Second quarter results
for the period ended March 2022


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Second quarter
Financial results conference call

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SECOND
QUARTER RESULTS
for the period ended March 2022

“Sappi is a leading global provider of everyday materials made from woodfibre-based renewable resources. As a diversified, innovative and trusted leader focused on sustainable processes and products, we are building a more circular economy by making what we should, not just what we can.”

Our raw material offerings (such as dissolving pulp, wood pulp, biomaterials and timber) and end-use products (packaging and speciality papers, graphic papers, casting and release papers and forestry products) are manufactured from woodfibre sourced from sustainably managed forests and plantations, in production facilities powered, in many cases, with bio-energy from steam and existing waste streams.

Together with our partners, Sappi works to build a thriving world by acting boldly to support the planet, people and prosperity.

Highlights for the quarter

EBITDA excluding special items
US$337 million
(Q2 FY21: US$112 million)

Net debt of
US$1,793 million
(Q2 FY21: US$2,070 million)

Profit for the period
US$188 million
(Q2 FY21: loss of US$23 million)

EPS excluding special items
35 US cents
(Q2 FY21: loss of 1 US cent)


Sales by source* (%)

Sales by product* (%)

Sales by destination* (%)

Net operating assets** (ex Corporate) (%)

* For the period ended March 2022.

** As at March 2022.

  Quarter ended Half-year ended
    Mar
2022
Mar
2021
Dec
2021
Mar
2022
Mar
2021
Key figures: (US$ million)            
Sales   1,858 1,284 1,697 3,555 2,447
Operating profit excluding special items(1)   259 31 161 420 47
Special items – loss (gain)(2)   29 12 (8) 21 12
EBITDA excluding special items(1)   337 112 240 577 210
Profit (Loss) for the period   188 (23) 123 311 (40)
Basic earnings per share (US cents)   33 (4) 22 55 (7)
EPS excluding special items (US cents)(3)   35 (1) 20 55 (2)
Net debt(3)   1,793 2,070 1,917 1,793 2,070
Key ratios: (%)            
Operating profit (loss) excluding special items to sales   13.9 2.4 9.5 11.8 1.9
Operating profit (loss) excluding special items to capital employed (ROCE)(3)   25.8 3.2 16.5 20.9 2.5
EBITDA excluding special items to sales   18.1 8.7 14.1 16.2 8.6
Net debt to EBITDA excluding special items   2.0 6.5 2.8 2.0 6.5
Covenant leverage ratio(3)   2.0 6.7 2.9 2.0 6.7
Interest cover(3)   9.5 3.7 6.7 9.5 3.7
Net asset value per share (US cents)(3)   417 345 353 417 345
(1) Refer to note 2 to the group results for the reconciliation of EBITDA excluding special items and operating profit excluding special items to operating profit by segment and profit for the period.
(2) Refer to note 2 to the group results for details on special items.
(3) Refer to supplemental information for the definition of the term.

Corporate information

Registration number: 1936/008963/06
JSE code: SAP
ISIN code: ZAE000006284
Issuer code: SAVVI

Sappi has a primary listing on the JSE Limited and a Level 1 ADR programme that trades in the over-the-counter market in the United States

South Africa
Computershare Investor Services (Pty) Ltd
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South Africa

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South Africa

www.computershare.com

JSE Sponsor
Rand Merchant Bank (a division of FirstRand Bank Limited)

United States ADR Depositary
The Bank of New York Mellon
Investor Relations
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