(Incorporated in
(Registered number: 6209386) LSE share code: MNDI
LEI: 213800LOZA69QFDC9N34 JSE share code: MNP
This announcement contains inside information
Resilient full year performance; Actions taken to drive value;
Strongly positioned to capture upside
“Our industry continues to work through a prolonged cyclical downturn, yet we delivered a resilient full year financial performance, achieving underlying EBITDA of €1,001 million. This reflects the strength of our cost advantaged and integrated assets, our quality product offering, the commitment of our people and the targeted strategic actions taken to enhance our competitive advantage.
“We have intensified our focus on operational excellence and cost discipline. Bringing together
“We have also taken clear and disciplined decisions on capital allocation. Following a period of investment into our structurally growing markets, we are now prioritising maintenance capital expenditure and cost - optimisation opportunities. Furthermore, the Board is recommending to bring the dividend back in line with our cover policy. Combined with our robust financial position and proactive liquidity management, these actions put us on a strong footing for the year ahead and position us well for the future.
“Going into 2026, it remains unclear when geopolitical and macroeconomic conditions will improve. Paper prices are modestly lower, on average, than those seen in the final quarter of 2025. We are, however, confident in our ability to navigate these headwinds effectively through disciplined volume growth as we leverage our recent capacity expansions, strong margin management and cost optimisation.
"We remain confident in the structural growth drivers that underpin our packaging businesses and
Financial summary
€million, Six months Six months
unless Year ended Year ended Change ended ended
otherwise 31December 31December 2024 31December 2025
stated 2025 % (H2 2025) 30 June 2025(H1
2025)
Group revenue 7,663 7,416 3 3,754 3,909
Underlying 1,001 1,049 (5) 437 564
EBITDA1
Forestry fair 39 7 21 18
value gain
Underlying
EBITDA
excluding 962 1,042 416 546
forestry fair
value gain1
Underlying 13.1% 14.1% 11.6% 14.4%
EBITDA margin1
Profit before 269 378 (29)
tax
Basic
underlying
earnings per 56.5 82.7 (32)
share (euro
cents)1
Basic earnings
per share 37.4 49.1 (24)
(euro cents)
Total ordinary
dividend per 28.25 70.00
share (euro
cents)
Cash generated
from 1,072 970 11
operations
Net debt to
underlying 2.6 1.7
EBITDA
(times)1
Return on
capital 6.7% 9.6%
employed
(ROCE)1
1 The Group presents certain measures that are not defined or specified according to International Financial Reporting Standards. Refer to the Alternative Performance Measures (APMs) section at the end of this document for further detail.
Enquiries
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The person responsible for arranging the release of this announcement on behalf of Mondi plc is
Results presentation details
A webinar will be held today at 08:30 (GMT), 09:30 (CET), 10:30 (SAST).
Event registration link: https://storm-virtual-uk.zoom.us/webinar/register/WN_mGNmWdnpQVeTZgwz7wLvWQ
Once registered, you will receive a confirmation email from ‘MONDI Group Events’ with the webinar link and ID.
A replay will be available on our website within a couple hours after the end of the live results presentation at:
https://www.mondigroup.com/investors/results-reports-and-presentations/
For any queries, please email ir@mondigroup.com
Delivering value-accretive growth, sustainably
Fragile consumer and industrial confidence driven by macroeconomic uncertainty and geopolitical tensions continue to weigh on demand in many of our core markets. These cyclical pressures have been exacerbated by the current supply side changes in capacity, notably in recycled containerboard and pulp, which have seen significant net capacity additions, and in uncoated fine paper, where industry supply side responses to weaker market demand proved to be inadequate. In contrast, virgin containerboard and kraft paper - where
Despite the current pressures, we remain confident that the structural growth drivers for sustainable packaging remain intact, underpinned by the continued growth in eCommerce and the transition to circular solutions, driven by both customer preference and regulation. The move to more sustainable packaging continues and we see ever greater engagement from our customers to develop new sustainable solutions which they can implement at scale.
Our offering is underpinned by cost-advantaged pulp and paper mills located close to raw material sources and a well-positioned, integrated converting network that optimises logistics and operational efficiency. These factors create a strong competitive advantage and enable
We will continue to grow sustainable packaging across our two complementary business units leveraging our cost-advantaged, integrated assets and our leading market positions.
