Oras Invest’s Year 2022: Continued resilience in an uncertain macro environment

Oras Invest is the largest owner of the listed companies Uponor and Kemira, and the 100% owner of Oras Group. Oras Invest also accumulated a 5% ownership stake in Valmet in 2022. Oras Invest’s net asset value declined by 8% to EUR 1.3 billion (1.4) in tandem with a broader softness of the stock markets  (OMX Helsinki TSR -13%). The combined net sales of the owned companies totaled EUR 10.3 billion in 2022. Oras Invest’s dividend income was EUR 62.6 million.

Oras Group managed to improve its performance in 2022 despite the weakening market conditions. Net sales grew by 4.5% to EUR 244 million (234). Operative EBIT decreased slightly to 12.2% (12.6%), but the comparable operating profit increased in euro terms by 0.7% to EUR 33.3 million (33.1) due to net sales growth.  

Uponor’s net sales were higher than ever at EUR 1,386 million (1,313), growing by 5.6%. Operative EBIT declined by 4.3% to EUR 154 million (161), or 11.1% (12.2%) of net sales. In the fourth quarter, Uponor faced a cyberattack, and Q4 net sales decreased by 16% mainly due to the attack. Business has continued uninterrupted thereafter, since the beginning of December. 

Kemira had a record year in 2022. Net sales increased by 33% to an all-time high of EUR 3,570 million (2,674). The increase was driven by higher sales prices, volumes were down 5% due to discontinued sales to Russia, the China lockdown and declining demand in Pulp & Paper. Operative EBIT climbed to EUR 362 million (225), or 10.1% of net sales (8.4%). 

Valmet posted strong results in 2022. Net sales increased by 29% to EUR 5,074 million (3,935), driven both by the Neles merger and organic growth. Operative EBIT grew to EUR 419 million (380), or 8.3% of net sales (9.7%). Margins decreased due to cost inflation. Stable business segments, Services and Automation, contributed 80% of Valmet’s comparable EBITA.

“The outlook for our industries, most notably the construction sector, remains cautious. We have entered 2023 with a combination of humility and optimism. All our companies have improved their resilience in the past 3 years, and balance sheets are strong. Growth plans are in place, and so are contingency plans for less favorable outcomes in the operating environment”, says President & CEO Annika Paasikivi.

Oras Invest’s Annual Review 2022 is available at www.orasinvest.fi