€30 Million Cost-Saving Drive Could Be A Game Changer For Metsä Board Oyj (HLSE:METSB)

• Metsä Board Oyj has recently concluded change negotiations across all its operating countries, cutting 310 positions and targeting annual cost savings of about €30 million from early 2026 to improve efficiency and competitiveness.
• This restructuring adds another layer to Metsä Board’s broader efficiency program, potentially influencing how investors weigh its cost base against future growth ambitions.
• We’ll now examine how the planned €30 million annual cost savings could reshape Metsä Board’s existing investment narrative and risk profile.

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Metsä Board Oyj Investment Narrative Recap

To own Metsä Board, you need to believe in a recovery in fiber-based packaging and the company’s ability to turn its cost program into sustainable profitability after a tough stretch of losses. The newly confirmed reduction of 310 roles and targeted €30 million annual savings supports the near term profitability catalyst, but it does not eliminate the key risk that weak European demand and excess capacity could still leave mills running below optimal levels.

The most closely linked recent development is Metsä Board’s broader €200 million EBITDA improvement and cost saving program, under which these headcount cuts sit. Together with lower forward capex needs and a focus on working capital release, this restructuring underscores how much of the current investment case rests on execution of cost efficiency rather than volume growth or pricing power.

Yet behind these efficiency gains, investors should still be aware of how prolonged European demand weakness could...

Read the full narrative on Metsä Board Oyj (it's free!)

Metsä Board Oyj's narrative projects €2.1 billion revenue and €124.4 million earnings by 2028.

Uncover how Metsä Board Oyj's forecasts yield a €3.00 fair value, a 4% upside to its current price.

Exploring Other Perspectives

Four members of the Simply Wall St Community see fair value for Metsä Board between €3.00 and €6.00, underscoring how far opinions can spread. You should weigh these against the execution risk around the €200 million EBITDA uplift target and consider how different outcomes could affect the company’s ability to restore consistent profitability.

Explore 4 other fair value estimates on Metsä Board Oyj - why the stock might be worth just €3.00!

Build Your Own Metsä Board Oyj Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Metsä Board Oyj research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free Metsä Board Oyj research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Metsä Board Oyj's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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