In
In
We remain confident in our strategy and in the long-term structural growth drivers of our packaging businesses. At the same time, we recognise the near-term challenges and associated risks across our markets. In response, we have acted quickly and decisively to support earnings, cashflow and liquidity - actions that continue to strengthen the Group in the short term and will drive stronger returns as market conditions improve.
Decisive actions to drive value and enhance competitive advantage
With some of the most productive and lowest cost pulp and paper mills in
1. Accelerating operational excellence programmes to drive productivity and efficiency
Operational excellence is core to Mondi’s competitive strength and sustainable growth. It defines how we run our business every day, eliminating productivity losses, improving efficiency and enabling our people to deliver consistent, high-quality performance across the value chain. As an example, these actions have resulted in improved productivity across our paper bag converting plants by 5% in 2025 when compared to 2024.
We are accelerating our approach to operational excellence with new programmes driving a zero-loss productivity mindset and a disciplined, systematic way of operating. We are optimising processes, lowering costs and strengthening asset reliability, which is lifting right-first-time performance, reducing lead times and deepening customer trust. These gains create a lasting structural advantage: faster innovation cycles, higher energy and resource efficiency and production that adapts more flexibly to customer needs.
One year into this multi-year programme, momentum is building. An early adopter was a production line at a containerboard mill which has already reduced unscheduled operating downtime and improved total efficiency by 3% above the historic average. There are further improvements to come across all our production lines as we adopt this systematic approach to operational excellence.
2. Delivering efficiency gains through plant network optimisation
Our ongoing commitment to improving productivity, enhancing cost advantage and ensuring our network remains fit for the future has led us to close 22 converting plants in the last ten years. We follow a disciplined approach to allocating capital where growth potential is strongest and customer demand greatest. We prioritise more efficient sites and superior service to our customers.
We have announced the closure of three further sites in the last three months, a corrugated solutions plant in Turkiye and paper bag plants in
The integration of
3. Focused fixed cost control
We continue to execute targeted cost-out initiatives with a clear mandate: drive efficiency, eliminate non-essential activities and strengthen the core revenue-generating areas of the business.
While we have increased headcount to support capacity expansion projects and respond to higher customer demand, we have streamlined the overhead structure and operational headcount where appropriate. Over the past 12 months we have reduced headcount by approximately 1,000, driven from greater efficiency in our operations, plant closures, and a 13% reduction in our Group Services offices. The three recently announced plant closures will further reduce headcount by approximately 200. We are continually looking to drive additional efficiencies across our network.
We combined
Driving cash generation and disciplined capital allocation
We intensified our focus on cash generation during 2025 and generated higher cash from operations of €1,072 million (2024: €970 million) driven by a strong focus on working capital management.
During the year, we invested €673 million in property, plant and equipment (2024: €933 million) which included spend on previously approved and now completed major capacity expansion projects. Capital expenditure for 2026 is expected to be approximately €550 million, lower than the €650 million previously guided. This will focus on maintenance and targeted cost-optimisation opportunities including enhancing energy efficiency, improving productivity and strengthening the resilience of our asset base. Importantly, this reduction does not compromise safety, asset integrity or our ability to capture the upside as markets recover.
We have a robust financial position with no financial covenants and an investment grade credit rating. Our upcoming bond maturity in
The Board has recommended a total ordinary dividend for 2025 of
Delivering a differentiated customer value proposition
We see ever greater engagement from customers to develop sustainable solutions which they can implement at scale.
To support our continued growth in eCommerce we have combined our sales teams across corrugated and flexible packaging to provide a single point of entry for customers as their packaging needs evolve.
We are consistently innovating and exchanging know-how across the Group to deliver the widest range of recyclable, paper-based and high-performance solutions, as recognised by the nine
Our operational excellence programmes enhance our customer offering by focusing on right-first-time performance, reduced production lead times and more flexibility. These programmes will also drive greater energy efficiency improving our sustainability impact and supporting customers’ Scope 3 commitments.
Strongly positioned to capitalise as markets recover
We are very proud of our teams for completing the build and start-up phase of the recent major capacity expansion projects on time and on budget. Our focus is now on delivering full productivity ramp-up, executing our commercial strategy, driving cash generation and delivering strong returns.
Similarly, the integration of
While the current cyclical downturn is proving more protracted than those seen in the past, we are confident in our ability to navigate this effectively through disciplined volume growth as we leverage our recent capacity expansions, strong margin management and cost optimisation.
