EUR million | Note | 2025 | 2024 |
Cash flows from operating activities | |||
Profit for the period | 279 | 281 | |
Adjustments | |||
Depreciation and amortization | 4, 5 | 209 | 219 |
Change in provisions1 | 11 | 17 | -18 |
Financial income and expenses | 10 | 62 | 65 |
Income taxes | 17 | 96 | 103 |
Other non-cash items | 52 | 31 | |
Change in net working capital | 6 | 39 | 61 |
Interest paid | -67 | -74 | |
Interest received | 18 | 21 | |
Income taxes paid | -125 | -134 | |
Net cash provided by (+) / used in (-) operating activities | 581 | 554 | |
Cash flows from investing activities | |||
Capital expenditure on fixed assets | 4 | -103 | -107 |
Proceeds from sale of fixed assets | 3 | 2 | |
Business combinations, net of cash acquired and loans repaid | 21 | 1 | -135 |
Investments in associated companies | 23 | 2 | 2 |
Net cash provided by (+) / used in (-) investing activities | -97 | -238 | |
Cash flows from financing activities | |||
Repurchase of own shares | -3 | -3 | |
Dividends paid | 18 | -249 | -249 |
Proceeds from non-current debt | 281 | 375 | |
Repayments of current portion of non-current debt | -394 | -290 | |
Repayments of lease liabilities | 8 | -57 | -52 |
Net proceeds from (+) / repayments of (-) current debt | 16 | -42 | |
Financial investments | 7 | -7 | |
Net cash provided by (+) / used in (-) financing activities | -401 | -268 | |
Net increase (+) / decrease (-) in cash and cash equivalents | 83 | 48 | |
Effect of changes in exchange rates on cash and cash equivalents | -30 | 3 | |
Cash and cash equivalents at beginning of year | 8 | 482 | 432 |
Cash and cash equivalents at end of year | 535 | 482 | |
1 Change in provisions excluding items acquired in business combinations includes in 2025 a EUR 52 million addition in restructuring provision relating to the change negotiations of the operating model renewal out of which EUR 31 million has been used during 2025. |
Average rates | Year-end rates | ||||
2025 | 2024 | 2025 | 2024 | ||
USD | (US dollar) | 1.1243 | 1.0826 | 1.1750 | 1.0389 |
SEK | (Swedish krona) | 11.0728 | 11.4226 | 10.8215 | 11.4590 |
CNY | (Chinese yuan) | 8.0693 | 7.7793 | 8.2262 | 7.5833 |
\u2022 Revenue recognition | Note 3 |
\u2022 Intangible assets and property, plant and equipment | Note 4 |
\u2022 Leases | Note 5 |
\u2022 Inventories | Note 7 |
\u2022 Financial assets and liabilities | Note 8 |
\u2022 Derivative financial instruments | Note 9 |
\u2022 Provisions | Note 11 |
\u2022 Employee benefit obligations | Note 16 |
\u2022 Income taxes | Note 17 |
EUR million | 2025 | 2024 |
Process Performance Solutions | 1,500 | 1,446 |
Biomaterial Solutions and Services | 3,716 | 4,392 |
Total | 5,216 | 5,837 |
EUR million | 2025 | 2024 |
Process Performance Solutions | 1,481 | 1,437 |
Biomaterial Solutions and Services | 3,716 | 3,922 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Process Performance Solutions | 290 | 255 |
Biomaterial Solutions and Services | 381 | 403 |
Other | -51 | -49 |
Total | 620 | 609 |
2025 | 2024 | |
Process Performance Solutions | 19.6% | 17.7% |
Biomaterial Solutions and Services | 10.3% | 10.3% |
Total | 11.9% | 11.4% |
EUR million | 2025 | 2024 |
Process Performance Solutions | 279 | 248 |
Biomaterial Solutions and Services | 323 | 364 |
Other | -68 | -56 |
Total | 534 | 557 |
2025 | 2024 | |
Process Performance Solutions | 18.8% | 17.2% |
Biomaterial Solutions and Services | 8.7% | 9.3% |
Total | 10.3% | 10.4% |
EUR million | 2025 | 2024 |
Process Performance Solutions | -11 | -7 |
Biomaterial Solutions and Services | -58 | -39 |
Other | -17 | -7 |
Total | -85 | -53 |
EUR million | 2025 | 2024 |
Process Performance Solutions | -55 | -54 |
Biomaterial Solutions and Services | -22 | -36 |
Other | -19 | -18 |
Total | -96 | -108 |
EUR million | 2025 | 2024 |
Comparable EBITA | 620 | 609 |
Items affecting comparability in cost of sales | ||
Expenses related to capacity adjustments1 | -22 | -11 |
Expensing of fair value adjustments recognized in business combinations | -2 | -16 |
Other items affecting comparability2 | -7 | -4 |
Items affecting comparability in selling, general and administrative expenses | ||
Expenses related to capacity adjustments1 | -43 | -7 |
Expenses related to acquisitions | -2 | -3 |
Other items affecting comparability2 | -5 | -6 |
Items affecting comparability in other operating income and expenses | ||
Income and expenses related to capacity adjustments | \u2014 | -7 |
Other items affecting comparability 2 | -10 | \u2014 |
Items affecting comparability in share in profits and losses of associated companies, operative investments | ||
Other items affecting comparability | 5 | 2 |
EBITA | 534 | 557 |
Amortization included in cost of sales | ||
Other intangibles | -1 | -1 |
Amortization included in selling, general and administrative expenses | ||
Intangibles recognized in business combinations | -72 | -84 |
Other intangibles | -23 | -22 |
Operating profit | 438 | 449 |
1 Includes in 2025 EUR 61 million restructuring costs due to change negotiations and strategy renewal costs related to Valmet's operating model renewal. 2 Includes in 2025 a settlement agreement in the Biomaterial Solutions and Services segment, following a delivery made earlier. The delivery required corrective actions and led to a commercial dispute, which has now been resolved. |
EUR million | 2025 | 2024 |
North America | 1,341 | 1,390 |
Latin America | 866 | 545 |
EMEA | 1,876 | 2,033 |
China | 540 | 723 |
Asia-Pacific | 574 | 668 |
Total | 5,197 | 5,359 |
EUR million | Finland | North America | Latin America | EMEA excluding Finland | China | Asia-Pacific | Non-allocated | Total |
2025 | 390 | 188 | 40 | 217 | 99 | 66 | 2,603 | 3,605 |
2024 | 352 | 219 | 39 | 222 | 105 | 72 | 2,707 | 3,717 |
EUR million | North America | Latin America | EMEA | China | Asia-Pacific | Total |
2025 | 14 | 5 | 61 | 15 | 8 | 103 |
2024 | 8 | 4 | 73 | 17 | 5 | 107 |
Step 1: | Identification of the contract(s) with a customer |
Step 2: | Identification of the performance obligations in the contract |
Step 3: | Determination of the transaction price attached to the contract |
Step 4: | Allocation of the transaction price to the performance obligations identified in the contract |
Step 5: | Recognition of revenue when (or as) the entity satisfies a performance obligation |
Critical accounting estimates and judgments For performance obligations satisfied over time, the progress and the profitability are based on the management\u2019s estimates, which require significant judgment concerning the stage of completion, the cost to complete, and the time of\u00a0 completion. Management regularly reviews the progress and execution of performance obligations. As part of the process, management reviews information including, but not limited to, key contractual obligations outstanding, project schedule, identified risks and opportunities, as well as changes in estimates of revenues and costs. A projected loss on a customer contract is recognized in full through profit or loss when it becomes known. Valmet regularly enters into contracts where the consideration includes one or more variable elements. Variable consideration is estimated by using either the expected value or the most likely amount -method, depending on the type of the arrangement. In making judgments about variable consideration, Valmet considers historical, current and forecast information. The impact of changes in estimates is recognized in revenue in the period when the estimate is updated. | ||
EUR million | 2025 | 2024 |
Flow Control | 788 | 791 |
Automation Solutions | 694 | 646 |
Pulp, Energy and Circularity | 1,610 | 1,541 |
Packaging and Paper | 1,483 | 1,793 |
Tissue | 622 | 588 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Performance obligations satisfied at a point in time | 2,901 | 3,006 |
Performance obligations satisfied over time | 2,296 | 2,353 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 344 | 475 |
Translation differences | 1 | -3 |
Acquired in business combinations | \u2014 | 2 |
Revenue recognized in the period | 936 | 733 |
Transfers to trade receivables | -954 | -864 |
Balance at end of the period | 327 | 344 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 904 | 1,151 |
Translation differences | -29 | 18 |
Acquired in business combinations | \u2014 | 15 |
Revenue recognized in the period | -2,579 | -2,752 |
Consideration invoiced and/or received | 2,559 | 2,471 |
Balance at end of the period | 855 | 904 |
EUR million | 2025 | 2024 |
Amounts due to customers under revenue contracts for which revenue is recognized | ||
Point in time | 339 | 321 |
Over time | 516 | 583 |
Carrying value at end of the period | 855 | 904 |
Technology | 3\u201320 years |
Customer relationships | 3\u201320 years |
Capitalized software | 3\u201310 years |
Patents and licenses | 5\u201310 years |
Other intangibles | 1\u201340 years |
Buildings and structures | 15\u201340 years |
Machinery and equipment | 3\u201320 years |
Critical accounting estimates and judgments Impairment testing The preparation of impairment analysis requires use of numerous estimates. The valuation is inherently judgmental and highly susceptible to change from period to period because it requires management to make assumptions about future supply and demand related to its individual business units, future sales prices and achievable cost levels. The value of the benefits and savings expected from the efficiency improvement programs is inherently subjective. All outsized improvements are excluded from future cash inflows and outflows. The value in use of a cash-generating unit is determined by discounting estimated future cash flows with a discount rate approximating the weighted average cost of capital (WACC). The WACC is based on comparable peer industry betas and capital structure. Triggering events for impairment reviews at Valmet include the following: \u2022 A material permanent deterioration in the economic or political environment of the customers\u2019 or Valmet\u2019s own activity \u2022 Businesses or asset\u2019s significant under-performance relative to historical or projected future performance \u2022 Significant changes in Valmet\u2019s strategic orientations. affecting the business plans and previous investment policies. | ||
2025 | 2024 | |||||||||
EUR million | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total |
Acquisition cost at beginning of the period | 1,808 | 1,576 | 246 | 69 | 3,699 | 1,735 | 1,502 | 234 | 72 | 3,545 |
Translation differences | -17 | -7 | \u2014 | 1 | -23 | 9 | 4 | \u2014 | \u2014 | 13 |
Capital expenditure | \u2014 | \u2014 | \u2014 | 18 | 18 | \u2014 | \u2014 | \u2014 | 23 | 24 |
Acquired in business combinations | 9 | -2 | \u2014 | \u2014 | 8 | 63 | 69 | \u2014 | \u2014 | 133 |
Retirements | \u2014 | \u2014 | -6 | -5 | -11 | \u2014 | \u2014 | -7 | -10 | -16 |
Reclassifications | \u2014 | \u2014 | 16 | -16 | \u2014 | \u2014 | \u2014 | 18 | -18 | \u2014 |
Other changes | \u2014 | \u2014 | \u2014 | 1 | 1 | \u2014 | \u2014 | \u2014 | 1 | 1 |
Acquisition cost at end of the period | 1,800 | 1,567 | 256 | 67 | 3,691 | 1,808 | 1,576 | 246 | 69 | 3,699 |
Accumulated amortization and impairment losses at beginning of the period | \u2014 | -568 | -146 | -51 | -764 | \u2014 | -483 | -130 | -55 | -668 |
Translation differences | \u2014 | 1 | \u2014 | \u2014 | 1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Amortization | \u2014 | -72 | -21 | -3 | -96 | \u2014 | -84 | -20 | -3 | -108 |
Impairment losses | \u2014 | \u2014 | -2 | \u2014 | -3 | \u2014 | \u2014 | -3 | -2 | -5 |
Retirements | \u2014 | \u2014 | 6 | 5 | 11 | \u2014 | \u2014 | 7 | 10 | 16 |
Other changes | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated amortization and impairment losses at end of the period | \u2014 | -639 | -163 | -49 | -851 | \u2014 | -568 | -146 | -51 | -764 |
Carrying value at end of the period | 1,800 | 929 | 93 | 18 | 2,840 | 1,808 | 1,008 | 100 | 18 | 2,934 |
2025 | 2024 | |||||||||
EUR million | Land and water areas | Buildings and structures | Machinery and equipment | Assets under construction | Total | Land and water areas | Buildings and structures | Machinery and equipment | Assets under construction | Total |
Acquisition cost at beginning of the period | 41 | 461 | 1,083 | 83 | 1,667 | 40 | 449 | 1,030 | 81 | 1,599 |
Translation differences | -2 | -9 | -25 | -1 | -37 | \u2014 | \u2014 | 6 | \u2014 | 6 |
Capital expenditure | \u2014 | \u2014 | 5 | 80 | 85 | \u2014 | 1 | 6 | 76 | 83 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 6 | \u2014 | 6 |
Disposals | \u2014 | -1 | -4 | \u2014 | -5 | \u2014 | \u2014 | -10 | -1 | -11 |
Retirements | \u2014 | \u2014 | -11 | \u2014 | -11 | \u2014 | -3 | -14 | \u2014 | -17 |
Reclassifications | \u2014 | 21 | 65 | -86 | \u2014 | \u2014 | 14 | 59 | -74 | \u2014 |
Other changes | \u2014 | \u2014 | 7 | -1 | 6 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Acquisition cost at end of the period | 38 | 472 | 1,119 | 75 | 1,704 | 41 | 461 | 1,083 | 83 | 1,667 |
Accumulated depreciation and impairment losses at beginning of the period | \u2014 | -298 | -799 | \u2014 | -1,098 | \u2014 | -280 | -767 | \u2014 | -1,046 |
Translation differences | \u2014 | 4 | 15 | \u2014 | 20 | \u2014 | -1 | -4 | \u2014 | -5 |
Depreciation | \u2014 | -14 | -49 | \u2014 | -64 | \u2014 | -15 | -48 | \u2014 | -63 |
Impairment losses | \u2014 | -1 | -1 | \u2014 | -2 | \u2014 | -6 | -2 | \u2014 | -8 |
Disposals | \u2014 | \u2014 | 3 | \u2014 | 4 | \u2014 | \u2014 | 9 | \u2014 | 9 |
Retirements | \u2014 | \u2014 | 11 | \u2014 | 11 | \u2014 | 3 | 14 | \u2014 | 17 |
Other changes | \u2014 | 1 | -7 | \u2014 | -6 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated depreciation and impairment losses at end of the period | \u2014 | -308 | -827 | \u2014 | -1,135 | \u2014 | -298 | -799 | \u2014 | -1,098 |
Carrying value at end of the period | 38 | 164 | 292 | 75 | 568 | 40 | 163 | 283 | 83 | 569 |
EUR million | 2025 | 2024 |
Cost of goods sold | -65 | -67 |
Selling, general and administrative expenses | ||
Marketing and selling | -8 | -8 |
Research and development | -5 | -6 |
Administrative | -130 | -138 |
Total | -209 | -219 |
Table does not include amortization included in share in profits and losses of associated companies, operative investments. |
EUR million | 2025 |
Flow Control | 467 |
Automation Solutions | 424 |
Pulp, Energy & Circularity | 366 |
Packaging and Paper | 362 |
Tissue | 180 |
Total | 1,800 |
2025 | |
Long-term growth rate, (%) | |
Flow Control | 2.0% |
Automation Solutions | 2.0% |
Pulp, Energy & Circularity | 2.0% |
Packaging and Paper | 2.0% |
Tissue | 2.0% |
Pre-tax discount rate, (%) | |
Flow Control | 10.6% |
Automation Solutions | 9.9% |
Pulp, Energy & Circularity | 12.7% |
Packaging and Paper | 12.8% |
Tissue | 12.3% |
EUR million | 2024 |
Services | 670 |
Automation | 891 |
Process Technologies | 247 |
Total | 1,808 |
2024 | |
Long-term growth rate, (%) | |
Services | 2.0% |
Automation | 2.0% |
Process Technologies | 2.0% |
Pre-tax discount rate, (%) | |
Services | 10.7% |
Automation | 10.1% |
Process Technologies | 11.9% |
Critical accounting estimates and judgments Valmet has a significant volume of open-ended real estate lease contracts which carry a short notice period only, or which have an initial fixed term but carry extension or termination options. Estimating the likely lease term for these contracts and assessing if the options will be exercised requires significant judgment. When assessing the lease term for these contracts, management considers the relevant facts and circumstances. The likely lease term is typically assessed following the three-year financial forecasts established by management. If there are specific circumstances in place, such as beneficial market rates, significant leasehold improvements, or other significant direct or indirect costs associated with exiting the lease, the lease term can be more than three years. Considering other than real estate leases, the need for assets leased under open-ended contracts is commonly short-term in nature, and as such, open-ended contracts where the notice period is 12 months or less are accounted for as short- term leases. | ||
2025 | 2024 | |||||||
EUR million | Land and water areas | Buildings and structures | Machinery and equipment | Right-of-use assets total | Land and water areas | Buildings and structures | Machinery and equipment | Right-of-use assets total |
Carrying value at beginning of the period | 10 | 123 | 24 | 156 | 10 | 116 | 18 | 145 |
Translation differences | -1 | -4 | -1 | -5 | \u2014 | 1 | \u2014 | 2 |
Additions | 2 | 69 | 11 | 82 | \u2014 | 36 | 16 | 53 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 11 | \u2014 | 11 |
Depreciation | -1 | -36 | -12 | -49 | -1 | -36 | -11 | -48 |
Other changes | \u2014 | -13 | -1 | -14 | \u2014 | -5 | \u2014 | -6 |
Carrying value at end of the period | 11 | 140 | 21 | 171 | 10 | 123 | 24 | 156 |
EUR million | 2025 | 2024 |
Due within 1 year | 49 | 51 |
Due in 1\u20132 years | 37 | 38 |
Due in 2\u20133 years | 29 | 24 |
Due in 3\u20134 years | 22 | 18 |
Due in 4\u20135 years | 18 | 13 |
Due after 5 years | 67 | 42 |
Total | 223 | 187 |
EUR million | 2025 | 2024 |
Expenses related to short-term leases | -3 | -3 |
Expenses related to leases of low-value assets | -7 | -6 |
Expenses related to variable lease payments not included in lease liabilities | -2 | -2 |
Total | -12 | -12 |
As at December 31, | Impact to cash flows | ||
EUR million | 2025 | 2024 | 2025 |
Assets included in net working capital | |||
Non-current trade receivables | 16 | 22 | 5 |
Other non-current assets | 46 | 37 | -9 |
Inventories | 884 | 903 | 19 |
Trade receivables | 769 | 862 | 93 |
Amounts due from customers under revenue contracts | 327 | 344 | 17 |
Derivative financial instruments (assets) | 63 | 31 | -32 |
Other receivables | 190 | 232 | 42 |
Liabilities included in net working capital | |||
Employee benefits | -156 | -157 | -1 |
Provisions | -212 | -190 | 22 |
Other non-current non-interest-bearing liabilities | -1 | -1 | \u2014 |
Trade payables | -500 | -460 | 40 |
Amounts due to customers under revenue contracts | -855 | -904 | -49 |
Derivative financial instruments (liabilities) | -47 | -43 | 4 |
Other current liabilities | -495 | -542 | -47 |
Total net working capital | 29 | 134 | 104 |
Effect of changes in foreign exchange rates | -31 | ||
Remeasurement of defined benefit plans | 10 | ||
Change in allowance for doubtful receivables and inventory obsolescence provision | -18 | ||
Change in provisions | -17 | ||
Acquired in business combinations | -9 | ||
Change in net working capital in the Consolidated statement of cash flows | 39 |
Critical accounting estimates and judgments Provision for slow-moving and obsolete inventory is based on the best estimate of such amounts at the balance sheet date. The estimate is based on a systematic ongoing review and evaluation of inventory balances. As part of this evaluation, Valmet also considers the composition and age of the inventory compared to anticipated future needs. | ||
EUR million | 2025 | 2024 |
Balance at beginning of the period | 94 | 67 |
Translation differences | -3 | \u2014 |
Additions charged to profit or loss | 32 | 31 |
Acquired in business combinations | \u2014 | 23 |
Provisions used | -8 | -12 |
Unused provisions reversed | -19 | -15 |
Balance at end of the period | 96 | 93 |
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
EUR million | 2025 | 2024 |
Trade receivables, not due | 535 | 615 |
Trade receivables 1\u201330 days overdue | 123 | 141 |
Trade receivables 31\u201360 days overdue | 40 | 53 |
Trade receivables 61\u201390 days overdue | 22 | 16 |
Trade receivables 91\u2013180 days overdue | 37 | 32 |
Trade receivables more than 180 days overdue | 28 | 27 |
Total | 786 | 884 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 33 | 25 |
Translation differences | -2 | \u2014 |
Additions charged to profit or loss | 17 | 15 |
Acquired in business combinations | \u2014 | \u2014 |
Used reserve | -4 | -6 |
Reversals | -5 | -3 |
Other changes | -2 | \u2014 |
Balance at end of the period | 38 | 33 |
EUR million | 2025 | 2024 |
- Cash and cash equivalents | 535 | 482 |
- Current interest-bearing financial assets | 22 | 30 |
+ Loans from financial institutions, bonds and other current debt | 1,285 | 1,387 |
+ Lease liabilities | 176 | 157 |
Net debt | 904 | 1,032 |
2025 | |||||
Liabilities from financing activities | Other assets | ||||
EUR million | (+) Loans from financial institutions, bonds and other current debt | (+) Lease liabilities | (-) Cash and cash equivalents | (-) Current interest- bearing financial assets | Total net debt |
Balance at beginning of the period | 1,387 | 157 | 482 | 30 | 1,032 |
Translation differences | -3 | -5 | -30 | \u2014 | 22 |
