the Nordics. The operations are based on sustainable forest 
management encompassing planning, logistics, harvesting, and forest 
regeneration. 
EUR million 2025 2024
Sales  3,212  2,827 
Adjusted EBITDA  377  364 
Adjusted EBITDA margin  11.7%  12.9% 
Adjusted EBIT  317  309 
Adjusted EBIT margin  9.9%  10.9% 
Fair valuations and non-operational items (FV)1  399  342 
Items affecting comparability (IAC)1  109  -5 
Operating result (IFRS)  826  646 
Adjusted EBIT, LTM  317  309 
Operating capital, LTM  6,004  5,989 
Adjusted ROCE, LTM  5.3%  5.2% 
Cash flow from operations  240  220 
Cash flow after investing activities  194  171 
Wood deliveries, 1,000 m3  35,322 33,794
Operational fair value change of biological 
assets  102  119 
1 The IAC for 2025 included disposal of Swedish forest assets of EUR 144 million, storm related forest damages of 
EUR -29 million (Sweden) and restructuring and other costs of EUR -6 million. The IAC for 2024 included EUR -2 
million related to environmental provision and EUR -3 million of restructuring costs. The fair valuations for 2025 
included non-operational fair valuation changes of biological assets of EUR 404 (382) million, non-operational 
items of associated companies of EUR -2 (-34) million, and EUR -2 (-6) million impact from adjustments for 
differences between fair value and acquisition cost of forest assets upon disposal.
The Forest segment’s sales increased by 14%, EUR 3,212 (2,827) million, driven 
by higher sales prices and increased demand.
Adjusted EBIT rose by 3% to EUR 317 (309) million, supported by strong 
operational performance and higher sales prices from the Group’s own 
forest assets. The sale of the 12.4% share of the Group’s Swedish forest 
assets at the end of the third quarter had a partly offsetting impact on 
the result.
Segment Other
The segment Other includes the reporting of the emerging businesses  as 
well as Stora Enso’s shareholding in the energy company Pohjolan Voima 
(PVO), and Group’s shared services and administration.
EUR million 2025 2024
Sales  194  176 
Adjusted EBITDA  -28  -63 
Adjusted EBITDA margin  -14.6 %  -36.0 %
Adjusted EBIT  -37  -72 
Adjusted EBIT margin  -19.1 %  -41.0 %
Fair valuations and non-operational items (FV)1  -11  -12 
Items affecting comparability (IAC)1  -50  -79 
Operating result (IFRS)  -98  -162 
Cash flow from operations  -87  -125 
Cash flow after investing activities  -92  -134 
1 The IAC for 2025 included EUR -24 million of consulting costs related to profit improvement programme, EUR - 
20 million related to acquisitions and disposals and EUR -6 million related to restructuring costs.  The IAC for 
2024 included EUR -45 million of consulting costs related to profit improvement programme, EUR -8 million 
other restructuring costs, EUR -4 million related to closure and disposal of De Hoop, EUR -7 million related to 
closure and disposal of Sunila, EUR -8 million related to disposal of Selfly Store and EUR -7 million related to 
updates in environmental provisions. The fair valuations for 2025 included non-cash income and expenses 
related to CO2 emission rights and liabilities of EUR -11 (-12) million.
Sales for the segment Other were at EUR 194 (176) million and adjusted EBIT 
EUR -37 (-72) million. The reduction from the previous year was mainly 
driven by lower administration and holding costs for closed sites.
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Capital expenditure
Additions to fixed and biological assets including internal costs capitalised 
in 2025 totalled EUR 746 (1,090) million. The total amount includes additions 
in biological assets of EUR 69 (81) million.
Following the EUR 1 billion investment to convert the remaining idle paper 
machine to consumer board production, the new line at the Oulu site in 
Finland started production in the beginning of 2025. The new, flexible line 
supports the Group’s growth strategy in renewable packaging by 
providing new capacity for growing packaging segments. The targeted 
end-use segments are food and beverage packaging, especially frozen 
and chilled, as well as dry and fast food, mainly in Europe and North 
America. The line is expected to reach full capacity, 750,000 tonnes 
annually, during 2027.
The EUR 30 million Heinola boiler and fuel handling modification, 
announced in February 2023, was taken in use during the second half 
of 2025.
The EUR 42 million investment in improvements to fluff pulp production at 
the Skutskär site in Sweden was completed in the first half of 2025.
The ramp-up of the new corrugated packaging site in De Lier in the 
Netherlands is ongoing and is expected to be completed in 2026.
The EUR 30 million upgrade and expansion of the Ostrołęka corrugated 
plant in Poland is ongoing and is expected to be completed in 2026.
Innovation, research and development
Stora Enso’s growth focus is on the development of sustainable and 
resource-efficient packaging applications to replace fossil-based 
materials, innovative biomaterials for high-end applications, and 
sustainable wooden-based materials and components that store carbon 
and improve the energy efficiency of buildings. Stora Enso engages with 
young and growing companies that are developing technology and 
solutions aligned with the Company’s core and growth areas, using 
a venture client approach.
The Group’s Innovation and R&D team works closely with strategic partner 
universities, research institutes, and excellence centres to tackle key 
scientific questions related to renewable materials. Stora Enso engages in 
multiple research programmes along the value chain, from forests to 
products and circular material flows.
Stora Enso’s total spend on innovation, research, and development in 2025 
was EUR 69 (78) million, equivalent to 0.7% (1.0%) of total sales. Research and 
development work is fundamental to staying relevant and competitive in 
relation to customers. In 2025, Stora Enso employed approximately 310 
people in research and development. The product innovations and 
development of services is guided and financed by the business areas.
Intellectual property (IP) is an important tool to support Stora Enso’s 
development of innovative products and processes while safeguarding 
the Group’s intellectual assets. In 2025, Stora Enso continued to strengthen 
its patent portfolio by applying for patents for 62 new innovations, 
primarily in the Biomaterials and Packaging Materials segments. Within 
biomaterials, the focus was on patents for sustainable battery materials, 
biobinders, biofoam, and circular chemicals, while the packaging 
materials patents were mainly related to barriers, board technology, and 
circular packaging.
Stora Enso’s patent portfolio now amounts to over 3,100 applications and 
granted patents.
Employees
On 31 December 2025, there were 18,515 (18,558) full-time employees in 
the Group. The average number of employees in 2025 was 18,877, which is 
356 less than a year before. Although the total number of personnel 
decreased slightly, the acquisition of Junnikkala and the start-up of the 
new consumer board line at the Oulu site had an increasing effect on 
personnel. At the end of 2025, the Group’s top four countries in respect to 
the number of employees were Finland, Sweden, China, and Poland.
Nature-related financial disclosures (TNFD)
The Taskforce on Nature-related Financial Disclosures (TNFD) is a science-
based initiative supported globally by national governments, businesses, 
and financial institutions. It provides a framework for risk management 
and disclosure to identify, assess, respond to, and disclose nature-related 
issues. The TNFD recommendations align with the global policy goals 
outlined in the Kunming-Montreal Global Biodiversity Framework and are 
structured around four pillars: Governance, Strategy, Risk & Impact 
Management, and Metrics & Targets.
Stora Enso became a TNFD Early Adopter in 2024 and published its first 
TNFD-aligned report for the financial year 2024. The Group’s reporting 
according to the European Sustainability Reporting Standards comprises 
nature-related disclosures, which are in line with the TNFD recommendations. 
It is recognised that the nature-related disclosures will evolve as 
international reporting frameworks continue to develop and more data 
becomes available.
Stora Enso utilise the LEAP (Locate, Evaluate, Assess, and Prepare) 
framework in the nature-related management and reporting to 
demonstrate how the Group addresses nature-related impacts, risks, and 
dependencies. This approach is complemented by in-depth analyses of 
individual mills within their respective management systems. Stora Enso’s 
ambition is to establish, maintain, and develop practises and ways of 
working across its value chain that contribute to positive outcomes in 
nature. This approach aims to enhance the valuation of nature, while 
mitigating environmental impacts and preserving biodiversity. In 2025, 
the Group started developing an approach for biodiversity action plans for 
prioritised production units.
The TNFD index table is available at storaenso.com/annual report. 
The index provides further references to relevant sections in the Group’s 
Annual Report. This includes the Sustainability Statement prepared in 
accordance with the European Sustainability Reporting Standards.
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Risk management
Approach to risk management
Stora Enso operates globally in the renewable materials 
industry, serving diverse markets with products and solutions 
that replace fossil-based materials. These markets are 
competitive and subject to economic, regulatory, and 
environmental changes.
We define risk as any event or condition that could adversely affect 
the achievement of our organisational values, strategic or operational 
objectives. Risks may arise from threats, uncertainties, or missed 
opportunities related to current or future activities.
Stora Enso applies and established Enterprise Risk Management (ERM) 
Framework to systematically identify, analyse, assess and report risks 
across strategic, operational, financial and compliance areas. This 
framework support consistent risk management practices throughout 
the Group and ensures that risks are managed appropriately.
Risk governance
The Group Risk Policy, approved by the Board of Directors, establishes 
Stora Enso’s overarching approach to governance and risk management. 
It is consistent with the COSO (Committee of Sponsoring Organizations) 
framework and aligned with ISO 31000 principles.
The Board retains ultimate responsibility for the Group’s risk management 
process and, primarily through Group policies, determines the appropriate 
and acceptable level of risk.
The Financial and Audit Committee assists the Board in monitoring the 
adequacy and effectiveness of the risk management framework, with 
particular focus on the management and reporting of financial risks. The 
Sustainability and Ethics Committee assists the Board in overseeing the 
management and reporting of sustainability and business ethics risks.
The Head of Enterprise Risk Management, reporting to the Executive Vice 
President, Strategy and Sustainability,is accountable for the design, 
development, and top-down implementation of the Group risk 
management framework. Each Business Area and Group Function Head, 
together with their respective management teams, is responsible for 
executing the risk management process and ensuring that the framework 
and related guidelines are effectively cascaded throughout the 
organisation.
Robust risk governance supports Stora Enso’s sustainability objectives and 
contributes to long-term value creation by ensuring effective oversight, 
accountability, and proactive management of risks across the Group.
Risk management process
Risk management is integrated into decision-making and business 
planning processes. As part of the annual strategy process, each business 
area and Group function conducts a baseline risk assessment aligned with 
its key objectives. Guidance on the risk management process is provided 
in the Enterprise Risk Management (ERM) framework.
Business areas and functions identify potential risk events and sources, 
including changes in internal and external context, underlying causes, and 
potential impacts. Stora Enso’s risk framework defines the overall risk 
universe, supporting consistent risk identification, consolidation, and 
terminology.
Risk analysis focuses on understanding risks to inform evaluation and 
prioritisation. Risks are assessed based on impact and likelihood, often 
using specific scenarios. Existing risk controls and mitigations are 
considered to determine the residual risk level. Impact scales cover 
financial, safety, compliance, and reputational aspects, using both 
quantitative and qualitative measures.
Risk treatment involves selecting appropriate actions, such as avoiding, 
mitigating, transferring, or accepting risks. For risks exceeding tolerance 
levels, additional mitigation measures are defined, including 
responsibilities, timelines, and follow-up actions.
After the annual baseline assessment, prioritised and emerging risks, along 
with related risk treatments, are reviewed during business area meetings 
twice a year.
Despite these measures, some risks remain beyond management’s 
control. Therefore, Stora Enso cannot guarantee that such risks, if they 
occur, will not have a material adverse effect on the company’s business, 
financial position, operating profit, or ability to meet financial obligations.
Risk management process
Monitor 
and review
Establish the context
Communicate 
and consult
Risk assessment
Identify
Analyse
Evaluate
Treat risks
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Main risks
Reputation Negative impacts on reputation often reflects the combined effects of various types of risks 
and may result from incidents or non-compliant behaviour by employees, contractors, 
suppliers or other business partners. This includes failures to comply with norms, laws and 
regulations, or policy documents. Damage to Stora Enso’s reputation and brand could lead 
to a loss of investor and customer confidence, resulting in higher cost of capital and 
decreased revenues.
Policies such as the Stora Enso Code and Supplier Code of Conduct ensure that the Board 
has oversight. Continuous and mandatory training sessions for employees and, occasionally 
for, suppliers guarantee that the policies are being implemented, and audits are conducted 
to monitor that Stora Enso’s requirements are met. Stora Enso has established a Speak Up 
Hotline, through which employees and any third party globally can anonymously report 
potential non-compliance cases. All reported cases are subject to an established 
investigation and reporting process, with proven cases leading to actions. Stora Enso 
continuously engages with its stakeholders to enhance relationships, to respond to 
developing needs, and inform its strategy.
Stakeholder engagement, internal and external, is key to building and 
fostering a strong corporate reputation. It ensures good 
communication flows and solid collaborative alliances. Consistently 
delivering high quality, compliant products and services is the 
foundation of Stora Enso’s brand reputation. Stora Enso provides visibility 
into its sustainability roadmap, deliver on its key commitments and 
comply with the evolving regulatory framework through stringent 
processes. Finally, the Group ensures strong community outreach and 
involvement in the areas where is has operations.
Strategic risks
Macroeconomy, 
geopolitics, and 
currency rates
Changes in global economic conditions, such as sharp market corrections and foreign 
exchange volatility, could have a negative and material impact on Stora Enso’s profit, cash 
flows and financial position.
Stora Enso is exposed to several financial market risks, which the Group is responsible for 
managing under policies approved by the Board of Directors. The objective is to achieve 
cost-effective funding for Group companies and manage financial risks by using financial 
instruments to reduce earnings volatility. The main exposures for the Group, besides 
currency risk, are interest rate risk, liquidity risk, refinancing risk, commodity price risk and 
credit risk.
Financial risks are discussed in detail in note 5.1 Financial risk management.
Stora Enso has a diversified portfolio of businesses which mitigates exposure to any one 
country or product segment. The external environment is continuously monitored and 
planning assumptions take into account important near- to medium-term and long-term 
drivers and risks related to key macro-economic factors.
Compliance with the Board-approved risk appetite is closely monitored and cash flow and 
liquidity are actively managed. Stora Enso hedges 15–60% of the highly probable 12-month 
net foreign exchange flows in main currency pairs. Currency translation risk is reduced by 
funding assets, whenever economically possible, in the same currency as the asset.
The business areas regularly monitor their order flows and other leading indicators, where 
available, so they can respond quickly to a deterioration in trading conditions. In the event of 
a significant deterioration in general economic condition and in main leading economic 
indicators, the Group has the ability to implement cost reduction measures to offset the 
impact on margins from a decline in sales.
Despite the volatility in the macroeconomy, global megatrends drive 
the demand for renewable materials supporting Stora Enso’s growth 
and value creation. A diverse business portfolio and geographical 
presence, competitive strength and resilient balance sheet reduce the 
Group’s risk exposures.