We remain confident in the structural growth drivers that underpin our packaging businesses and
Group performance
Group revenue of €7,663 million was up on the prior year (2024: €7,416
million) driven by higher sales volumes and the revenue contribution from the
Pricing across all input cost categories was stable in 2025 compared to the prior year mirroring the muted economic backdrop. Total input costs were higher year on year as a result of higher volumes both organically and from acquisitions. In early 2026 input costs are broadly stable and similar to average 2025 levels.
Total maintenance costs were broadly similar to the prior year. These included the impact from planned maintenance shuts of which the majority were completed in the second half of the year. In 2026, we expect a similar phasing of planned maintenance shuts as in 2025, with a total estimated underlying EBITDA impact of around €100 million.
Personnel costs were higher year on year driven by the inclusion of
Currency movements had a net neutral impact on underlying EBITDA compared to the prior year. The negative impact from a weaker US dollar in the current year was offset by the non-recurrence of the loss recognised in 2024 from the devaluation of the Egyptian pound.
Depreciation, amortisation and impairment underlying charges were higher at €504 million (2024: €443
million) as a result of the start up of a number of capital investment projects in the year and the inclusion of the acquired
Net finance costs of €112 million were above the prior year (2024: €70 million) due to a higher average net debt balance and higher interest costs from refinancing. In 2026, we expect net finance costs of around €125 million due to higher average net debt.
The underlying tax charge for the year was €91 million, giving an effective tax rate of 24% (2024: €117 million, 22%). In 2026, we expect an effective tax rate of around 25%.
A special item pre-tax charge of €106
million (2024: €150
million) was recognised in the year. €18
million of restructuring and closure costs, and €57
million of impairment charges were incurred from optimising our converting plant network, streamlining overhead costs and impairing converting assets in emerging
Basic underlying earnings per share were
Cash flow
Cash generated from operations was higher than the previous year at €1,072 million (2024: €970 million) driven by strong working capital management as reflected in a working capital cash inflow in the year of €83 million.
Investment in property, plant and equipment of €673 million in the year (2024: €933 million) was lower than the previously guided €750-850 million driven by our ongoing focus on cash management.
The acquisition of
The total cash outflow in the year from special items totalled €47 million.
Tax paid was €87 million (2024: €120 million) and interest paid was €95 million (2024: €79 million), including derivative interest.
The Group paid ordinary dividends of €305 million. This, together with dividends paid to non-controlling interests in the year of €47 million, resulted in dividend payments totalling €352 million in the year.
Liquidity, treasury and borrowings
Net debt at 31
The Group has an investment grade credit rating with a BBB (stable outlook) credit rating from Standard & Poor’s and a Baa1 (negative outlook) credit rating from Moody’s.
During the year we increased our Syndicated RCF by €250 million from €750 million up to €1 billion, effective from
Business unit review
The Group has reorganised its business units during the year and combined the Uncoated Fine Paper business unit with
We are the leading virgin containerboard producer in
As a leading corrugated solutions producer in central and emerging
In addition, we produce a wide range of printing papers at our mills in central
Year ended Six months Six months
€million and Year ended 31December 2024 Change ended ended 30 June
percentage 31December 31December 2025 2025 (H1 2025)
2025 (restated) % (H2 2025)
(restated)
Segment 3,775 3,519 7 1,882 1,893
revenue
Underlying 458 526 (13) 174 284
EBITDA
Forestry fair 39 7 21 18
value gain
Underlying
EBITDA
excluding 419 519 153 266
forestry fair
value gain
Underlying
EBITDA margin 12.1% 14.9% 9.2% 15.0%
(%)
Capital 4,265 3,742
employed
ROCE (%) 4.4% 8.5%
In Containerboard, our sales volumes were up on the prior year. This was driven by the growing demand from our customers for our broad range of paper grades with additional volumes fulfilled by our new capacity following major capital investment projects at our mills in Swiecie (
Corrugated Solutions achieved 2% organic box volume growth compared to 2024 driven by demand for sustainable packaging solutions for consumer end-use applications. In addition, the
In Uncoated Fine Paper, and against a backdrop of weaker market demand, the business delivered broadly stable sales volumes, successfully increasing market share, testament to its strong customer offering. Average selling prices were however significantly lower than the prior year as industry supply side responses to the weaker market demand proved inadequate.
Pulp prices were, on average, significantly lower year on year, with prices rising modestly in early 2025 but decreasing sharply at the end of the first half of the year and remaining under pressure during the second half.