Cash flows | -98 | -57 | 83 | -7 | -230 |
Additions to lease liabilities | \u2014 | 93 | \u2014 | \u2014 | 93 |
Other changes | -1 | -13 | \u2014 | \u2014 | -14 |
Balance at end the of period | 1,285 | 176 | 535 | 22 | 904 |
2024 | |||||
Liabilities from financing activities | Other assets | ||||
EUR million | (+) Loans from financial institutions, bonds and other current debt | (+) Lease liabilities | (-) Cash and cash equivalents | (-) Current interest- bearing financial assets | Total net debt |
Balance at beginning of the period | 1,343 | 141 | 432 | 25 | 1,027 |
Translation differences | \u2014 | 1 | 3 | -4 | 2 |
Cash flows | 42 | -52 | 48 | 7 | -64 |
Additions to lease liabilities | \u2014 | 62 | \u2014 | \u2014 | 62 |
Acquired in business combinations | \u2014 | 10 | \u2014 | 3 | 7 |
Other changes | 2 | -5 | \u2014 | \u2014 | -3 |
Balance at end of the period | 1,387 | 157 | 482 | 30 | 1,032 |
Critical accounting estimates and judgments Financial instruments In accordance with the disclosure requirements on financial instruments, the management is obliged to make certain assumptions of the related future cash inflows and outflows associated with different financial assets and liabilities. Management assumes that the fair values of derivatives, especially fair values of forward exchange contracts, materially reflect the present values of future cash inflows or outflows to be realized from such instruments. | ||
Hedging of foreign currency denominated firm commitments or highly probable forecasted sale and purchase transactions Under Valmet\u2019s treasury policy, all Valmet entities are required to hedge their foreign currency risk when they have become engaged in a firm commitment denominated in a currency different from their functional currency. The commitment can be between Valmet entities or external to Valmet Group. In addition, certain highly probable forecasted sales and purchases are hedged in co-operation with the Group treasury. When revenue for a customer contract is recognized over time, the entity applies cash flow hedge accounting to both foreign currency denominated sales and purchases and recognizes the effect from the hedging instruments in the OCI until the hedged sales and/ or purchases are recognized in the Consolidated statement of income. Although the exposure hedged by Valmet entities has been clearly defined in Valmet treasury policy, the final realization of the hedged items depends also on factors beyond management\u2019s control, which cannot be foreseen when initiating the hedge relationship. Such factors include change in the market environment causing the other party to postpone or cancel the commitment or highly probable forecasted sale or purchase. Management tries to the extent possible to include clauses in the related contracts to reduce the impact of such adverse events to the Consolidated statement of income. | ||
2025 | 2024 | |||||||
EUR million | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net |
Forward exchange contracts 1 | ||||||||
Under hedge accounting (cash flow hedge) | 2,910 | 51 | -33 | 17 | 2,416 | 17 | -28 | -11 |
Not designated for hedge accounting | 1,418 | 9 | -10 | -1 | 1,137 | 9 | -7 | 2 |
Total | 4,327 | 60 | -44 | 16 | 3,553 | 26 | -35 | -9 |
Foreign exchange options (bought)1 | ||||||||
Not designated for hedge accounting | 150 | \u2014 | \u2014 | \u2014 | ||||
Electricity forward contracts2 | ||||||||
Under hedge accounting (cash flow hedge) | 184 | \u2014 | \u2014 | \u2014 | 160 | \u2014 | -1 | -1 |
Nickel commodity swaps3 | ||||||||
Under hedge accounting (cash flow hedge) | 371 | \u2014 | -1 | -1 | ||||
Not designated for hedge accounting | 402 | \u2014 | \u2014 | \u2014 | 1,112 | \u2014 | \u2014 | \u2014 |
Total | 402 | \u2014 | \u2014 | \u2014 | 1,483 | \u2014 | -1 | -1 |
Steel scrap commodity swaps 3 | ||||||||
Not designated for hedge accounting | 829 | \u2014 | \u2014 | \u2014 | 1,303 | \u2014 | \u2014 | \u2014 |
Interest rate swaps 1 | ||||||||
Under hedge accounting (cash flow hedge) | 610 | 2 | -3 | -1 | 550 | 2 | -6 | -4 |
Under hedge accounting (fair value hedge) | 100 | 1 | \u2014 | 1 | 100 | 2 | \u2014 | 2 |
Total | 710 | 3 | -3 | \u2014 | 650 | 4 | -6 | -2 |
Total | 63 | -47 | 16 | 31 | -43 | -13 | ||
Netting fair values of derivative financial instruments subject to ISDAs4 | -40 | 40 | \u2014 | -28 | 28 | \u2014 | ||
Total, net | 24 | -8 | 16 | 2 | -15 | -13 | ||
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. 4 The Group\u2019s derivatives are carried out under International Swaps and Derivatives Association\u2019s Master Agreements (ISDA). In case of an event of default under these Agreements the non-defaulting party may request early termination and set-off of all outstanding transactions. These agreements do not meet the criteria for offsetting in the Statement of financial position. |
2025 | 2024 | |||||||||||
2026 | 2027 | 2028 | 2029 | 2030 and later | Total | 2025 | 2026 | 2027 | 2028 | 2029 and later | Total | |
2025 | ||||||||||||
Notional amounts | ||||||||||||
Forward exchange contracts 1 | 3,937 | 387 | 4 | \u2014 | \u2014 | 4,327 | 3,033 | 519 | 1 | \u2014 | \u2014 | 3,553 |
Foreign exchange options 1 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 150 | \u2014 | \u2014 | \u2014 | \u2014 | 150 |
Electricity forward contracts2 | 122 | 52 | 9 | \u2014 | \u2014 | 184 | 105 | 46 | 9 | \u2014 | \u2014 | 160 |
Nickel commodity swaps3 | 402 | \u2014 | \u2014 | \u2014 | \u2014 | 402 | 1,375 | 108 | \u2014 | \u2014 | \u2014 | 1,483 |
Steel scrap commodity swaps 3 | 829 | \u2014 | \u2014 | \u2014 | \u2014 | 829 | 1,303 | \u2014 | \u2014 | \u2014 | \u2014 | 1,303 |
Interest rate swaps 1 | 200 | 170 | 130 | 140 | 70 | 710 | 120 | 200 | 170 | 60 | 100 | 650 |
Fair values, EUR million | ||||||||||||
Forward exchange contracts | 15 | 1 | \u2014 | \u2014 | \u2014 | 16 | -5 | -4 | \u2014 | \u2014 | \u2014 | -9 |
Foreign exchange options | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Electricity forward contracts | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | -1 |
Nickel commodity swaps | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | -1 | \u2014 | \u2014 | \u2014 | \u2014 | -1 | |
Steel scrap commodity swaps | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Interest rate swaps | -1 | -1 | \u2014 | 1 | \u2014 | \u2014 | \u2014 | -1 | -1 | -1 | 2 | -2 |
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
Critical accounting estimates and judgments The amount recognized as a provision is the best estimate of the expenditure required to settle the obligation at the reporting day, taking into account related risks and uncertainties, management judgment supplemented by experience with similar transactions and future events when there is sufficient evidence that they will occur and affect the amount of payment. Under contractual warranty clauses, Valmet generally guarantees the performance of products delivered for a certain warranty period. The warranty provision is based on historical realized warranty costs for deliveries of standard products. The warranty period typically commences from the date of customer acceptance of the delivered equipment. For more complex contracts, including long-term projects, the warranty reserve is calculated contract by contract and updated regularly to ensure its appropriateness. Provisions for restructuring costs are recognized when the requirements for recognition are satisfied. For reasons beyond the control of management the final costs may differ from the initial amount for which the provision has been established. Valmet recognizes a provision for losses associated with environmental remediation obligations when such losses are probable, and a reliable estimate of amounts can be made. Following initial recognition, the amount of provision is adjusted later if further information is obtained or circumstances change. | ||
2025 | |||||
EUR million | Warranty provisions | Restructuring provisions | Provisions for onerous contracts | Other provisions | Total |
Balance at beginning of the period | 153 | 7 | 15 | 14 | 190 |
Translation differences | -1 | \u2014 | \u2014 | \u2014 | -1 |
Additions charged to profit or loss | 129 | 54 | 5 | 3 | 190 |
Acquired in business combinations | 6 | \u2014 | \u2014 | \u2014 | 6 |
Provisions used | -84 | -36 | -3 | -5 | -129 |
Unused provisions reversed | -25 | -7 | -11 | -1 | -44 |
Balance at end of the period | 178 | 18 | 6 | 11 | 212 |
Non-current | 18 | \u2014 | \u2014 | 1 | 20 |
Current | 159 | 17 | 6 | 10 | 192 |
As at December 31 | ||
EUR million | 2025 | 2024 |
Accrued income and prepaid expenses | 49 | 65 |
VAT, GST and withholding tax receivables | 117 | 133 |
Other receivables | 22 | 28 |
Other current assets total | 189 | 226 |
As at December 31 | ||
EUR million | 2025 | 2024 |
Accrued personnel costs | 222 | 223 |
Accrued project costs | 86 | 110 |
VAT and withholding tax liabilities | 55 | 66 |
Accrued expenses and deferred income | 98 | 111 |
Accrued interest | 12 | 17 |
Other payables | 35 | 33 |
Other current liabilities total | 508 | 559 |
EUR million | 2025 | 2024 |
Salaries and wages | 1,093 | 1,093 |
Pension costs, defined contribution plans | 109 | 110 |
Defined benefit plan costs 1 | 6 | 6 |
Other post-employment benefits | 12 | 12 |
Share-based payments 2 | 7 | 8 |
Other indirect employee costs | 168 | 164 |
Total | 1,395 | 1,393 |
1 For more information, see Note 16. 2 For more information, see Note 15. |
2025 | 2024 | |
Personnel at end of the period | 18,487 | 19,310 |
Average number of personnel during the period | 18,982 | 19,297 |
Plan 2022\u20132024 | Plan 2023\u20132025 | Plan 2024\u20132026 | Plan 2025\u20132027 | |
2025 | ||||
At beginning of the period | 29,000 | 48,000 | 442,000 | \u2014 |
Maximum number of shares to be granted | \u2014 | -2,000 | -18,000 | 550,000 |
Changes due to achievement criteria | \u2014 | \u2014 | \u2014 | -75,000 |
Actual number of shares granted | -29,000 | -2,000 | -235,000 | \u2014 |
Shares returned by plan participants | \u2014 | 2,000 | 2,000 | \u2014 |
Shares transferred to treasury shares | \u2014 | -2,000 | -2,000 | \u2014 |
At end of the period | \u2014 | 44,000 | 189,000 | 474,000 |
Long-term incentive plans 2022\u20132024 | Long-term incentive plans 2023\u20132025 | |||
Plan name | Performance Share Plan and Deferred Share Plan | Performance Share Plan | Performance Share Plan and Deferred Share Plan | Performance Share Plan |
Performance period | 2022 | 2022\u20132024 | 2023 | 2023\u20132025 |
Performance measures | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 | ESG Index, targets linked to implementing Valmet\u2019s Climate Program and Sustainability Agenda | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 | Development of a valuation multiple of Valmet\u2019s share in comparison to peer group |
Reward payment | In spring 2023 | In spring 2025 | In spring 2024 | In spring 2026 |
Participants | ||||
Performance Share Plan | 14 | 11 | 15 | 13 |
Deferred Share Plan | 114 | 117 | ||
Total gross number of shares earned | Approximately 176,000 shares | Approximately 29,000 shares | Approximately 151,000 shares | Approximately 44,000 shares |
Valmet\u2019s closing share price as at the grant date | 33.63 | 33.63 | 28.77 | 28.77 |
Vesting period | February 2022 to March 2025 | February 2022 to March 2025 | February 2023 to March 2026 | February 2023 to March 2026 |
Long-term incentive plans 2024\u20132026 | Long-term incentive plan 2025\u20132027 | Long-term incentive plan 2026\u20132028 | ||
Plan name | Deferred Share Plan | Performance Share Plan | Performance Share Plan | Performance Share Plan |
Performance period | 2024 | 2024, 2024\u20132026 | 2025\u20132027 | 2026\u20132028 |
Performance measures | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 Development of a valuation multiple of Valmet\u2019s share in comparison to peer group | Comparable EBITA, organic orders received growth (%) of the stable business1, and ESG Index | Absolute Total Shareholder Return, organic net sales growth and emission reduction in own operations |
Reward payment | In spring 2025 | In spring 2027 | In spring 2028 | In spring 2029 |
Participants | ||||
Performance Share Plan | 16 | 163 | ~200 | |
Deferred Share Plan | 192 | |||
Total gross number of shares earned | Approximately 235,000 shares | Approximately 189,000 shares | As at December 31, 2025, approximately 474,000 shares were allotted to participants | The reward to be paid will correspond to a maximum total of approximately 767,000 shares |
Valmet\u2019s closing share price as at the grant date | 25,65 | 25,65 | 25,79 | |
Vesting period | February 2024 to March 2027 | February 2024 to March 2027 | March 2025 to March 2028 | February 2026 to March 2029 |
1 Stable business refers to Process Performance Solutions and biomaterial services. |
EUR thousand | 2025 | 2024 |
Plan 2021\u20132023 | \u2014 | -409 |
Plan 2022\u20132024 | -272 | -1,065 |
Plan 2023\u20132025 | -818 | -1,543 |
Plan 2024\u20132026 | -2,152 | -4,723 |
Plan 2025\u20132027 | -3,141 | \u2014 |
Restricted share pool | -1,015 | -325 |
Total | -7,398 | -8,066 |
Critical accounting estimates and judgments The benefit expense and liabilities arising from defined benefit arrangements are calculated based on assumptions that include the following: \u2022 The discount rates used to discount employee benefit obligations (both funded and unfunded): These rates are determined by reference to market yields at the end of the reporting period on high-quality corporate bonds. In countries where there is no deep market in such bonds, the market yields (at the end of the reporting period) on government bonds have been used. The currency and term of the corporate bonds or government bonds are consistent with the currency and duration of the post- employment benefit obligations. \u2022 Estimated rates of future pay increases, which include general pay rise expectations, as well as merit increases. Actual increases may not reflect estimated future increases. Due to the significant uncertainty of the global economy, these estimates are difficult to project. | ||
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Present value of obligation | 188 | 152 | 340 | 211 | 152 | 363 |
Fair value of plan assets | -216 | \u2014 | -216 | -236 | \u2014 | -236 |
Asset (-) / liability (+) | -27 | 152 | 124 | -25 | 152 | 126 |
Amounts in the Consolidated statement of financial position | ||||||
Liabilities | 4 | 152 | 156 | 5 | 152 | 157 |
Assets | 31 | \u2014 | 31 | 31 | \u2014 | 31 |
Net liability | -27 | 152 | 124 | -25 | 152 | 126 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Employer\u2019s current service cost | 1 | 4 | 6 | 2 | 4 | 6 |
Net interest on net surplus/deficit | -1 | 5 | 4 | -1 | 5 | 4 |
Total expenses | \u2014 | 10 | 10 | 1 | 9 | 10 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Present value of obligation at beginning of the period | 211 | 152 | 363 | 214 | 152 | 366 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | 2 | \u2014 | 2 |
Employer\u2019s current service cost | 1 | 4 | 5 | 2 | 4 | 6 |
Interest expense | 10 | 5 | 15 | 10 | 5 | 15 |
Actuarial gain (-) / loss (+) due to change in financial assumptions | 3 | -10 | -8 | -9 | -2 | -11 |
Actuarial gain (-) / loss (+) due to experience | \u2014 | 2 | 2 | -3 | 2 | -1 |
Benefits paid from the arrangements | -14 | \u2014 | -14 | -14 | \u2014 | -14 |
Benefits paid directly by employer | \u2014 | -7 | -7 | \u2014 | -6 | -7 |
Translation differences | -22 | 5 | -17 | 10 | -3 | 7 |
Present value of defined benefit obligation at end of the period | 188 | 152 | 340 | 211 | 152 | 363 |
- of which related to active members | 115 | 130 | ||||
- of which related to deferred members | 53 | 49 | ||||
- of which related to pensioner members | 171 | 183 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Fair value of plan assets at beginning of the period | 236 | \u2014 | 236 | 220 | \u2014 | 220 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | 2 | \u2014 | 2 |
Interest income on assets | 11 | \u2014 | 11 | 11 | \u2014 | 11 |
Return on plan assets excluding interest income | 2 | \u2014 | 2 | 1 | \u2014 | 1 |
Employer contributions | 5 | \u2014 | 5 | 5 | \u2014 | 5 |
Benefits paid from the arrangements | -14 | \u2014 | -14 | -14 | \u2014 | -14 |
Translation differences | -25 | \u2014 | -25 | 12 | \u2014 | 12 |
Fair value of plan assets at end of the period | 216 | \u2014 | 216 | 236 | \u2014 | 236 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Experience gain (-) / loss (+) on assets | -2 | \u2014 | -2 | -1 | \u2014 | -1 |
Actuarial gain (-) / loss (+) on liabilities due to change in financial assumptions | 3 | -10 | -7 | -9 | -2 | -11 |
Actuarial gain (-) / loss (+) on liabilities due to experience | \u2014 | 2 | 2 | -3 | 2 | -1 |
Total gain (-) / loss (+) | \u2014 | -8 | -8 | -14 | 1 | -13 |
2025 | 2024 | |||||
As at December 31 | Quoted | Unquoted | Total | Quoted | Unquoted | Total |
Equities | 6% | \u2014 | 6% | 10% | \u2014 | 10% |
Bonds | 84% | \u2014 | 84% | 80% | \u2014 | 80% |
Other | 2% | 8% | 10% | 1% | 8% | 10% |
Total | 92% | 8% | 100% | 92% | 8% | 100% |
2025 | 2024 | |||||
As at December 31 | Funded | Unfunded | All plans | Funded | Unfunded | All plans |
Discount rate | 5.0% | 4.0% | 4.6% | 5.2% | 3.7% | 4.6% |
Salary increase | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% |
Pension increase | 1.0% | 2.0% | 1.4% | 1.1% | 2.0% | 1.4% |
Medical cost trend rates | \u2014 | 4.5% | 4.5% | \u2014 | 4.5% | 4.5% |
Life expectancy at age 65 for a male participant currently aged 65 | Life expectancy at age 65 for a female participant currently aged 65 | |||
Expressed in years | 2025 | 2024 | 2025 | 2024 |
Sweden | 22 | 22 | 24 | 24 |
Canada | 22 | 22 | 24 | 24 |
USA | 21 | 21 | 23 | 23 |
Finland | 21 | 21 | 26 | 26 |
Life expectancy at age 65 for a male participant currently aged 45 | Life expectancy at age 65 for a female participant currently aged 45 | |||
Expressed in years | 2025 | 2024 | 2025 | 2024 |
Sweden | 22 | 24 | 24 | 26 |
Canada | 23 | 23 | 25 | 25 |
USA | 23 | 23 | 25 | 24 |
Finland | 24 | 24 | 28 | 28 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Discount rate | ||||||
Increase of 0.25% | -4 | -6 | -10 | -5 | -6 | -11 |
Decrease of 0.25% | 4 | 6 | 10 | 5 | 6 | 11 |
Salary increase rate | ||||||
Increase of 0.25% | \u2014 | 3 | 4 | \u2014 | 4 | 4 |
Decrease of 0.25% | \u2014 | -3 | -3 | \u2014 | -3 | -4 |
Pension increase rate | ||||||
Increase of 0.25% | \u2014 | 4 | 4 | \u2014 | 4 | 4 |
Decrease of 0.25% | \u2014 | -4 | -4 | \u2014 | -4 | -4 |
Medical cost trend | ||||||
Increase of 1% | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Decrease of 1% | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Life expectancy | ||||||
Increase of one year | 5 | 5 | 10 | 6 | 5 | 11 |
Decrease of one year | -5 | -5 | -10 | -6 | -5 | -11 |
2025 | 2024 | |||||
Expressed in years | Funded | Unfunded | All plans | Funded | Unfunded | All plans |
Weighted average duration | 9 | 17 | 13 | 9 | 18 | 13 |
Critical accounting estimates and judgments Deferred tax assets and liabilities are recognized for temporary differences. They are expected to be realized through the income statement over extended periods in the future. Valmet management has made certain assumptions regarding future tax consequences and has used certain estimates when calculating differences between carrying amounts of assets and liabilities and their tax bases. Key assumptions underlying tax calculations include the likelihood that recoverability periods for tax loss carryforwards will not change, and that existing tax laws and rates will remain unchanged for the foreseeable future. On each balance sheet date, deferred tax assets are assessed for recoverability, and when circumstances indicate that it is no longer probable that deferred tax assets can be recovered, balances are reduced to their recoverable amounts. Liabilities and assets are recognized with respect to the income tax amounts management is expecting to pay and recover respectively. Management has chosen not to discount non- current tax balances. Valmet entities are subject to tax audits on an ongoing basis. Complex and constantly changing regulations in multiple jurisdictions where Valmet operates create uncertainties related to tax obligations toward the authorities. Changes in the tax authorities\u2019 interpretations could have unfavorable impact on Valmet\u2019s financials. | ||
EUR million | 2025 | 2024 |
Profit before taxes | 376 | 383 |
Taxes calculated according to tax rate in Finland | -75 | -77 |
Impact of changes in tax rates | \u2014 | \u2014 |
Income tax for previous years | -8 | 6 |
Net increase (decrease) in uncertain tax positions | -10 | \u2014 |
Effect of different tax rates in foreign subsidiaries | -10 | -15 |