Climate change – 
physical impacts
Long-term (25–30 years) changes in precipitation patterns, periods of drought, storms, more  
frequent extreme weather events and higher average temperatures, could cause damage 
to operations, forests and tree plantations.  Such developments may increase the risk of 
forest fires, insect outbreaks, wind damages and other climate-related impacts affecting 
forests asset values and regional wood prices. Milder winters could also impact on the 
harvesting and transport of wood, as well as related costs in northern regions. More frequent 
extreme weather events also increase the risk of disruptions in the production, logistics and 
supply of raw materials and energy.
Physical risks are largely subject to risk transfer and therefore covered by Stora Enso’s 
property and business interruption insurance programmes. With regards to forest and 
plantation assets, Stora Enso benefits from strategic resilience through geographical 
diversification within its asset portfolio. Diligent plantation planning ensures the avoidance of 
frost sensitive areas, and R&D programmes are applied to increase tolerance to extreme 
temperatures. Stora Enso maintains a diversity of forest types and structures and enforces 
diversification in wood sourcing. Wood harvesting in soft soils involves the implementation of 
best practices guidelines.
Nordic forests in Finland and Sweden could also benefit from increased 
heat summation and longer growing seasons, leading to accelerated 
forest growth with a direct positive impact on the value of Stora Enso’s 
own forest assets and an indirect impact related to market wood 
availability and costs.
Biodiversity loss Stora Enso’s forestry and industrial operations have an impact on biodiversity. At the same 
time, Stora Enso’s business depends on raw material inputs from natural capital, such as 
wood and fresh water. Biodiversity is essential for maintaining the stability of ecosystem 
processes in changing environments. Biodiversity loss can negatively impact the value of 
Stora Enso’s forest assets and acceptability of wood as a raw material. Read more in the 
TNFD chapter.
Stora Enso is committed to achieving a net positive impact on biodiversity in its own forests 
and plantations through active biodiversity management. Biodiversity management is an 
integral part of all Stora Enso’s forest and plantation management practices. Operations are 
supported by new technologies and digitalisation, as well as continuous research and 
innovation. For example, Stora Enso’s forest units have established special programmes 
focusing on biodiversity management. In addition, Stora Enso uses tools, such as wood 
traceability and forest certification, and engages in collaboration with various stakeholders 
to protect ecosystems and safeguard natural resources.
Sustainable forest management maintains forest health and vitality. 
Active biodiversity management and conservation in Stora Enso’s forest 
operations, such as spatially optimising the volume of deadwood and 
protection of key habitats, contribute to a positive biodiversity impact. 
Healthy and biodiverse forests improve resilience against external 
calamities and a changing climate.
Competition and 
market demand
The packaging, pulp, paper, and wood products industries are mature, capital-intensive and 
highly competitive. Stora Enso’s principal competitors include several large international 
forest products companies and numerous regional and more specialised competitors. 
Customer demand is influenced by general economic conditions and inventory levels, which 
in turn affect product price levels. Product prices, which tend to be cyclical, are affected by 
capacity utilisation, which decreases in times of economic slowdowns. Price changes differ 
between products and geographic regions. See Table 1 for the operating profit sensitivity to a 
+/- 10% change in either price or volume for different segments.
The ability to respond to changes in product demand and consumer preferences and to 
develop new products on a competitive and economic basis requires innovation, continuous 
capacity management, and structural development. Risks related to factors such as 
demand, price, competition, and customers are regularly monitored by each business area 
and unit as a routine part of business management. These risks are also continuously 
monitored and evaluated at the Group level to gain a perspective on Stora Enso’s total asset 
portfolio and overall long-term profitability potential.
Stora Enso, one of the largest private forest owners in the world, also 
benefits from a strategic renewable resource base. The Group’s 
expertise in wood and wood-based renewable materials is focused on 
responding to changing customer and consumer preferences, driven 
by climate change.
Products based on renewable materials with a low carbon footprint 
help customers and society at large to reduce CO2 emissions by 
providing an alternative to solutions based on fossil fuels or other non-
renewable materials.
Risk Description Mitigation Opportunity
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Regulatory changes Stora Enso’s businesses may be affected by political or regulatory developments in any of 
the countries or jurisdictions where it operates, including changes to forest, biodiversity, 
environmental, fiscal, tax, or other regulatory regimes. Potential impacts include higher costs 
and capital expenditures to meet new requirements, expropriation of assets, imposition of 
royalties or other industry-specific taxes, and requirements for local ownership or value-
added processing.
Active monitoring of regulatory and political developments in the countries where Stora Enso 
operates as well as participation in policy development primarily through industry 
associations and other partnership programmes are important risk mitigation measures 
related regulatory changes.
Regulatory changes can also present significant opportunities by 
driving market growth for sustainable products and creating 
competitive advantage through resource efficiency and renewability.
Strategic 
investments
To succeed in implementing its strategy, Stora Enso must understand the needs of its 
customers and find the best way to serve them with the right offering and the right 
production asset portfolio. Failure to complete strategic projects in accordance with the 
agreed schedule, budget or specifications can, therefore, have serious impacts on Stora 
Enso’s financial performance. Significant, unforeseen changes in costs or an inability to sell 
the envisaged volumes or achieve planned price levels may prevent Stora Enso from 
achieving its business goals.
Risks are mitigated through thorough and detailed pre-feasibility and feasibility studies 
which are prepared for each large investment. Investment guidelines stipulate the process, 
governance, risk assessment, management and monitoring procedures for strategic 
projects, including climate related risk factors. The guidelines also require the calculation of 
potential cost and income for CO2 emissions as part of the investment proposal, 
Environmental and Social Impact Assessments (ESIAs) are conducted for all new projects 
that could cause significant adverse effects in local communities. Post completion audits are 
carried out for all significant investments.
Replacing fossil-based materials by innovating and developing new 
products and services based on wood and other renewable materials.
Mergers, acquisitions, 
and divestments
Failure to realise the expected benefits from the acquisition of a company or asset can have 
serious financial impacts on Stora Enso. The Group may also find itself liable for past acts or 
omissions of the acquired business, without any adequate right of redress. Failure to achieve 
expected values from the sales of assets or deliveries beyond the expected receipt of funds 
may also impact Stora Enso’s financial position. Divestments or business restructuring may 
involve additional costs due to historical and unaccounted liabilities as well as reputational 
impacts.
Rigorous M&A guidelines, including due diligence procedures are applied to the evaluation 
and execution of all acquisitions. Structured governance and policies, such as the policy for 
responsible right-sizing, are followed when making restructuring decisions.
A strong balance sheet and cash flow enable value enhancing M&A, 
when the timing and opportunity are right.
Operational risks
Personal safety – 
employees and wider 
workforce
Failure to maintain high levels of safety management can result in harm to Stora Enso’s 
employees and contractors, as well as to communities near our operations and the 
environment. Impacts in addition to physical injury, health effects and environmental 
damage could include liability to employees or third parties, damage to reputation, or an 
inability to attract and retain skilled employees. Government authorities could also enforce 
the closure of our operations on a temporary basis.
Personnel safety and security can never be compromised. Therefore, Stora Enso must be 
aware of potential safety risks and provide adequate guidelines to people for managing risks 
related to, for example, travelling, working, and living in countries with security or crime 
concerns.
Stora Enso’s goal is to provide an accident-free workplace. Encouraging a Group-wide safety 
culture means that everyone is responsible for making every workday healthy and safe – 
from top management throughout the Group. The approach to safety extends to 
contractors, suppliers, and on-site visitors. Everyone is encouraged to share feedback and 
suggest ideas for further improving safety. Additionally, safety is promoted among 
contractors and suppliers through a dedicated e-learning. The Group also emphasises the 
importance of safety by asking suppliers to provide information on their safety performance 
in the tendering process.
Stora Enso’s Health and Safety Policy defines the objectives for safety management, as well 
as the governance model for managing health and safety topics in practice and integrating 
them into annual planning and reporting.
Achieving strong health and safety performance can enhance Stora 
Enso’s employer brand, as well as improve engagement, efficiency and 
productivity.
Physical assets Stora Enso’s production facilities carry inherent risks of equipment failure or off-spec 
operations, which can lead to poor product quality, unplanned downtime, lower output, and 
higher costs. Such issues may affect delivery commitments and business objectives. Risks 
can arise from design deficiencies, operational failures, or practices, and also include 
hazards such as fire and explosions. The most significant exposures are in integrated pulp 
and board production and related energy generation.
Protecting production assets and ensuring business continuity are top priorities for Stora 
Enso. The Group uses structured methods to identify, measure, and control process risks, 
working with insurance providers and loss prevention experts.
Annual technical inspections, risk improvement programmes, and cost-benefit analyses are 
supported by internal reporting and assessment tools. Property loss prevention guidelines, 
fire and machinery risk assessments, and targeted programmes help reduce exposure. 
Planned maintenance stoppages are essential for equipment reliability and safety.
Preventive maintenance programmes and spare part criticality 
analyses are utilised to secure the high availability and efficiency of key 
machinery.
Product safety Some of Stora Enso’s products are used for packaging liquids and food consumer products, 
where any defects could affect health or packaging functionality, leading to costly product 
recalls. Wood products are used in construction, potentially exposing Stora Enso to product 
liability related to failures in structural design, product selection or installation. Failure to 
ensure product safety could result in recalls involving significant costs including 
compensation for customers’ indirect expenses, and reputational damage.
Mills producing food and drink contact products have established certified hygiene 
management systems based on risk and hazard analysis. To ensure product safety, Stora 
Enso actively participates in CEPI (Confederation of European Paper Industry) working groups 
on chemical and product safety. In addition, Stora Enso mills have certified ISO quality 
management systems. Contractual liability limitation and insurance protection further 
mitigate Stora Enso’s risk exposure.
Stora Enso recognises the opportunity of differentiation and value 
creation through superior product quality and the highest level of 
product conformity.
Risk Description Mitigation Opportunity
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People and 
capabilities
Competition for personnel is intense and Stora Enso may, in the long term, not be successful 
in attracting or retaining qualified personnel. The loss of key employees, the inability to 
attract new or adequately trained employees, or a delay in hiring key personnel could 
seriously harm Stora Enso’s business and impede reaching the Group’s strategic objectives. 
Labour market disruptions and strikes, especially in times of restructuring and redundancies 
due to divestments and mill closures or during labour market negotiations, could also have 
adverse material effects on Stora Enso’s business, financial position and profitability.
Stora Enso manages the risks and loss of key talents through a combination of different 
actions. Some of the activities aim towards making the Stora Enso employer brand better 
known both internally and externally, globalising some of the remuneration practices and 
intensifying the efforts to identify and develop talents. Finally, the Group actively focuses on 
talent and management assessments, including succession planning for key positions. The 
majority of employees are represented by labour unions under several collective 
agreements in different countries where Stora Enso operates, thus relations with unions are 
of high importance to manage labour disruption risks.
Stora Enso recognises that skilled and dedicated employees are 
essential for success. Engaged, high-performing individuals drive the 
implementation of transformation strategy and contribute to 
commercial success.
Sourcing Increasing input costs or challenges in availability of materials, goods and services may 
adversely affect Stora Enso’s profitability. Securing access to reliable, low-cost supplies and 
proactively managing costs and productivity are key priorities. Reliance on external energy 
suppliers also makes Stora Enso susceptible to fluctuations in energy market prices. 
Additionally, the supply chain faces heightened risks of disruption due to cyber incidents, 
political instability, and other factors related to global trade. See Table 2 for Stora Enso’s 
major cost items.
In many areas Stora Enso depends on suppliers and their ability to deliver products or 
services on time and at required quality. Key inputs include fiber, chemicals, energy, and 
machinery and equipment for capital investment projects. Increased demand for carbon 
neutral primary and secondary biomass fuels may drive up energy costs. Critical services, 
such as transport and outsourced business support, are also essential. For some of these 
inputs, reliance on a limited number of suppliers poses a risk. 
Input cost volatility is closely monitored at the business unit, business area and Group levels, 
and a consistent long-term energy risk management approach is applied. Price and supply 
risks are mitigated through increased in-house generation, shareholding in competitive 
power assets such as PVO/TVO, physical long-term contracts, and financial derivatives.
Stora Enso hedges price risks in raw material and end-product markets and supports the 
development of financial hedging mechanisms. A wide range of suppliers is utilised and 
monitored to avoid situations that might jeopardise continued production, business 
transactions, or development projects.
Suppliers and subcontractors are required to comply with Stora Enso’s sustainability 
standards, as they form part of the Group’s value chain. These sustainability requirements, 
along with audit schemes encompass raw materials, and other goods and services 
procured. Suppliers are assessed for risks related to environmental, social and business 
practices using an internal risk assessment tool. Supplier Code of Conduct audits are 
conducted for high-risk suppliers, and findings from these audits are followed-up. If 
mitigation is not possible, supplier contracts may be terminated.
Stora Enso also has the opportunity to add value and drive innovation 
globally by building strong, measurable relationships with top suppliers, 
enforcing harmonised sourcing processes to enhance capabilities, 
improve tender quality, reduce costs, and nurture sustainable suppliers.
Information 
technology, security, 
and digitalisation
Stora Enso is dependent on IT systems for both internal and external communications and 
for the day-to-day management of its operations. Information systems, personnel, and 
facilities are subject to cyber security risks, such as ransomware. In addition, the accidental 
disclosure of confidential information due to a failure to follow information handling 
guidelines, as a result of an accident or criminal act, may result in financial damage, 
penalties, disrupted or delayed launch of new business lines or ventures, loss of customer 
and market confidence, loss of research secrets, breach of data privacy regulations, and 
other business-critical information.
The management of risks is actively pursued in the Information Risk Management System, 
and best practice change management and project methodologies are applied. We actively 
work to prevent cybercrime. Several security controls have been implemented to strengthen 
the protection of confidential information and to ensure compliance with international 
regulations.
Opportunities may arise from efficient operations, performance 
optimisation, innovative product offerings. New customer services 
through digitisation also present potential benefits. Additionally, 
sophisticated IT systems, as well as new technologies offering 
significant potential for higher level of process optimisation and 
automatisation. These improvements can generate new business and 
enhance value propositions for customers and consumers.
Ethics and 
compliance
Stora Enso operates in a highly regulated business area and is therefore exposed to risks 
related to breaches of applicable laws and regulations, including those related to capital 
markets regulation, company and tax laws, customs, the environment, human rights, and 
safety. This also covers areas addressed by policies such as the Stora Enso Code and 
Business Practice Policy, including fraud, anti-trust, corruption, conflict of interests, and other 
forms of misconduct. Breaches may lead to high compliance and remediation costs, 
including prosecution costs, fines, penalties, and contractual, financial, and reputational 
damage.
Stora Enso’s Ethics and Compliance Programme, which includes policy setting, promoting 
values, training, knowledge sharing and grievance mechanisms, is continuously updated 
and developed. Other compliance mechanisms include Stora Enso Group’s internal control 
system and Internal Audit assurance, as well as the Supplier Code of Conduct in supplier 
contracts, risk assessments, trainings and audits. In response to capital markets regulations, 
Stora Enso’s Disclosure Policy emphasises the importance of transparency, credibility, 
responsibility, proactivity and interaction.
