The net sales growth is primarily attributed to increased selling prices of $533 million due to the pass through of inflation, organic volume growth of 5%, and a $147 million favorable impact from foreign currency changes. These increases were partially offset by prior quarter divestiture sales of $62 million. The organic volume growth was primarily due to organic growth investments and continued recovery of certain markets that had previously been facing COVID-19 headwinds. The operating income decrease is primarily attributed to a $42 million unfavorable impact from price cost spread, and a $12 million increase in selling, general, and administrative expense, partially offset by a $24 million increase from the organic volume growth, and a $23 million favorable impact from foreign currency.
Metsä Spring, Metsä Group’s innovation company, has launched a new 3D fibre product called Muoto®. Muoto has been produced at Metsä Group’s and Valmet’s demo plant in Äänekoski since May 2022, and is made of Metsä Group’s wood fibres.
Muoto is a significant initiative in the packaging market. It is user-friendly, sustainable and scalable and features advanced technology. Using brand new technology, the products are pressed into their final form and their properties can be tailored during the production process according to the intended purpose. The raw material of Muoto grows in northern, sustainably managed forests and is fully traceable.
Both renewable and recyclable, Muoto is a good alternative to fossil plastic, for example, in food packaging, including serving dishes or containers of various sizes and shapes. Packaging that is produced to meet a specific need is ideal for reducing food waste.
“Plastic is everywhere. It will continue to have a role in the future, but the growing packaging industry requires a variety of new sustainable alternatives; Muoto is our answer to these needs. This brand new, wood-based packaging has attracted a great deal of interest in our customer base,” says Jarkko Tuominen, Metsä Group’s Project Director.
Muoto has just got off the ground, and now its product features and production method are being further developed and the product’s market potential is being tested. A well-recognised brand plays an important role in this work. If the market interest and the product viability can be proved on a large scale, Metsä Group will consider building a larger production unit.