Utilization of tax losses carried forward | -1 | -1 |
Non-recoverable foreign taxes | -12 | -12 |
Adjustment and revaluation of deferred taxes for previous years1 | 15 | 1 |
Effect of tax-free income and non-deductible expenses | 1 | -3 |
Other | 4 | -2 |
Income tax expense | -96 | -103 |
Effective tax rate, (%) | 25.7% | 26.8% |
Effective tax rate (%), excluding income tax for previous years | 20.9% | 28.5% |
1 In 2025, mainly includes benefit from previously unrecognized deferred tax assets in the USA and change from deferred taxes in Finland. |
2025 | 2024 | |||||
EUR million | Before taxes | Tax | After taxes | Before taxes | Tax | After taxes |
Gains and losses on cash flow hedges | 15 | -3 | 12 | -8 | 2 | -6 |
Change in fair value reserve | \u2014 | \u2014 | \u2014 | 1 | \u2014 | 1 |
Remeasurement of defined benefit plans | 8 | -1 | 6 | 13 | -3 | 10 |
Currency translation on subsidiary net investments | -73 | \u2014 | -73 | 2 | \u2014 | 2 |
Share of other comprehensive income of associated companies\u00a0 accounted for using equity method | -1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Total comprehensive income for the period | -50 | -4 | -55 | 8 | -2 | 6 |
Deferred tax | \u2014 | -4 | \u2014 | \u2014 | -2 | \u2014 |
Total | \u2014 | -4 | \u2014 | \u2014 | -2 | \u2014 |
2025 | 2024 | |||||||||||
EUR million | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period |
Deferred tax assets | ||||||||||||
Tax losses carried forward | 8 | \u2014 | -1 | -1 | \u2014 | 5 | 5 | \u2014 | 2 | \u2014 | \u2014 | 8 |
Fixed assets | 9 | \u2014 | \u2014 | \u2014 | \u2014 | 8 | 8 | \u2014 | 1 | \u2014 | \u2014 | 9 |
Leases | 32 | -1 | 6 | \u2014 | \u2014 | 37 | 31 | \u2014 | \u2014 | \u2014 | 1 | 32 |
Inventory | 21 | -1 | 3 | \u2014 | -1 | 21 | 16 | \u2014 | -2 | \u2014 | 5 | 21 |
Provisions | 35 | -1 | 3 | \u2014 | 1 | 39 | 41 | -3 | -4 | \u2014 | \u2014 | 35 |
Accruals | 10 | -1 | 5 | 1 | \u2014 | 15 | 11 | \u2014 | -2 | \u2014 | \u2014 | 10 |
Employee benefits | 1 | 1 | -2 | -1 | \u2014 | -1 | 6 | \u2014 | -2 | -4 | 1 | 1 |
Other | 42 | \u2014 | \u2014 | -3 | \u2014 | 39 | 28 | \u2014 | 8 | 2 | 5 | 42 |
Total deferred tax assets | 158 | -4 | 14 | -4 | -1 | 163 | 148 | -3 | 2 | -2 | 13 | 158 |
Offset against deferred tax liabilities1 | -64 | -67 | -59 | -64 | ||||||||
Net deferred tax assets | 94 | 96 | 90 | 94 | ||||||||
Deferred tax liabilities | ||||||||||||
Purchase price allocations | 293 | -4 | -31 | \u2014 | \u2014 | 258 | 292 | 2 | -19 | \u2014 | 18 | 293 |
Fixed assets | 11 | -1 | \u2014 | \u2014 | \u2014 | 10 | 9 | \u2014 | 1 | \u2014 | \u2014 | 11 |
Leases | 34 | -1 | 5 | \u2014 | \u2014 | 38 | 33 | \u2014 | \u2014 | \u2014 | 1 | 34 |
Other | 11 | -1 | -3 | \u2014 | \u2014 | 7 | 7 | \u2014 | 3 | \u2014 | \u2014 | 11 |
Total deferred tax liabilities | 348 | -6 | -28 | \u2014 | \u2014 | 313 | 341 | 3 | -16 | 1 | 20 | 348 |
Offset against deferred tax assets1 | -64 | -66 | -58 | -64 | ||||||||
Net deferred tax liabilities | 284 | 246 | 283 | 284 | ||||||||
1 Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets against tax liabilities, and when the deferred income taxes relate to the same fiscal authority. |
2025 | 2024 | |
Share capital at end of the period, EUR | 140,000,000 | 140,000,000 |
Number of shares at end of the period | 184,529,605 | 184,529,605 |
Treasury shares at end of the period | 297,175 | 364,258 |
Shares outstanding at end of the period | 184,232,430 | 184,165,347 |
Average number of shares outstanding during the financial year | 184,203,699 | 184,159,071 |
EUR million | 2025 | 2024 |
Marketing and selling expenses | 498 | 495 |
Research and development expenses, net | 126 | 123 |
Administrative expenses | 361 | 383 |
Selling, general and administrative expenses total | 986 | 1,000 |
EUR million | 2025 | 2024 |
Research and development costs | 146 | 140 |
Recognized in fixed assets | -16 | -15 |
Grants received | -9 | -7 |
Depreciation and amortization | 5 | 5 |
Research and development expenses total | 126 | 123 |
EUR million | 2025 | 2024 |
Gain on sale of fixed assets | 2 | 1 |
Reversal of allowance for doubtful receivables and contract assets | 4 | 4 |
Net gain from foreign exchange | \u2014 | \u2014 |
Interest component from forward contracts | \u2014 | \u2014 |
Commodity derivatives | \u2014 | \u2014 |
Insurance compensation1 | \u2014 | 6 |
Income related to tax and customs duty adjustments | 2 | 2 |
Other income2 | 16 | 13 |
Other operating income, total | 25 | 25 |
Impairment of fixed assets and right-of-use assets | -6 | -13 |
Net loss from foreign exchange | -3 | -10 |
Interest component from forward contracts | -8 | -8 |
Commodity derivatives | -1 | \u2014 |
Non-recoverable foreign taxes | -2 | -8 |
Allowance for doubtful receivables and contract assets | -16 | -10 |
Other expenses2 | -15 | -9 |
Other operating expenses, total | -53 | -59 |
Other operating income and expenses, net | -28 | -34 |
1 Insurance compensation in 2024, EUR 6 million, mainly relates to income compensating the costs of a fire that happened in May 2022 at Valmet\u2019s Rautpohja factory site in Jyv\u00e4skyl\u00e4. 2 Includes in 2025 a settlement agreement in the Biomaterial Solutions and Services segment, following a delivery made earlier. The delivery required corrective actions and led to a commercial dispute, which has been resolved. |
EUR million | 2025 | 2024 |
Exchange rate differences from trade receivables and payables | -23 | -14 |
Exchange rate differences from derivative financial instruments | 20 | 4 |
Net gain/loss from foreign exchange | -3 | -10 |
2025 | 2024 | |||||||||
EUR million | 2026 | 2027 | 2028 | 2029 | 2030 and later | 2025 | 2026 | 2027 | 2028 | 2029 and later |
Loans from financial institutions | ||||||||||
Repayments | 99 | 249 | 127 | 85 | 492 | 94 | 49 | 349 | 377 | 296 |
Interests | 32 | 27 | 21 | 19 | 24 | 47 | 44 | 36 | 17 | 24 |
Bonds | ||||||||||
Repayments | \u2014 | \u2014 | \u2014 | 200 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 200 |
Interests | 8 | 8 | 8 | 8 | \u2014 | 8 | 8 | 8 | 8 | 8 |
Trade payables and other current financial liabilities | 533 | \u2014 | \u2014 | \u2014 | \u2014 | 481 | \u2014 | \u2014 | \u2014 | \u2014 |
Total | 672 | 284 | 156 | 312 | 516 | 630 | 101 | 393 | 402 | 528 |
The information presented in above table excludes the impact of lease liabilities and derivatives. |
EUR million | 2025 | 2024 |
Interest-bearing debt | 1,285 | 1,387 |
Cash and cash equivalents | 535 | 482 |
Interest-bearing financial assets | 44 | 55 |
Interest-bearing net debt | 706 | 850 |
Total equity | 2,590 | 2,614 |
The information presented in above table excludes the impact of lease liabilities. |
EUR million | 2025 | 2024 |
Profit for the period | -/+ 1.7 | -/+ 2.2 |
Equity | +/- 6.3 | +/- 6.9 |
The information presented in above table excludes the impact of lease liabilities. |
2025 | 2024 | |||||||||
EUR million | EUR | SEK | USD | CNY | Others | EUR | SEK | USD | CNY | Others |
Operational items | -6 | 343 | -284 | -201 | 149 | 239 | -363 | 343 | -228 | 9 |
of which trade receivables and other current assets | -70 | 83 | -119 | 62 | 44 | -22 | -168 | 120 | 49 | 21 |
of which trade payables and other current liabilities | -9 | -27 | 56 | -43 | 23 | -8 | 49 | -16 | -45 | 19 |
Financial items | 547 | -354 | -182 | -119 | 107 | 101 | -92 | 13 | -153 | 131 |
Hedges | -583 | 46 | 477 | 323 | -263 | -326 | 449 | -330 | 357 | -151 |
under hedge accounting | -524 | 175 | 220 | 228 | -99 | -323 | 257 | -231 | 252 | 46 |
not qualifying for hedge accounting | -59 | -129 | 258 | 94 | -164 | -2 | 192 | -99 | 105 | -196 |
Total exposure | -43 | 35 | 12 | 2 | -7 | 14 | -6 | 26 | -24 | -10 |
2025 | 2024 | |||||||||
EUR million | SEK | USD | CNY | Others | Total | SEK | USD | CNY | Others | Total |
EUR +/- 10% change | -/+ 2.8 | -/+ 0.9 | -/+ 0.2 | +/- 0.5 | -/+ 3.4 | +/- 0.5 | -/+ 2.1 | +/- 1.9 | +/- 0.8 | +/- 1.1 |
EUR million | 2025 | 2024 |
Profit for the period | -/+ 0.1 | +/- 5.4 |
Equity | -/+ 41.9 | -/+ 25.9 |
EUR million | 2025 | 2024 |
Electricity - effect in equity | +/- 0.3 | +/- 0.4 |
Nickel - effect in profit for the period | +/- 0.4 | +/- 1.3 |
Nickel - effect in equity | \u2014 | +/- 0.4 |
Steel scrap - effect in profit for the period | +/-0.0 | +/- 0.0 |
Company name | Share of ownership | |||
Place of incorporation and principal place of business | Dec 31, 2025 | Dec 31, 2024 | Measurement | |
Nanjing SAC Valmet Automation Co., Ltd. | China | 21.95% | 21.95% | Equity method |
Valpro gerenciamento de obras Ltda | Brazil | 51.0% | 51.0% | Equity method |
SAC | ||
EUR million | 2025 | 2024 |
Balance sheet | ||
Non-current assets | 16 | 17 |
Current assets | 180 | 157 |
Non-current liabilities | 4 | 1 |
Current liabilities | 106 | 94 |
Net assets | 86 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Income statement | ||
Revenue | 175 | 132 |
Profit or loss | 22 | 11 |
Total comprehensive income | 21 | 11 |
SAC | ||
EUR million | 2025 | 2024 |
Net assets at beginning of the period | 79 | 74 |
Translation differences | -6 | 3 |
Profit for the period | 22 | 11 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends paid | -9 | -8 |
Net assets at end of the period | 85 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Carrying value at end of the period | 19 | 17 |
EUR million | 2025 | 2024 |
Historical cost | ||
Historical cost at beginning of the period | 8 | 8 |
Historical cost at end of the period | 8 | 8 |
Equity adjustments | ||
Equity adjustments at beginning of the period | 10 | 9 |
Profit for the period | 5 | 2 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends received | -2 | -2 |
Equity adjustments at end of the period | 11 | 10 |
Carrying value at end of the period | 19 | 17 |
EUR million | 2025 | 2024 |
Audit fees | 2.9 | 3.0 |
Audit-related assignments | 0.2 | 0.4 |
Tax assignments | \u2014 | \u2014 |
Other services | \u2014 | 0.2 |
Total | 3.1 | 3.6 |
EUR thousand | Salaries and other short- term benefits | Performance bonuses | Share-based payments | Post-retirement benefits | Resignation benefits | Total |
2025 | ||||||
President and CEO | 919 | 662 | 1,121 | 394 | \u2014 | 3,097 |
Other Executive Leadership Team members | 3,218 | 1,132 | 3,410 | 1,060 | 8,820 | |
Total | 4,137 | 1,795 | 4,531 | 1,454 | \u2014 | 11,916 |
2024 | ||||||
President and CEO from August 12, 2024 | 332 | 506 | 331 | 121 | \u2014 | 1,290 |
President and CEO until August 11, 2024 | 568 | 278 | 650 | 279 | \u2014 | 1,775 |
Other Executive Leadership Team members | 3,231 | 1,115 | 2,565 | 1,117 | 91 | 8,119 |
Total | 4,130 | 1,899 | 3,546 | 1,517 | 91 | 11,184 |
EUR thousand | 2025 | 2024 |
Pekka Vauramo, Chair1 | 170 | \u2014 |
Annika Paasikivi, Vice Chair4 | 108 | 83 |
Bernd Eikens, Member 1 | 89 | \u2014 |
Jonas Gustavsson, Member1 | 82 | \u2014 |
Anu H\u00e4m\u00e4l\u00e4inen, Member | 97 | 99 |
Pekka Kemppainen, Member | 88 | 91 |
Annareetta Lumme-Timonen, Member | 88 | 84 |
Monika Maurer, Member | 96 | 95 |
Mikael M\u00e4kinen, Chair2 | 5 | 178 |
Jaakko Eskola, Vice Chair2 | 3 | 106 |
Per Lindberg, Member2 | \u2014 | 87 |
Aaro Cantell, Member3 | \u2014 | 4 |
Eriikka S\u00f6derstr\u00f6m, Member3 | \u2014 | 6 |
Juha P\u00f6ll\u00e4nen, Personnel Representative | 9 | 8 |
Total | 836 | 840 |
1 From March 26, 2025. 2 Until March 26, 2025. 3 Until March 21, 2024. 4 Vice Chair from March 26, 2025, previously Member. |
Company name | Country of incorporation and place of business | Parent holding, % | Group ownership interest, % |
Valmet Pty Ltd | Australia | \u2014 | 100.0 |
Valmet GesmbH | Austria | \u2014 | 100.0 |
Valmet Belgium BV | Belgium | \u2014 | 100.0 |
Valmet Celulose, Papel e Energia Ltda. | Brazil | \u2014 | 100.0 |
Valmet Engraving Solutions Ltda. | Brazil | \u2014 | 100.0 |
Valmet Fabrics Tecidos T\u00e9cnicos Ltda. | Brazil | \u2014 | 100.0 |
Valmet Flow Control Ltda. | Brazil | \u2014 | 100.0 |
Valmet Tissue Converting Ltda. | Brazil | \u2014 | 100.0 |
Valmet Ltd. | Canada | \u2014 | 100.0 |
Valmet Flow Control SpA | Chile | \u2014 | 100.0 |
Valmet S.A. | Chile | \u2014 | 100.0 |
Neles (China) Investment Co., Ltd. | China | 100.0 | 100.0 |
Valmet (China) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Automation (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Fabrics (China) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Flow Control (Jiaxing) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Flow Control (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Machinery (Changzhou) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Technology (China) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Technology (Guangzhou) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Technology (Xi\u2019an) Co., Ltd. | China | \u2014 | 75.0 |
Valmet Technologies Co., Ltd. | China | \u2014 | 100.0 |
Valmet Tissue Converting (Nantong) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Tissue Converting (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet d.o.o. | Croatia | \u2014 | 100.0 |
Valmet s.r.o. | Czech Republic | \u2014 | 100.0 |
Valmet Automation Oy | Finland | 100.0 | 100.0 |
Valmet Flow Control Oy | Finland | 100.0 | 100.0 |
Valmet Kauttua Oy | Finland | \u2014 | 100.0 |
Valmet Technologies Oy | Finland | 100.0 | 100.0 |
Valmet Automation SAS | France | \u2014 | 100.0 |
Valmet Flow Control SAS | France | \u2014 | 100.0 |
Valmet SAS | France | \u2014 | 100.0 |
FactoryPal GmbH | Germany | \u2014 | 75.1 |
Gas Chromatography Systems MAXUM GmbH | Germany | \u2014 | 100.0 |
Valmet Deutschland GmbH | Germany | \u2014 | 100.0 |
Valmet Flow Control GmbH | Germany | \u2014 | 100.0 |
Valmet GmbH | Germany | \u2014 | 100.0 |
Company name | Country of incorporation and place of business | Parent holding, % | Group ownership interest, % |
Valmet Flow Control Private Limited | India | \u2014 | 100.0 |
Valmet Technologies Private Limited | India | \u2014 | 100.0 |
PT Valmet | Indonesia | \u2014 | 100.0 |
PT Valmet Automation Indonesia | Indonesia | \u2014 | 100.0 |
PT Valmet Technology Center | Indonesia | \u2014 | 100.0 |
Valmet Engraving Solutions S.r.l. | Italy | \u2014 | 100.0 |
Valmet Flow Control S.p.A. | Italy | \u2014 | 100.0 |
Valmet S.p.A. | Italy | \u2014 | 100.0 |
Valmet Tissue Converting S.p.A. | Italy | \u2014 | 100.0 |
Valmet Tissue Converting S.r.l. | Italy | \u2014 | 100.0 |
Valmet K.K. | Japan | \u2014 | 100.0 |
Valmet Sdn. Bhd. | Malaysia | \u2014 | 100.0 |
Valmet Flow Control SA de C.V. | Mexico | \u2014 | 100.0 |
Valmet Technologies S. de R.L. de C.V. | Mexico | \u2014 | 100.0 |
Valmet B.V. | Netherlands | \u2014 | 100.0 |
Valmet AS | Norway | \u2014 | 100.0 |
Valmet Flow Control S.A.C. 1 | Peru | \u2014 | 100.0 |
Valmet Automation Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Flow Control Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Services Jelenia G\u00f3ra Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Services Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Technologies and Services S.A. | Poland | \u2014 | 100.0 |
Valmet, Unipessoal Lda. | Portugal | \u2014 | 100.0 |
Valmet Flow Control, Unipessoal Lda | Portugal | \u2014 | 100.0 |
Valmet Trading and Contracting W.L.L. 2 | Qatar | \u2014 | 49.0 |
Valmet Flow Control Co., Ltd. | Republic of Korea | \u2014 | 100.0 |
Valmet Inc. | Republic of Korea | \u2014 | 100.0 |
Valmet Flow Control S.R.L. | Romania | \u2014 | 100.0 |
Valmet Flow Control Industrial LLC | Saudi Arabia | \u2014 | 70.0 |
Gas Chromatography Systems MAXUM Pte. Ltd. | Singapore | \u2014 | 100.0 |
Valmet Flow Control Pte. Ltd. | Singapore | \u2014 | 100.0 |
Valmet Pte. Ltd. | Singapore | \u2014 | 100.0 |
Valmet Flow Control South Africa Pty Ltd | South Africa | \u2014 | 100.0 |
Valmet South Africa (Pty) Ltd | South Africa | \u2014 | 100.0 |
Valmet Technologies, S.A.U. | Spain | \u2014 | 100.0 |
Valmet Technologies Zaragoza, S.L. | Spain | \u2014 | 81.0 |
Valmet AB | Sweden | 100.0 | 100.0 |
Valmet Co., Ltd. | Thailand | \u2014 | 100.0 |
Valmet Flow Control Turkey Dis Ticaret A.S. | Turkey | \u2014 | 100.0 |
Company name | Country of incorporation and place of business | Parent holding, % | Group ownership interest, % |
Valmet Sel\u00fcloz Kagit ve Enerji Teknolojileri A.S. | Turkey | \u2014 | 100.0 |
Valmet Flow Control LLC2 | United Arab Emirates | \u2014 | 49.0 |
Valmet FZE | United Arab Emirates | \u2014 | 100.0 |
Valmet Process Technologies and Services LLC2 | United Arab Emirates | \u2014 | 49.0 |
Neles UK Ltd1 | United Kingdom | \u2014 | 100.0 |
Valmet Limited | United Kingdom | \u2014 | 100.0 |
Gas Chromatography Systems MAXUM LLC | USA | \u2014 | 100.0 |
Neles-Jamesbury, Inc. | USA | 100.0 | 100.0 |
Valmet, Inc. | USA | 48.7 | 100.0 |
Valmet Flow Control Inc. | USA | \u2014 | 100.0 |
Valmet Co., Ltd. | Vietnam | \u2014 | 100.0 |
1 Under liquidation. 2 Based on contractual arrangement, the Group has full control of the company and is consolidating the entity 100%. |
Step 1: | Identification of the contract(s) with a customer |
Step 2: | Identification of the performance obligations in the contract |
Step 3: | Determination of the transaction price attached to the contract |
Step 4: | Allocation of the transaction price to the performance obligations identified in the contract |
Step 5: | Recognition of revenue when (or as) the entity satisfies a performance obligation |
Technology | 3\u201320 years |
Customer relationships | 3\u201320 years |
Capitalized software | 3\u201310 years |
Patents and licenses | 5\u201310 years |
Other intangibles | 1\u201340 years |
Buildings and structures | 15\u201340 years |
Machinery and equipment | 3\u201320 years |
\u2022 Revenue recognition | Note 3 |
\u2022 Intangible assets and property, plant and equipment | Note 4 |
\u2022 Leases | Note 5 |
\u2022 Inventories | Note 7 |
\u2022 Financial assets and liabilities | Note 8 |
\u2022 Derivative financial instruments | Note 9 |
\u2022 Provisions | Note 11 |
\u2022 Employee benefit obligations | Note 16 |
\u2022 Income taxes | Note 17 |
Critical accounting estimates and judgments For performance obligations satisfied over time, the progress and the profitability are based on the management\u2019s estimates, which require significant judgment concerning the stage of completion, the cost to complete, and the time of\u00a0 completion. Management regularly reviews the progress and execution of performance obligations. As part of the process, management reviews information including, but not limited to, key contractual obligations outstanding, project schedule, identified risks and opportunities, as well as changes in estimates of revenues and costs. A projected loss on a customer contract is recognized in full through profit or loss when it becomes known. Valmet regularly enters into contracts where the consideration includes one or more variable elements. Variable consideration is estimated by using either the expected value or the most likely amount -method, depending on the type of the arrangement. In making judgments about variable consideration, Valmet considers historical, current and forecast information. The impact of changes in estimates is recognized in revenue in the period when the estimate is updated. | ||
Critical accounting estimates and judgments Impairment testing The preparation of impairment analysis requires use of numerous estimates. The valuation is inherently judgmental and highly susceptible to change from period to period because it requires management to make assumptions about future supply and demand related to its individual business units, future sales prices and achievable cost levels. The value of the benefits and savings expected from the efficiency improvement programs is inherently subjective. All outsized improvements are excluded from future cash inflows and outflows. The value in use of a cash-generating unit is determined by discounting estimated future cash flows with a discount rate approximating the weighted average cost of capital (WACC). The WACC is based on comparable peer industry betas and capital structure. Triggering events for impairment reviews at Valmet include the following: \u2022 A material permanent deterioration in the economic or political environment of the customers\u2019 or Valmet\u2019s own activity \u2022 Businesses or asset\u2019s significant under-performance relative to historical or projected future performance \u2022 Significant changes in Valmet\u2019s strategic orientations. affecting the business plans and previous investment policies. | ||