Environmental risks are minimised through environmental management systems and 
environmental due diligence for acquisitions and divestments, and indemnification 
agreements where effective and appropriate remediation projects are required. Special 
remediation projects related to discontinued activities and mill closures are executed based 
on risk assessments.
Focusing on ethics in a wider sense, rather than merely complying with 
laws and regulations, promotes a value-driven and more successful 
business, fosters accountability, and enhances corporate reputation.
Risk Description Mitigation Opportunity
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The table 1 shows the operating profit sensitivity to a +/- 10% change in either price or volume for different segments 
based on figures for 2025.
Table 1. Operating profit: Impact of changes +/- 10%, EUR million
Segments Price Volume
Packaging Materials  421  110 
Packaging Solutions  101  37 
Biomaterials  131  40 
Wood Products  176  33 
Forest  318  22 
The table 2 shows Stora Enso’s major cost items.
Table 2. Composition of costs in 2025
Operative costs % of costs % of sales
Logistics and commissions  11%  10% 
Manufacturing costs
Fiber  39%  37% 
Chemicals and fillers  7%  7% 
Energy  5%  5% 
Material  8%  8% 
Personnel  14%  13% 
Other  10%  10% 
Depreciation  6%  5% 
Total costs and sales  100%  95% 
Total operative costs and sales in EUR million  8,887  9,326 
Associated companies, operational  89 
Adjusted  EBIT (EUR million)  528 
Shares and governance
Share capital
Stora Enso Oyj’s shares are divided into A and R shares. The A and R shares entitle holders to the 
same dividend but different number of votes. Each A share and every ten R shares carry one 
vote at a shareholders’ meeting. However, each shareholder has at least one vote. 
Number of shares as at 31 December 2025
A shares R shares Total
Number of shares  175,542,421  613,077,566  788,619,987 
Number of votes (at least)  175,542,421  61,307,756  236,850,177 
During 2025, a total of 121,658 A shares converted into R shares were recorded in the Finnish Trade Register. Board of 
Directors is authorised to decide on the repurchase and on the issuance of Stora Enso R shares. The amount of 
shares to be issued or repurchased shall not exceed a total of 2,000,000 R shares, corresponding to approximately 
0.25% of all shares and 0.33% of all R shares.
Major shareholders as of 31 December 2025
By voting power A shares R shares % of shares % of votes
1 Solidium Oy¹ 62,655,036 21,792,540  10.7%  27.4% 
2 FAM AB² 63,123,386 17,000,000  10.2%  27.4% 
3 Social Insurance Institution of Finland (KELA) 23,825,086 -  3.0%  10.1% 
4 Ilmarinen Mutual Pension Insurance Company 4,159,992 21,930,000  3.3%  2.7% 
5 Varma Mutual Pension Insurance Company 5,163,018 7,840,874  1.6%  2.5% 
6 MP-Bolagen i Vetlanda AB² 4,936,000 1,000,000  0.8%  2.1% 
7 Elo Mutual Pension Insurance Company 2,010,000 10,497,000  1.6%  1.3% 
8 E.J. Ljungberg’s Foundation 1,780,540 2,336,224  0.5%  0.9% 
9 Bergslaget’s Healthcare Foundation 626,269 1,609,483  0.3%  0.3% 
10 Lannebo fonder - 6,924,602  0.9%  0.3% 
11 The State Pension Fund - 5,900,000  0.7%  0.2% 
12 Unionen (Swedish trade union) - 5,150,000  0.7%  0.2% 
13 The Society of Swedish Literature in Finland - 4,020,600  0.5%  0.2% 
14 Nordea Finnish Stars Fund - 3,134,179  0.4%  0.1% 
15 OP Finland Fund - 2,897,999  0.4%  0.1% 
Total 168,279,327 109,135,502  35.7%  75.8% 
Nominee-registered shares³ 74,387,486 460,355,727  67.8%  50.8% 
1 Entirely owned by the Finnish State
2 As confirmed to Stora Enso
3 According to Euroclear Finland. As some of the shareholdings on the list are nominee registered, the percentage figures do not add up to 100%.
The list has been compiled by the Company on the basis of shareholder information obtained directly from the large shareholders, and from Euroclear Finland, Euroclear 
Sweden and a database managed by Citibank, N.A. This information includes 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.
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Share distribution as at 31 December 2025
By size of holding, A share Shareholders % of shareholders Shares % of shares
1–100  7,070  59.2%  270,142  0.2% 
101–1,000  4,300  36.0%  1,468,127  0.8% 
1,001–10,000  541  4.5%  1,236,037  0.7% 
10,001–100,000  21  0.2%  466,449  0.3% 
100,001–1,000,000  2  0.0%  255,241  0.1% 
1,000,001–  8  0.1%  171,846,425  97.9% 
Total  11,942  100%  175,542,421  100% 
By size of holding, R share Shareholders % of shareholders Shares % of shares
1–100  17,299  37.0%  805,301  0.1% 
101–1,000  22,801  48.8%  9,214,141  1.5% 
1,001–10,000  6,121  13.1%  16,171,489  2.6% 
10,001–100,000  444  1.0%  11,233,639  1.8% 
100,001–1,000,000  58  0.1%  18,420,961  3.0% 
1,000,001–  25  0.1%  557,232,035  90.9% 
Total  46,748  100%  613,077,566  100% 
According to Euroclear Finland. This table includes only shares registered in Euroclear Finland. E.g. Stora Enso’s Swedish shareholders are listed under their nominee bank in 
this list. Therefore, this table is not comparable with the table Major shareholders as of 31 December 2025.
Ownership distribution as at 31 December 2025
% of shares % of votes
Solidium Oy1  10.7%  27.4% 
FAM AB2  10.2%  27.4% 
Social Insurance Institution of Finland (KELA)  3.0%  10.1% 
Finnish institutions (excl. Solidium and KELA)  14.1%  9.2% 
Swedish institutions (excl. FAM)  2.3%  1.2% 
Finnish private shareholders  4.0%  2.4% 
Swedish private shareholders  3.1%  2.0% 
ADR holders  1.5%  0.5% 
Under nominee names  51.1%  19.8% 
1 Entirely owned by the Finnish State
2 As confirmed to Stora Enso
Stora Enso Oyj shares held by the members of the Group Leadership Team as of 31 December 2025
Shares held (direct and indirect 
ownership)
A   R
Hans Sohlström¹ President and CEO  0  149,872 
Andreas Birmoser EVP Cartonboard  0  3,576 
Tobias Bäärnman EVP Strategy and Sustainability  0  9,992 
Johanna Hagelberg EVP Biomaterials  0  43,408 
Tuomas Hallenberg EVP Forest  0  0 
Hannu Kasurinen EVP Containerboard  0  65,929 
Katariina Kravi EVP HR and Communications  0  18,217 
Markku Luoto EVP Foodservice and Liquid Board  0  5,194 
Niclas Rosenlew² CFO  0  11,441 
Micaela Thorström EVP Legal, General Counsel  0  1,086 
Lars Völkel EVP Wood Products  0  29,355 
Carolyn Wagner EVP Packaging Solutions  0  0 
Total  0 338,070
Share of outstanding shares  0.00%  0.06% 
1 Includes 179 shares held through related persons (spouse)
2 Includes 900 shares held through related persons (spouse)
The shareholding in Stora Enso Oyj’s shares by the members of the Board of Directors 31 December 2025 is 
presented in note 3.2. Their holding in total represents 0.00% of the Company’s A-shares and 0.02% of the R-shares.
The total shareholding of the members of the Board of Directors and the Group Leadership Team on 31 December 
2025 represented 0.02% of the total voting rights in the Company.
Governance
Stora Enso complies with the Finnish Corporate Governance Code 2025 issued by the Securities Market Association. 
The Code is available at cgfinland.fi. Stora Enso also complies with the Swedish Corporate Governance Code, with 
the exception of the deviations listed in Appendix 1 of the Corporate Governance report. The deviations are due to 
differences between Swedish and Finnish legislation, governance code rules and practices, and in these cases 
Stora Enso follows the practice in its domicile. The Swedish Code is issued by the Swedish Corporate Governance 
Board and is available at corporategovernanceboard.se. 
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Related party transactions
Stora Enso’s Guideline for Related Party transactions addresses the 
principles and processes for related party transactions in Stora Enso 
Group, including decision-making, identifying related party transactions, 
reporting and monitoring of related party transactions. Any transaction 
undertaken with a related party, which is not undertaken on market 
terms or which does not form part of the Company’s ordinary course of 
business shall be reported to the Financial and Audit Committee and 
approved by the Board of Directors. Furthermore, Board members and 
members of the Group Leadership Team are subject to additional 
transparency requirements to ensure proper review of transactions 
involving them, their close family or a related entity. For more details on 
related party transactions, see the Financial Statement, note 6.3 and 
the Parent company financial statements note 26.
Legal proceedings
Contingent liabilities
Stora Enso has undertaken significant restructuring actions in recent years 
which have included the divestment of companies, sale of assets and mill 
closures. These transactions include a risk of possible environmental or 
other obligations the existence of which would be confirmed only by the 
occurrence or non-occurrence of one or more uncertain future events not 
wholly within the control of the Group. A provision has been recognised for 
obligations for which the related amount can be estimated reliably and for 
which the related future cost is considered to be at least probable.
Stora Enso is party to legal proceedings that arise in the ordinary course of 
business and which primarily involve claims arising out of commercial law. 
The management does not consider that liabilities related to such 
proceedings before insurance recoveries, if any, are likely to be material to 
the Group’s financial condition or results of operations.
Veracel 
On 11 July 2008, Stora Enso announced that a federal judge in Brazil had 
issued a decision claiming that the permits issued by the State of Bahia for 
the operations of Stora Enso’s joint operations company Veracel were not 
valid. Veracel disputed the decision and filed an appeal against it.
On 10 July 2025, Veracel’s appeal was upheld by the Federal Court, and the 
regularity of all the environmental licensing of the project was recognised, 
and the fine of BRL 20 (EUR 3) million was annulled. The decision was not 
appealed to the Higher Courts, and the ruling is final.
Changes in the Group management
Niclas Rosenlew started as CFO and a member of the Group Leadership 
Team on 13 January 2025. As of 1 January 2026, he assumed additional 
responsibilities and represents the Communications and Brand 
organisations in the Group Leadership Team.
Following Stora Enso’s decision to divide the renewable packaging 
business into four business areas, the Group appointed two new Executive 
Vice Presidents (EVP) and members of the Group Leadership Team (GLT) as 
of 1 July 2025. Markku Luoto was appointed EVP and Head of Foodservice 
and Liquid Board Business Area, and Andreas Birmoser was appointed EVP 
and Head of Cartonboard Business Area. The Containerboard Business 
Area will be led by Hannu Kasurinen, who previously served as EVP 
Packaging Materials division, and has been a member of the GLT since 
2019. Hannu Kasurinen retired on 31 December 2025. Lars Völkel, previously 
EVP Wood Products, was appointed as EVP Containerboard as of 
1 January 2026.
Katariina Kravi, EVP People and Communication and a member of the GLT 
since 2020, accepted a new position outside Stora Enso and left the 
company at the end of 2025.
Micaela Thorström was appointed Executive Vice President, People and 
Legal, General Counsel, as of 1 January 2026. Micaela has been part of 
Stora Enso’s Group Leadership Team since 2023, serving as Executive Vice 
President, Legal and General Counsel.
Tuomas Hallenberg was appointed President and CEO of Stora Enso’s 
Swedish forest business, which is planned to be demerged from Stora Enso 
in 2027. His new role is effective as of 1 January 2026. He stepped down from 
his role of EVP Forest in the Group Leadership Team as of 31 December 
2025.
Resolutions by the Annual General Meeting
Stora Enso Oyj’s Annual General Meeting convened on 20 March 2025 in 
Helsinki, Finland. The AGM adopted the accounts for 2024, adopted the 
Remuneration Report 2024 and the updated Remuneration Policy through 
an advisory resolution, and granted the Company’s Board of Directors and 
Chief Executive Officer discharge from liability for the financial period 1 
January 2024–31 December 2024.
The AGM resolved, in accordance with the proposal by the Board of 
Directors, that the Company shall distribute a dividend of EUR 0.25 per 
share for the year 2024 in two instalments. The first dividend instalment, 
EUR 0.13 per share, was paid on 2 April 2025, and the second instalment, 
EUR 0.12 per share, on 2 October 2025.
The AGM resolved, in accordance with the proposal by the Shareholders’ 
Nomination Board, that the Board of Directors shall have nine (9) members.
The AGM further resolved, in accordance with the proposal by the 
Shareholders’ Nomination Board, to re-elect the current members of the 
board of Directors – Håkan Buskhe, Helena Hedblom, Astrid Hermann, Kari 
Jordan, Christiane Kuehne, Richard Nilsson and Reima Rytsölä – as 
members of the Board of Directors until the end of the following AGM and 
to elect Elena Scaltritti and Antti Vasara as new members of the Board of 
Directors for the same term of office. Kari Jordan was elected as Chair of 
the Board of Directors and Håkan Buskhe as Vice Chair of the Board of 
Directors.
The AGM resolved, in accordance with the proposal by the Shareholders’ 
Nomination Board, that the annual remuneration for the Board of Directors 
be paid as follows:
Chair  EUR 221,728 (2024: 215,270)
Vice Chair EUR 125,186 (2024: 121,540)
Members EUR 85,933 (2024: 83,430)
The AGM also resolved that the annual remuneration for the members of 
the Board of Directors be paid in Company shares and cash so that 40% is 
paid in Stora Enso R shares.
The AGM resolved the annual remuneration for the Board committees in 
accordance with the proposal by the Shareholders’ Nomination Board.
The AGM resolved to elect PricewaterhouseCoopers Oy as auditor until the 
end of the Company’s next AGM. PricewaterhouseCoopers Oy has notified 
the Company that Panu Vänskä, APA, will act as the principally responsible 
auditor. The AGM also elected PricewaterhouseCoopers Oy as 
sustainability reporting assurer until the end of the following AGM. Panu 
Vänskä, APA, authorised sustainability auditor (ASA), will act as the 
principally responsible sustainability reporting assurer.
In accordance with the proposals by the Board of Directors, the AGM 
resolved to authorise the Board of Directors to decide on repurchase and 
issuance of Stora Enso R shares.
The AGM also resolved, in accordance with the proposal by the Board of 
Directors, to amend the Company’s Articles of Association. Amendments 
were made under the sections III Management of the Company, IV Closing 
of accounts, annual audit and sustainability reporting assurance, and V 
Annual General Meeting.
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Resolutions by the organising meeting
of the Board of Directors
Richard Nilsson (Chair), Astrid Hermann and Antti Vasara were elected 
members of the Financial and Audit Committee.
Kari Jordan (Chair), Håkan Buskhe and Reima Rytsölä were elected 
members of the People and Culture Committee.
