Kesla Oyj operating result was negative, but orders and backlog increased.

Kesla Oyj published its Business Review for January to March on April 29, 2025. The company’s net sales fell by 22.5%, totaling EUR 8.3 million compared to EUR 10.7 million in the previous period. The operating result also declined to EUR -778 thousand, down from EUR 85 thousand.

However, orders received by Kesla Oyj increased by 26.1%, reaching EUR 11.5 million, up from EUR 9.2 million. The order backlog decreased by 30.0% compared to the previous period, totaling EUR 10.3 million compared to EUR 14.6 million. Nonetheless, it improved by EUR 3.0 million from the level at the beginning of the year.

80,000 Hours

That’s a remarkable amount of work hours for a single machine, the Norcar 600 owned by Erkki Rinne is taken well care of, it even has the original Diesel engine.
Kieran Anders Forestry

Kieran Anders is a forestry contractor working in the lake district. His work involves hand cutting and extracting timber using a skidder and tractor-trailer forwarder.
Promoting safety in the workplace

It is not possible to eliminate chain shot, but there are simple steps that can be taken to reduce the risk.
Glasfryn Fencing and Sawmill

Arwel takes great pride in the fact that the mill has no waste whatsoever, “the peelings are used for children’s playgrounds, gardens and for farm animals in barns in the winter and the sawdust has multiple uses in gardens and farms as well.
Keeping Timber Hauliers Safe

Timber hauliers need to encourage young blood in, and also look after the hauliers we have, we need make the sector a safe and positive place to work.

FIND US ON

Due to low demand and a reduced order backlog, the company has implemented further adjustment measures. These measures affect all personnel and may include layoffs of up to 90 days by the end of June 2025. Additionally, the company has reorganized its customer interface operations.

President and CEO Pasi Nieminen

In the first quarter, we observed that net sales were influenced by a lower number of orders received in the fourth quarter of the previous year. Moreover, the industrial action that took place during this review period resulted in delays in product deliveries, which unfortunately could not be recovered within the timeframe. Consequently, net sales for the quarter decreased by 22.5% compared to the same period last year, amounting to EUR 8.3 million. Conversely, we are pleased to report that orders received were 26.1% higher than in the prior period, totaling EUR 11.5 million, with an order backlog of EUR 10.3 million—EUR 3.0 million higher than at the start of the year.

A significant aspect of Kesla Oyj financial landscape in early 2025 has been the adjustment of our operations to align with current demand levels relative to our resources. Our operating result for the first quarter marked a loss of EUR 0.8 million. The industrial action during this period had a notable impact on both profitability and the movement of working capital. Additionally, earnings per share were affected by the elevated financing costs and the maintenance of net debt levels similar to those of the previous period. Our interest-bearing net debt was recorded at EUR 11.9 million, compared to EUR 11.6 million, reflecting 111.5% of net sales, increasing from 91.6%.

Despite ongoing market uncertainty, we are encouraged to see that pent-up investment demand is beginning to translate into increased order flows. The value of orders received rose by EUR 2.3 million to EUR 11.5 million, which represents our strongest order intake since Q2 2023. By the end of the review period, the order backlog stood at EUR 10.3 million, compared to EUR 14.6 million previously, with exports accounting for 53.1% of total sales, an increase from 50.3%.

Moving forward into 2025, we are committed to implementing our revised strategy, which emphasizes bold renewal, profitable growth, and collaborative success alongside our customers, partners, and employees. We have revitalized the organization of functions supporting our customer interface to further enhance the customer experience and foster mutual success. Additionally, we are excited to announce the establishment of the Kesla Defence product group, which will strengthen our position within the international defense market for products and services.