Critical accounting estimates and judgments Valmet has a significant volume of open-ended real estate lease contracts which carry a short notice period only, or which have an initial fixed term but carry extension or termination options. Estimating the likely lease term for these contracts and assessing if the options will be exercised requires significant judgment. When assessing the lease term for these contracts, management considers the relevant facts and circumstances. The likely lease term is typically assessed following the three-year financial forecasts established by management. If there are specific circumstances in place, such as beneficial market rates, significant leasehold improvements, or other significant direct or indirect costs associated with exiting the lease, the lease term can be more than three years. Considering other than real estate leases, the need for assets leased under open-ended contracts is commonly short-term in nature, and as such, open-ended contracts where the notice period is 12 months or less are accounted for as short- term leases. | ||
Critical accounting estimates and judgments Provision for slow-moving and obsolete inventory is based on the best estimate of such amounts at the balance sheet date. The estimate is based on a systematic ongoing review and evaluation of inventory balances. As part of this evaluation, Valmet also considers the composition and age of the inventory compared to anticipated future needs. | ||
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
Critical accounting estimates and judgments Financial instruments In accordance with the disclosure requirements on financial instruments, the management is obliged to make certain assumptions of the related future cash inflows and outflows associated with different financial assets and liabilities. Management assumes that the fair values of derivatives, especially fair values of forward exchange contracts, materially reflect the present values of future cash inflows or outflows to be realized from such instruments. | ||
Hedging of foreign currency denominated firm commitments or highly probable forecasted sale and purchase transactions Under Valmet\u2019s treasury policy, all Valmet entities are required to hedge their foreign currency risk when they have become engaged in a firm commitment denominated in a currency different from their functional currency. The commitment can be between Valmet entities or external to Valmet Group. In addition, certain highly probable forecasted sales and purchases are hedged in co-operation with the Group treasury. When revenue for a customer contract is recognized over time, the entity applies cash flow hedge accounting to both foreign currency denominated sales and purchases and recognizes the effect from the hedging instruments in the OCI until the hedged sales and/ or purchases are recognized in the Consolidated statement of income. Although the exposure hedged by Valmet entities has been clearly defined in Valmet treasury policy, the final realization of the hedged items depends also on factors beyond management\u2019s control, which cannot be foreseen when initiating the hedge relationship. Such factors include change in the market environment causing the other party to postpone or cancel the commitment or highly probable forecasted sale or purchase. Management tries to the extent possible to include clauses in the related contracts to reduce the impact of such adverse events to the Consolidated statement of income. | ||
Critical accounting estimates and judgments The amount recognized as a provision is the best estimate of the expenditure required to settle the obligation at the reporting day, taking into account related risks and uncertainties, management judgment supplemented by experience with similar transactions and future events when there is sufficient evidence that they will occur and affect the amount of payment. Under contractual warranty clauses, Valmet generally guarantees the performance of products delivered for a certain warranty period. The warranty provision is based on historical realized warranty costs for deliveries of standard products. The warranty period typically commences from the date of customer acceptance of the delivered equipment. For more complex contracts, including long-term projects, the warranty reserve is calculated contract by contract and updated regularly to ensure its appropriateness. Provisions for restructuring costs are recognized when the requirements for recognition are satisfied. For reasons beyond the control of management the final costs may differ from the initial amount for which the provision has been established. Valmet recognizes a provision for losses associated with environmental remediation obligations when such losses are probable, and a reliable estimate of amounts can be made. Following initial recognition, the amount of provision is adjusted later if further information is obtained or circumstances change. | ||
Critical accounting estimates and judgments The benefit expense and liabilities arising from defined benefit arrangements are calculated based on assumptions that include the following: \u2022 The discount rates used to discount employee benefit obligations (both funded and unfunded): These rates are determined by reference to market yields at the end of the reporting period on high-quality corporate bonds. In countries where there is no deep market in such bonds, the market yields (at the end of the reporting period) on government bonds have been used. The currency and term of the corporate bonds or government bonds are consistent with the currency and duration of the post- employment benefit obligations. \u2022 Estimated rates of future pay increases, which include general pay rise expectations, as well as merit increases. Actual increases may not reflect estimated future increases. Due to the significant uncertainty of the global economy, these estimates are difficult to project. | ||
Critical accounting estimates and judgments Deferred tax assets and liabilities are recognized for temporary differences. They are expected to be realized through the income statement over extended periods in the future. Valmet management has made certain assumptions regarding future tax consequences and has used certain estimates when calculating differences between carrying amounts of assets and liabilities and their tax bases. Key assumptions underlying tax calculations include the likelihood that recoverability periods for tax loss carryforwards will not change, and that existing tax laws and rates will remain unchanged for the foreseeable future. On each balance sheet date, deferred tax assets are assessed for recoverability, and when circumstances indicate that it is no longer probable that deferred tax assets can be recovered, balances are reduced to their recoverable amounts. Liabilities and assets are recognized with respect to the income tax amounts management is expecting to pay and recover respectively. Management has chosen not to discount non- current tax balances. Valmet entities are subject to tax audits on an ongoing basis. Complex and constantly changing regulations in multiple jurisdictions where Valmet operates create uncertainties related to tax obligations toward the authorities. Changes in the tax authorities\u2019 interpretations could have unfavorable impact on Valmet\u2019s financials. | ||
EUR million | 2025 | 2024 |
Process Performance Solutions | 1,500 | 1,446 |
Biomaterial Solutions and Services | 3,716 | 4,392 |
Total | 5,216 | 5,837 |
EUR million | 2025 | 2024 |
Process Performance Solutions | 1,481 | 1,437 |
Biomaterial Solutions and Services | 3,716 | 3,922 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Process Performance Solutions | 290 | 255 |
Biomaterial Solutions and Services | 381 | 403 |
Other | -51 | -49 |
Total | 620 | 609 |
2025 | 2024 | |
Process Performance Solutions | 19.6% | 17.7% |
Biomaterial Solutions and Services | 10.3% | 10.3% |
Total | 11.9% | 11.4% |
EUR million | 2025 | 2024 |
Process Performance Solutions | 279 | 248 |
Biomaterial Solutions and Services | 323 | 364 |
Other | -68 | -56 |
Total | 534 | 557 |
2025 | 2024 | |
Process Performance Solutions | 18.8% | 17.2% |
Biomaterial Solutions and Services | 8.7% | 9.3% |
Total | 10.3% | 10.4% |
EUR million | 2025 | 2024 |
Process Performance Solutions | -11 | -7 |
Biomaterial Solutions and Services | -58 | -39 |
Other | -17 | -7 |
Total | -85 | -53 |
EUR million | 2025 | 2024 |
Process Performance Solutions | -55 | -54 |
Biomaterial Solutions and Services | -22 | -36 |
Other | -19 | -18 |
Total | -96 | -108 |
EUR million | 2025 | 2024 |
Comparable EBITA | 620 | 609 |
Items affecting comparability in cost of sales | ||
Expenses related to capacity adjustments1 | -22 | -11 |
Expensing of fair value adjustments recognized in business combinations | -2 | -16 |
Other items affecting comparability2 | -7 | -4 |
Items affecting comparability in selling, general and administrative expenses | ||
Expenses related to capacity adjustments1 | -43 | -7 |
Expenses related to acquisitions | -2 | -3 |
Other items affecting comparability2 | -5 | -6 |
Items affecting comparability in other operating income and expenses | ||
Income and expenses related to capacity adjustments | \u2014 | -7 |
Other items affecting comparability 2 | -10 | \u2014 |
Items affecting comparability in share in profits and losses of associated companies, operative investments | ||
Other items affecting comparability | 5 | 2 |
EBITA | 534 | 557 |
Amortization included in cost of sales | ||
Other intangibles | -1 | -1 |
Amortization included in selling, general and administrative expenses | ||
Intangibles recognized in business combinations | -72 | -84 |
Other intangibles | -23 | -22 |
Operating profit | 438 | 449 |
1 Includes in 2025 EUR 61 million restructuring costs due to change negotiations and strategy renewal costs related to Valmet's operating model renewal. 2 Includes in 2025 a settlement agreement in the Biomaterial Solutions and Services segment, following a delivery made earlier. The delivery required corrective actions and led to a commercial dispute, which has now been resolved. |
EUR million | 2025 | 2024 |
North America | 1,341 | 1,390 |
Latin America | 866 | 545 |
EMEA | 1,876 | 2,033 |
China | 540 | 723 |
Asia-Pacific | 574 | 668 |
Total | 5,197 | 5,359 |
EUR million | Finland | North America | Latin America | EMEA excluding Finland | China | Asia-Pacific | Non-allocated | Total |
2025 | 390 | 188 | 40 | 217 | 99 | 66 | 2,603 | 3,605 |
2024 | 352 | 219 | 39 | 222 | 105 | 72 | 2,707 | 3,717 |
EUR million | North America | Latin America | EMEA | China | Asia-Pacific | Total |
2025 | 14 | 5 | 61 | 15 | 8 | 103 |
2024 | 8 | 4 | 73 | 17 | 5 | 107 |
Step 1: | Identification of the contract(s) with a customer |
Step 2: | Identification of the performance obligations in the contract |
Step 3: | Determination of the transaction price attached to the contract |
Step 4: | Allocation of the transaction price to the performance obligations identified in the contract |
Step 5: | Recognition of revenue when (or as) the entity satisfies a performance obligation |
Critical accounting estimates and judgments For performance obligations satisfied over time, the progress and the profitability are based on the management\u2019s estimates, which require significant judgment concerning the stage of completion, the cost to complete, and the time of\u00a0 completion. Management regularly reviews the progress and execution of performance obligations. As part of the process, management reviews information including, but not limited to, key contractual obligations outstanding, project schedule, identified risks and opportunities, as well as changes in estimates of revenues and costs. A projected loss on a customer contract is recognized in full through profit or loss when it becomes known. Valmet regularly enters into contracts where the consideration includes one or more variable elements. Variable consideration is estimated by using either the expected value or the most likely amount -method, depending on the type of the arrangement. In making judgments about variable consideration, Valmet considers historical, current and forecast information. The impact of changes in estimates is recognized in revenue in the period when the estimate is updated. | ||
EUR million | 2025 | 2024 |
Flow Control | 788 | 791 |
Automation Solutions | 694 | 646 |
Pulp, Energy and Circularity | 1,610 | 1,541 |
Packaging and Paper | 1,483 | 1,793 |
Tissue | 622 | 588 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Performance obligations satisfied at a point in time | 2,901 | 3,006 |
Performance obligations satisfied over time | 2,296 | 2,353 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 344 | 475 |
Translation differences | 1 | -3 |
Acquired in business combinations | \u2014 | 2 |
Revenue recognized in the period | 936 | 733 |
Transfers to trade receivables | -954 | -864 |
Balance at end of the period | 327 | 344 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 904 | 1,151 |
Translation differences | -29 | 18 |
Acquired in business combinations | \u2014 | 15 |
Revenue recognized in the period | -2,579 | -2,752 |
Consideration invoiced and/or received | 2,559 | 2,471 |
Balance at end of the period | 855 | 904 |
EUR million | 2025 | 2024 |
Amounts due to customers under revenue contracts for which revenue is recognized | ||
Point in time | 339 | 321 |
Over time | 516 | 583 |
Carrying value at end of the period | 855 | 904 |
Step 1: | Identification of the contract(s) with a customer |
Step 2: | Identification of the performance obligations in the contract |
Step 3: | Determination of the transaction price attached to the contract |
Step 4: | Allocation of the transaction price to the performance obligations identified in the contract |
Step 5: | Recognition of revenue when (or as) the entity satisfies a performance obligation |
Critical accounting estimates and judgments For performance obligations satisfied over time, the progress and the profitability are based on the management\u2019s estimates, which require significant judgment concerning the stage of completion, the cost to complete, and the time of\u00a0 completion. Management regularly reviews the progress and execution of performance obligations. As part of the process, management reviews information including, but not limited to, key contractual obligations outstanding, project schedule, identified risks and opportunities, as well as changes in estimates of revenues and costs. A projected loss on a customer contract is recognized in full through profit or loss when it becomes known. Valmet regularly enters into contracts where the consideration includes one or more variable elements. Variable consideration is estimated by using either the expected value or the most likely amount -method, depending on the type of the arrangement. In making judgments about variable consideration, Valmet considers historical, current and forecast information. The impact of changes in estimates is recognized in revenue in the period when the estimate is updated. | ||
EUR million | 2025 | 2024 |
Flow Control | 788 | 791 |
Automation Solutions | 694 | 646 |
Pulp, Energy and Circularity | 1,610 | 1,541 |
Packaging and Paper | 1,483 | 1,793 |
Tissue | 622 | 588 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Performance obligations satisfied at a point in time | 2,901 | 3,006 |
Performance obligations satisfied over time | 2,296 | 2,353 |
Total | 5,197 | 5,359 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 344 | 475 |
Translation differences | 1 | -3 |
Acquired in business combinations | \u2014 | 2 |
Revenue recognized in the period | 936 | 733 |
Transfers to trade receivables | -954 | -864 |
Balance at end of the period | 327 | 344 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 904 | 1,151 |
Translation differences | -29 | 18 |
Acquired in business combinations | \u2014 | 15 |
Revenue recognized in the period | -2,579 | -2,752 |
Consideration invoiced and/or received | 2,559 | 2,471 |
Balance at end of the period | 855 | 904 |
EUR million | 2025 | 2024 |
Amounts due to customers under revenue contracts for which revenue is recognized | ||
Point in time | 339 | 321 |
Over time | 516 | 583 |
Carrying value at end of the period | 855 | 904 |
Step 1: | Identification of the contract(s) with a customer |
Step 2: | Identification of the performance obligations in the contract |
Step 3: | Determination of the transaction price attached to the contract |
Step 4: | Allocation of the transaction price to the performance obligations identified in the contract |
Step 5: | Recognition of revenue when (or as) the entity satisfies a performance obligation |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 344 | 475 |
Translation differences | 1 | -3 |
Acquired in business combinations | \u2014 | 2 |
Revenue recognized in the period | 936 | 733 |
Transfers to trade receivables | -954 | -864 |
Balance at end of the period | 327 | 344 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 904 | 1,151 |
Translation differences | -29 | 18 |
Acquired in business combinations | \u2014 | 15 |
Revenue recognized in the period | -2,579 | -2,752 |
Consideration invoiced and/or received | 2,559 | 2,471 |
Balance at end of the period | 855 | 904 |
EUR million | 2025 | 2024 |
Amounts due to customers under revenue contracts for which revenue is recognized | ||
Point in time | 339 | 321 |
Over time | 516 | 583 |
Carrying value at end of the period | 855 | 904 |
Technology | 3\u201320 years |
Customer relationships | 3\u201320 years |
Capitalized software | 3\u201310 years |
Patents and licenses | 5\u201310 years |
Other intangibles | 1\u201340 years |
Buildings and structures | 15\u201340 years |
Machinery and equipment | 3\u201320 years |
Technology | 3\u201320 years |
Customer relationships | 3\u201320 years |
Capitalized software | 3\u201310 years |
Patents and licenses | 5\u201310 years |
Other intangibles | 1\u201340 years |
Buildings and structures | 15\u201340 years |
Machinery and equipment | 3\u201320 years |
Technology | 3\u201320 years |
Customer relationships | 3\u201320 years |
Capitalized software | 3\u201310 years |
Patents and licenses | 5\u201310 years |
Other intangibles | 1\u201340 years |
Buildings and structures | 15\u201340 years |
Machinery and equipment | 3\u201320 years |
Technology | 3\u201320 years |
Customer relationships | 3\u201320 years |
Capitalized software | 3\u201310 years |
Patents and licenses | 5\u201310 years |
Other intangibles | 1\u201340 years |
Buildings and structures | 15\u201340 years |
Machinery and equipment | 3\u201320 years |
2025 | 2024 | |||||||||
EUR million | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total |
Acquisition cost at beginning of the period | 1,808 | 1,576 | 246 | 69 | 3,699 | 1,735 | 1,502 | 234 | 72 | 3,545 |
Translation differences | -17 | -7 | \u2014 | 1 | -23 | 9 | 4 | \u2014 | \u2014 | 13 |
Capital expenditure | \u2014 | \u2014 | \u2014 | 18 | 18 | \u2014 | \u2014 | \u2014 | 23 | 24 |
Acquired in business combinations | 9 | -2 | \u2014 | \u2014 | 8 | 63 | 69 | \u2014 | \u2014 | 133 |
Retirements | \u2014 | \u2014 | -6 | -5 | -11 | \u2014 | \u2014 | -7 | -10 | -16 |
Reclassifications | \u2014 | \u2014 | 16 | -16 | \u2014 | \u2014 | \u2014 | 18 | -18 | \u2014 |
Other changes | \u2014 | \u2014 | \u2014 | 1 | 1 | \u2014 | \u2014 | \u2014 | 1 | 1 |
Acquisition cost at end of the period | 1,800 | 1,567 | 256 | 67 | 3,691 | 1,808 | 1,576 | 246 | 69 | 3,699 |
Accumulated amortization and impairment losses at beginning of the period | \u2014 | -568 | -146 | -51 | -764 | \u2014 | -483 | -130 | -55 | -668 |
Translation differences | \u2014 | 1 | \u2014 | \u2014 | 1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Amortization | \u2014 | -72 | -21 | -3 | -96 | \u2014 | -84 | -20 | -3 | -108 |
Impairment losses | \u2014 | \u2014 | -2 | \u2014 | -3 | \u2014 | \u2014 | -3 | -2 | -5 |
Retirements | \u2014 | \u2014 | 6 | 5 | 11 | \u2014 | \u2014 | 7 | 10 | 16 |
Other changes | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated amortization and impairment losses at end of the period | \u2014 | -639 | -163 | -49 | -851 | \u2014 | -568 | -146 | -51 | -764 |
Carrying value at end of the period | 1,800 | 929 | 93 | 18 | 2,840 | 1,808 | 1,008 | 100 | 18 | 2,934 |
2025 | 2024 | |||||||||
EUR million | Land and water areas | Buildings and structures | Machinery and equipment | Assets under construction | Total | Land and water areas | Buildings and structures | Machinery and equipment | Assets under construction | Total |
Acquisition cost at beginning of the period | 41 | 461 | 1,083 | 83 | 1,667 | 40 | 449 | 1,030 | 81 | 1,599 |
Translation differences | -2 | -9 | -25 | -1 | -37 | \u2014 | \u2014 | 6 | \u2014 | 6 |
Capital expenditure | \u2014 | \u2014 | 5 | 80 | 85 | \u2014 | 1 | 6 | 76 | 83 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 6 | \u2014 | 6 |
Disposals | \u2014 | -1 | -4 | \u2014 | -5 | \u2014 | \u2014 | -10 | -1 | -11 |
Retirements | \u2014 | \u2014 | -11 | \u2014 | -11 | \u2014 | -3 | -14 | \u2014 | -17 |