Christiane Kuehne (Chair), Helena Hedblom, Richard Nilsson and Elena 
Scaltritti were elected members of the Sustainability and Ethics 
Committee.
Outlook
Short-term outlook
• Markets remain challenging, with low consumer confidence. Geopolitical 
volatility results in decreased predictability.
• Packaging and pulp market demand is expected to remain stable at low 
levels.
• The ramp-up of the new consumer board production line at the Oulu site 
in Finland continues. The EBIT headwind is expected to gradually 
decrease as we improve the technical performance of the production 
line. In Q1, we expect a negative impact of EUR 15–30 million on adjusted 
EBIT.
• The divestment of 175,000 hectares of forest assets in Sweden, 
completed in 2025, will result in a reduction of annual adjusted EBIT of 
approximately EUR 20 million, with an estimated quarterly effect of 
approximately EUR 5 million.
• The operating income from emission rights in 2025 were about EUR 72 
million, distributed evenly throughout the year. For 2026, the income from 
the sale of emission rights is projected to decrease to EUR 10–20 million. 
This decline results from changes in the EU ETS (Emissions Trading 
S c h e m e )  r u l e s :  s e v e r a l  s i t e s  w i l l  l o s e  t h e i r  f r e e  C O ₂  a l l o w a n c e  a l l o c a t i o n s  
from 2026 onward, as their emissions are now more than 95% biogenic, 
demonstrating the success of long-term emission-reduction initiatives.
• In the first quarter of 2026 we will introduce a revised reporting structure, 
as presented in the CMD in November 2025. The packaging business 
areas will be consolidated into Consumer Packaging and Integrated 
Packaging segments. In addition, we will report Biomaterials and Other.
Sensitivity analysis
Energy and raw material price sensitivity
The direct effect of a 10% decrease in raw material prices on adjusted EBIT 
for the next 12 months
EUR million Sensitivity 10%
Energy +4
Wood +238
Pulp -85
Chemicals and fillers +44
Foreign exchange rate sensitivity
The direct effect of a 10% strengthening in the value of the currency on 
adjusted EBIT for the next 12 months
EUR million Sensitivity 10%
USD  +28 
SEK  -7 
GBP  +12 
Weakening of the currencies would have the opposite impact. These 
numbers are net of hedges and assuming no changes occur other than a 
single currency exchange rate movement in an exposure currency.
Short-term risks
The geopolitical unrest could have an adverse impact on the Group. 
Potential trade tariffs, retaliatory measures, conflict-related risks to people, 
operations, trade credit, cyber security, supply, and demand, could also 
affect the Group negatively.
The risk of a prolonged global economic downturn and recession, sudden 
interest rate changes, currency fluctuations, trade union and political strike 
actions, and logistical chain disruptions could all adversely affect the 
Group’s profits, cash flow and financial position, as well as access to 
material, flow of goods and transport.
Macroeconomic and geopolitical disruption may increase costs, add 
complexity, and lower short-term visibility, which could further impact 
market demand, prices, profit margins, and volumes of the Group’s 
products. New capacity and volume entering the market might distort 
demand, volumes, inventories and pricing. Moreover, forced capacity cuts 
might further impact on profitability.
There is a risk of continued price volatility for raw materials such as wood, 
chemicals, other components and energy in Europe. The continued tight 
wood market, especially in the Nordics, could cause increased costs, limit 
harvesting and cause disruptions such as delays and/or lack of wood 
supply to the Group’s production sites. Regulatory or similar initiatives 
might challenge the Group’s strategy, growth and operations.
Other risks and uncertainties include, but are not limited to; general 
industry conditions, unanticipated expenditures related to the cost of 
compliance with existing and new environmental and other governmental 
regulations, and related to actual or potential litigation; material process 
disruption at Stora Enso’s manufacturing facilities with operational or 
environmental impacts; risks inherent in conducting business through joint 
ventures; and other factors.
Proposal for the distribution 
of dividend
Stora Enso Oyj’s Annual General Meeting (AGM) will be held on Tuesday 24 
March 2026 at 16:00 EET at Finlandia Hall in Helsinki, Finland. More 
information is available at storaenso.com/agm. 
The parent company distributable shareholders’ equity on 31 December 
2025 amounted to EUR 1,496,703,545.00 including the profit for the period of 
EUR 251,991,875.65.
The Board of Directors proposes to the AGM that a dividend of EUR 0.25 per 
share be distributed on the basis of the balance sheet adopted for the 
year 2025. This would correspond to EUR 197,154,996.75 in aggregate for all 
currently registered 788,619,987 shares, which would leave EUR 
1,299,548,548.25 in distributable shareholders’ equity. The Board of Directors 
proposes that the dividend be paid in two instalments.
The first dividend instalment, EUR 0.13 per share, is proposed to be paid to 
shareholders who on the record date of the first dividend instalment, 26 
March 2026, are registered in the shareholders’ register maintained by 
Euroclear Finland Oy or in the separate register of shareholders 
maintained by Euroclear Sweden AB for Euroclear Sweden registered 
shares. The Board of Directors proposes to the AGM that the first instalment 
of the dividend be paid on or about 8 April 2026.
The second dividend instalment, EUR 0.12 per share, is proposed to be paid 
to shareholders who on the record date of the second dividend instalment 
on 25 September 2026 are registered in the shareholders’ register 
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maintained by Euroclear Finland Oy or in the separate register of 
shareholders maintained by Euroclear Sweden AB for Euroclear Sweden 
registered shares. The Board of Directors proposes that the second 
dividend instalment would be paid on or about 2 October 2026.
Dividends payable to Euroclear Sweden registered shares will be 
forwarded by Euroclear Sweden AB and paid in Swedish crowns. Dividends 
payable to ADR holders will be forwarded by Citibank N.A. and paid in 
US dollars.
Stora Enso’s policy is to distribute 50% of earnings per share (EPS) excluding 
fair valuation over the cycle. In 2025, EPS excluding fair valuation was 
EUR 0.41.
Events after the reporting period
New reporting structure
Stora Enso implemented a new financial reporting structure effective 
1 January 2026, aligning with the Group’s enhanced focus on renewable 
materials and packaging. The new reporting segments are:
• Consumer Packaging (comprising the Cartonboard and the Foodservice 
and Liquid Board business areas)
• Integrated Packaging (comprising the Containerboard and 
the Packaging Solutions business areas)
• Biomaterials
• Other (including the Wood and Energy business area and the Group’s 
administration)
The Swedish forest assets and the Central European sawmilling and 
building solutions operations (currently under strategic review) will be 
reported under the segment Other.
New financial targets
To drive stronger performance and sharpen its focus on packaging, 
the Group has updated its financial targets to reflect its new strategy.
Targets over the business cycle
• Adjusted EBIT margin: >10%
• Revenue growth: >4%
• Payout ratio: >50%
• Net debt to adjusted EBITDA ratio: <1x
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Alternative performance measures
According to the European Securities and Markets Authority (ESMA) Guidelines, an alternative performance measure is understood as a financial measure of historical or future financial performance, financial position, or cash flows, not 
defined under IFRS. Used together with the IFRS measures, alternative performance measures provide meaningful supplemental information to the management, investors, analysts and other parties with regards to the financial 
development of the business operations.
Operating result (IFRS) Net result for the period excluding income tax and net financial items (finance costs). Used in combination with below measures to determine the 
profitability of the Group.
Adjusted EBIT Operating result (IFRS) excluding items affecting comparability (IAC) and fair valuations and non-operational items (FV) of the line-by-line consolidated entities 
and Stora Enso’s share of operating result excluding IAC and FV of its associated companies.
The Group’s key non-IFRS performance metric, which is used to 
evaluate the performance of operating segments and, in 
combination with below ratios, to steer allocation of resources 
to them.
Adjusted EBITDA Operating result (IFRS) excluding silviculture costs and damage to forests, fixed asset depreciation and impairment, IACs and FV. The definition includes the 
respective items of subsidiaries, joint arrangements and associated companies.
Used by management to analyse the business and, from time-
to-time, for short term and long-term target setting.
Adjusted return on capital employed (ROCE), LTM3 (%) Adjusted EBIT3    x 100
Capital employed1
Used for long-term Group financial targets setting.
Adjusted return on operating capital (ROOC), LTM3 (%) Adjusted EBIT3    x 100
Operating capital 1
Used for long-term divisional financial targets setting.
Return on equity, ROE, LTM3 (%) Net result for the period    x 100
Total equity1
A measure of the profitability in relation to equity.
Net debt Interest-bearing liabilities – interest-bearing assets, marked with “I” in the statement of financial position. Used for long-term Group financial targets setting.
Net debt/equity ratio Net debt
Equity2
Used for long-term Group financial targets setting.
Net debt/last 12 months’ adjusted EBITDA ratio Net debt
LTM adjusted EBITDA
Used for long-term Group financial targets setting.
Earnings per share (EPS) excluding FV Net result for the period excluding fair valuations and non-operational items after tax divided by the weighted average number of shares Stora Enso's dividend policy is to distribute 50% of earnings per 
share (EPS) excluding fair valuation over the cycle. 
Operating capital and capital employed Operating capital is comprised of items marked with “O” in the statement of financial position. Capital employed = Operating capital – Net tax liabilities. Net tax 
liabilities are marked with "T" in the statement of financial position.
Used for long-term Group financial targets setting.
Items affecting comparability (IAC) The most common IAC are significant capital gains and losses, impairments or impairment reversals, disposal gains and losses relating to Group companies, 
provisions for planned restructurings, environmental provisions, changes in depreciation due to restructuring and penalties. In order for qualifying cases to be 
considered as items affecting comparability, a materiality threshold will be applied of at least EUR 4 million for Packaging Materials, EUR 2 million for Biomaterials, and 
EUR 1 million for the rest of the divisions including segment Other.
Represent certain significant items, identified by the 
management, considered not indicative of the operating 
business performance due to their nature and/or frequency.
Fair valuations and non-operational items (FV) Fair valuations and non-operational items include non-cash income and expenses related to CO2 emission rights and liabilities, non-operational fair valuation 
changes of biological assets, adjustments for differences between fair value and acquisition cost of forest assets upon disposal and the Group’s share of 
income tax and net financial items of associated companies. Non-operational fair value changes of biological assets reflect changes made to valuation 
assumptions and parameters. The adjustments for differences between fair value and acquisition cost of forest assets upon disposal are a result of the fact that 
the cumulative non-operational fair valuation changes of disposed forest assets were included in previous periods in IFRS operating result (biological assets) 
and other comprehensive income (forest land) and are included in adjusted EBIT only at the disposal date (for non-strategic forest assets disposals).
Represent adjustments for certain items considered by the 
management less relevant for understanding operating 
business performance. These adjustments result in differences 
in the recognition and measurement principles applicable 
under IFRS.
Operational fair value change of biological assets Operational fair value changes of biological assets contain all other fair value changes (see above about non-operational fair value changes of biological assets), 
mainly due to inflation and differences in actual harvesting levels compared to the harvesting plan.
The long-term value change of the growing forests is an 
important component of the forestry business profitability.
Alternative performance measure Definition Purpose
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Cash flow from operations (non-IFRS)  and cash flow 
after investing activities (non-IFRS)
Cash flow from operations (non-IFRS) is equal to net cash provided by operating activities (IFRS) before cash flows related to financial items and income taxes. Cash 
flow after investing activities (non-IFRS) is equal to cash flow from operations (non-IFRS) minus cash spent on intangible assets, property, plant and equipment, and 
biological assets and acquisitions of associated companies. 
These are measures of cash generation, working capital 
efficiency and capital expenditure outflows. 
Capital expenditure Capital expenditure on fixed assets includes investments in and acquisitions of tangible and intangible assets as well as internally generated assets and 
capitalised borrowing costs, net of any related subsidies. Capital expenditure on leased assets includes new capitalised leasing contracts. Capital expenditure 
on biological assets consists of acquisitions of biological assets and capitalisation of costs directly linked to growing trees in plantation forests. The cash flow 
impact of capital expenditure is presented in cash flow from investing activities, excluding lease capex, where the cash flow impact is based on paid lease 
liabilities and presented in cash flow from financing and operating activities. 
A measure of the operating business investments capitalised 
as tangible and intangibles assets.
Fixed costs Maintenance, personnel and other administration type of costs, excluding IAC and FV. A measure of the costs that are less variable in nature.
