Finnish paper manufacturer UPM has said that it expects the price of paper products in US and Europe will be lower in the second half of 2019.
In its half-year financial report, it said that pulp prices will be lower in H2 of 2019 compared to the first half, while paper prices will be “moderately lower”.
It also expects its input costs to fall in the same period.
The company revealed that its gross profits had increased by 4% to €719 million (£656 million) in the first half.
UPM president and chief executive Jussi Pesonen said: “The second quarter of the year marked the 25th consecutive quarter of increased earnings for UPM. This is a remarkable achievement, all the more so as economic growth remains modest, particularly in Europe. UPM has the tools to drive results in changing market conditions. Our operating model has enabled us to maintain good margins, which has had a favourable impact on our earnings. During the quarter, the cost environment started to moderate, too.”