Reclassifications | \u2014 | 21 | 65 | -86 | \u2014 | \u2014 | 14 | 59 | -74 | \u2014 |
Other changes | \u2014 | \u2014 | 7 | -1 | 6 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Acquisition cost at end of the period | 38 | 472 | 1,119 | 75 | 1,704 | 41 | 461 | 1,083 | 83 | 1,667 |
Accumulated depreciation and impairment losses at beginning of the period | \u2014 | -298 | -799 | \u2014 | -1,098 | \u2014 | -280 | -767 | \u2014 | -1,046 |
Translation differences | \u2014 | 4 | 15 | \u2014 | 20 | \u2014 | -1 | -4 | \u2014 | -5 |
Depreciation | \u2014 | -14 | -49 | \u2014 | -64 | \u2014 | -15 | -48 | \u2014 | -63 |
Impairment losses | \u2014 | -1 | -1 | \u2014 | -2 | \u2014 | -6 | -2 | \u2014 | -8 |
Disposals | \u2014 | \u2014 | 3 | \u2014 | 4 | \u2014 | \u2014 | 9 | \u2014 | 9 |
Retirements | \u2014 | \u2014 | 11 | \u2014 | 11 | \u2014 | 3 | 14 | \u2014 | 17 |
Other changes | \u2014 | 1 | -7 | \u2014 | -6 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated depreciation and impairment losses at end of the period | \u2014 | -308 | -827 | \u2014 | -1,135 | \u2014 | -298 | -799 | \u2014 | -1,098 |
Carrying value at end of the period | 38 | 164 | 292 | 75 | 568 | 40 | 163 | 283 | 83 | 569 |
2025 | 2024 | |||||||||
EUR million | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total |
Acquisition cost at beginning of the period | 1,808 | 1,576 | 246 | 69 | 3,699 | 1,735 | 1,502 | 234 | 72 | 3,545 |
Translation differences | -17 | -7 | \u2014 | 1 | -23 | 9 | 4 | \u2014 | \u2014 | 13 |
Capital expenditure | \u2014 | \u2014 | \u2014 | 18 | 18 | \u2014 | \u2014 | \u2014 | 23 | 24 |
Acquired in business combinations | 9 | -2 | \u2014 | \u2014 | 8 | 63 | 69 | \u2014 | \u2014 | 133 |
Retirements | \u2014 | \u2014 | -6 | -5 | -11 | \u2014 | \u2014 | -7 | -10 | -16 |
Reclassifications | \u2014 | \u2014 | 16 | -16 | \u2014 | \u2014 | \u2014 | 18 | -18 | \u2014 |
Other changes | \u2014 | \u2014 | \u2014 | 1 | 1 | \u2014 | \u2014 | \u2014 | 1 | 1 |
Acquisition cost at end of the period | 1,800 | 1,567 | 256 | 67 | 3,691 | 1,808 | 1,576 | 246 | 69 | 3,699 |
Accumulated amortization and impairment losses at beginning of the period | \u2014 | -568 | -146 | -51 | -764 | \u2014 | -483 | -130 | -55 | -668 |
Translation differences | \u2014 | 1 | \u2014 | \u2014 | 1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Amortization | \u2014 | -72 | -21 | -3 | -96 | \u2014 | -84 | -20 | -3 | -108 |
Impairment losses | \u2014 | \u2014 | -2 | \u2014 | -3 | \u2014 | \u2014 | -3 | -2 | -5 |
Retirements | \u2014 | \u2014 | 6 | 5 | 11 | \u2014 | \u2014 | 7 | 10 | 16 |
Other changes | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated amortization and impairment losses at end of the period | \u2014 | -639 | -163 | -49 | -851 | \u2014 | -568 | -146 | -51 | -764 |
Carrying value at end of the period | 1,800 | 929 | 93 | 18 | 2,840 | 1,808 | 1,008 | 100 | 18 | 2,934 |
2025 | 2024 | |||||||||
EUR million | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total | Goodwill | Intangible assets recognized in business combinations | Capitalized software | Other intangible assets | Total |
Acquisition cost at beginning of the period | 1,808 | 1,576 | 246 | 69 | 3,699 | 1,735 | 1,502 | 234 | 72 | 3,545 |
Translation differences | -17 | -7 | \u2014 | 1 | -23 | 9 | 4 | \u2014 | \u2014 | 13 |
Capital expenditure | \u2014 | \u2014 | \u2014 | 18 | 18 | \u2014 | \u2014 | \u2014 | 23 | 24 |
Acquired in business combinations | 9 | -2 | \u2014 | \u2014 | 8 | 63 | 69 | \u2014 | \u2014 | 133 |
Retirements | \u2014 | \u2014 | -6 | -5 | -11 | \u2014 | \u2014 | -7 | -10 | -16 |
Reclassifications | \u2014 | \u2014 | 16 | -16 | \u2014 | \u2014 | \u2014 | 18 | -18 | \u2014 |
Other changes | \u2014 | \u2014 | \u2014 | 1 | 1 | \u2014 | \u2014 | \u2014 | 1 | 1 |
Acquisition cost at end of the period | 1,800 | 1,567 | 256 | 67 | 3,691 | 1,808 | 1,576 | 246 | 69 | 3,699 |
Accumulated amortization and impairment losses at beginning of the period | \u2014 | -568 | -146 | -51 | -764 | \u2014 | -483 | -130 | -55 | -668 |
Translation differences | \u2014 | 1 | \u2014 | \u2014 | 1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Amortization | \u2014 | -72 | -21 | -3 | -96 | \u2014 | -84 | -20 | -3 | -108 |
Impairment losses | \u2014 | \u2014 | -2 | \u2014 | -3 | \u2014 | \u2014 | -3 | -2 | -5 |
Retirements | \u2014 | \u2014 | 6 | 5 | 11 | \u2014 | \u2014 | 7 | 10 | 16 |
Other changes | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated amortization and impairment losses at end of the period | \u2014 | -639 | -163 | -49 | -851 | \u2014 | -568 | -146 | -51 | -764 |
Carrying value at end of the period | 1,800 | 929 | 93 | 18 | 2,840 | 1,808 | 1,008 | 100 | 18 | 2,934 |
2025 | 2024 | |||||||||
EUR million | Land and water areas | Buildings and structures | Machinery and equipment | Assets under construction | Total | Land and water areas | Buildings and structures | Machinery and equipment | Assets under construction | Total |
Acquisition cost at beginning of the period | 41 | 461 | 1,083 | 83 | 1,667 | 40 | 449 | 1,030 | 81 | 1,599 |
Translation differences | -2 | -9 | -25 | -1 | -37 | \u2014 | \u2014 | 6 | \u2014 | 6 |
Capital expenditure | \u2014 | \u2014 | 5 | 80 | 85 | \u2014 | 1 | 6 | 76 | 83 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 6 | \u2014 | 6 |
Disposals | \u2014 | -1 | -4 | \u2014 | -5 | \u2014 | \u2014 | -10 | -1 | -11 |
Retirements | \u2014 | \u2014 | -11 | \u2014 | -11 | \u2014 | -3 | -14 | \u2014 | -17 |
Reclassifications | \u2014 | 21 | 65 | -86 | \u2014 | \u2014 | 14 | 59 | -74 | \u2014 |
Other changes | \u2014 | \u2014 | 7 | -1 | 6 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Acquisition cost at end of the period | 38 | 472 | 1,119 | 75 | 1,704 | 41 | 461 | 1,083 | 83 | 1,667 |
Accumulated depreciation and impairment losses at beginning of the period | \u2014 | -298 | -799 | \u2014 | -1,098 | \u2014 | -280 | -767 | \u2014 | -1,046 |
Translation differences | \u2014 | 4 | 15 | \u2014 | 20 | \u2014 | -1 | -4 | \u2014 | -5 |
Depreciation | \u2014 | -14 | -49 | \u2014 | -64 | \u2014 | -15 | -48 | \u2014 | -63 |
Impairment losses | \u2014 | -1 | -1 | \u2014 | -2 | \u2014 | -6 | -2 | \u2014 | -8 |
Disposals | \u2014 | \u2014 | 3 | \u2014 | 4 | \u2014 | \u2014 | 9 | \u2014 | 9 |
Retirements | \u2014 | \u2014 | 11 | \u2014 | 11 | \u2014 | 3 | 14 | \u2014 | 17 |
Other changes | \u2014 | 1 | -7 | \u2014 | -6 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Accumulated depreciation and impairment losses at end of the period | \u2014 | -308 | -827 | \u2014 | -1,135 | \u2014 | -298 | -799 | \u2014 | -1,098 |
Carrying value at end of the period | 38 | 164 | 292 | 75 | 568 | 40 | 163 | 283 | 83 | 569 |
EUR million | 2025 | 2024 |
Cost of goods sold | -65 | -67 |
Selling, general and administrative expenses | ||
Marketing and selling | -8 | -8 |
Research and development | -5 | -6 |
Administrative | -130 | -138 |
Total | -209 | -219 |
Table does not include amortization included in share in profits and losses of associated companies, operative investments. |
EUR million | 2025 |
Flow Control | 467 |
Automation Solutions | 424 |
Pulp, Energy & Circularity | 366 |
Packaging and Paper | 362 |
Tissue | 180 |
Total | 1,800 |
2025 | |
Long-term growth rate, (%) | |
Flow Control | 2.0% |
Automation Solutions | 2.0% |
Pulp, Energy & Circularity | 2.0% |
Packaging and Paper | 2.0% |
Tissue | 2.0% |
Pre-tax discount rate, (%) | |
Flow Control | 10.6% |
Automation Solutions | 9.9% |
Pulp, Energy & Circularity | 12.7% |
Packaging and Paper | 12.8% |
Tissue | 12.3% |
EUR million | 2024 |
Services | 670 |
Automation | 891 |
Process Technologies | 247 |
Total | 1,808 |
2024 | |
Long-term growth rate, (%) | |
Services | 2.0% |
Automation | 2.0% |
Process Technologies | 2.0% |
Pre-tax discount rate, (%) | |
Services | 10.7% |
Automation | 10.1% |
Process Technologies | 11.9% |
Critical accounting estimates and judgments Valmet has a significant volume of open-ended real estate lease contracts which carry a short notice period only, or which have an initial fixed term but carry extension or termination options. Estimating the likely lease term for these contracts and assessing if the options will be exercised requires significant judgment. When assessing the lease term for these contracts, management considers the relevant facts and circumstances. The likely lease term is typically assessed following the three-year financial forecasts established by management. If there are specific circumstances in place, such as beneficial market rates, significant leasehold improvements, or other significant direct or indirect costs associated with exiting the lease, the lease term can be more than three years. Considering other than real estate leases, the need for assets leased under open-ended contracts is commonly short-term in nature, and as such, open-ended contracts where the notice period is 12 months or less are accounted for as short- term leases. | ||
2025 | 2024 | |||||||
EUR million | Land and water areas | Buildings and structures | Machinery and equipment | Right-of-use assets total | Land and water areas | Buildings and structures | Machinery and equipment | Right-of-use assets total |
Carrying value at beginning of the period | 10 | 123 | 24 | 156 | 10 | 116 | 18 | 145 |
Translation differences | -1 | -4 | -1 | -5 | \u2014 | 1 | \u2014 | 2 |
Additions | 2 | 69 | 11 | 82 | \u2014 | 36 | 16 | 53 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 11 | \u2014 | 11 |
Depreciation | -1 | -36 | -12 | -49 | -1 | -36 | -11 | -48 |
Other changes | \u2014 | -13 | -1 | -14 | \u2014 | -5 | \u2014 | -6 |
Carrying value at end of the period | 11 | 140 | 21 | 171 | 10 | 123 | 24 | 156 |
EUR million | 2025 | 2024 |
Due within 1 year | 49 | 51 |
Due in 1\u20132 years | 37 | 38 |
Due in 2\u20133 years | 29 | 24 |
Due in 3\u20134 years | 22 | 18 |
Due in 4\u20135 years | 18 | 13 |
Due after 5 years | 67 | 42 |
Total | 223 | 187 |
EUR million | 2025 | 2024 |
Expenses related to short-term leases | -3 | -3 |
Expenses related to leases of low-value assets | -7 | -6 |
Expenses related to variable lease payments not included in lease liabilities | -2 | -2 |
Total | -12 | -12 |
Critical accounting estimates and judgments Provision for slow-moving and obsolete inventory is based on the best estimate of such amounts at the balance sheet date. The estimate is based on a systematic ongoing review and evaluation of inventory balances. As part of this evaluation, Valmet also considers the composition and age of the inventory compared to anticipated future needs. | ||
EUR million | 2025 | 2024 |
Balance at beginning of the period | 94 | 67 |
Translation differences | -3 | \u2014 |
Additions charged to profit or loss | 32 | 31 |
Acquired in business combinations | \u2014 | 23 |
Provisions used | -8 | -12 |
Unused provisions reversed | -19 | -15 |
Balance at end of the period | 96 | 93 |
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
EUR million | 2025 | 2024 |
- Cash and cash equivalents | 535 | 482 |
- Current interest-bearing financial assets | 22 | 30 |
+ Loans from financial institutions, bonds and other current debt | 1,285 | 1,387 |
+ Lease liabilities | 176 | 157 |
Net debt | 904 | 1,032 |
2025 | |||||
Liabilities from financing activities | Other assets | ||||
EUR million | (+) Loans from financial institutions, bonds and other current debt | (+) Lease liabilities | (-) Cash and cash equivalents | (-) Current interest- bearing financial assets | Total net debt |
Balance at beginning of the period | 1,387 | 157 | 482 | 30 | 1,032 |
Translation differences | -3 | -5 | -30 | \u2014 | 22 |
Cash flows | -98 | -57 | 83 | -7 | -230 |
Additions to lease liabilities | \u2014 | 93 | \u2014 | \u2014 | 93 |
Other changes | -1 | -13 | \u2014 | \u2014 | -14 |
Balance at end the of period | 1,285 | 176 | 535 | 22 | 904 |
2024 | |||||
Liabilities from financing activities | Other assets | ||||
EUR million | (+) Loans from financial institutions, bonds and other current debt | (+) Lease liabilities | (-) Cash and cash equivalents | (-) Current interest- bearing financial assets | Total net debt |
Balance at beginning of the period | 1,343 | 141 | 432 | 25 | 1,027 |
Translation differences | \u2014 | 1 | 3 | -4 | 2 |
Cash flows | 42 | -52 | 48 | 7 | -64 |
Additions to lease liabilities | \u2014 | 62 | \u2014 | \u2014 | 62 |
Acquired in business combinations | \u2014 | 10 | \u2014 | 3 | 7 |
Other changes | 2 | -5 | \u2014 | \u2014 | -3 |
Balance at end of the period | 1,387 | 157 | 482 | 30 | 1,032 |
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
Critical accounting estimates and judgments Under the simplified impairment model applied to trade receivables and contract assets, an allowance amounting to lifetime expected credit losses is recognized at first reporting date. The amount of this allowance is estimated based on a model that considers historical credit loss experience, time value of money and forward-looking information relevant to estimate future credit losses. The inputs used in the model are updated on a regular basis. Application of the guidance for impairment of financial assets, in particular estimation of future expected credit losses and application of case-by-case analysis to significant trade receivables overdue more than 90 days, requires significant management judgment and includes consideration of available customer and market information. Resulting impairment of financial assets is the best estimate based on information available and may differ from the actual result. | ||
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
2025 | 2024 | ||||||||
EUR million | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | At amortized cost | At fair value through other comprehensive income | At fair value through profit and loss | Carrying value | Fair value level |
Non-current financial assets | |||||||||
Equity investments | 9 | 2 | 11 | 10 | 2 | 12 | 1,3 | ||
Trade receivables | 16 | 16 | 22 | 22 | |||||
Derivative financial instruments | 7 | \u2014 | 7 | 6 | \u2014 | 6 | 2 | ||
Total | 16 | 16 | 3 | 35 | 22 | 16 | 3 | 40 | |
Current financial assets | |||||||||
Interest-bearing financial assets | 22 | 22 | 30 | 30 | 2 | ||||
Non-interest-bearing financial assets | 3 | 3 | 8 | 8 | |||||
Trade receivables | 769 | 769 | 862 | 862 | |||||
Derivative financial instruments | 47 | 9 | 56 | 15 | 9 | 24 | 2 | ||
Cash and cash equivalents | 535 | 535 | 482 | 482 | |||||
Total | 1,308 | 69 | 9 | 1,386 | 1,352 | 45 | 9 | 1,406 | |
Non-current financial liabilities | |||||||||
Loans from financial institutions | 953 | 953 | 1,071 | 1,071 | |||||
Bonds1 | 201 | 201 | 202 | 202 | |||||
Lease liabilities | 128 | 128 | 107 | 107 | |||||
Derivative financial instruments2 | 6 | \u2014 | 6 | 12 | \u2014 | 12 | 2 | ||
Total | 1,281 | 6 | \u2014 | 1,287 | 1,379 | 12 | \u2014 | 1,392 | |
Current financial liabilities | |||||||||
Loans from financial institutions | 99 | 99 | 94 | 94 | |||||
Lease liabilities | 48 | 48 | 50 | 50 | |||||
Interest-bearing liabilities | 33 | 33 | 20 | 20 | |||||
Trade payables | 500 | 500 | 460 | 460 | |||||
Derivative financial instruments | 31 | 10 | 41 | 24 | 7 | 31 | 2 | ||
Total | 680 | 31 | 10 | 721 | 625 | 24 | 7 | 656 | |
1 The bonds have been measured at amortized cost, adjusted by the fair value to the extent that fair value hedge accounting is applied. 2 Included in Other non-current liabilities in the Consolidated statement of financial position. |
EUR million | 2025 | 2024 |
Trade receivables, not due | 535 | 615 |
Trade receivables 1\u201330 days overdue | 123 | 141 |
Trade receivables 31\u201360 days overdue | 40 | 53 |
Trade receivables 61\u201390 days overdue | 22 | 16 |
Trade receivables 91\u2013180 days overdue | 37 | 32 |
Trade receivables more than 180 days overdue | 28 | 27 |
Total | 786 | 884 |
EUR million | 2025 | 2024 |
Balance at beginning of the period | 33 | 25 |
Translation differences | -2 | \u2014 |
Additions charged to profit or loss | 17 | 15 |
Acquired in business combinations | \u2014 | \u2014 |
Used reserve | -4 | -6 |
Reversals | -5 | -3 |
Other changes | -2 | \u2014 |
Balance at end of the period | 38 | 33 |
Critical accounting estimates and judgments Financial instruments In accordance with the disclosure requirements on financial instruments, the management is obliged to make certain assumptions of the related future cash inflows and outflows associated with different financial assets and liabilities. Management assumes that the fair values of derivatives, especially fair values of forward exchange contracts, materially reflect the present values of future cash inflows or outflows to be realized from such instruments. | ||
Hedging of foreign currency denominated firm commitments or highly probable forecasted sale and purchase transactions Under Valmet\u2019s treasury policy, all Valmet entities are required to hedge their foreign currency risk when they have become engaged in a firm commitment denominated in a currency different from their functional currency. The commitment can be between Valmet entities or external to Valmet Group. In addition, certain highly probable forecasted sales and purchases are hedged in co-operation with the Group treasury. When revenue for a customer contract is recognized over time, the entity applies cash flow hedge accounting to both foreign currency denominated sales and purchases and recognizes the effect from the hedging instruments in the OCI until the hedged sales and/ or purchases are recognized in the Consolidated statement of income. Although the exposure hedged by Valmet entities has been clearly defined in Valmet treasury policy, the final realization of the hedged items depends also on factors beyond management\u2019s control, which cannot be foreseen when initiating the hedge relationship. Such factors include change in the market environment causing the other party to postpone or cancel the commitment or highly probable forecasted sale or purchase. Management tries to the extent possible to include clauses in the related contracts to reduce the impact of such adverse events to the Consolidated statement of income. | ||
2025 | 2024 | |||||||
EUR million | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net |
Forward exchange contracts 1 | ||||||||
Under hedge accounting (cash flow hedge) | 2,910 | 51 | -33 | 17 | 2,416 | 17 | -28 | -11 |
Not designated for hedge accounting | 1,418 | 9 | -10 | -1 | 1,137 | 9 | -7 | 2 |
Total | 4,327 | 60 | -44 | 16 | 3,553 | 26 | -35 | -9 |
Foreign exchange options (bought)1 | ||||||||
Not designated for hedge accounting | 150 | \u2014 | \u2014 | \u2014 | ||||
Electricity forward contracts2 | ||||||||
Under hedge accounting (cash flow hedge) | 184 | \u2014 | \u2014 | \u2014 | 160 | \u2014 | -1 | -1 |
Nickel commodity swaps3 | ||||||||
Under hedge accounting (cash flow hedge) | 371 | \u2014 | -1 | -1 | ||||
Not designated for hedge accounting | 402 | \u2014 | \u2014 | \u2014 | 1,112 | \u2014 | \u2014 | \u2014 |
Total | 402 | \u2014 | \u2014 | \u2014 | 1,483 | \u2014 | -1 | -1 |
Steel scrap commodity swaps 3 | ||||||||
Not designated for hedge accounting | 829 | \u2014 | \u2014 | \u2014 | 1,303 | \u2014 | \u2014 | \u2014 |
Interest rate swaps 1 | ||||||||
Under hedge accounting (cash flow hedge) | 610 | 2 | -3 | -1 | 550 | 2 | -6 | -4 |
Under hedge accounting (fair value hedge) | 100 | 1 | \u2014 | 1 | 100 | 2 | \u2014 | 2 |
Total | 710 | 3 | -3 | \u2014 | 650 | 4 | -6 | -2 |
Total | 63 | -47 | 16 | 31 | -43 | -13 | ||
Netting fair values of derivative financial instruments subject to ISDAs4 | -40 | 40 | \u2014 | -28 | 28 | \u2014 | ||
Total, net | 24 | -8 | 16 | 2 | -15 | -13 | ||
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. 4 The Group\u2019s derivatives are carried out under International Swaps and Derivatives Association\u2019s Master Agreements (ISDA). In case of an event of default under these Agreements the non-defaulting party may request early termination and set-off of all outstanding transactions. These agreements do not meet the criteria for offsetting in the Statement of financial position. |
2025 | 2024 | |||||||||||
2026 | 2027 | 2028 | 2029 | 2030 and later | Total | 2025 | 2026 | 2027 | 2028 | 2029 and later | Total | |
2025 | ||||||||||||
Notional amounts | ||||||||||||
Forward exchange contracts 1 | 3,937 | 387 | 4 | \u2014 | \u2014 | 4,327 | 3,033 | 519 | 1 | \u2014 | \u2014 | 3,553 |
Foreign exchange options 1 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 150 | \u2014 | \u2014 | \u2014 | \u2014 | 150 |
Electricity forward contracts2 | 122 | 52 | 9 | \u2014 | \u2014 | 184 | 105 | 46 | 9 | \u2014 | \u2014 | 160 |
Nickel commodity swaps3 | 402 | \u2014 | \u2014 | \u2014 | \u2014 | 402 | 1,375 | 108 | \u2014 | \u2014 | \u2014 | 1,483 |
Steel scrap commodity swaps 3 | 829 | \u2014 | \u2014 | \u2014 | \u2014 | 829 | 1,303 | \u2014 | \u2014 | \u2014 | \u2014 | 1,303 |