Alternative performance measure Definition Purpose
1 Average for the last five quarter ends   2 Attributable to the owners of the Parent   3 Last 12 months prior to the end of reporting period
Reconciliation of key figures
EUR million 2025 2024 2023
 
Adjusted EBIT  528  598  342 
Capital employed, average  13,864  14,060  14,230 
Adjusted ROCE  3.8%  4.3 %  2.4 %
 
Adjusted EBIT excl. Forest segment  210  290  89 
Capital employed excl. Forest segment, average  7,860  8,071  8,490 
Adjusted ROCE excl. Forest segment  2.7%  3.6%  1.0% 
 
Net result for the period  686  -183  -431 
Total equity, average  10,259  10,576  11,413 
Return on equity (ROE)  6.7%  -1.7%  -3.8% 
 
Net debt  3,181  3,707  3,167 
Adjusted EBITDA  1,144  1,223  989 
Net debt to adjusted EBITDA ratio  2.8  3.0  3.2 
Earnings per share (EPS) excl. fair valuation
EUR million 2025 2024 2023
Earnings per share (EPS) excl. FV EUR
Net result for the period attributable to owners of 
the Parent 695 -136 -357
FV on net result for the period attributable to 
owners of the Parent 369 307 218
Net result for the period attributable to owners 
of the parent excl. FV  327  -442  -575 
Average number of shares  789  789  789 
Earnings per share (EPS) excl. FV EUR  0.41  -0.56  -0.73 
Reconciliation of operational profitability
EUR million 2025 2024 2023
Adjusted EBITDA 1,144 1,223 989
Depreciation and silviculture costs of associated 
companies -14 -13 -11
Silviculture costs1 -120 -111 -102
Depreciation and impairment excl. IAC -483 -501 -534
Adjusted EBIT 528 598 342
Fair valuations and non-operational items 434 364 231
Items affecting comparability (IAC) -19 -870 -895
Operating result (IFRS) 942 93 -322
1 Including damages to forests
Segment share of adjusted EBIT, IAC, fair valuations and non-
operational items and operating result
Adjusted EBIT
IAC, fair valuations 
and non-
operational items Operating result
EUR million 2025 2024 2025 2024 2025 2024
Packaging Materials  124  172  -41  -341  83  -169 
Packaging Solutions  14  -15  -12  -380  2  -394 
Biomaterials  110  231  34  25  144  256 
Wood Products  -2  -16  -14  -57  -16  -73 
Forest  317  309  509  337  826  646 
Other  -37  -72  -61  -90  -98  -162 
Inter-segment 
eliminations  1  -11  0  0  1  -11 
Total  528  598  414  -505  942  93 
Net financial items  -159  -211 
Profit before Tax  783  -118 
Income tax expense  -97  -65 
Net Profit  686  -183 
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Items affecting comparability in 2025
EUR million 2025
Acquisitions  -4 
Disposals - Swedish forest assets  140 
Disposals - Other  -16 
Impairments - Packaging Solutions  -4 
Impairments - Wood Products  -12 
Restructuring - Packaging Materials  -32 
Restructuring - Packaging Solutions  -7 
Restructuring - Biomaterials  -5 
Restructuring - Wood Products  -2 
Restructuring - Forest  -4 
Restructuring - Group functions and segment Other  -6 
Profit improvement programme - consulting costs  -24 
Claims and penalties  -8 
Environmental provisions and damages  -35 
Total  -19 
Items affecting comparability in 2024
EUR million 2024
Impairments - Packaging Materials  -305 
Impairments - Packaging Solutions  -371 
Impairments - Wood Products  -56 
Disposal & closure of De Hoop  -4 
Disposal & closure of Sunila  -6 
Disposal of Selfly Store  -8 
Disposals - other  -8 
Restructuring - Packaging Materials  -32 
Restructuring - Packaging Solutions  -8 
Restructuring - Biomaterials  -6 
Restructuring - Forest  0 
Restructuring - Group functions and segment Other  -7 
Profit improvement programme - consulting costs  -45 
Environmental provisions  -14 
Other items  0 
Total  -870 
Fair valuations and non-operational items in 2025 and 2024
EUR million 2025 2024
Non-operational fair valuation changes of biological 
assets, Packaging Materials  5  2 
Non-operational fair valuation changes of biological 
assets, Biomaterials  40  32 
Non-operational fair valuation changes of biological 
assets, Forest  404  382 
Non-cash income and expenses related to CO2 
emission rights and liabilities, Other  -12  -11 
Non-operational items of associated companies, 
mainly Forest  -2  -34 
Adjustments for differences between fair value and 
acquisition cost of forest assets upon disposal, Forest  -2  -6 
Total  434  364 
Calculation of net debt
EUR million 31 Dec 2025 31 Dec 2024
Listed securities  —  11 
Non-current interest-bearing receivables  14  14 
Interest-bearing receivables  67  47 
Cash and cash equivalents  1,212  1,999 
Interest-bearing assets  1,293  2,072 
Non-current interest-bearing liabilities  3,557  3,894 
Current portion of non-current debt  253  1,090 
Interest-bearing liabilities  659  788 
Bank overdrafts  5  7 
Interest-bearing Liabilities  4,473  5,779 
Net debt  3,181  3,707 
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Sustainability 
Statement
General information      ............................................................................................ 69
Basis for preparation    ....................................................................................... 69
Governance   ........................................................................................................ 70
Strategy   ................................................................................................................ 72
Impact, risk, and opportunity management     ........................................... 77
Environmental information    .............................................................................. 87
EU Taxonomy     ...................................................................................................... 87
E S R S  E 1   C l i m a t e  c h a n g e    ................................................................................. 92
E S R S  E 2   P o l l u t i o n     ............................................................................................... 101
E S R S  E 3   W a t e r  a n d  m a r i n e  r e s o u r c e s    ....................................................... 104
E S R S  E 4   B i o d i v e r s i t y  a n d  e c o s y s t e m s   ....................................................... 106
E S R S  E 5   R e s o u r c e  u s e  a n d  c i r c u l a r  e c o n o m y    ........................................ 112
Social information   ................................................................................................ 116
E S R S  S 1   O w n  w o r k f o r c e   ................................................................................... 116
E S R S  S 2   W o r k e r s  i n  t h e  v a l u e  c h a i n   ............................................................ 123
E S R S  S 3   A f f e c t e d  c o m m u n i t i e s   ................................................................... 126
Governance information      ................................................................................... 129
E S R S  G 1   B u s i n e s s  c o n d u c t    ............................................................................. 129
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General information
In this section
Basis for preparation    ............................................................................................ 69
Governance    ............................................................................................................. 70
Strategy      ..................................................................................................................... 72
Impact, risk, and opportunity management     ................................................ 77
Basis for preparation
General basis for preparation of the Sustainability 
Statement (BP-1)
Stora Enso’s Sustainability Statement has been prepared on a consolidated 
basis in accordance with Chapter 7 of the Finnish Accounting Act and the 
European Sustainability Reporting Standards (ESRS), and it refers to the 
Group Sustainability Report as required under Chapter 7 of the Finnish 
Accounting Act. It follows the same consolidation principles as the Financial 
Statements prepared in accordance with the IFRS Accounting Standards. 
Unless otherwise stated, the Group’s consolidated performance figures 
expressed in this report relate to the parent company, Stora Enso Oyj, and 
all companies in which the Group holds 50% or more of the voting rights, 
directly or indirectly. For additional information on Group’s structure, see 
Financial Statements, note 6.2 Group structure.
Stora Enso has two joint operations, Veracel in Brazil and Montes del Plata 
in Uruguay. In both companies, Stora Enso holds a 50% ownership. In the 
Financial Statements, the joint operations are recognised and 
consolidated based on the Group’s share of the assets, liabilities, revenues, 
expenses, and cash flows of the joint operation.
To ensure consistency with financial reporting, the Sustainability Statement 
covers information proportional to Group’s ownership in the joint operations 
in the following ESRS disclosure requirements: E1-5, E1-6, E1-7, E2-4, E3-4, E4-5, 
E5-4, E5-5, and S1-6 (total number of employees). The above environmental 
disclosure requirements include the intensity ratios related to the Group’s 
financial revenue. For additional information on consolidation principles, see 
Financial Statements, note 1.1 Accounting principles.
Stora Enso does not have full authority over the daily operations of its joint 
operations, and as these operations are not governed by Stora Enso’s 
policies, internal controls, or targets, most ESRS reporting requirements for 
joint operations are not applicable. The same principle applies to financial 
reporting, where the Group’s joint operations follow their own financial risk 
policies, which may differ from those of Stora Enso. Unlike financial 
reporting, where joint operations comply with IFRS accounting standards, 
they do not adhere to ESRS.
Following the double materiality principle, the Sustainability Statement 
contains relevant upstream and downstream value chain information 
where necessary to understand the Group’s material impacts, risks, and 
opportunities and to provide information that meets the qualitative 
characteristics outlined in the Corporate Sustainability Reporting Directive 
(CSRD). In the descriptions of material topics, joint operations are referred to 
as ‘joint operations’ to distinguish them from the Group’s own operations, 
over which the Group has full authority regarding the operating policies.
Due to the sensitivity of information, Stora Enso has exercised the option 
not to disclose specific details related to intellectual property, know-how, 
or the outcomes of innovation. In accordance with the Finnish Accounting 
Act chapter 7 13 § (21.12.2023/1249), Stora Enso does not disclose information 
on impending developments or matters under negotiation, and has also 
opted to omit value chain metrics.
The connectivity of the ESRS disclosures with the Group’s Financial 
Statements is indicated through guidance directing readers to additional 
information, which is not in the scope of ESRS reporting.
This Sustainability Statement has been assured by an independent third-
party assurance provider in accordance with the Finnish Auditing Act. 
PricewaterhouseCoopers Oy has provided a level of Limited Assurance, 
using the ESRS Standards and the requirements of the delegated acts of 
the Taxonomy Regulation (EU) 2021/2178 as criteria, covering the 
Sustainability Statement as defined under BP-1. PricewaterhouseCoopers 
Oy applies the International Standard on Quality Management (ISQM) 1. 
Additionally, a level of Reasonable Assurance, using the GHG Protocol as 
criteria, has been provided for Stora Enso’s reporting on direct and indirect 
greenhouse gas (GHG) emissions (Scope 1 and 2, market-based). Stora 
Enso’s Science-Based climate targets align with the GHG Protocol and 
therefore deviate from the ESRS consolidation principle in terms of joint 
operations, see ESRS E1-6. The Assurance Reports are available on page 211 
of the Annual Report.
Disclosures in relation to specific circumstances (BP-2)
The Sustainability Statement fulfils the characteristics of specific 
circumstances in some disclosures.
Due to the nature of the Group’s operations, time horizons differ from the 
definitions provided by CSRD. For risks, Stora Enso defines short-term as up 
to one year, medium-term as two to ten years, and long-term as ten years 
or more. This aligns with Stora Enso’s enterprise risk management process.
Stora Enso applies phased-in provisions in line with the ESRS1 Phased-in 
Disclosure Requirements Appendix C (EU 2025/1416 delegated regulation 
amendment to 2023/2772) for the following disclosures: E2-6, E3-5, E4-6, 
E5-6, S1-7, S1-8 (covers only EEA countries), S1-11, S1-13, and S1-14 (88 d, e). 
When reporting involves estimated value chain data, outcome 
uncertainty, or disclosures required by other legislation or accepted 
sustainability standards, the relevant information is presented within 
the accounting principles section for each metric. In ESRS E1-6, the metrics 
related to Scope 3 are subject to a higher level of measurement 
uncertainty, due to the data encompassing the full value chain. The 
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expected reductions in Stora Enso's carbon reduction pathway for 2030 
(presented as graph in ESRS E1-4) are based on various assumptions and 
estimates that are believed to be reasonable, though actual result and 
timing could differ from these. The estimates, judgments and assumptions 
are reviewed regularly and updated when deemed necessary.
Unless otherwise stated, the metrics disclosed in the Sustainability 
Statement have not been validated by an external body other than the 
assurance provider.
Changes in presentation of sustainability information 
ESRS E1-3 Reductions by Scope 1 and 2 decarbonisation levers
In 2025, Stora Enso adjusted its approach to analysing emission reductions 
per decarbonisation lever, resulting in adjustments between levers but no 
change to the total reduction achieved.
ESRS E1-6 Total GHG emissions disaggregated
In 2025, Stora Enso's disaggregated GHG emissions are presented 
following the financial consolidation scope, in alignment with ESRS 
standards (2024 reporting followed GHG Protocol). Under this change, joint 
operations are consolidated line by line in Scope 1 and 2, rather than Scope 
3 (as classified by the GHG Protocol). This technical adjustment reallocated 
emissions between scopes but did not affect the total GHG emissions.
Governance
The role of the administrative, management, 
and supervisory bodies (GOV-1)
 
Composition and diversity of the Board of Directors 2025 2024
Number of non-executive members 9 8
Number of executive members 0 0
Percentage of independent members1  100%  100% 
Gender diversity: average ratio of female to male (% of female) 4:5 (44%) 1:1 (50%)
Age range 52-70 51-69
Number of different nationalities 5 5
Members with industry experience 2 2
Members with experience in emerging markets 3 3
Members with experience in global business and operational 
management 9 8
1 Two of the Board members were independent of the Company but not of its significant shareholders.
There is no employee representative on the Board.
Roles and responsibilities of the Board of Directors and its committees 
for oversight of impacts, risks and opportunities 
Board of Directors
• Supervises the operation and management of Stora Enso.
• Decides on significant matters relating to strategy, 
sustainability, investments, organisation, and finance. 
• Reviews strategic and operational risks.
• Oversees the proper supervision of accounting and 
the control of financial and sustainability matters.
• Approves the double materiality assessment,  Sustainability 
Statement, and climate resilience plan.
Financial and Audit 
Committee
• Supports the Board in maintaining the integrity of 
the company’s financial and sustainability reporting, as well 
as the Board’s control functions.
• Reviews and supports the material content of the 
Sustainability Statement, as recommended by the 
Sustainability and Ethics Committee, for inclusion in the 
Report of the Board of Directors, subject to Board approval. 
Sustainability and 
Ethics Committee
• Oversees the company’s sustainability and ethical business 
conduct and the related impacts, risks, and opportunities.
• Reviews and assesses the annual reporting and control 
procedures on quantitative and narrative disclosures 
related to sustainability and business ethics.
• Reviews, evaluates, and oversees Stora Enso’s double 
materiality assessment, including the identified material 
impacts, risks, and opportunities, as well as the associated 
targets and action plans.
People and Culture 
Committee
• Responsible for recommending and evaluating executive 
nominations and remunerations, and making 
recommendations to the Board on management 
remuneration issues.
• Responsible for ensuring that the talent and 
• remuneration plans and programmes support the strategic 
aims of the company.
The Corporate Governance Policy addresses corporate governance 
within Stora Enso. The Group Risk Policy outlines the overall approach to 
governance and the management of risks in accordance with the COSO 
(Committee of Sponsoring Organizations) framework and in line with ISO 
31000. Both policies are approved by the Board of Directors.
The duties of the various bodies within Stora Enso are determined by the 
laws of Finland and by the company’s Corporate Governance Policy, which 
complies with the Finnish Companies Act and the Finnish Securities Market 
Act. The working order of the Board sets out the Board’s working practices, 
while the tasks and responsibilities of the Board committees are defined in 
their respective charters. The Board’s work is supported by its committees.
Executive management’s role to monitor, manage 
and oversee impacts, risks and opportunities
The CEO is responsible for the day-to-day management of the company 
in accordance with the Finnish Companies Act and the instructions and 
orders issued by the Board. The CEO is also responsible for overseeing 
effective risk management and internal controls over financial and 
sustainability reporting. The Group Internal Control, under Group 
Assurance and supervised by the CFO, is accountable for internal control 
governance, processes and tools. The head of Enterprise Risk 
Management, reporting to the Executive Vice President of Strategy and 
Sustainability, is responsible for designing, developing, and monitoring 
the implementation of the Group’s risk management framework. 
Sustainability work is led by the Executive Vice President (EVP) responsible 
for strategy and sustainability, who reports directly to the CEO and is part 
of the Group Leadership Team (GLT). The CEO holds ultimate responsibility 
for the successful implementation of the company’s sustainability agenda. 
The EVP Legal, General Counsel, is responsible for ethics and compliance 
matters at Stora Enso and reports to the CEO. 
To ensure control over the management of impacts, risks, and 
opportunities, Stora Enso has set procedures to update the Board on 
incidents related to safety and environmental non-compliances. The 
Financial and Audit Committee supports the Board in monitoring the risk 
management process within Stora Enso, particularly with regard to the 
management and reporting of risks that have a significant financial 
impact. Responsibility for maintaining effective risk management is 
delegated to the CEO. 
Both the Group Leadership Team and the Board of Directors are regularly 
updated on sustainability progress and other topical issues. The Group 
Leadership Team members present sustainability targets to the Board, first 
reviewed by the Sustainability and Ethics Committee and then approved 
by the Board of Directors. The Board of Directors receives quarterly 
updates on performance against the targets. 
Skills and expertise of the Board to oversee sustainability matters
The Sustainability and Ethics Committee comprises two to four Board 
members who are nominated annually by the Board. At least one 
Committee member is expected to have sufficient prior knowledge and 
experience in handling sustainability and business ethics matters. To 
ensure the Board’s insight and competence on the Company’s material 
sustainability-related topics, the Board regularly reviews and discusses 
material impacts, risks and opportunities, targets, and external reporting 
as described below under ESRS 2 GOV-2.
