Billerud has unveiled a cost saving program targeting annualized savings of SEK 800 million in response to weakened European market conditions and declining profitability.
The program will primarily affect Billerud’s European operations and Group functions worldwide, with plans to reduce up to 650 positions. Negotiations with local unions are set to begin shortly. The measures are expected to deliver noticeable improvements from the first quarter of 2026, reaching full effect by the end of that year.
Focus on Profitability and Competitiveness
The program will focus on reducing fixed costs through stricter cost prioritization, streamlined workflows, and organizational restructuring. “In this challenging market situation for the European paper and packaging industry, we must maintain our focus and accelerate progress within items that we can control,” said Ivar Vatne, Billerud’s President and CEO. “With this program we are taking proactive measures to reduce our cost base even further and strengthen Billerud’s long-term competitiveness and profitability.”
Financial Impact
Billerud expects restructuring costs of around SEK 350 million related to the program, which will impact third-quarter 2025 results. These costs will be reported as items affecting comparability.
Billerud is a global supplier of renewable packaging materials and paper, headquartered in Sweden. The company employs about 6,000 people and its shares are listed on Nasdaq Stockholm.