Interest rate swaps 1 | 200 | 170 | 130 | 140 | 70 | 710 | 120 | 200 | 170 | 60 | 100 | 650 |
Fair values, EUR million | ||||||||||||
Forward exchange contracts | 15 | 1 | \u2014 | \u2014 | \u2014 | 16 | -5 | -4 | \u2014 | \u2014 | \u2014 | -9 |
Foreign exchange options | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Electricity forward contracts | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | -1 |
Nickel commodity swaps | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | -1 | \u2014 | \u2014 | \u2014 | \u2014 | -1 | |
Steel scrap commodity swaps | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Interest rate swaps | -1 | -1 | \u2014 | 1 | \u2014 | \u2014 | \u2014 | -1 | -1 | -1 | 2 | -2 |
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. |
Critical accounting estimates and judgments Financial instruments In accordance with the disclosure requirements on financial instruments, the management is obliged to make certain assumptions of the related future cash inflows and outflows associated with different financial assets and liabilities. Management assumes that the fair values of derivatives, especially fair values of forward exchange contracts, materially reflect the present values of future cash inflows or outflows to be realized from such instruments. | ||
Hedging of foreign currency denominated firm commitments or highly probable forecasted sale and purchase transactions Under Valmet\u2019s treasury policy, all Valmet entities are required to hedge their foreign currency risk when they have become engaged in a firm commitment denominated in a currency different from their functional currency. The commitment can be between Valmet entities or external to Valmet Group. In addition, certain highly probable forecasted sales and purchases are hedged in co-operation with the Group treasury. When revenue for a customer contract is recognized over time, the entity applies cash flow hedge accounting to both foreign currency denominated sales and purchases and recognizes the effect from the hedging instruments in the OCI until the hedged sales and/ or purchases are recognized in the Consolidated statement of income. Although the exposure hedged by Valmet entities has been clearly defined in Valmet treasury policy, the final realization of the hedged items depends also on factors beyond management\u2019s control, which cannot be foreseen when initiating the hedge relationship. Such factors include change in the market environment causing the other party to postpone or cancel the commitment or highly probable forecasted sale or purchase. Management tries to the extent possible to include clauses in the related contracts to reduce the impact of such adverse events to the Consolidated statement of income. | ||
2025 | 2024 | |||||||
EUR million | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net |
Forward exchange contracts 1 | ||||||||
Under hedge accounting (cash flow hedge) | 2,910 | 51 | -33 | 17 | 2,416 | 17 | -28 | -11 |
Not designated for hedge accounting | 1,418 | 9 | -10 | -1 | 1,137 | 9 | -7 | 2 |
Total | 4,327 | 60 | -44 | 16 | 3,553 | 26 | -35 | -9 |
Foreign exchange options (bought)1 | ||||||||
Not designated for hedge accounting | 150 | \u2014 | \u2014 | \u2014 | ||||
Electricity forward contracts2 | ||||||||
Under hedge accounting (cash flow hedge) | 184 | \u2014 | \u2014 | \u2014 | 160 | \u2014 | -1 | -1 |
Nickel commodity swaps3 | ||||||||
Under hedge accounting (cash flow hedge) | 371 | \u2014 | -1 | -1 | ||||
Not designated for hedge accounting | 402 | \u2014 | \u2014 | \u2014 | 1,112 | \u2014 | \u2014 | \u2014 |
Total | 402 | \u2014 | \u2014 | \u2014 | 1,483 | \u2014 | -1 | -1 |
Steel scrap commodity swaps 3 | ||||||||
Not designated for hedge accounting | 829 | \u2014 | \u2014 | \u2014 | 1,303 | \u2014 | \u2014 | \u2014 |
Interest rate swaps 1 | ||||||||
Under hedge accounting (cash flow hedge) | 610 | 2 | -3 | -1 | 550 | 2 | -6 | -4 |
Under hedge accounting (fair value hedge) | 100 | 1 | \u2014 | 1 | 100 | 2 | \u2014 | 2 |
Total | 710 | 3 | -3 | \u2014 | 650 | 4 | -6 | -2 |
Total | 63 | -47 | 16 | 31 | -43 | -13 | ||
Netting fair values of derivative financial instruments subject to ISDAs4 | -40 | 40 | \u2014 | -28 | 28 | \u2014 | ||
Total, net | 24 | -8 | 16 | 2 | -15 | -13 | ||
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. 4 The Group\u2019s derivatives are carried out under International Swaps and Derivatives Association\u2019s Master Agreements (ISDA). In case of an event of default under these Agreements the non-defaulting party may request early termination and set-off of all outstanding transactions. These agreements do not meet the criteria for offsetting in the Statement of financial position. |
2025 | 2024 | |||||||||||
2026 | 2027 | 2028 | 2029 | 2030 and later | Total | 2025 | 2026 | 2027 | 2028 | 2029 and later | Total | |
2025 | ||||||||||||
Notional amounts | ||||||||||||
Forward exchange contracts 1 | 3,937 | 387 | 4 | \u2014 | \u2014 | 4,327 | 3,033 | 519 | 1 | \u2014 | \u2014 | 3,553 |
Foreign exchange options 1 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 150 | \u2014 | \u2014 | \u2014 | \u2014 | 150 |
Electricity forward contracts2 | 122 | 52 | 9 | \u2014 | \u2014 | 184 | 105 | 46 | 9 | \u2014 | \u2014 | 160 |
Nickel commodity swaps3 | 402 | \u2014 | \u2014 | \u2014 | \u2014 | 402 | 1,375 | 108 | \u2014 | \u2014 | \u2014 | 1,483 |
Steel scrap commodity swaps 3 | 829 | \u2014 | \u2014 | \u2014 | \u2014 | 829 | 1,303 | \u2014 | \u2014 | \u2014 | \u2014 | 1,303 |
Interest rate swaps 1 | 200 | 170 | 130 | 140 | 70 | 710 | 120 | 200 | 170 | 60 | 100 | 650 |
Fair values, EUR million | ||||||||||||
Forward exchange contracts | 15 | 1 | \u2014 | \u2014 | \u2014 | 16 | -5 | -4 | \u2014 | \u2014 | \u2014 | -9 |
Foreign exchange options | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Electricity forward contracts | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | -1 |
Nickel commodity swaps | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | -1 | \u2014 | \u2014 | \u2014 | \u2014 | -1 | |
Steel scrap commodity swaps | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Interest rate swaps | -1 | -1 | \u2014 | 1 | \u2014 | \u2014 | \u2014 | -1 | -1 | -1 | 2 | -2 |
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. |
2025 | 2024 | |||||||
EUR million | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net |
Forward exchange contracts 1 | ||||||||
Under hedge accounting (cash flow hedge) | 2,910 | 51 | -33 | 17 | 2,416 | 17 | -28 | -11 |
Not designated for hedge accounting | 1,418 | 9 | -10 | -1 | 1,137 | 9 | -7 | 2 |
Total | 4,327 | 60 | -44 | 16 | 3,553 | 26 | -35 | -9 |
Foreign exchange options (bought)1 | ||||||||
Not designated for hedge accounting | 150 | \u2014 | \u2014 | \u2014 | ||||
Electricity forward contracts2 | ||||||||
Under hedge accounting (cash flow hedge) | 184 | \u2014 | \u2014 | \u2014 | 160 | \u2014 | -1 | -1 |
Nickel commodity swaps3 | ||||||||
Under hedge accounting (cash flow hedge) | 371 | \u2014 | -1 | -1 | ||||
Not designated for hedge accounting | 402 | \u2014 | \u2014 | \u2014 | 1,112 | \u2014 | \u2014 | \u2014 |
Total | 402 | \u2014 | \u2014 | \u2014 | 1,483 | \u2014 | -1 | -1 |
Steel scrap commodity swaps 3 | ||||||||
Not designated for hedge accounting | 829 | \u2014 | \u2014 | \u2014 | 1,303 | \u2014 | \u2014 | \u2014 |
Interest rate swaps 1 | ||||||||
Under hedge accounting (cash flow hedge) | 610 | 2 | -3 | -1 | 550 | 2 | -6 | -4 |
Under hedge accounting (fair value hedge) | 100 | 1 | \u2014 | 1 | 100 | 2 | \u2014 | 2 |
Total | 710 | 3 | -3 | \u2014 | 650 | 4 | -6 | -2 |
Total | 63 | -47 | 16 | 31 | -43 | -13 | ||
Netting fair values of derivative financial instruments subject to ISDAs4 | -40 | 40 | \u2014 | -28 | 28 | \u2014 | ||
Total, net | 24 | -8 | 16 | 2 | -15 | -13 | ||
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. 4 The Group\u2019s derivatives are carried out under International Swaps and Derivatives Association\u2019s Master Agreements (ISDA). In case of an event of default under these Agreements the non-defaulting party may request early termination and set-off of all outstanding transactions. These agreements do not meet the criteria for offsetting in the Statement of financial position. |
2025 | 2024 | |||||||
EUR million | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net | Notional amount | Fair value, assets | Fair value, liabilities | Fair value, net |
Forward exchange contracts 1 | ||||||||
Under hedge accounting (cash flow hedge) | 2,910 | 51 | -33 | 17 | 2,416 | 17 | -28 | -11 |
Not designated for hedge accounting | 1,418 | 9 | -10 | -1 | 1,137 | 9 | -7 | 2 |
Total | 4,327 | 60 | -44 | 16 | 3,553 | 26 | -35 | -9 |
Foreign exchange options (bought)1 | ||||||||
Not designated for hedge accounting | 150 | \u2014 | \u2014 | \u2014 | ||||
Electricity forward contracts2 | ||||||||
Under hedge accounting (cash flow hedge) | 184 | \u2014 | \u2014 | \u2014 | 160 | \u2014 | -1 | -1 |
Nickel commodity swaps3 | ||||||||
Under hedge accounting (cash flow hedge) | 371 | \u2014 | -1 | -1 | ||||
Not designated for hedge accounting | 402 | \u2014 | \u2014 | \u2014 | 1,112 | \u2014 | \u2014 | \u2014 |
Total | 402 | \u2014 | \u2014 | \u2014 | 1,483 | \u2014 | -1 | -1 |
Steel scrap commodity swaps 3 | ||||||||
Not designated for hedge accounting | 829 | \u2014 | \u2014 | \u2014 | 1,303 | \u2014 | \u2014 | \u2014 |
Interest rate swaps 1 | ||||||||
Under hedge accounting (cash flow hedge) | 610 | 2 | -3 | -1 | 550 | 2 | -6 | -4 |
Under hedge accounting (fair value hedge) | 100 | 1 | \u2014 | 1 | 100 | 2 | \u2014 | 2 |
Total | 710 | 3 | -3 | \u2014 | 650 | 4 | -6 | -2 |
Total | 63 | -47 | 16 | 31 | -43 | -13 | ||
Netting fair values of derivative financial instruments subject to ISDAs4 | -40 | 40 | \u2014 | -28 | 28 | \u2014 | ||
Total, net | 24 | -8 | 16 | 2 | -15 | -13 | ||
1 Notional amount in EUR million. 2 Notional amount in GWh. 3 Notional amount in metric tons. 4 The Group\u2019s derivatives are carried out under International Swaps and Derivatives Association\u2019s Master Agreements (ISDA). In case of an event of default under these Agreements the non-defaulting party may request early termination and set-off of all outstanding transactions. These agreements do not meet the criteria for offsetting in the Statement of financial position. |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
EUR million | 2025 | 2024 |
Dividends received | \u2014 | \u2014 |
Interest income on financial assets at amortized cost | 15 | 20 |
Interest income on financial assets at fair value through other comprehensive income (excl. derivatives) | 3 | 2 |
Net gain from foreign exchange | \u2014 | 2 |
Financial income total | 18 | 24 |
Interest expenses on financial liabilities measured at amortized cost (excl. leases) | -49 | -69 |
Interest expenses on lease liabilities | -11 | -8 |
Net interest from defined benefit plans | -4 | -4 |
Net loss from foreign exchange | -3 | \u2014 |
Interest component from forward contracts | -6 | -4 |
Other financial expenses | -8 | -4 |
Financial expenses total | -80 | -90 |
Financial income and expenses, net | -62 | -65 |
EUR million | 2025 | 2024 |
Exchange rate differences from interest-bearing financial assets and liabilities, and other items related to Group\u2019s funding | -2 | -3 |
Exchange rate differences from derivative financial instruments | \u2014 | 5 |
Net gain or loss from foreign exchange | -3 | 2 |
Critical accounting estimates and judgments The amount recognized as a provision is the best estimate of the expenditure required to settle the obligation at the reporting day, taking into account related risks and uncertainties, management judgment supplemented by experience with similar transactions and future events when there is sufficient evidence that they will occur and affect the amount of payment. Under contractual warranty clauses, Valmet generally guarantees the performance of products delivered for a certain warranty period. The warranty provision is based on historical realized warranty costs for deliveries of standard products. The warranty period typically commences from the date of customer acceptance of the delivered equipment. For more complex contracts, including long-term projects, the warranty reserve is calculated contract by contract and updated regularly to ensure its appropriateness. Provisions for restructuring costs are recognized when the requirements for recognition are satisfied. For reasons beyond the control of management the final costs may differ from the initial amount for which the provision has been established. Valmet recognizes a provision for losses associated with environmental remediation obligations when such losses are probable, and a reliable estimate of amounts can be made. Following initial recognition, the amount of provision is adjusted later if further information is obtained or circumstances change. | ||
2025 | |||||
EUR million | Warranty provisions | Restructuring provisions | Provisions for onerous contracts | Other provisions | Total |
Balance at beginning of the period | 153 | 7 | 15 | 14 | 190 |
Translation differences | -1 | \u2014 | \u2014 | \u2014 | -1 |
Additions charged to profit or loss | 129 | 54 | 5 | 3 | 190 |
Acquired in business combinations | 6 | \u2014 | \u2014 | \u2014 | 6 |
Provisions used | -84 | -36 | -3 | -5 | -129 |
Unused provisions reversed | -25 | -7 | -11 | -1 | -44 |
Balance at end of the period | 178 | 18 | 6 | 11 | 212 |
Non-current | 18 | \u2014 | \u2014 | 1 | 20 |
Current | 159 | 17 | 6 | 10 | 192 |
As at December 31 | ||
EUR million | 2025 | 2024 |
Accrued income and prepaid expenses | 49 | 65 |
VAT, GST and withholding tax receivables | 117 | 133 |
Other receivables | 22 | 28 |
Other current assets total | 189 | 226 |
As at December 31 | ||
EUR million | 2025 | 2024 |
Accrued income and prepaid expenses | 49 | 65 |
VAT, GST and withholding tax receivables | 117 | 133 |
Other receivables | 22 | 28 |
Other current assets total | 189 | 226 |
As at December 31 | ||
EUR million | 2025 | 2024 |
Accrued personnel costs | 222 | 223 |
Accrued project costs | 86 | 110 |
VAT and withholding tax liabilities | 55 | 66 |
Accrued expenses and deferred income | 98 | 111 |
Accrued interest | 12 | 17 |
Other payables | 35 | 33 |
Other current liabilities total | 508 | 559 |
As at December 31 | ||
EUR million | 2025 | 2024 |
Accrued personnel costs | 222 | 223 |
Accrued project costs | 86 | 110 |
VAT and withholding tax liabilities | 55 | 66 |
Accrued expenses and deferred income | 98 | 111 |
Accrued interest | 12 | 17 |
Other payables | 35 | 33 |
Other current liabilities total | 508 | 559 |
EUR million | 2025 | 2024 |
Salaries and wages | 1,093 | 1,093 |
Pension costs, defined contribution plans | 109 | 110 |
Defined benefit plan costs 1 | 6 | 6 |
Other post-employment benefits | 12 | 12 |
Share-based payments 2 | 7 | 8 |
Other indirect employee costs | 168 | 164 |
Total | 1,395 | 1,393 |
1 For more information, see Note 16. 2 For more information, see Note 15. |
2025 | 2024 | |
Personnel at end of the period | 18,487 | 19,310 |
Average number of personnel during the period | 18,982 | 19,297 |
Plan 2022\u20132024 | Plan 2023\u20132025 | Plan 2024\u20132026 | Plan 2025\u20132027 | |
2025 | ||||
At beginning of the period | 29,000 | 48,000 | 442,000 | \u2014 |
Maximum number of shares to be granted | \u2014 | -2,000 | -18,000 | 550,000 |
Changes due to achievement criteria | \u2014 | \u2014 | \u2014 | -75,000 |
Actual number of shares granted | -29,000 | -2,000 | -235,000 | \u2014 |
Shares returned by plan participants | \u2014 | 2,000 | 2,000 | \u2014 |
Shares transferred to treasury shares | \u2014 | -2,000 | -2,000 | \u2014 |
At end of the period | \u2014 | 44,000 | 189,000 | 474,000 |
Long-term incentive plans 2022\u20132024 | Long-term incentive plans 2023\u20132025 | |||
Plan name | Performance Share Plan and Deferred Share Plan | Performance Share Plan | Performance Share Plan and Deferred Share Plan | Performance Share Plan |
Performance period | 2022 | 2022\u20132024 | 2023 | 2023\u20132025 |
Performance measures | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 | ESG Index, targets linked to implementing Valmet\u2019s Climate Program and Sustainability Agenda | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 | Development of a valuation multiple of Valmet\u2019s share in comparison to peer group |
Reward payment | In spring 2023 | In spring 2025 | In spring 2024 | In spring 2026 |
Participants | ||||
Performance Share Plan | 14 | 11 | 15 | 13 |
Deferred Share Plan | 114 | 117 | ||
Total gross number of shares earned | Approximately 176,000 shares | Approximately 29,000 shares | Approximately 151,000 shares | Approximately 44,000 shares |
Valmet\u2019s closing share price as at the grant date | 33.63 | 33.63 | 28.77 | 28.77 |
Vesting period | February 2022 to March 2025 | February 2022 to March 2025 | February 2023 to March 2026 | February 2023 to March 2026 |
Long-term incentive plans 2024\u20132026 | Long-term incentive plan 2025\u20132027 | Long-term incentive plan 2026\u20132028 | ||
Plan name | Deferred Share Plan | Performance Share Plan | Performance Share Plan | Performance Share Plan |
Performance period | 2024 | 2024, 2024\u20132026 | 2025\u20132027 | 2026\u20132028 |
Performance measures | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 | Comparable EBITA as a percentage of net sales, and orders received growth in the stable business1 Development of a valuation multiple of Valmet\u2019s share in comparison to peer group | Comparable EBITA, organic orders received growth (%) of the stable business1, and ESG Index | Absolute Total Shareholder Return, organic net sales growth and emission reduction in own operations |
Reward payment | In spring 2025 | In spring 2027 | In spring 2028 | In spring 2029 |
Participants | ||||
Performance Share Plan | 16 | 163 | ~200 | |
Deferred Share Plan | 192 | |||
Total gross number of shares earned | Approximately 235,000 shares | Approximately 189,000 shares | As at December 31, 2025, approximately 474,000 shares were allotted to participants | The reward to be paid will correspond to a maximum total of approximately 767,000 shares |
Valmet\u2019s closing share price as at the grant date | 25,65 | 25,65 | 25,79 | |
Vesting period | February 2024 to March 2027 | February 2024 to March 2027 | March 2025 to March 2028 | February 2026 to March 2029 |
1 Stable business refers to Process Performance Solutions and biomaterial services. |
EUR thousand | 2025 | 2024 |
Plan 2021\u20132023 | \u2014 | -409 |
Plan 2022\u20132024 | -272 | -1,065 |
Plan 2023\u20132025 | -818 | -1,543 |
Plan 2024\u20132026 | -2,152 | -4,723 |
Plan 2025\u20132027 | -3,141 | \u2014 |
Restricted share pool | -1,015 | -325 |
Total | -7,398 | -8,066 |
Critical accounting estimates and judgments The benefit expense and liabilities arising from defined benefit arrangements are calculated based on assumptions that include the following: \u2022 The discount rates used to discount employee benefit obligations (both funded and unfunded): These rates are determined by reference to market yields at the end of the reporting period on high-quality corporate bonds. In countries where there is no deep market in such bonds, the market yields (at the end of the reporting period) on government bonds have been used. The currency and term of the corporate bonds or government bonds are consistent with the currency and duration of the post- employment benefit obligations. \u2022 Estimated rates of future pay increases, which include general pay rise expectations, as well as merit increases. Actual increases may not reflect estimated future increases. Due to the significant uncertainty of the global economy, these estimates are difficult to project. | ||
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Present value of obligation | 188 | 152 | 340 | 211 | 152 | 363 |
Fair value of plan assets | -216 | \u2014 | -216 | -236 | \u2014 | -236 |
Asset (-) / liability (+) | -27 | 152 | 124 | -25 | 152 | 126 |
Amounts in the Consolidated statement of financial position | ||||||
Liabilities | 4 | 152 | 156 | 5 | 152 | 157 |
Assets | 31 | \u2014 | 31 | 31 | \u2014 | 31 |
Net liability | -27 | 152 | 124 | -25 | 152 | 126 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Employer\u2019s current service cost | 1 | 4 | 6 | 2 | 4 | 6 |
Net interest on net surplus/deficit | -1 | 5 | 4 | -1 | 5 | 4 |
Total expenses | \u2014 | 10 | 10 | 1 | 9 | 10 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Present value of obligation at beginning of the period | 211 | 152 | 363 | 214 | 152 | 366 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | 2 | \u2014 | 2 |
Employer\u2019s current service cost | 1 | 4 | 5 | 2 | 4 | 6 |