In 2025, seven of the Board members possessed sustainability or ESG-
related expertise as their primary skill. Additionally, three of the Board 
members had specific expertise in sustainability-driven innovation. These 
skills are aligned with the strategic topics identified as part of Stora Enso’s 
double materiality assessment: climate change, biodiversity and circularity. 
Three out of the four members of the Sustainability and Ethics Committee 
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possessed expertise in governance and compliance as their primary skill, 
and all the members of the Financial and Audit Committee held this 
expertise. All Board committees are allowed to engage external consultants 
and experts when necessary. To ensure access to sufficient and relevant 
sustainability expertise and skills, the Group’s subject matter experts 
present sustainability topics and updates to the committees. More details 
are provided under ESRS 2 GOV-2.
Information provided to and sustainability matters 
addressed by the administrative, management, and 
supervisory bodies (GOV-2)
The Sustainability and Ethics Committee receives regular updates and 
engages in discussions with management on key sustainability matters, 
as outlined in the table below. This ensures the Board stays well-informed, 
follows a structured annual review and approval process, and maintains 
the necessary expertise to address these issues.
All non-compliance cases are reported to the Sustainability and Ethics 
Committee upon completion, and cases related to fraud or the integrity of 
financial reporting are also reported to the Financial and Audit Committee. 
Significant non-compliances are reported to Sustainability and Ethics 
Committee within 48 hours of their occurrence.
Quarterly updates and 
discussions
• Safety (TRI and fatalities) statistics
• Ethics and Compliance topics and incident reviews
• Environmental incidents update 
• Review of the quarterly sustainability results to assess 
performance against sustainability targets
Bi-annual updates and 
discussions
• Deep dives into material sustainability topics on the 
management of significant risks, impacts, and 
opportunities (climate, biodiversity, and circularity)
• Proposal and agreement on sustainability focus areas
Annual updates and 
discussions
• Integrated ERM and Double Materiality Assessment 
review with the Financial and Audit Committee
• Review of sustainability targets
• Review of the Sustainability Statement and support to 
Financial and Audit Committee in providing 
recommendations to the Board for the approval of 
the Board of Directors Report
Matters addressed by Sustainability and Ethics Committee
In addition to the topics listed above, the Board receives updates and 
discusses other material sustainability topics as needed. The updates are 
provided by the Group Leadership Team members and their teams, 
primarily Group Sustainability and Group Legal. 
In 2025, these included:
• update and discussion on climate resilience plan
• implementation of the due diligence process in accordance with the 
Corporate Sustainability Due Diligence Directive, and 
• ESG update on market information.
The Board approves the double materiality assessment as described in 
ESRS IRO-1. The outcome of the assessment is disclosed under ESRS 2 SBM-3. 
The Board supervises the operation and management of Stora Enso and 
decides on significant matters relating to strategy, investments, 
organisation, and finance. Information on the development of essential risk 
areas, as well as executed and planned activities in these areas are 
regularly communicated to the Financial and Audit Committee. 
Sustainability and Ethics Committee receives regular updates on material 
sustainability topics, including related impacts, risks and opportunities as 
described above. The two Committees present a report on each meeting 
to the Board to be utilised in the Board’s approval, supervisory and 
decision-making processes. Risks are reviewed jointly with the Financial 
and Audit Committee and Sustainability and Ethics Committee to ensure a 
holistic approach to overseeing Company risks. In accordance with the 
Board’s working order, matters handled in the meetings include, among 
others, the approval of major investments and divestments. The Group’s 
Investment Guidelines address sustainability matters to be considered, but 
do not provide specific guidance on potential trade-offs.
Integration of sustainability-related 
performance in incentive schemes (GOV-3)
The Remuneration Policy describes Stora Enso’s main principles and the 
decision-making process for the remuneration of the members of the Board 
and the President and CEO. The performance metrics defined in the policy 
include sustainability targets as decided by the Board. Since 2022, 
sustainability measures have been part of the Company’s variable 
remuneration. The sustainability performance criteria align with Stora Enso’s 
key sustainability targets and key performance indicators (KPIs), thereby 
contributing to the overall fulfilment of the Group’s sustainability ambition.
Occupational safety objectives are integrated into the short-term 
incentive plans of all employees, including the CEO, Group Leadership 
Team, and business area and unit management. For the 2025 plan 
(payable in 2026), 10% is tied to safety performance. Targets are set 
annually, with payouts based on yearly results. 
The long-term incentive plan encompasses around 300 key employees, 
including the Group Leadership Team. It includes sustainability metrics on 
carbon reduction (10%) and gender balance (10%). The targets for the plan 
are set for a three-year period, and payouts in Stora Enso shares are 
based on the company’s performance against set targets. 
Shareholders at the Annual General Meeting have established 
a Shareholders’ Nomination Board, which is to exist until otherwise decided, 
and will annually prepare proposals for the Annual General Meeting’s 
approval concerning the number of members as well as the remuneration 
of the Board of Directors. The Board’s remuneration is not directly linked to 
the Company’s performance, but may be paid partly in Company shares, 
as decided by the Annual General Meeting.
The compensation of the President and CEO is decided by the Board 
based on the evaluation and proposal by the Board’s People and Culture 
Committee, and the company’s Remuneration Policy.
Statement on due diligence (GOV-4)
Stora Enso integrates risk-based sustainability due diligence into its 
policies and risk management systems, covering both the Group’s own 
operations and the value chain. This includes identifying and prioritising 
human rights and environmental impacts, implementing preventive and 
mitigating measures, and engaging in remediation where needed. The 
company monitors the effectiveness of its due diligence and implements 
it through, for example, the following processes and tools:
• Due diligence, in which the company evaluates the impact that current 
or potential business operations may have on local communities and 
the environment.
• Third-party certified management systems in place at production units 
that apply international standards such as ISO 14001, ISO 45001, and 
ISO 50001.
• SMETA audits focusing on social matters and working conditions.
• Third-party forest management certification for the Group’s own forestry 
operations and suppliers, such as FSC1 and PEFC2, which also include 
community considerations as a prerequisite.
• When necessary, organisational restructuring processes and the closure 
of operations are carried out in cooperation with authorities to support 
communities through related changes and to create opportunities for 
new business initiatives.
• Grievance mechanisms are available for all external stakeholders, 
including communities close to the Group’s operations.
1 Stora Enso Communications’ FSC® trademark license number is FSC-N001919.
2 Stora Enso PEFC trademark license number is PEFC/02-44-22.
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Stora Enso’s due diligence commitment is outlined in the Sustainability 
Policy. Stora Enso recognises the human rights-related principles of the UN 
Global Compact, relevant Children’s Rights and Business Principles, and 
the OECD’s Guidelines for Multinational Enterprises. The core elements of 
Stora Enso’s due diligence are further described in the following 
paragraphs:
Core elements of due diligence Paragraphs in the Sustainability Statement
a) Embedding due diligence in 
governance, strategy and business 
model
ESRS 2 GOV-2, ESRS 2 GOV-3, ESRS 2 SBM-3
b) Engaging with affected stakeholders 
in all key steps of the due diligence
ESRS 2 GOV-2, ESRS 2 SBM-2, ESRS 2 IRO-1, ESRS 
MDR-P, ESRS S3
c) Identifying and assessing adverse 
impacts
ESRS 2 IRO-1, ESRS 2 SBM-3, ESRS S3
d) Taking actions to address those 
adverse impacts
ESRS 2 MDR-A
e) Tracking the effectiveness of these 
efforts and communication
ESRS 2 MDR-A, ESRS 2 MDR-T
f) Third-party certified management 
systems
ESRS E1-2, ESRS E4-3
Risk management and internal controls over 
sustainability reporting (GOV-5)
Stora Enso’s internal control framework includes internal controls designed 
to meet the requirements on reasonable assurance for the reported 
sustainability data, reliability of disclosures and compliance with 
applicable laws, regulations, policies and guidelines. The framework is 
based on the principles established by the Committee of Sponsoring 
Organizations (COSO).
The Board, supported by the Financial and Audit Committee, has the 
overall responsibility for setting up an effective system of internal control 
and risk management for sustainability reporting. The responsibility is 
further delegated within the organisation. The Group Internal Control is 
responsible for internal control governance and processes, while business 
areas and support and service functions are accountable for operating 
effective internal controls. 
Risk assessments have been conducted for the end-to-end sustainability 
reporting processes, with risks prioritised based on their impact and 
likelihood. The main risks identified include the accuracy, timeliness, and 
completeness of the reporting. To address these risks, internal controls 
were designed and implemented at potential points of failure or error 
throughout the process, from the source data to consolidation and 
disclosures. Implemented control activities include review and approval 
processes, verifications, reconciliations, IT general controls, and controls 
supported by IT systems. Control activities also include the policies, 
guidelines, procedures, and organisational structures in place to ensure 
that management directives are carried out and that necessary actions 
are taken to address risks related to the achievement of objectives 
concerning sustainability reporting.
The effectiveness of the process for assessing risks and executing control 
activities is monitored continuously. The Group Internal Control oversees 
control design and effectiveness providing quarterly reports to 
management and bi-annual updates to the Financial and Audit 
Committee. The contributors to the sustainability reporting process from 
business areas and functions are informed of the findings and 
observations concerning the internal controls.
Strategy
Strategy, business model and value chain (SBM-1)
Stora Enso is a global renewable materials company with an increasing 
focus on packaging. In 2025, the Group’s sales were EUR 9,326 (9,049) 
million. Stora Enso operates in the following ESRS sector groups and 
related sectors:
Sector group: Agriculture. Sector: Forestry (AFO)
Sector group: Manufacturing. Sector: Pulp, Paper & Wood products (MPW)
The Group’s strategy is based on creating value in the circular economy 
with renewable, fiber-based materials. In 2025, key product categories 
included p a c k a g i n g  p r o d u c t s  a n d   s o l u t i o n s  f o r   v a r i o u s  i n d u s t r i e s  s u c h  a s  
food and beverage, retail, e-commerce, and industrial applications. 
Additional product categories included biomaterials (pulp and bio-based 
solutions), wood products, and building solutions. The Group’s forests serve 
as a reliable and long-term source of fiber for its products.
Stora Enso’s key customer segments include packaging converters, food 
and beverage producers, brand owners and retailers, and e-commerce. 
Over half of the Group’s sales are directed toward consumer end uses. The 
Group’s main market is Europe, accounting for approximately 69% of sales. 
The second largest market is the Asia, contributing 16% of sales. For additional 
information on financial performance by segment and external sales by 
destination, see Financial Statements, note 2.1 Segment information.
In September 2025, Stora Enso divested approximately 175,000 hectares of 
Swedish forest land, equivalent to about 12.4% of its total forest land 
holdings in Sweden. Stora Enso retains a 15% ownership of the sold 
company. In connection with the divestment, Stora Enso and the divested 
entity entered into a 15-year wood supply agreement to secure wood 
availability for Stora Enso’s Swedish business units. See additional 
information in the Financial Statements, note 6.1 Acquisitions, disposals and 
assets held for sale. 
In November 2025, the Group completed a strategic review of its Swedish 
forest assets as part of a stronger focus on renewable packaging and 
initiated preparations for the separation of the assets into a publicly-listed 
Swedish company, with the listing planned to be completed in 2027. In 
November, Stora Enso also initiated a strategic review of its Central 
European sawmills and building solutions operations, which is expected to 
be carried out in 2026.
Stora Enso is a significant employer in its operating countries, employing 
approximately 19,000 (19,000) people at the end of 2025. The number of 
employees by countries is presented under ESRS S1-6.
The Group’s long-term ambition is to provide regenerative products and 
solutions by 2050 across all markets, and product and customer categories. 
This means providing renewable and circular products and solutions that 
remove more carbon than they emit and support biodiversity restoration. 
Currently, the long-term ambition aligns with the significant products, 
markets, and customer groups within the Group. The majority of the 
products are designed for recycling or energy recovery at the end of their 
lifecycle, underscoring the commitment to the circular economy.
Key sustainability matters impacting the strategy are climate change and 
biodiversity loss, which may adversely affect the health and resilience of 
forests and tree plantations, the value of forest assets, and wood prices. 
Conversely, strategy elements impacting sustainability matters are mainly 
related to the renewable, wood-based products that serve as alternatives 
to fossil-based materials and contribute to mitigating climate change and 
supporting the circular economy. The main challenge regarding 
sustainability matters lies in the evolving regulatory landscape and 
political decisions on forest resources, which could limit wood availability, 
increase costs, and reduce investment opportunities.
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Stora Enso’s business model
Stora Enso is a global renewable materials company with focus on packaging. The Group procures wood from both internal and external sources, manufacturing it into a range of wood-based products and materials. A global sales and 
distribution network is used to deliver products to customers worldwide for further processing. The majority of sales are directed towards consumer end uses. The main business actors include private forest owners, chemical suppliers, 
transportation and logistics partners, and the key customer segments detailed in the illustration below. (The illustration presents company structure as of 31 December 2025.)
Upstream Own operations Downstream
Transport to Stora Enso’s production sites
Transport to customers 
Securing a reliable supply 
of raw materials
Stora Enso’s operations Renewable materials to 
global customer base
Outcomes and benefits
Wood as primary raw material Purpose Key customer segments Financial market
Focused capital allocation driving 
shareholder value and sustainable 
profitable growth: dividends to 
shareholders, and interest and principal 
payments to lenders
Customers and end-users
Helping customers meet consumer 
demand for low-carbon, renewable 
products while maintaining the highest 
product safety standards
People and communities
Safe and inclusive workplace with 
opportunities for development
Large supplier network creating indirect 
employment opportunities
• Owned and leased forest land in Europe 
and China
• 50% ownership of eucalyptus plantations 
in Brazil and Uruguay
• Large network of private forest owners 
providing tactical flexibility in wood 
sourcing
Do good for people 
and the planet
Replace non-
renewable materials 
with renewable 
products
• Packaging converters, food and beverage 
producers, brand owners and retailers, 
and e-commerce
Production and conversion 
units worldwide
Key products and applications
• Packaging boards, made from virgin and 
recycled fiber based on a wide selection 
of base boards and barrier coatings
• Corrugated packaging solutions
• Pulp and bio-based solutions focused on 
lignin, wood foams, and biochemicals
Other raw materials
• Long-term relationships with key suppliers 
to ensure a reliable supply of main 
raw materials
• Large, global supplier base for key raw 
materials, such as chemicals, fillers, 
and energy
Focus on resource efficiency
• Utilising harvested trees, forestry residuals, 
and industrial side streams in the most 
efficient way
• Developing recycled fiber into new 
products
• Reducing emissions, water usage, and 
energy consumption
Skilled and engaged employees
• Safety as a top priority
• Focus on strong performance culture and  
attracting and retaining top talent to 
secure future skills
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Interests and views of stakeholders (SBM-2)
Stora Enso’s stakeholder engagement is rooted in both systematic and informal interactions, complemented by 
regular surveys on topics such as customer and employee satisfaction. The Group also gains insights through its 
established grievance mechanisms. Stakeholder engagement is conducted continuously and is being integrated 
into existing engagement practices.