The forestry fair value gain was higher at €39 million in the year (2024: €7 million).
Return on capital employed (ROCE) was lower than the prior year at 4.4% (2024: 8.5%) driven by an increase in capital employed due to the start up of a number of major capacity expansion projects and the acquisition of
We are a global producer of flexible packaging, offering our customers a unique portfolio of solutions across industrial and consumer end-use applications.
Approximately 50% of our revenue is derived from industrial end-use applications, where we are the global market leader in sack kraft paper and paper bag production. Our customer offering is further supported by our strong integration, scale, security of supply and global reach.
We generate approximately 50% of our revenue from consumer end-use applications, producing complex consumer packaging solutions across multiple substrates, with leadership positions in our chosen markets.
Year ended Change Six months Six months
€million and 31December Year ended ended ended
percentage 2025 31December 2024 % 31December 2025 30 June 2025
(H2 2025) (H1 2025)
Segment 3,941 3,964 (1) 1,897 2,044
revenue
Underlying 583 558 4 281 302
EBITDA
Underlying
EBITDA margin 14.8% 14.1% 14.8% 14.8%
(%)
Capital 3,622 3,418
employed
ROCE (%) 10.4% 11.5%
In Kraft Paper, we successfully ramped up volumes at our new paper machine at our Steti mill (
Paper Bags delivered a good performance with sales volumes up 5% on the prior year. This was supported by good demand for construction and building material bags in emerging markets, solid demand for traditional industrial end uses in
Average pricing across the kraft paper and paper bag value chain was broadly similar year on year with price increases in the first half of the year offset by price reductions in the second half. Kraft paper prices in 2026 are currently lower than 2025 average prices.
Consumer Flexibles and Functional Paper and Films continued to provide our customers with a broad range of innovative and sustainable packaging solutions, supported by a number of recently completed investments which enhance our capabilities and consolidate our leading positions in our chosen markets.
Principal risks
The Board is responsible for the effectiveness of the Group’s risk management activities and internal control processes. It has put procedures in place for identifying, evaluating, and managing the risks faced by the Group. In combination with the Audit Committee, the Board conducted, over the course of the year, a robust assessment of the Group’s principal and emerging risks to which
Risk management is by its nature a dynamic and ongoing process. Risk management is of key importance given the diversity of the Group’s locations, markets and production processes. Our internal controls aim to provide reasonable assurance as to the accuracy, reliability and integrity of our financial information, non-financial disclosures and the Group’s compliance with applicable laws, regulations and internal policies as well as the effectiveness of internal processes.
The Group’s most significant risks are long-term in nature. We assess and update our principal risks throughout the year to reflect the developments in our strategic priorities and Board discussions on principal and emerging risks.
The Group utilises a four-point risk appetite rating scale against which the residual risk of each principal risk can be considered. Where a difference is identified between the risk appetite and residual risk rating, the risk owner provides an explanation for and a chosen approach to address the differential to the Executive Committee and the Board.
A detailed risk assurance map is used to present our principal risks to the
Key changes in the year
The key changes to the Group’s principal risks identified during 2025 are set out below.
The country risk was derated with an assessed decrease in impact. The derating reflects the change in geographic capital allocation over recent years. This is supported by the Group’s recent capital investment projects and acquisitions in low risk countries, which contributes to lowering the Group’s country risk profile.
The cost and availability of raw materials risk was derated with a decreased likelihood due to the improved fibre security outlook. This conclusion follows a review of current wood market supply and demand, which reflects reduced demand and supports the expectation that the risk around availability of fibre has reduced.
In 2025, significant cyber security incidents were reported in the media, particularly related to large corporates based in the
We acknowledge that geopolitical uncertainties continue to affect business confidence and levels of economic activity. The Group continues to embed geopolitical risk and related effects on production, supply chains and customers within our principal risks.
Emerging risks
On
The Group's recent major capacity expansion projects were built on time, on budget and are operational. Our focus is now on achieving full productivity ramp-up, executing our commercial strategy, driving cash generation and delivering returns. The emerging risk concerning the start-up and commercial ramp-up of major capital projects has evolved in 2025 to focus on the commercial ramp-up of major capital projects. Commercial ramp-up is planned in detail from initial project inception and amended for market conditions once start-up is complete. Post-investment reviews are conducted on major capital investments to evaluate the project execution against the plan and identify lessons learnt. We continue to monitor and mitigate potential risks relating to the commercial ramp-up of major capital projects.
