Finland's Stora Enso reported a 49% rise in second quarter profit on Friday, slightly below analyst expectations, citing production problems, maintenance and tight wood supply.
Shares in the pulp, paper and packaging board maker fell more than 10% in early Helsinki trade after the company reported an adjusted operating profit of €327 million, short of the €338 million expected by analysts.
Temporary Headwinds
CEO Karl-Henrik Sundstrom said the company, which has benefitted from higher prices and a new mill in China, experienced "temporary headwinds" during the quarter.
"Production related issues, higher maintenance and tight wood supply had negative impacts," he said in a statement.
Analysts noted that the stock is up 22% from a year ago.
"I think their underlying performance is very good... but sometimes, if the stock has risen recently, the markets do not tolerate even slight profit misses," said Antti Viljakainen from Inderes Equity Research who holds an 'accumulate' rating on the stock.
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