The purpose of the engagement is to:
• build trust and enhance transparency,
• identify market opportunities,
• address concerns and areas for improvement,
• recognise global trends and weak or silent signals,
• promote  sustainable business practices, and
• advance industry standards.
Stora Enso engages regularly with affected stakeholders and users of the Sustainability Statement as outlined in 
the table to the right. During these engagements, key stakeholders have highlighted the opportunities for Stora 
Enso to advance circular economy through its wood-based products, which are aligned with the Group’s business 
model. They have also emphasised the importance of implementing responsible business practices throughout 
operations and the value chain, as these are crucial for securing the long-term acceptability of the strategy.
Stora Enso integrates the perspectives and rights of employees (including respect of human rights) into its 
business model and strategy through established cooperation structures, such as grievance channels, European 
Works Council, and dialogue with trade unions. These processes are detailed in ESRS S1-2. Similarly, the interests, 
views, and rights of value chain workers that could be materially impacted by the Group, including respect for 
human rights, as well as those of affected communities, inform Stora Enso’s strategy and business model. This is 
reflected in processes such as supplier due diligence, human rights risk assessments, grievance channels, and 
stakeholder dialogue (see E S R S  S 2 - 2 and E S R S  S 3 - 2).
Outcomes from stakeholder engagement are incorporated into the annual double materiality assessment 
process. The Group Leadership Team and the Board of Directors receives regular updates, at least annually, 
regarding the perspectives and interests of affected stakeholders and users of the Sustainability Statement. 
These updates also include potential implications for Stora Enso’s strategy, operations, and significant 
sustainability-related impacts.
Stakeholder group How engagement is organised
Affected stakeholders
Customers • Bilateral meetings, newsletters
• Trade fairs and conferences
• Customer satisfaction surveys
• Collaboration to create new services and solutions
Employees • Employee engagement survey, performance and development reviews
• Regular all-employee calls
• Engagement with union representatives, safety observations, and grievance channels
• Trainings on topics such as business ethics and safety
Suppliers and workers in the value chain • Continuous collaboration and trainings
• Supplier audits, human rights assessments
• Commitment to Stora Enso’s Supplier Code of Conduct and related criteria
• Grievance channels 
Forest owners • Bilateral discussions on forest management, forestry services, and wood purchases
• Forest owner events and webinars
• Newsletters, forest owner magazines, and digital channels
• Forest management platforms, such as eMetsä in Finland
Local communities • Dialogue and collaboration via different communication channels and meetings
• Engagement with local authorities and local community councils
• Volunteering initiatives
• Group and local level grievance channels
Nature (silent stakeholder) • Presented via scientific research, ecological data, and data on the conservation of species
Users of Sustainability Statement
Investors and analysts • Investor calls and meetings, webinars, teach-ins
• Roadshows and conferences, Annual General Meeting, Capital Markets Day
• Engagement with ESG specialists and investor initiatives
• Analyst and investor perception studies, ESG ratings
Governments and policymakers • Public consultations, bilateral meetings and events
• Engagement in policy-making processes, advocacy through industry associations
• Supporting policymakers by providing industry insights and technological capabilities
Non-governmental organisations (NGOs) • Knowledge sharing and joint initiatives
Industry and trade organisations • Active participation to develop industry practices and collaboration in joint projects
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Material impacts, risks and opportunities and their interaction with strategy and business model (SBM-3)
Stora Enso’s material impacts, risks, and opportunities, identified through the double materiality assessment mainly occur within its own operations and upstream value chain. The impacts primarily originate from the Group’s resource-
intensive business model and industrial operations, including global operations and a broad value chain. Summaries for each material topic are provided below. Detailed descriptions of the identified impacts, risks, and opportunities are 
presented at the beginning of each topical standard, including expected time horizons and value chain locations.
Summary of material impacts, risks and opportunities resulting from materiality assessment
Environment Social and governance
E1 Climate change S1 Own workforce
Stora Enso has a direct negative impact on climate change through greenhouse gas emissions from its own operations and indirectly 
through its value chain. At the same time, the Group generates positive climate impacts via forest carbon sequestration, carbon storage in 
wood-based products, and the substitution of fossil-based materials with renewable alternatives. In addition, Stora Enso identifies its high 
level of energy self-sufficiency as an opportunity. See ESRS E1 SBM-3 for further details.
With a workforce of approximately 19,000 employees, Stora Enso has a direct impact on the safety and well-being of its people. Positive 
impacts are mainly linked to the Group’s business model and focus on its own operations. These include creating employment 
opportunities, promoting work-related rights, and advancing diversity, equity, and inclusion. Stora Enso has also identified an opportunity 
to drive competitiveness and growth through organisational restructuring, unlocking further performance potential. The identified 
negative impacts relate to occupational safety incidents, which occur despite preventive safety measures. The Group acknowledges its 
dependency on talented workforce, and recognises a risk associated with attracting and retaining talent. See ESRS S1 SBM-3 for further 
details.
E2 Pollution S2 Workers in the value chain
Stora Enso’s industrial activities generate emissions to air and water, posing risks of environmental non-compliance and significant 
incidents. The pollution of soil is a material topic for Stora Enso due to the environmental provision related to remediation of an existing 
condition caused by past operations, the most material case being in Falun, Sweden. Within Stora Enso’s own organisation, thresholds for 
pollution of soil are not exceeded. See ESRS E2 SBM-3 for further details.
Through its supplier relationships, Stora Enso is connected to workers across the value chain. The Group recognises risks of Supplier Code 
of Conduct breaches and safety incidents within its upstream value chain. See ESRS S2 SBM-3 for further details.
E3 Water and marine resources S3 Affected communities
Stora Enso’s production sites are dependent on water, particularly in board, pulp, and paper production processes. While most sites are 
situated in regions with low water stress, the Group recognises water as a critical resource in meeting its environmental objectives. See 
ESRS E3 SBM-3 for further details.
Stora Enso acknowledges that climate change may lead to controversies with local communities and non-governmental organisations 
concerning forest management practices, biodiversity, and land and water use. Stora Enso is primarily involved in these community-
related risks through its joint operations in South America. Despite preventive and precautionary measures, safety incidents may occur 
at Stora Enso’s sites or forestry operations with impact on local communities. One severe incident took place in 2025. See ESRS S3 SBM-3 
for further details.
E4 Biodiversity and ecosystems S4 Consumers and end-users
Owning forest assets enables Stora Enso to secure a reliable wood supply, reduce dependency on external suppliers, promote 
sustainable forestry, preserve biodiversity, and contribute to carbon sequestration. The Group has a positive impact on biodiversity 
through sustainable forest and biodiversity management practices in its own operations and upstream value chain. At the same time, 
Stora Enso recognises its negative impacts on biodiversity, such as damage to key habitats or species. Identified risks include 
biodiversity loss, non-compliance with harvesting regulations, and the impacts of climate change on forest ecosystems. See ESRS E4 
SBM-3 for further details.
Included in the double materiality assessment; does not exceed the materiality threshold.
E5 Resource use and circular economy G1 Business conduct
Stora Enso supports the circular economy through renewable products and solutions, with business relationships playing a vital role in 
enabling these impacts. At the same time, the Group recognises negative impacts linked to raw material sourcing and waste 
generation. The company’s strategy is aligned with circular economy principles, leveraging products to drive value. Current financial 
effects from material opportunities are reflected in product revenues, such as the significant investment to expand board production 
capacity at the Oulu site in Finland. See ESRS E5 SBM-3 for further details.
Business conduct is acknowledged as a fundamental aspect of responsible global business, serving as the cornerstone of stakeholder 
trust and legal compliance. Stora Enso upholds high business standards, an ethical corporate culture, and a robust compliance 
programme, which generate positive impacts for employees and business partners. However, there are risks of non-compliance with 
laws, regulations, and internal policies which could lead to significant expenses and reputational damage. The Group is exposed to these 
risks through its own operations and business relationships. See ESRS G1 SBM-3 for further details.
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Effects of material impacts, risks and opportunities on the 
business model, value chain, strategy and decision-making 
The current effects of Stora Enso’s material impacts, risks, and 
opportunities on its business model, value chain, strategy, and decision-
making focus on climate mitigation, given the scientific consensus on the 
urgency of action. The Group's emission reduction plans are aligned with 
the Paris Agreement and 1.5-degree scenario. In addition to reduction 
actions, the Group focuses on opportunities by optimising biodiversity 
management through new technology and driving the circular economy 
through product innovation and partnerships. Due to the substantial 
environmental footprint of forest management and resource-intensive 
manufacturing operations, many of the identified impacts and risks 
related to pollution, water, and biodiversity are predominantly addressed 
through responsible business practices and resource efficiency rather 
than significant changes to the Group’s strategy or business model. 
Similarly, impacts on employees and value chain workers are mainly 
addressed through robust employee management, HR practices, and 
sustainable sourcing policies.
Current and anticipated financial effects
The current financial effects of climate change include investments in 
new technology and equipment to enhance energy efficiency and 
reduce carbon emissions. Current financial effects of material 
opportunities are mostly related to revenue from renewable products, the 
valuation of forest assets, and investment in biological assets. For additional 
information, see the Consolidated income statement, Consolidated 
statement of financial position, and Consolidated cash flow statement in 
the Financial Statements. 
For anticipated financial effects, Stora Enso applies the phased-in 
provision in accordance with the ESRS 1 Appendix C for all disclosure 
requirements except ESRS E1-9.
Resilience
Stora Enso tested the resilience of its strategy and business model in 2021, 
when it established transition plans and introduced a new sustainability 
agenda centred around three focus areas: climate, biodiversity, and 
circularity. This was preceded by an assessment of the Group’s business 
model and strategic resilience in relation to future key sustainability risks 
and opportunities. The assessment’s time horizons were set to 2030 and 
2050. The analysis indicates that, to future-proof the Group’s business 
model and strategy, it is essential for operations and products to actively 
remove carbon from the atmosphere and help mitigate biodiversity loss.
Due to the rapid advances in science, technology, and regulatory 
frameworks, Stora Enso published a new climate resilience plan in 
February 2026 to guide environmental stewardship in line with global 
sustainability targets. For further details on the transition plans, see ESRS 
E1-1 and ESRS E4-1.
The resilience of Stora Enso’s strategy and business model to climate 
change has been tested through various scenario analyses, which are 
explained in more detail in ESRS 2 IRO-1 (Climate change). The analyses 
did not identify significant risks before 2040.
Changes compared to the previous reporting period
Stora Enso’s reporting scope, i.e. topics and sub-topics, remain unchanged 
compared to the outcome of the double materiality assessment 
conducted in 2024, except for one sub-topic under S3 Affected 
communities. This exception relates to the entity-specific sub-topic on 
Health and safety, described in the ‘Entity-specific disclosures’ chapter 
below. Furthermore, some of the impacts, risks, and opportunities have 
been regrouped.
Changes to material impacts, risks, and opportunities relate to ‘ESRS S1 
Own workforce’, where Stora Enso has identified a new opportunity to drive 
competitiveness and unlock further performance potential through 
a leaner and flatter organisation. Meanwhile, the previously identified 
positive impact of training and development opportunities no longer 
meets the materiality threshold and has been excluded from the 
reporting scope.
Entity-specific disclosures
Stora Enso has prepared entity-specific disclosures for ESRS E4 Biodiversity 
and ecosystems and the impacts and risks related to the following 
sustainability matters: Direct exploitation; Endangered species and their 
habitat; and Impacts and dependencies on ecosystem services (see ESRS 
E4 SBM-3 table). These include data on biodiversity impact indicators, 
information on wood procurement, forest certificates, forest growth and 
harvesting, total standing stock and the hectares of material forest lands.
For the 2025 reporting year, Stora Enso prepared an entity-specific sub-
topic on Health and safety under ‘S3 Affected Communities’ due to an 
incident exceeding the materiality threshold (see ESRS S3 SBM-3 table).
Stora Enso also reports an entity-specific metric for ESRS G1 Business 
Conduct and the risk related to non-compliance (see ESRS G1 SBM-3 table). 
This includes the total number of reported potential non-compliance 
cases and number of identified proven cases leading to disciplinary action 
and/or legal action. All other material impacts, risks, and opportunities are 
covered by ESRS requirements as listed in ESRS 2 IRO-2-56.
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Impact, risk, and opportunity management
Description of the process to identify and assess material 
impacts, risks and opportunities (IRO-1)
In 2024, Stora Enso conducted a double materiality assessment in 
accordance with the Corporate Sustainability Reporting Directive 
requirements. The main objective was to identify sustainability topics that 
have a significant impact on the Group’s business performance, risks, and 
opportunities (financial materiality), or reflect significant impacts on 
people and the environment (impact materiality). These dimensions 
determine the materiality of the information to be reported.
Changes compared to the prior reporting period
In 2025, Stora Enso revisited its double materiality assessment by reviewing 
material changes in business operations, significant events or incidents, 
legislation, and the regulatory environment. It also included reviewing 
latest scientific research, conducting internal stakeholder consultations, 
and reviewing financial risks and opportunities as part of the annual 
Enterprise Risk Management process. Due to the ongoing organisational 
restructuring and a strategic focus on performance culture, particular 
attention was given to topics related to own workforce through internal 
consultation. This led to changes in positive impacts and opportunities as 
outlined in ESRS 2 SBM-3. Compared to the previous year, broader 
stakeholder interviews were not included in the assessment.
The double materiality assessment will be reviewed and updated annually 
according to the Corporate Sustainability Reporting Directive 
requirements. The process outlined below largely reflects the 2024 double 
materiality assessment, as no significant changes were made in 2025.
Methodologies and assumptions
The process adhered to the requirements outlined in the European 
Commission Delegated Regulation 2023/2772 on European Sustainability 
Reporting Standards for conducting a double materiality assessment. 
The assessment covered the company structure as of 31 December 2025.
The underlying assumptions relied on latest scientific research, according 
to which climate change and biodiversity loss are accelerating. Climate 
change was also considered as one of the underlying drivers of 
financial risks.
The assessment methodologies varied based on topics, but included, for 
example, interviews, workshops, and desktop analyses. As part of the 
assessment finalised in 2024, a broad representation of key internal and 
external stakeholders were engaged in discussions and interviews to 
ensure that the assessment covered all relevant impacts, risks, and 
opportunities. The stakeholders represented both those affected by the 
Group’s operations and users of the Sustainability Statement as well as 
other stakeholder groups such as nature (silent stakeholder), public 
authorities, and non-governmental organisations (NGOs). The focus of the 
engagement was on open interviews to gain deeper insight into the actual 
and potential impacts, risks, and opportunities related to Stora Enso’s 
business, operations, and value chain. The outcome of the engagement 
was consistent with Stora Enso’s strategy and business model.
Identifying and assessing impacts 
The assessment covered the Group’s own operations and the impacts it 
is, or may be, associated with across its value chain. It included all 
business activities and geographies, and for value chain workers, 
affected communities, and business conduct, other factors, such as 
geographic locations linked to heightened risks of adverse impacts, were 
also considered. 
