The past financial year has been characterized by uncertainties in the world. All our businesses have been affected by the Covid-19 pandemic, the war in Ukraine and rising inflation.

The continued disruption in global supply chains has been a significant factor that has affected most of our customers. Strong industrial demand, combined with disruptions in global supply chains, created a price increase in most raw materials in the first half of the year. Russia's tragic invasion of Ukraine led to a further rise in raw material and energy prices, which created a basis that contributed to a sharp increase in inflation and consequently higher interest rates, leading to market uncertainty in the second half of the year.


Given a year with many challenges around the world and volatile markets, our focus has been to sustain a safe and efficient organization with strong customer focus. We have also focused on internal improvements and continue to invest in new production processes as well as launching new digital services. Stena Metall's operating model, with delegated business acumen, empowers the organization to make decisions close to customers and operations where we can create value. This has worked very well during this volatile period. We have been able to quickly adapt to the changing market environment. Accordingly, we have once again been able to deliver a strong result as we reported an EBITDA of SEK 3,644 million.

Stena Metall is organized in three subgroups: Stena Recycling, Trade & Industry and Stena Metall Finans. All three groups, and their respective companies, have contributed positively to the financial result of Stena Metall. Our ambitions are to have leading market positions in all companies, to have top scores in customer satisfaction and a growing number of customers, to have a strong focus on financial targets, and to drive performance by using group structure to develop people, culture and processes.


Stena Recycling's strong network, with 159 branches, with strong material expertise, continuous improvements, focus on good customer service and operating capabilities, has performed very well during the past year. Stena Recycling has continued to strengthen its position in all countries and consolidated its position as the leading recycling company in the Nordic region.

The growing customer base has a strong demand for sustainable services and circular solutions. For the past 10 years, Stena Recycling has invested in new technology and production processes in order to refine waste to quality assured raw materials and grow the business. This position, as an industrial recycler, has been successful to meet the industry's requirements of recycled materials. Stena Recycling will continue to develop the position as an industrial recycler to become a circular partner to present and future customers.

We have launched several strategic initiatives in recent years. An example is Stena Circular Consulting, where we use material expertise and hands-on skills to support and advise our customers in strategic and operational ways.

We also continue to develop our cooperation within the collaboration arena Circular Initiative. As a part of this, during 2021, we presented a new partnership with Alfa Laval to introduce a groundbreaking business model for boosting circularity in the heat exchanger supply chain. The initiative makes it possible for Alfa Laval customers to upgrade to a more energyefficient heat exchanger and get a refund for returning an old one, which will be recycled.

In October this year, we completed the acquisition of Encore Environmental Services (Encore Yampöristöpalvelut Oy), which strengthens our position and doubles our operations in Finland.

This places us in a strong position when we will probably face tougher market conditions in the coming year.


Stena Aluminium has been able to achieve good margins and manage the volatile markets well. Performance has been at all-time high levels. Interest in secondary aluminium has continued to accelerate. During this year, more companies than ever before have reached out wanting to discuss how they can reduce their climate impact by using secondary aluminium instead of primary.

During the past year, Stena Stål has been operating in a turbulent market with rapid price movements due to disrupted supply chains. The acquisition of Abrahamssons Järn, made in the second quarter, has been a good contribution to Stena Stål's strategic plan moving forward.

Stena Oil continues to operate the business with high volumes at all-time high levels despite one of the most turbulent years in the company's history. Sales in southern Sweden have increased during the year. The main reason is a new contract with DFDS and a shift of Stena Line's bunkerings from Liepāja in Latvia to Travemünde in Germany. Progress is being made in the on-going projects to achieve an even more efficient terminal setup in both Gothenburg, Sweden, and Frederikshavn, Denmark.

Our two newest companies in the Stena Metall Group, BatteryLoop and HaloSep, have strengthened their market positions further during the year and have developed from start-up to scale-up companies. BatteryLoop continues to grow and took an important step during the year with the frame and supply agreement with Mercedes-Benz Energy GmbH that enables BatteryLoop to provide 40 MWh until the end of 2023. HaloSep signed a very interesting agreement with Dutch company AVR during the year to explore the feasibility of local recycling of flue gas treatment material based on HaloSep's technology. The construction of the development facility in Gothenburg, Sweden is progressing.

Despite turbulent markets, Stena Metall Finans managed to deliver a good result. This is the result of continued discipline and a well-balanced level of risk in its financial investments. Stena Metall Finans also continues to develop our activities within green financing. In April we issued our second green bond with “Dark Green” rating, which is the highest possible rating among the shades of green reflecting the extent to which investments and operations contribute to a low carbon and climate resilient future. It is very satisfying to conclude that the bond attracted solid interest from investors, and that the analysis institute Cicero listed it among its best-practice examples in the waste and circular service category in its annual best-practice report as guidance for investors. With the green bonds we are fulfilling a need that the market is demanding, continuing to broaden the investor base, and consolidating our strong position in the Nordic bond market.

The uncertainty in the market will most likely continue for some time to come, and nobody knows what will happen regarding the development of the situation in Ukraine. However, we have a strong financial position, so we are well equipped to handle the situation in the best possible way. We also have a strong operational model that continues to strengthen us as we navigate through periods of market disruption and turmoil.


Kristofer Sundsgård, Gothenburg, November 2022