Interest expense | 10 | 5 | 15 | 10 | 5 | 15 |
Actuarial gain (-) / loss (+) due to change in financial assumptions | 3 | -10 | -8 | -9 | -2 | -11 |
Actuarial gain (-) / loss (+) due to experience | \u2014 | 2 | 2 | -3 | 2 | -1 |
Benefits paid from the arrangements | -14 | \u2014 | -14 | -14 | \u2014 | -14 |
Benefits paid directly by employer | \u2014 | -7 | -7 | \u2014 | -6 | -7 |
Translation differences | -22 | 5 | -17 | 10 | -3 | 7 |
Present value of defined benefit obligation at end of the period | 188 | 152 | 340 | 211 | 152 | 363 |
- of which related to active members | 115 | 130 | ||||
- of which related to deferred members | 53 | 49 | ||||
- of which related to pensioner members | 171 | 183 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Fair value of plan assets at beginning of the period | 236 | \u2014 | 236 | 220 | \u2014 | 220 |
Acquired in business combinations | \u2014 | \u2014 | \u2014 | 2 | \u2014 | 2 |
Interest income on assets | 11 | \u2014 | 11 | 11 | \u2014 | 11 |
Return on plan assets excluding interest income | 2 | \u2014 | 2 | 1 | \u2014 | 1 |
Employer contributions | 5 | \u2014 | 5 | 5 | \u2014 | 5 |
Benefits paid from the arrangements | -14 | \u2014 | -14 | -14 | \u2014 | -14 |
Translation differences | -25 | \u2014 | -25 | 12 | \u2014 | 12 |
Fair value of plan assets at end of the period | 216 | \u2014 | 216 | 236 | \u2014 | 236 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Experience gain (-) / loss (+) on assets | -2 | \u2014 | -2 | -1 | \u2014 | -1 |
Actuarial gain (-) / loss (+) on liabilities due to change in financial assumptions | 3 | -10 | -7 | -9 | -2 | -11 |
Actuarial gain (-) / loss (+) on liabilities due to experience | \u2014 | 2 | 2 | -3 | 2 | -1 |
Total gain (-) / loss (+) | \u2014 | -8 | -8 | -14 | 1 | -13 |
2025 | 2024 | |||||
As at December 31 | Quoted | Unquoted | Total | Quoted | Unquoted | Total |
Equities | 6% | \u2014 | 6% | 10% | \u2014 | 10% |
Bonds | 84% | \u2014 | 84% | 80% | \u2014 | 80% |
Other | 2% | 8% | 10% | 1% | 8% | 10% |
Total | 92% | 8% | 100% | 92% | 8% | 100% |
2025 | 2024 | |||||
As at December 31 | Funded | Unfunded | All plans | Funded | Unfunded | All plans |
Discount rate | 5.0% | 4.0% | 4.6% | 5.2% | 3.7% | 4.6% |
Salary increase | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% | 2.9% |
Pension increase | 1.0% | 2.0% | 1.4% | 1.1% | 2.0% | 1.4% |
Medical cost trend rates | \u2014 | 4.5% | 4.5% | \u2014 | 4.5% | 4.5% |
Life expectancy at age 65 for a male participant currently aged 65 | Life expectancy at age 65 for a female participant currently aged 65 | |||
Expressed in years | 2025 | 2024 | 2025 | 2024 |
Sweden | 22 | 22 | 24 | 24 |
Canada | 22 | 22 | 24 | 24 |
USA | 21 | 21 | 23 | 23 |
Finland | 21 | 21 | 26 | 26 |
Life expectancy at age 65 for a male participant currently aged 45 | Life expectancy at age 65 for a female participant currently aged 45 | |||
Expressed in years | 2025 | 2024 | 2025 | 2024 |
Sweden | 22 | 24 | 24 | 26 |
Canada | 23 | 23 | 25 | 25 |
USA | 23 | 23 | 25 | 24 |
Finland | 24 | 24 | 28 | 28 |
2025 | 2024 | |||||
EUR million | Funded | Unfunded | Total | Funded | Unfunded | Total |
Discount rate | ||||||
Increase of 0.25% | -4 | -6 | -10 | -5 | -6 | -11 |
Decrease of 0.25% | 4 | 6 | 10 | 5 | 6 | 11 |
Salary increase rate | ||||||
Increase of 0.25% | \u2014 | 3 | 4 | \u2014 | 4 | 4 |
Decrease of 0.25% | \u2014 | -3 | -3 | \u2014 | -3 | -4 |
Pension increase rate | ||||||
Increase of 0.25% | \u2014 | 4 | 4 | \u2014 | 4 | 4 |
Decrease of 0.25% | \u2014 | -4 | -4 | \u2014 | -4 | -4 |
Medical cost trend | ||||||
Increase of 1% | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Decrease of 1% | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Life expectancy | ||||||
Increase of one year | 5 | 5 | 10 | 6 | 5 | 11 |
Decrease of one year | -5 | -5 | -10 | -6 | -5 | -11 |
2025 | 2024 | |||||
Expressed in years | Funded | Unfunded | All plans | Funded | Unfunded | All plans |
Weighted average duration | 9 | 17 | 13 | 9 | 18 | 13 |
Critical accounting estimates and judgments Deferred tax assets and liabilities are recognized for temporary differences. They are expected to be realized through the income statement over extended periods in the future. Valmet management has made certain assumptions regarding future tax consequences and has used certain estimates when calculating differences between carrying amounts of assets and liabilities and their tax bases. Key assumptions underlying tax calculations include the likelihood that recoverability periods for tax loss carryforwards will not change, and that existing tax laws and rates will remain unchanged for the foreseeable future. On each balance sheet date, deferred tax assets are assessed for recoverability, and when circumstances indicate that it is no longer probable that deferred tax assets can be recovered, balances are reduced to their recoverable amounts. Liabilities and assets are recognized with respect to the income tax amounts management is expecting to pay and recover respectively. Management has chosen not to discount non- current tax balances. Valmet entities are subject to tax audits on an ongoing basis. Complex and constantly changing regulations in multiple jurisdictions where Valmet operates create uncertainties related to tax obligations toward the authorities. Changes in the tax authorities\u2019 interpretations could have unfavorable impact on Valmet\u2019s financials. | ||
EUR million | 2025 | 2024 |
Profit before taxes | 376 | 383 |
Taxes calculated according to tax rate in Finland | -75 | -77 |
Impact of changes in tax rates | \u2014 | \u2014 |
Income tax for previous years | -8 | 6 |
Net increase (decrease) in uncertain tax positions | -10 | \u2014 |
Effect of different tax rates in foreign subsidiaries | -10 | -15 |
Utilization of tax losses carried forward | -1 | -1 |
Non-recoverable foreign taxes | -12 | -12 |
Adjustment and revaluation of deferred taxes for previous years1 | 15 | 1 |
Effect of tax-free income and non-deductible expenses | 1 | -3 |
Other | 4 | -2 |
Income tax expense | -96 | -103 |
Effective tax rate, (%) | 25.7% | 26.8% |
Effective tax rate (%), excluding income tax for previous years | 20.9% | 28.5% |
1 In 2025, mainly includes benefit from previously unrecognized deferred tax assets in the USA and change from deferred taxes in Finland. |
2025 | 2024 | |||||
EUR million | Before taxes | Tax | After taxes | Before taxes | Tax | After taxes |
Gains and losses on cash flow hedges | 15 | -3 | 12 | -8 | 2 | -6 |
Change in fair value reserve | \u2014 | \u2014 | \u2014 | 1 | \u2014 | 1 |
Remeasurement of defined benefit plans | 8 | -1 | 6 | 13 | -3 | 10 |
Currency translation on subsidiary net investments | -73 | \u2014 | -73 | 2 | \u2014 | 2 |
Share of other comprehensive income of associated companies\u00a0 accounted for using equity method | -1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Total comprehensive income for the period | -50 | -4 | -55 | 8 | -2 | 6 |
Deferred tax | \u2014 | -4 | \u2014 | \u2014 | -2 | \u2014 |
Total | \u2014 | -4 | \u2014 | \u2014 | -2 | \u2014 |
2025 | 2024 | |||||||||||
EUR million | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period |
Deferred tax assets | ||||||||||||
Tax losses carried forward | 8 | \u2014 | -1 | -1 | \u2014 | 5 | 5 | \u2014 | 2 | \u2014 | \u2014 | 8 |
Fixed assets | 9 | \u2014 | \u2014 | \u2014 | \u2014 | 8 | 8 | \u2014 | 1 | \u2014 | \u2014 | 9 |
Leases | 32 | -1 | 6 | \u2014 | \u2014 | 37 | 31 | \u2014 | \u2014 | \u2014 | 1 | 32 |
Inventory | 21 | -1 | 3 | \u2014 | -1 | 21 | 16 | \u2014 | -2 | \u2014 | 5 | 21 |
Provisions | 35 | -1 | 3 | \u2014 | 1 | 39 | 41 | -3 | -4 | \u2014 | \u2014 | 35 |
Accruals | 10 | -1 | 5 | 1 | \u2014 | 15 | 11 | \u2014 | -2 | \u2014 | \u2014 | 10 |
Employee benefits | 1 | 1 | -2 | -1 | \u2014 | -1 | 6 | \u2014 | -2 | -4 | 1 | 1 |
Other | 42 | \u2014 | \u2014 | -3 | \u2014 | 39 | 28 | \u2014 | 8 | 2 | 5 | 42 |
Total deferred tax assets | 158 | -4 | 14 | -4 | -1 | 163 | 148 | -3 | 2 | -2 | 13 | 158 |
Offset against deferred tax liabilities1 | -64 | -67 | -59 | -64 | ||||||||
Net deferred tax assets | 94 | 96 | 90 | 94 | ||||||||
Deferred tax liabilities | ||||||||||||
Purchase price allocations | 293 | -4 | -31 | \u2014 | \u2014 | 258 | 292 | 2 | -19 | \u2014 | 18 | 293 |
Fixed assets | 11 | -1 | \u2014 | \u2014 | \u2014 | 10 | 9 | \u2014 | 1 | \u2014 | \u2014 | 11 |
Leases | 34 | -1 | 5 | \u2014 | \u2014 | 38 | 33 | \u2014 | \u2014 | \u2014 | 1 | 34 |
Other | 11 | -1 | -3 | \u2014 | \u2014 | 7 | 7 | \u2014 | 3 | \u2014 | \u2014 | 11 |
Total deferred tax liabilities | 348 | -6 | -28 | \u2014 | \u2014 | 313 | 341 | 3 | -16 | 1 | 20 | 348 |
Offset against deferred tax assets1 | -64 | -66 | -58 | -64 | ||||||||
Net deferred tax liabilities | 284 | 246 | 283 | 284 | ||||||||
1 Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets against tax liabilities, and when the deferred income taxes relate to the same fiscal authority. |
Critical accounting estimates and judgments Deferred tax assets and liabilities are recognized for temporary differences. They are expected to be realized through the income statement over extended periods in the future. Valmet management has made certain assumptions regarding future tax consequences and has used certain estimates when calculating differences between carrying amounts of assets and liabilities and their tax bases. Key assumptions underlying tax calculations include the likelihood that recoverability periods for tax loss carryforwards will not change, and that existing tax laws and rates will remain unchanged for the foreseeable future. On each balance sheet date, deferred tax assets are assessed for recoverability, and when circumstances indicate that it is no longer probable that deferred tax assets can be recovered, balances are reduced to their recoverable amounts. Liabilities and assets are recognized with respect to the income tax amounts management is expecting to pay and recover respectively. Management has chosen not to discount non- current tax balances. Valmet entities are subject to tax audits on an ongoing basis. Complex and constantly changing regulations in multiple jurisdictions where Valmet operates create uncertainties related to tax obligations toward the authorities. Changes in the tax authorities\u2019 interpretations could have unfavorable impact on Valmet\u2019s financials. | ||
EUR million | 2025 | 2024 |
Profit before taxes | 376 | 383 |
Taxes calculated according to tax rate in Finland | -75 | -77 |
Impact of changes in tax rates | \u2014 | \u2014 |
Income tax for previous years | -8 | 6 |
Net increase (decrease) in uncertain tax positions | -10 | \u2014 |
Effect of different tax rates in foreign subsidiaries | -10 | -15 |
Utilization of tax losses carried forward | -1 | -1 |
Non-recoverable foreign taxes | -12 | -12 |
Adjustment and revaluation of deferred taxes for previous years1 | 15 | 1 |
Effect of tax-free income and non-deductible expenses | 1 | -3 |
Other | 4 | -2 |
Income tax expense | -96 | -103 |
Effective tax rate, (%) | 25.7% | 26.8% |
Effective tax rate (%), excluding income tax for previous years | 20.9% | 28.5% |
1 In 2025, mainly includes benefit from previously unrecognized deferred tax assets in the USA and change from deferred taxes in Finland. |
2025 | 2024 | |||||
EUR million | Before taxes | Tax | After taxes | Before taxes | Tax | After taxes |
Gains and losses on cash flow hedges | 15 | -3 | 12 | -8 | 2 | -6 |
Change in fair value reserve | \u2014 | \u2014 | \u2014 | 1 | \u2014 | 1 |
Remeasurement of defined benefit plans | 8 | -1 | 6 | 13 | -3 | 10 |
Currency translation on subsidiary net investments | -73 | \u2014 | -73 | 2 | \u2014 | 2 |
Share of other comprehensive income of associated companies\u00a0 accounted for using equity method | -1 | \u2014 | -1 | \u2014 | \u2014 | \u2014 |
Total comprehensive income for the period | -50 | -4 | -55 | 8 | -2 | 6 |
Deferred tax | \u2014 | -4 | \u2014 | \u2014 | -2 | \u2014 |
Total | \u2014 | -4 | \u2014 | \u2014 | -2 | \u2014 |
2025 | 2024 | |||||||||||
EUR million | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period |
Deferred tax assets | ||||||||||||
Tax losses carried forward | 8 | \u2014 | -1 | -1 | \u2014 | 5 | 5 | \u2014 | 2 | \u2014 | \u2014 | 8 |
Fixed assets | 9 | \u2014 | \u2014 | \u2014 | \u2014 | 8 | 8 | \u2014 | 1 | \u2014 | \u2014 | 9 |
Leases | 32 | -1 | 6 | \u2014 | \u2014 | 37 | 31 | \u2014 | \u2014 | \u2014 | 1 | 32 |
Inventory | 21 | -1 | 3 | \u2014 | -1 | 21 | 16 | \u2014 | -2 | \u2014 | 5 | 21 |
Provisions | 35 | -1 | 3 | \u2014 | 1 | 39 | 41 | -3 | -4 | \u2014 | \u2014 | 35 |
Accruals | 10 | -1 | 5 | 1 | \u2014 | 15 | 11 | \u2014 | -2 | \u2014 | \u2014 | 10 |
Employee benefits | 1 | 1 | -2 | -1 | \u2014 | -1 | 6 | \u2014 | -2 | -4 | 1 | 1 |
Other | 42 | \u2014 | \u2014 | -3 | \u2014 | 39 | 28 | \u2014 | 8 | 2 | 5 | 42 |
Total deferred tax assets | 158 | -4 | 14 | -4 | -1 | 163 | 148 | -3 | 2 | -2 | 13 | 158 |
Offset against deferred tax liabilities1 | -64 | -67 | -59 | -64 | ||||||||
Net deferred tax assets | 94 | 96 | 90 | 94 | ||||||||
Deferred tax liabilities | ||||||||||||
Purchase price allocations | 293 | -4 | -31 | \u2014 | \u2014 | 258 | 292 | 2 | -19 | \u2014 | 18 | 293 |
Fixed assets | 11 | -1 | \u2014 | \u2014 | \u2014 | 10 | 9 | \u2014 | 1 | \u2014 | \u2014 | 11 |
Leases | 34 | -1 | 5 | \u2014 | \u2014 | 38 | 33 | \u2014 | \u2014 | \u2014 | 1 | 34 |
Other | 11 | -1 | -3 | \u2014 | \u2014 | 7 | 7 | \u2014 | 3 | \u2014 | \u2014 | 11 |
Total deferred tax liabilities | 348 | -6 | -28 | \u2014 | \u2014 | 313 | 341 | 3 | -16 | 1 | 20 | 348 |
Offset against deferred tax assets1 | -64 | -66 | -58 | -64 | ||||||||
Net deferred tax liabilities | 284 | 246 | 283 | 284 | ||||||||
1 Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets against tax liabilities, and when the deferred income taxes relate to the same fiscal authority. |
2025 | 2024 | |||||||||||
EUR million | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period | Balance at beginning of the period | Translation differences | Charged to income statement | Charged to other compre- hensive income | Acquired in business combination | Balance at end of the period |
Deferred tax assets | ||||||||||||
Tax losses carried forward | 8 | \u2014 | -1 | -1 | \u2014 | 5 | 5 | \u2014 | 2 | \u2014 | \u2014 | 8 |
Fixed assets | 9 | \u2014 | \u2014 | \u2014 | \u2014 | 8 | 8 | \u2014 | 1 | \u2014 | \u2014 | 9 |
Leases | 32 | -1 | 6 | \u2014 | \u2014 | 37 | 31 | \u2014 | \u2014 | \u2014 | 1 | 32 |
Inventory | 21 | -1 | 3 | \u2014 | -1 | 21 | 16 | \u2014 | -2 | \u2014 | 5 | 21 |
Provisions | 35 | -1 | 3 | \u2014 | 1 | 39 | 41 | -3 | -4 | \u2014 | \u2014 | 35 |
Accruals | 10 | -1 | 5 | 1 | \u2014 | 15 | 11 | \u2014 | -2 | \u2014 | \u2014 | 10 |
Employee benefits | 1 | 1 | -2 | -1 | \u2014 | -1 | 6 | \u2014 | -2 | -4 | 1 | 1 |
Other | 42 | \u2014 | \u2014 | -3 | \u2014 | 39 | 28 | \u2014 | 8 | 2 | 5 | 42 |
Total deferred tax assets | 158 | -4 | 14 | -4 | -1 | 163 | 148 | -3 | 2 | -2 | 13 | 158 |
Offset against deferred tax liabilities1 | -64 | -67 | -59 | -64 | ||||||||
Net deferred tax assets | 94 | 96 | 90 | 94 | ||||||||
Deferred tax liabilities | ||||||||||||
Purchase price allocations | 293 | -4 | -31 | \u2014 | \u2014 | 258 | 292 | 2 | -19 | \u2014 | 18 | 293 |
Fixed assets | 11 | -1 | \u2014 | \u2014 | \u2014 | 10 | 9 | \u2014 | 1 | \u2014 | \u2014 | 11 |
Leases | 34 | -1 | 5 | \u2014 | \u2014 | 38 | 33 | \u2014 | \u2014 | \u2014 | 1 | 34 |
Other | 11 | -1 | -3 | \u2014 | \u2014 | 7 | 7 | \u2014 | 3 | \u2014 | \u2014 | 11 |
Total deferred tax liabilities | 348 | -6 | -28 | \u2014 | \u2014 | 313 | 341 | 3 | -16 | 1 | 20 | 348 |
Offset against deferred tax assets1 | -64 | -66 | -58 | -64 | ||||||||
Net deferred tax liabilities | 284 | 246 | 283 | 284 | ||||||||
1 Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset tax assets against tax liabilities, and when the deferred income taxes relate to the same fiscal authority. |
2025 | 2024 | |
Share capital at end of the period, EUR | 140,000,000 | 140,000,000 |
Number of shares at end of the period | 184,529,605 | 184,529,605 |
Treasury shares at end of the period | 297,175 | 364,258 |
Shares outstanding at end of the period | 184,232,430 | 184,165,347 |
Average number of shares outstanding during the financial year | 184,203,699 | 184,159,071 |
2025 | 2024 | |
Share capital at end of the period, EUR | 140,000,000 | 140,000,000 |
Number of shares at end of the period | 184,529,605 | 184,529,605 |
Treasury shares at end of the period | 297,175 | 364,258 |
Shares outstanding at end of the period | 184,232,430 | 184,165,347 |
Average number of shares outstanding during the financial year | 184,203,699 | 184,159,071 |
EUR million | 2025 | 2024 |
Marketing and selling expenses | 498 | 495 |
Research and development expenses, net | 126 | 123 |
Administrative expenses | 361 | 383 |
Selling, general and administrative expenses total | 986 | 1,000 |
EUR million | 2025 | 2024 |
Research and development costs | 146 | 140 |
Recognized in fixed assets | -16 | -15 |
Grants received | -9 | -7 |
Depreciation and amortization | 5 | 5 |
Research and development expenses total | 126 | 123 |
EUR million | 2025 | 2024 |
Marketing and selling expenses | 498 | 495 |
Research and development expenses, net | 126 | 123 |
Administrative expenses | 361 | 383 |
Selling, general and administrative expenses total | 986 | 1,000 |
EUR million | 2025 | 2024 |
Research and development costs | 146 | 140 |
Recognized in fixed assets | -16 | -15 |
Grants received | -9 | -7 |
Depreciation and amortization | 5 | 5 |
Research and development expenses total | 126 | 123 |
EUR million | 2025 | 2024 |
Marketing and selling expenses | 498 | 495 |
Research and development expenses, net | 126 | 123 |
Administrative expenses | 361 | 383 |
Selling, general and administrative expenses total | 986 | 1,000 |
EUR million | 2025 | 2024 |
Research and development costs | 146 | 140 |
Recognized in fixed assets | -16 | -15 |
Grants received | -9 | -7 |
Depreciation and amortization | 5 | 5 |
Research and development expenses total | 126 | 123 |
EUR million | 2025 | 2024 |
Marketing and selling expenses | 498 | 495 |
Research and development expenses, net | 126 | 123 |
Administrative expenses | 361 | 383 |
Selling, general and administrative expenses total | 986 | 1,000 |
EUR million | 2025 | 2024 |
Research and development costs | 146 | 140 |
Recognized in fixed assets | -16 | -15 |
Grants received | -9 | -7 |
Depreciation and amortization | 5 | 5 |
Research and development expenses total | 126 | 123 |
EUR million | 2025 | 2024 |
Gain on sale of fixed assets | 2 | 1 |
Reversal of allowance for doubtful receivables and contract assets | 4 | 4 |
Net gain from foreign exchange | \u2014 | \u2014 |
Interest component from forward contracts | \u2014 | \u2014 |
Commodity derivatives | \u2014 | \u2014 |
Insurance compensation1 | \u2014 | 6 |
Income related to tax and customs duty adjustments | 2 | 2 |
Other income2 | 16 | 13 |
Other operating income, total | 25 | 25 |
Impairment of fixed assets and right-of-use assets | -6 | -13 |
Net loss from foreign exchange | -3 | -10 |
Interest component from forward contracts | -8 | -8 |
Commodity derivatives | -1 | \u2014 |
Non-recoverable foreign taxes | -2 | -8 |
Allowance for doubtful receivables and contract assets | -16 | -10 |
Other expenses2 | -15 | -9 |
Other operating expenses, total | -53 | -59 |
Other operating income and expenses, net | -28 | -34 |
1 Insurance compensation in 2024, EUR 6 million, mainly relates to income compensating the costs of a fire that happened in May 2022 at Valmet\u2019s Rautpohja factory site in Jyv\u00e4skyl\u00e4. 2 Includes in 2025 a settlement agreement in the Biomaterial Solutions and Services segment, following a delivery made earlier. The delivery required corrective actions and led to a commercial dispute, which has been resolved. |
EUR million | 2025 | 2024 |
Exchange rate differences from trade receivables and payables | -23 | -14 |
Exchange rate differences from derivative financial instruments | 20 | 4 |
Net gain/loss from foreign exchange | -3 | -10 |
EUR million | 2025 | 2024 |
Gain on sale of fixed assets | 2 | 1 |
Reversal of allowance for doubtful receivables and contract assets | 4 | 4 |
Net gain from foreign exchange | \u2014 | \u2014 |
Interest component from forward contracts | \u2014 | \u2014 |
Commodity derivatives | \u2014 | \u2014 |
Insurance compensation1 | \u2014 | 6 |
Income related to tax and customs duty adjustments | 2 | 2 |
Other income2 | 16 | 13 |
Other operating income, total | 25 | 25 |
Impairment of fixed assets and right-of-use assets | -6 | -13 |
Net loss from foreign exchange | -3 | -10 |
Interest component from forward contracts | -8 | -8 |
Commodity derivatives | -1 | \u2014 |
Non-recoverable foreign taxes | -2 | -8 |