Overview of the process
1) Establishing an overview of the Group’s business activities, relationships, 
and operating context. Identifying and engaging with key stakeholders 
across the entire value chain, both upstream and downstream. Nature 
recognised as a silent stakeholder.
2) Identifying actual and potential impacts associated with sustainability 
matters based on stakeholder input and scientific research.
3) The established long list of impacts was compared against the full 
scope of European Sustainability Reporting Standards’ environmental, 
social, and governance matters listed in ESRS-1 Appendix A to ensure all 
relevant topics were included. Validation by internal subject matter 
experts.
4) Assessment and rating of the impacts. See below for ‘Prioritisation of 
impacts’.
As described in ESRS 2 GOV-4, Stora Enso’s due diligence consists of 
multiple processes and tools. These processes were taken into account in 
the double materiality assessment when identifying and assessing 
adverse impacts.
Consultation of affected stakeholders
Stora Enso consulted with affected stakeholders on the topics related to 
own employees as part of the double materiality assessment process. For 
other topics, Stora Enso did not directly consult the affected stakeholders. 
Further information on consultation of affected stakeholders is presented 
below under ‘Topic-specific disclosures on identifying impacts, risks and 
opportunities’.
Thresholds and prioritisation of impacts
The different impact types were rated according to the below matrix, on 
a scale from 1 to 5. Stora Enso applied EFRAG’s guidance on the severity of 
the impact, with severity taking precedence over likelihood when 
assessing potential impacts to people or the environment. This means that 
potential impacts that are difficult to remediate were rated as more 
significant. Following the principle of significant impact, impacts with ‘High 
or critical impact to environment and people’ or ‘Very high or catastrophic 
impact to environment and people’ were considered material from an 
impact perspective. On impact materiality, scientific frameworks and 
global human rights principles guided the rating. For example, impacts 
related to planetary boundaries were considered severe.
Since the Corporate Sustainability Reporting Directive does not provide 
guidance on setting thresholds, the approach was aligned with the EU 
Taxonomy, where only economic activities with a significant impact are 
included.
Impact type Scale Scope Remediability Likelihood
Actual positive impacts x x
Actual negative impacts x x x
Potential positive 
impacts x x x
Potential negative 
impacts x x x x
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Identifying and assessing risks and opportunities
Overview of the process
1) Review of the financial risks recorded in the Group’s Enterprise Risk 
Management (ERM) process.
2) Analysis of scientific reports, global megatrend reports, and the Group’s 
transition plans on climate, biodiversity, and circularity to identify relevant 
risks and opportunities.
3) Discussions with internal subject matter experts to validate and gain 
further insight into the listed risks and opportunities.
4) The established long list of risks and opportunities was compared with 
the full scope of European Sustainability Reporting Standards’ 
environmental, social, and governance matters listed in ESRS-1 Appendix A 
to ensure the inclusion of all relevant topics. Validation by internal subject 
matter experts.
5) Classification and rating of the identified risks and opportunities. See 
below for ‘Classification and rating of sustainability-related risks and 
opportunities’.
When identifying opportunities, Stora Enso relied on its transition plans for 
key focus areas – climate change, biodiversity, and circularity – to unlock 
new opportunities and adapt to accelerating change. The climate 
transition plan was updated in 2025 and published in February 2026 (‘Stora 
Enso climate resilience plan’). Progress in the key focus areas is closely 
monitored and integrated into the double materiality assessment.
Connection of impacts and dependencies with risks and opportunities
Significant risks and opportunities linked to identified impacts and 
dependencies were considered during the materiality assessment, 
incorporating findings from the impact materiality phase. The outcome of 
the climate scenario analysis was also taken into account. Key risks 
include dependency on a skilled workforce and the availability of raw 
materials. Biodiversity loss may negatively affect the value of Stora Enso’s 
forest assets, increase the risk of wood supply shortages, and cause 
reputational damage.
By further optimising its material use, the Group has an opportunity to 
reduce environmental impact, increase yield, and lower costs related to raw 
materials. Stora Enso has also identified an opportunity related to its 
dependency on water, based on the WRI Aqueduct Water Risk Atlas 
assessment. The majority of production sites are located in areas with low 
water stress, contributing to a stable water supply and ensuring operational 
efficiency. Furthermore, an opportunity has been identified for the 
company’s own workforce, unlocking further performance potential through 
a leaner, customer-centric organisation. The opportunity was recognised 
through internal consultation and alignment with the Group’s strategic 
focus, and is connected to the ongoing organisational restructuring.
Classification and rating of sustainability-related risks and opportunities
Sustainability-related risks were identified among all reported corporate 
risks, and classified into ESRS sub-sub-categories, and assigned to their 
corresponding value chain locations. The financial materiality scores relied 
on the ratings provided by the business areas in their original ERM 
assessment, including likelihood, magnitude, and nature of effects. 
Following the principle of significant impact, only the risks with a 10% or 
higher segment EBITDA impact were considered financially material. The 
segment EBITDA impact was considered instead of the Group EBITDA to 
focus on specific activities, business relationships, geographies, or other 
business area factors that contribute to a heightened risk of adverse 
impacts. Since sustainability is embedded into the Group’s strategy, many 
of the sustainability-related risks are considered high and prioritised in the 
ERM process due to strategic or operational importance. Opportunities 
were rated based on the same principles as risks.
Decision-making process and integration with other 
management processes
In 2024, the results of the double materiality assessment were discussed and 
reviewed with the Group’s leadership and the Board’s Sustainability and 
Ethics Committee and Financial and Audit Committee. The Board of Directors 
approved the double materiality assessment threshold and results in 
February 2025. The double materiality assessment update conducted in 2025 
was reviewed by the Group Leadership Team, and the Board’s Sustainability 
and Ethics Committee and Financial and Audit Committee toward the end of 
the year and approved by the Board of Directors in February 2026.
The process to monitor material impacts, risks, and opportunities, as well 
as the annual review of the double materiality assessment’s results are 
integrated with the Enterprise Risk Management, the Corporate 
Sustainability Due Diligence Directive, and the Task Force on Nature-
related Financial Disclosures preparations. The process takes into account 
all actual significant impacts the Group had on the environment and 
people during the year. Stora Enso has also established a dedicated 
internal control for the double materiality assessment to ensure its 
completeness and proper approval process.
The results are described in more detail in the section ESRS 2 SBM-3, and all 
material topics covered in this statement are listed in ESRS 2 IRO-2 
'Requirements in ESRS covered by the undertaking’s sustainability statement'.
Input parameters used 
Environmental topics
• Scientific research, such as sector specific impacts identified by the UN 
Environment Programme World Conservation Monitoring Centre (UNEP-
WCMC), the Planetary Boundaries framework by the Stockholm 
Resilience Center, reports from the Intergovernmental Panel on Climate 
Change (IPCC), the World Resources Institute (WRI) Aqueduct Water Risk 
Atlas tool, and the Science Based Targets for Nature Framework.
• Biodiversity loss -related systemic risks to society and business 
considered through scientific research, such as the Living Planet 2024 
report and the Dasgupta Review 2021.
• Climate scenarios, described in ESRS 2 E1 IRO-1, utilised for identifying 
climate-related risks.
• Impacts related to resource outflows and products assessed through 
Life Cycle Assessments and Environmental Product Declarations 
conducted by Stora Enso’s experts and customers, often in collaboration 
with academia, expert organisations, or industry associations.
Social topics
• Globally recognised human rights principles, such as the International 
Labour Organisation’s Core Convention and the International Bill of 
Human Rights.
• Employee survey results, occupational safety performance, and insights 
provided by the Group’s subject matter experts.
• Identification of actual and potential impacts involved interviews with 
the Group’s employees.
• External studies, such as pay gap analyses and adequate wage 
benchmarks.
Governance topics
• Internal interviews, whistleblower data, and employee surveys.
• Ethics and Compliance Self-Assessment Tool to track policy 
implementation and gaps.
• C o u n t e r p a r t y  s c r e e n i n g s  a n d  h i g h - r i s k  c o u n t r y  c a t e g o r i s a t i o n  t o  s u p p o r t   
the identification of material risks.
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Topic-specific disclosures on identifying impacts, risks 
and opportunities
Detailed information on identifying and assessing environmental and 
business conduct matters is provided below in line with the topic-specific 
IRO-1 requirements under ESRS.
Climate change (E1: ESRS 2 IRO-1)
Impacts on climate change 
The process to identify and assess impacts on climate change, in 
particular through GHG emissions, covered the Group’s own operations 
(Scope 1 and 2) and value chain (Scope 3) emissions as disclosed in ESRS 
E1-6. The screening was conducted for all production sites and material 
value chain emission categories. Stora Enso did not utilise other drivers for 
climate-related impacts in the scenario analysis although the Group 
recognises the Stockholm Resilience Centre’s Planetary Boundaries 
framework and related tipping points in its sustainability work. In addition 
to actual impacts, Stora Enso has estimated its potential impacts based 
on production forecasts. Locked-in GHG emission are described in ESRS E1-1.
Climate-related scenario analysis
Stora Enso has utilised multiple climate-related scenario analyses to 
inform the identification and assessment of physical risks, transition risks 
and opportunities over the short, medium, and long-term. For risks, Stora 
Enso defines short-term as up to one year, medium-term as two to ten 
years, and long-term as ten years or more. This definition aligns with Stora 
Enso’s enterprise risk management process. There are no critical climate-
related assumptions made in the Financial Statements. The Group 
recognises uncertainty in the scenario analysis, as recent climate 
development suggests that expected time horizons for impacts in 
different scenarios might be shorter than anticipated.
Climate-related physical risks
Stora Enso has assessed climate-related hazards and evaluated how its 
assets and business activities may be exposed and sensitive to these risks 
by applying Shared Socioeconomic Pathway (SSP) scenarios, including 
SSP1-1.9 (Sustainability – Taking the Green Road), SSP2-4.5 (Regional Rivalry 
– a Rocky Road), and SSP5-8.5 (Fossil-fuelled Development – Taking the 
Highway). The scope covered the Group’s own operations, which are 
considered more exposed to potential risks, as well as its joint operations.
No material physical climate change impact risks were identified before 
2040. However, long-term changes over 25 to 30 years, such as altered 
precipitation patterns, droughts, frequent extreme weather events, and 
rising average temperatures, could increase the risk of forest fires and 
insect outbreaks, potentially affecting operations, forests, and tree 
plantations. More frequent extreme weather events may also disrupt 
production, logistics, and the supply of raw materials and energy.
Climate-related transition risks
Stora Enso has conducted a business impact scenario assessment for 
2030, based on the global transition needed to limit temperature rise to 
1.5°C in line with the Paris Agreement, using Representative Concentration 
Pathway (RCP) 1.9. The scope covered the Group’s own operations.
The transition to a low-carbon, circular bioeconomy was found to be well 
aligned with Stora Enso’s strategy. However, the scenario indicated that 
emerging regulations and market mechanisms aimed at mitigating 
climate change could affect operating costs through restrictions on wood 
harvesting, changes in forest management, and rising emission and 
energy costs. Sustainable product requirements may also influence future 
market access, demand, and development. Due to Stora Enso’s strong 
presence in Europe, the mandates and regulations on existing products 
and services are considered almost certain in the medium term, as the 
European Union is implementing the EU Green Deal and related legislation. 
Recent legislation has focused specifically on emission reduction, 
deforestation, biodiversity, and the circular economy, all of which are 
central to Stora Enso’s strategy.
Pollution (E2: ESRS 2 IRO-1)
The screening of the impacts, risks, and opportunities focused on the 
Group’s own operations. Stora Enso consulted with environmental 
managers from its industrial units to determine compliance with 
environmental permit limits and associated emission levels. The screening 
process relied on measured values, calculations, or estimates from third-
party assessments. Pollution in terms of air emissions and water effluents 
are regulated by the relevant authorities, with limits set through 
environmental impact assessments and permitting processes, which 
consider local conditions and relevant legislation. Consultations are not 
conducted directly with affected communities, but indirectly through these 
assessments and processes. 
Pollution-related impacts and risks are connected to Stora Enso’s business 
model, as the Group’s production processes generate emissions to both 
air and water. This poses a risk of local significant or even critical negative 
impacts for both the environment and people. During the past years, some 
of the risks have materialised into local environmental incidents.
Air pollution stems from atmospheric emissions and aerosol loading due to 
fuel combustion, while water contamination is linked to effluents containing 
suspended solids, organic compounds, nutrients, and halogens from 
wastewater treatment. The pollution of soil is a material topic for Stora Enso 
due to the environmental provision related to remediation of an existing 
condition caused by past operations, the most material case being in Falun, 
Sweden. Within Stora Enso’s own organisation, thresholds for pollution of soil 
are not exceeded. 
Water and marine resources (E3: ESRS 2 IRO-1)
The screening of impacts, risks, and opportunities focused on the Group’s 
own operations. The analysis was based on the WRI Aqueduct Water Risk 
Atlas, which is used to annually assess water-related risks at the Group’s 
own production sites, providing information on water scarcity, stress, 
flooding, and water quality. Marine resources were analysed as part of the 
assessment, but the topic did not cross the materiality threshold. Stora 
Enso did not consult directly with affected stakeholders as part of the 
process, but consultations are part of the environmental impact 
assessments.
According to the WRI Aqueduct Water Risk Atlas tool, six of the Group’s 
production units operate in regions with High Baseline Water Stress: Beihai 
in China, Langerbrugge and Roeselare in Belgium, Wujin and Qian’an 
corrugated units in China, and Łódź in Poland.
Biodiversity and ecosystems (E4: ESRS 2 IRO-1)
The screening of actual and potential impacts included forestry sites 
located on the Group’s own forest land and within its upstream value 
chain. The assessment considered biodiversity loss-related systemic risks 
to society and business through scientific research, such as the Living 
Planet 2024 report and the Dasgupta Review 2021. Additionally, the 
assessment examined the tree species used for re-planting and 
significant incidents that negatively impact biodiversity. The impacts were 
identified through long-term surveillance of the ecological status of the 
sites and three sets of biodiversity indicators.
As part of the double materiality assessment, Stora Enso did not conduct 
direct consultations with affected communities on sustainability 
assessments of shared biological resources and ecosystems, as such 
engagement is carried out on a regular basis. The Group’s engagement 
with affected communities is further detailed in ESRS S3-2 and includes 
also situations where a site, raw material production, or sourcing activity 
may have an adverse impact on biodiversity and ecosystems.
Stora Enso is dependent on biodiversity and ecosystems due to wood 
being its primary raw material. The climate scenario analysis primarily 
focused on physical and systemic risks that could impact the Group’s 
forests. The ecosystem services considered in the assessment included 
tree growth and forest health. The climate scenarios and their outcome 
are described earlier on this page (E1: ESRS 2 IRO-1).
Stora Enso will be impacted by transition events on the medium term as 
the European Commission implements new biodiversity and forest related 
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