Strategic risks
The industries and geographies in which we operate expose us to specific long-term risks which are accepted by the Board as a consequence of the Group’s chosen strategy and operating footprint.
We continue to monitor recent capacity announcements, demand developments and how consumers are demanding more sustainable packaging. We continue to develop our understanding of climate change risks and its impact whilst continuing to improve our disclosures and responses.
The Executive Committee and the Board monitor our exposure to these risks and evaluate investment decisions against our overall exposures so that our strategic capital allocation takes advantage of the opportunities arising from our deliberate exposure to such risks.
Our principal strategic risks relate to the following:
• Industry productive capacity
• Product substitution
• Fluctuations and variability in selling prices or gross margins
• Country risk
• Climate change risks
Financial risks
We aim to maintain an appropriate capital structure and to manage our financial risk exposures in compliance with all laws and regulations.
An attentive approach to financial risk management remains in response to tax risks and ongoing short-term currency volatility.
Our principal financial risks relate to the following:
• Capital structure
• Currency risk
• Tax risk
Operational risks
As a Group we focus on operational excellence and investment in our people and are committed to the responsible use of resources.
Our investments to improve our energy efficiency, engineer out our most significant safety risks and improve operating efficiencies reduce the likelihood of operational risk events.
Our principal operational risks relate to the following:
• Cost and availability of raw materials
• Energy security and related input costs
• Technical integrity of our operating assets
• Environmental impact
• Employee and contractor health and safety
• Attraction and retention of key skills and talent
• Cyber security risk
Compliance risk
We have a zero tolerance approach to non-compliance. Our strong culture and values underpin our approach. These are emphasised in every part of our business with a focus on integrity, honesty and transparency.
Our principal compliance risk relates to reputational risk.
A more detailed description of our principal risks can be found in the Group’s 2024 Integrated Report. The 2025 Integrated Report is planned to be published in
Going concern
The directors have reviewed the Group’s budget and considered the assumptions contained in the budget, including consideration of the principal risks which may impact the Group’s performance in the 18 months following the balance sheet date and considerations of the period immediately thereafter.
The Group has a robust balance sheet. At
31
The Board believes that the Group’s financial position, supported by its investment grade credit ratings from Moody’s (Baa1, outlook negative) and Standard & Poor’s (BBB, outlook stable), ensures the Group has access to funding through the going concern period.
The current and possible future impact from the macroeconomic environment on the Group’s activities and performance has been considered by the Board in preparing its going concern assessment. The base case forecasts for the Group, being those arising over the 18-month going concern assessment period as reflected in the Group’s 2026-2028 plan, were sensitised to reflect a severe but plausible downside scenario on Group performance.
The scenario testing assumed severe but plausible volume and margin reductions happening in combination and was carried out against Mondi’s current committed debt facilities. During the year, the Group successfully refinanced the Group’s €600 million Eurobond maturing in
In the severe but plausible downside scenario, the Group has sufficient liquidity headroom throughout the entire period covered by the going concern assessment.