Allowance for doubtful receivables and contract assets | -16 | -10 |
Other expenses2 | -15 | -9 |
Other operating expenses, total | -53 | -59 |
Other operating income and expenses, net | -28 | -34 |
1 Insurance compensation in 2024, EUR 6 million, mainly relates to income compensating the costs of a fire that happened in May 2022 at Valmet\u2019s Rautpohja factory site in Jyv\u00e4skyl\u00e4. 2 Includes in 2025 a settlement agreement in the Biomaterial Solutions and Services segment, following a delivery made earlier. The delivery required corrective actions and led to a commercial dispute, which has been resolved. |
EUR million | 2025 | 2024 |
Exchange rate differences from trade receivables and payables | -23 | -14 |
Exchange rate differences from derivative financial instruments | 20 | 4 |
Net gain/loss from foreign exchange | -3 | -10 |
EUR million | 2025 | 2024 |
Gain on sale of fixed assets | 2 | 1 |
Reversal of allowance for doubtful receivables and contract assets | 4 | 4 |
Net gain from foreign exchange | \u2014 | \u2014 |
Interest component from forward contracts | \u2014 | \u2014 |
Commodity derivatives | \u2014 | \u2014 |
Insurance compensation1 | \u2014 | 6 |
Income related to tax and customs duty adjustments | 2 | 2 |
Other income2 | 16 | 13 |
Other operating income, total | 25 | 25 |
Impairment of fixed assets and right-of-use assets | -6 | -13 |
Net loss from foreign exchange | -3 | -10 |
Interest component from forward contracts | -8 | -8 |
Commodity derivatives | -1 | \u2014 |
Non-recoverable foreign taxes | -2 | -8 |
Allowance for doubtful receivables and contract assets | -16 | -10 |
Other expenses2 | -15 | -9 |
Other operating expenses, total | -53 | -59 |
Other operating income and expenses, net | -28 | -34 |
1 Insurance compensation in 2024, EUR 6 million, mainly relates to income compensating the costs of a fire that happened in May 2022 at Valmet\u2019s Rautpohja factory site in Jyv\u00e4skyl\u00e4. 2 Includes in 2025 a settlement agreement in the Biomaterial Solutions and Services segment, following a delivery made earlier. The delivery required corrective actions and led to a commercial dispute, which has been resolved. |
EUR million | 2025 | 2024 |
Exchange rate differences from trade receivables and payables | -23 | -14 |
Exchange rate differences from derivative financial instruments | 20 | 4 |
Net gain/loss from foreign exchange | -3 | -10 |
2025 | 2024 | |||||||||
EUR million | 2026 | 2027 | 2028 | 2029 | 2030 and later | 2025 | 2026 | 2027 | 2028 | 2029 and later |
Loans from financial institutions | ||||||||||
Repayments | 99 | 249 | 127 | 85 | 492 | 94 | 49 | 349 | 377 | 296 |
Interests | 32 | 27 | 21 | 19 | 24 | 47 | 44 | 36 | 17 | 24 |
Bonds | ||||||||||
Repayments | \u2014 | \u2014 | \u2014 | 200 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 200 |
Interests | 8 | 8 | 8 | 8 | \u2014 | 8 | 8 | 8 | 8 | 8 |
Trade payables and other current financial liabilities | 533 | \u2014 | \u2014 | \u2014 | \u2014 | 481 | \u2014 | \u2014 | \u2014 | \u2014 |
Total | 672 | 284 | 156 | 312 | 516 | 630 | 101 | 393 | 402 | 528 |
The information presented in above table excludes the impact of lease liabilities and derivatives. |
EUR million | 2025 | 2024 |
Interest-bearing debt | 1,285 | 1,387 |
Cash and cash equivalents | 535 | 482 |
Interest-bearing financial assets | 44 | 55 |
Interest-bearing net debt | 706 | 850 |
Total equity | 2,590 | 2,614 |
The information presented in above table excludes the impact of lease liabilities. |
EUR million | 2025 | 2024 |
Profit for the period | -/+ 1.7 | -/+ 2.2 |
Equity | +/- 6.3 | +/- 6.9 |
The information presented in above table excludes the impact of lease liabilities. |
2025 | 2024 | |||||||||
EUR million | EUR | SEK | USD | CNY | Others | EUR | SEK | USD | CNY | Others |
Operational items | -6 | 343 | -284 | -201 | 149 | 239 | -363 | 343 | -228 | 9 |
of which trade receivables and other current assets | -70 | 83 | -119 | 62 | 44 | -22 | -168 | 120 | 49 | 21 |
of which trade payables and other current liabilities | -9 | -27 | 56 | -43 | 23 | -8 | 49 | -16 | -45 | 19 |
Financial items | 547 | -354 | -182 | -119 | 107 | 101 | -92 | 13 | -153 | 131 |
Hedges | -583 | 46 | 477 | 323 | -263 | -326 | 449 | -330 | 357 | -151 |
under hedge accounting | -524 | 175 | 220 | 228 | -99 | -323 | 257 | -231 | 252 | 46 |
not qualifying for hedge accounting | -59 | -129 | 258 | 94 | -164 | -2 | 192 | -99 | 105 | -196 |
Total exposure | -43 | 35 | 12 | 2 | -7 | 14 | -6 | 26 | -24 | -10 |
2025 | 2024 | |||||||||
EUR million | SEK | USD | CNY | Others | Total | SEK | USD | CNY | Others | Total |
EUR +/- 10% change | -/+ 2.8 | -/+ 0.9 | -/+ 0.2 | +/- 0.5 | -/+ 3.4 | +/- 0.5 | -/+ 2.1 | +/- 1.9 | +/- 0.8 | +/- 1.1 |
EUR million | 2025 | 2024 |
Profit for the period | -/+ 0.1 | +/- 5.4 |
Equity | -/+ 41.9 | -/+ 25.9 |
EUR million | 2025 | 2024 |
Electricity - effect in equity | +/- 0.3 | +/- 0.4 |
Nickel - effect in profit for the period | +/- 0.4 | +/- 1.3 |
Nickel - effect in equity | \u2014 | +/- 0.4 |
Steel scrap - effect in profit for the period | +/-0.0 | +/- 0.0 |
2025 | 2024 | |||||||||
EUR million | 2026 | 2027 | 2028 | 2029 | 2030 and later | 2025 | 2026 | 2027 | 2028 | 2029 and later |
Loans from financial institutions | ||||||||||
Repayments | 99 | 249 | 127 | 85 | 492 | 94 | 49 | 349 | 377 | 296 |
Interests | 32 | 27 | 21 | 19 | 24 | 47 | 44 | 36 | 17 | 24 |
Bonds | ||||||||||
Repayments | \u2014 | \u2014 | \u2014 | 200 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | 200 |
Interests | 8 | 8 | 8 | 8 | \u2014 | 8 | 8 | 8 | 8 | 8 |
Trade payables and other current financial liabilities | 533 | \u2014 | \u2014 | \u2014 | \u2014 | 481 | \u2014 | \u2014 | \u2014 | \u2014 |
Total | 672 | 284 | 156 | 312 | 516 | 630 | 101 | 393 | 402 | 528 |
The information presented in above table excludes the impact of lease liabilities and derivatives. |
EUR million | 2025 | 2024 |
Interest-bearing debt | 1,285 | 1,387 |
Cash and cash equivalents | 535 | 482 |
Interest-bearing financial assets | 44 | 55 |
Interest-bearing net debt | 706 | 850 |
Total equity | 2,590 | 2,614 |
The information presented in above table excludes the impact of lease liabilities. |
EUR million | 2025 | 2024 |
Profit for the period | -/+ 1.7 | -/+ 2.2 |
Equity | +/- 6.3 | +/- 6.9 |
The information presented in above table excludes the impact of lease liabilities. |
EUR million | 2025 | 2024 |
Electricity - effect in equity | +/- 0.3 | +/- 0.4 |
Nickel - effect in profit for the period | +/- 0.4 | +/- 1.3 |
Nickel - effect in equity | \u2014 | +/- 0.4 |
Steel scrap - effect in profit for the period | +/-0.0 | +/- 0.0 |
2025 | 2024 | |||||||||
EUR million | EUR | SEK | USD | CNY | Others | EUR | SEK | USD | CNY | Others |
Operational items | -6 | 343 | -284 | -201 | 149 | 239 | -363 | 343 | -228 | 9 |
of which trade receivables and other current assets | -70 | 83 | -119 | 62 | 44 | -22 | -168 | 120 | 49 | 21 |
of which trade payables and other current liabilities | -9 | -27 | 56 | -43 | 23 | -8 | 49 | -16 | -45 | 19 |
Financial items | 547 | -354 | -182 | -119 | 107 | 101 | -92 | 13 | -153 | 131 |
Hedges | -583 | 46 | 477 | 323 | -263 | -326 | 449 | -330 | 357 | -151 |
under hedge accounting | -524 | 175 | 220 | 228 | -99 | -323 | 257 | -231 | 252 | 46 |
not qualifying for hedge accounting | -59 | -129 | 258 | 94 | -164 | -2 | 192 | -99 | 105 | -196 |
Total exposure | -43 | 35 | 12 | 2 | -7 | 14 | -6 | 26 | -24 | -10 |
2025 | 2024 | |||||||||
EUR million | SEK | USD | CNY | Others | Total | SEK | USD | CNY | Others | Total |
EUR +/- 10% change | -/+ 2.8 | -/+ 0.9 | -/+ 0.2 | +/- 0.5 | -/+ 3.4 | +/- 0.5 | -/+ 2.1 | +/- 1.9 | +/- 0.8 | +/- 1.1 |
EUR million | 2025 | 2024 |
Profit for the period | -/+ 0.1 | +/- 5.4 |
Equity | -/+ 41.9 | -/+ 25.9 |
Company name | Share of ownership | |||
Place of incorporation and principal place of business | Dec 31, 2025 | Dec 31, 2024 | Measurement | |
Nanjing SAC Valmet Automation Co., Ltd. | China | 21.95% | 21.95% | Equity method |
Valpro gerenciamento de obras Ltda | Brazil | 51.0% | 51.0% | Equity method |
SAC | ||
EUR million | 2025 | 2024 |
Balance sheet | ||
Non-current assets | 16 | 17 |
Current assets | 180 | 157 |
Non-current liabilities | 4 | 1 |
Current liabilities | 106 | 94 |
Net assets | 86 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Income statement | ||
Revenue | 175 | 132 |
Profit or loss | 22 | 11 |
Total comprehensive income | 21 | 11 |
SAC | ||
EUR million | 2025 | 2024 |
Net assets at beginning of the period | 79 | 74 |
Translation differences | -6 | 3 |
Profit for the period | 22 | 11 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends paid | -9 | -8 |
Net assets at end of the period | 85 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Carrying value at end of the period | 19 | 17 |
EUR million | 2025 | 2024 |
Historical cost | ||
Historical cost at beginning of the period | 8 | 8 |
Historical cost at end of the period | 8 | 8 |
Equity adjustments | ||
Equity adjustments at beginning of the period | 10 | 9 |
Profit for the period | 5 | 2 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends received | -2 | -2 |
Equity adjustments at end of the period | 11 | 10 |
Carrying value at end of the period | 19 | 17 |
Company name | Share of ownership | |||
Place of incorporation and principal place of business | Dec 31, 2025 | Dec 31, 2024 | Measurement | |
Nanjing SAC Valmet Automation Co., Ltd. | China | 21.95% | 21.95% | Equity method |
Valpro gerenciamento de obras Ltda | Brazil | 51.0% | 51.0% | Equity method |
SAC | ||
EUR million | 2025 | 2024 |
Balance sheet | ||
Non-current assets | 16 | 17 |
Current assets | 180 | 157 |
Non-current liabilities | 4 | 1 |
Current liabilities | 106 | 94 |
Net assets | 86 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Income statement | ||
Revenue | 175 | 132 |
Profit or loss | 22 | 11 |
Total comprehensive income | 21 | 11 |
SAC | ||
EUR million | 2025 | 2024 |
Net assets at beginning of the period | 79 | 74 |
Translation differences | -6 | 3 |
Profit for the period | 22 | 11 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends paid | -9 | -8 |
Net assets at end of the period | 85 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Carrying value at end of the period | 19 | 17 |
EUR million | 2025 | 2024 |
Historical cost | ||
Historical cost at beginning of the period | 8 | 8 |
Historical cost at end of the period | 8 | 8 |
Equity adjustments | ||
Equity adjustments at beginning of the period | 10 | 9 |
Profit for the period | 5 | 2 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends received | -2 | -2 |
Equity adjustments at end of the period | 11 | 10 |
Carrying value at end of the period | 19 | 17 |
Company name | Share of ownership | |||
Place of incorporation and principal place of business | Dec 31, 2025 | Dec 31, 2024 | Measurement | |
Nanjing SAC Valmet Automation Co., Ltd. | China | 21.95% | 21.95% | Equity method |
Valpro gerenciamento de obras Ltda | Brazil | 51.0% | 51.0% | Equity method |
SAC | ||
EUR million | 2025 | 2024 |
Balance sheet | ||
Non-current assets | 16 | 17 |
Current assets | 180 | 157 |
Non-current liabilities | 4 | 1 |
Current liabilities | 106 | 94 |
Net assets | 86 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Income statement | ||
Revenue | 175 | 132 |
Profit or loss | 22 | 11 |
Total comprehensive income | 21 | 11 |
SAC | ||
EUR million | 2025 | 2024 |
Net assets at beginning of the period | 79 | 74 |
Translation differences | -6 | 3 |
Profit for the period | 22 | 11 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends paid | -9 | -8 |
Net assets at end of the period | 85 | 79 |
Valmet\u2019s share of net assets | 19 | 17 |
Carrying value at end of the period | 19 | 17 |
EUR million | 2025 | 2024 |
Historical cost | ||
Historical cost at beginning of the period | 8 | 8 |
Historical cost at end of the period | 8 | 8 |
Equity adjustments | ||
Equity adjustments at beginning of the period | 10 | 9 |
Profit for the period | 5 | 2 |
Other comprehensive income for the period | -1 | \u2014 |
Dividends received | -2 | -2 |
Equity adjustments at end of the period | 11 | 10 |
Carrying value at end of the period | 19 | 17 |
EUR million | 2025 | 2024 |
Audit fees | 2.9 | 3.0 |
Audit-related assignments | 0.2 | 0.4 |
Tax assignments | \u2014 | \u2014 |
Other services | \u2014 | 0.2 |
Total | 3.1 | 3.6 |
EUR thousand | Salaries and other short- term benefits | Performance bonuses | Share-based payments | Post-retirement benefits | Resignation benefits | Total |
2025 | ||||||
President and CEO | 919 | 662 | 1,121 | 394 | \u2014 | 3,097 |
Other Executive Leadership Team members | 3,218 | 1,132 | 3,410 | 1,060 | 8,820 | |
Total | 4,137 | 1,795 | 4,531 | 1,454 | \u2014 | 11,916 |
2024 | ||||||
President and CEO from August 12, 2024 | 332 | 506 | 331 | 121 | \u2014 | 1,290 |
President and CEO until August 11, 2024 | 568 | 278 | 650 | 279 | \u2014 | 1,775 |
Other Executive Leadership Team members | 3,231 | 1,115 | 2,565 | 1,117 | 91 | 8,119 |
Total | 4,130 | 1,899 | 3,546 | 1,517 | 91 | 11,184 |
EUR thousand | 2025 | 2024 |
Pekka Vauramo, Chair1 | 170 | \u2014 |
Annika Paasikivi, Vice Chair4 | 108 | 83 |
Bernd Eikens, Member 1 | 89 | \u2014 |
Jonas Gustavsson, Member1 | 82 | \u2014 |
Anu H\u00e4m\u00e4l\u00e4inen, Member | 97 | 99 |
Pekka Kemppainen, Member | 88 | 91 |
Annareetta Lumme-Timonen, Member | 88 | 84 |
Monika Maurer, Member | 96 | 95 |
Mikael M\u00e4kinen, Chair2 | 5 | 178 |
Jaakko Eskola, Vice Chair2 | 3 | 106 |
Per Lindberg, Member2 | \u2014 | 87 |
Aaro Cantell, Member3 | \u2014 | 4 |
Eriikka S\u00f6derstr\u00f6m, Member3 | \u2014 | 6 |
Juha P\u00f6ll\u00e4nen, Personnel Representative | 9 | 8 |
Total | 836 | 840 |
1 From March 26, 2025. 2 Until March 26, 2025. 3 Until March 21, 2024. 4 Vice Chair from March 26, 2025, previously Member. |
EUR thousand | Salaries and other short- term benefits | Performance bonuses | Share-based payments | Post-retirement benefits | Resignation benefits | Total |
2025 | ||||||
President and CEO | 919 | 662 | 1,121 | 394 | \u2014 | 3,097 |
Other Executive Leadership Team members | 3,218 | 1,132 | 3,410 | 1,060 | 8,820 | |
Total | 4,137 | 1,795 | 4,531 | 1,454 | \u2014 | 11,916 |
2024 | ||||||
President and CEO from August 12, 2024 | 332 | 506 | 331 | 121 | \u2014 | 1,290 |
President and CEO until August 11, 2024 | 568 | 278 | 650 | 279 | \u2014 | 1,775 |
Other Executive Leadership Team members | 3,231 | 1,115 | 2,565 | 1,117 | 91 | 8,119 |
Total | 4,130 | 1,899 | 3,546 | 1,517 | 91 | 11,184 |
EUR thousand | 2025 | 2024 |
Pekka Vauramo, Chair1 | 170 | \u2014 |
Annika Paasikivi, Vice Chair4 | 108 | 83 |
Bernd Eikens, Member 1 | 89 | \u2014 |
Jonas Gustavsson, Member1 | 82 | \u2014 |
Anu H\u00e4m\u00e4l\u00e4inen, Member | 97 | 99 |
Pekka Kemppainen, Member | 88 | 91 |
Annareetta Lumme-Timonen, Member | 88 | 84 |
Monika Maurer, Member | 96 | 95 |
Mikael M\u00e4kinen, Chair2 | 5 | 178 |
Jaakko Eskola, Vice Chair2 | 3 | 106 |
Per Lindberg, Member2 | \u2014 | 87 |
Aaro Cantell, Member3 | \u2014 | 4 |
Eriikka S\u00f6derstr\u00f6m, Member3 | \u2014 | 6 |
Juha P\u00f6ll\u00e4nen, Personnel Representative | 9 | 8 |
Total | 836 | 840 |
1 From March 26, 2025. 2 Until March 26, 2025. 3 Until March 21, 2024. 4 Vice Chair from March 26, 2025, previously Member. |
Company name | Country of incorporation and place of business | Parent holding, % | Group ownership interest, % |
Valmet Pty Ltd | Australia | \u2014 | 100.0 |
Valmet GesmbH | Austria | \u2014 | 100.0 |
Valmet Belgium BV | Belgium | \u2014 | 100.0 |
Valmet Celulose, Papel e Energia Ltda. | Brazil | \u2014 | 100.0 |
Valmet Engraving Solutions Ltda. | Brazil | \u2014 | 100.0 |
Valmet Fabrics Tecidos T\u00e9cnicos Ltda. | Brazil | \u2014 | 100.0 |
Valmet Flow Control Ltda. | Brazil | \u2014 | 100.0 |
Valmet Tissue Converting Ltda. | Brazil | \u2014 | 100.0 |
Valmet Ltd. | Canada | \u2014 | 100.0 |
Valmet Flow Control SpA | Chile | \u2014 | 100.0 |
Valmet S.A. | Chile | \u2014 | 100.0 |
Neles (China) Investment Co., Ltd. | China | 100.0 | 100.0 |
Valmet (China) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Automation (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Fabrics (China) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Flow Control (Jiaxing) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Flow Control (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Machinery (Changzhou) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Technology (China) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Technology (Guangzhou) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Paper Technology (Xi\u2019an) Co., Ltd. | China | \u2014 | 75.0 |
Valmet Technologies Co., Ltd. | China | \u2014 | 100.0 |
Valmet Tissue Converting (Nantong) Co., Ltd. | China | \u2014 | 100.0 |
Valmet Tissue Converting (Shanghai) Co., Ltd. | China | \u2014 | 100.0 |
Valmet d.o.o. | Croatia | \u2014 | 100.0 |
Valmet s.r.o. | Czech Republic | \u2014 | 100.0 |
Valmet Automation Oy | Finland | 100.0 | 100.0 |
Valmet Flow Control Oy | Finland | 100.0 | 100.0 |
Valmet Kauttua Oy | Finland | \u2014 | 100.0 |
Valmet Technologies Oy | Finland | 100.0 | 100.0 |
Valmet Automation SAS | France | \u2014 | 100.0 |
Valmet Flow Control SAS | France | \u2014 | 100.0 |
Valmet SAS | France | \u2014 | 100.0 |
FactoryPal GmbH | Germany | \u2014 | 75.1 |
Gas Chromatography Systems MAXUM GmbH | Germany | \u2014 | 100.0 |
Valmet Deutschland GmbH | Germany | \u2014 | 100.0 |
Valmet Flow Control GmbH | Germany | \u2014 | 100.0 |
Valmet GmbH | Germany | \u2014 | 100.0 |
Company name | Country of incorporation and place of business | Parent holding, % | Group ownership interest, % |
Valmet Flow Control Private Limited | India | \u2014 | 100.0 |
Valmet Technologies Private Limited | India | \u2014 | 100.0 |
PT Valmet | Indonesia | \u2014 | 100.0 |
PT Valmet Automation Indonesia | Indonesia | \u2014 | 100.0 |
PT Valmet Technology Center | Indonesia | \u2014 | 100.0 |
Valmet Engraving Solutions S.r.l. | Italy | \u2014 | 100.0 |
Valmet Flow Control S.p.A. | Italy | \u2014 | 100.0 |
Valmet S.p.A. | Italy | \u2014 | 100.0 |
Valmet Tissue Converting S.p.A. | Italy | \u2014 | 100.0 |
Valmet Tissue Converting S.r.l. | Italy | \u2014 | 100.0 |
Valmet K.K. | Japan | \u2014 | 100.0 |
Valmet Sdn. Bhd. | Malaysia | \u2014 | 100.0 |
Valmet Flow Control SA de C.V. | Mexico | \u2014 | 100.0 |
Valmet Technologies S. de R.L. de C.V. | Mexico | \u2014 | 100.0 |
Valmet B.V. | Netherlands | \u2014 | 100.0 |
Valmet AS | Norway | \u2014 | 100.0 |
Valmet Flow Control S.A.C. 1 | Peru | \u2014 | 100.0 |
Valmet Automation Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Flow Control Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Services Jelenia G\u00f3ra Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Services Sp. z o.o. | Poland | \u2014 | 100.0 |
Valmet Technologies and Services S.A. | Poland | \u2014 | 100.0 |
Valmet, Unipessoal Lda. | Portugal | \u2014 | 100.0 |
Valmet Flow Control, Unipessoal Lda | Portugal | \u2014 | 100.0 |
Valmet Trading and Contracting W.L.L. 2 | Qatar | \u2014 | 49.0 |
Valmet Flow Control Co., Ltd. | Republic of Korea | \u2014 | 100.0 |
Valmet Inc. | Republic of Korea | \u2014 | 100.0 |
Valmet Flow Control S.R.L. | Romania | \u2014 | 100.0 |
Valmet Flow Control Industrial LLC | Saudi Arabia | \u2014 | 70.0 |
Gas Chromatography Systems MAXUM Pte. Ltd. | Singapore | \u2014 | 100.0 |
Valmet Flow Control Pte. Ltd. | Singapore | \u2014 | 100.0 |
Valmet Pte. Ltd. | Singapore | \u2014 | 100.0 |
Valmet Flow Control South Africa Pty Ltd | South Africa | \u2014 | 100.0 |
Valmet South Africa (Pty) Ltd | South Africa | \u2014 | 100.0 |
Valmet Technologies, S.A.U. | Spain | \u2014 | 100.0 |
Valmet Technologies Zaragoza, S.L. | Spain | \u2014 | 81.0 |
Valmet AB | Sweden | 100.0 | 100.0 |
Valmet Co., Ltd. | Thailand | \u2014 | 100.0 |
Valmet Flow Control Turkey Dis Ticaret A.S. | Turkey | \u2014 | 100.0 |
Company name | Country of incorporation and place of business | Parent holding, % | Group ownership interest, % |
Valmet Sel\u00fcloz Kagit ve Enerji Teknolojileri A.S. | Turkey | \u2014 | 100.0 |
Valmet Flow Control LLC2 | United Arab Emirates | \u2014 | 49.0 |
Valmet FZE | United Arab Emirates | \u2014 | 100.0 |
Valmet Process Technologies and Services LLC2 | United Arab Emirates | \u2014 | 49.0 |
Neles UK Ltd1 | United Kingdom | \u2014 | 100.0 |
Valmet Limited | United Kingdom | \u2014 | 100.0 |
Gas Chromatography Systems MAXUM LLC | USA | \u2014 | 100.0 |
Neles-Jamesbury, Inc. | USA | 100.0 | 100.0 |
Valmet, Inc. | USA | 48.7 | 100.0 |
Valmet Flow Control Inc. | USA | \u2014 | 100.0 |
Valmet Co., Ltd. | Vietnam | \u2014 | 100.0 |
1 Under liquidation. 2 Based on contractual arrangement, the Group has full control of the company and is consolidating the entity 100%. |