In addition to its modelled downside going concern scenario, the Board has reverse stress tested the model to determine the extent of downturn which would result in no liquidity headroom. The test was conducted based on the Group’s current committed debt facilities, with no assumption of refinancing for any facilities maturing during the assessment period. A decline of 100% of the planned underlying EBITDA in the period until
Following its assessment, the directors have formed a judgement, at the time of approving the condensed consolidated financial statements, that there are no material uncertainties that cast doubt on the Group’s going concern status and that it is a reasonable expectation that the Group has adequate resources to continue in
operational existence for the going concern period. For this reason, the Group continues to adopt the going concern basis in preparing the condensed consolidated financial statements for the year ended 31
Audited financial information
The condensed consolidated financial statements and notes 1 to 18 for the year ended 31
Condensed consolidated income statement
for the year ended 31
2025 2024
Special Special
€million Notes Underlying items Total Underlying items Total
(Note4) (Note4)
Group revenue 3 7,663 — 7,663 7,416 — 7,416
Materials, energy
and consumables (3,876) — (3,876) (3,696) — (3,696)
used
Variable selling (680) — (680) (645) — (645)
expenses
Gross margin 3,107 — 3,107 3,075 — 3,075
Maintenance and
other indirect (432) — (432) (425) — (425)
expenses
Personnel costs (1,345) (19) (1,364) (1,228) (18) (1,246)
Other net
operating (329) (28) (357) (373) (58) (431)
expenses
EBITDA 3 1,001 (47) 954 1,049 (76) 973
Depreciation,
amortisation and (504) (59) (563) (443) (74) (517)
impairments
Operating profit 3 497 (106) 391 606 (150) 456
Net loss from (1) — (1) (3) — (3)
joint ventures
Net finance costs (112) — (112) (70) — (70)
Investment income 12 — 12 30 — 30
Foreign currency 2 — 2 (3) — (3)
gains/(losses)
Finance costs (126) — (126) (97) — (97)
Net monetary loss
arising from (9) — (9) (5) — (5)
hyperinflationary
economies
Profit before tax 375 (106) 269 528 (150) 378
Tax 6 (91) 19 (72) (117) 1 (116)
(charge)/credit
Profit for the 284 (87) 197 411 (149) 262
year
Attributable to:
Non-controlling 35 (3) 32 44 — 44
interests
Shareholders 249 (84) 165 367 (149) 218
Earnings per
share (EPS)
attributable to
shareholders
euro cents
Basic EPS 7 37.4 49.1
Diluted EPS 7 37.4 49.1
Basic underlying 7 56.5 82.7
EPS
Diluted 7 56.5 82.6
underlying EPS
Condensed consolidated statement of comprehensive income
for the year ended 31
2025 2024
Before tax Tax Net of tax Before tax Tax Net of tax
€million amount amount amount amount
charge credit
Profit for the 197 262
year
Items that may
subsequently be
or have been
reclassified to
the condensed
consolidated
income statement
Fair value
losses arising — — — (2) 1 (1)
from cash flow
hedges
Exchange
differences on
translation of (4) — (4) 75 — 75
non-euro
operations
Items that will
not subsequently
be reclassified
to the condensed
consolidated
income statement
Remeasurements
of retirement 8 (2) 6 (2) — (2)
benefits plans
Other
comprehensive 4 (2) 2 71 1 72
income/(expense)
for the year
Other
comprehensive
income/(expense)
attributable to:
Non-controlling (5) 11
interests
Shareholders 7 61
Total
comprehensive
income
attributable to:
Non-controlling 27 55
interests
Shareholders 172 279
Total
comprehensive 199 334
income for the
year
Condensed consolidated statement of financial position
as at 31
€million Notes 2025 2024 Property, plant and equipment 5,751 5,160 Goodwill 893 767 Intangible assets 110 70 Forestry assets 9 511 503 Investments in joint ventures 10 5 Financial instruments 25 29 Deferred tax assets 22 22 Net retirement benefits asset — 3 Other non-current assets 2 3 Total non-current assets 7,324 6,562 Inventories 1,213 1,194 Trade and other receivables 1,290 1,275 Current tax assets 21 22 Financial instruments 4 10 Cash and cash equivalents 13b 292 278 Total current assets 2,820 2,779 Total assets 10,144 9,341 Short-term borrowings 10 (344) (63) Trade and other payables (1,366) (1,281) Current tax liabilities (60) (67) Provisions (59) (65) Financial instruments (14) (9) Total current liabilities (1,843) (1,485) Medium- and long-term borrowings 10 (2,538) (1,952) Net retirement benefits liability 11 (151) (161) Deferred tax liabilities (346) (342) Non-current tax liabilities (4) — Provisions (34) (32) Other non-current liabilities (28) (19) Total non-current liabilities (3,101) (2,506) Total liabilities (4,944) (3,991) Net assets 5,200 5,350 Equity Share capital 97 97 Own shares (16) (20) Retained earnings 4,449 4,582 Other reserves 197 198 Total attributable to shareholders 4,727 4,857 Non-controlling interests in equity 473 493 Total equity 5,200 5,350
The Group’s condensed consolidated financial statements, including related notes 1 to 18, were authorised for issue by the Board on
Director Director
Condensed consolidated statement of changes in equity
for the year ended 31
€million Equity attributable to Non-controlling interests Total
shareholders equity
At 1 January 2024 5,655 441 6,096
Total comprehensive 279 55 334
income for the year:
Profit for the year 218 44 262
Other comprehensive 61 11 72
income
Hyperinflation monetary 7 — 7
adjustments
Transactions with
shareholders in their
capacity asshareholders
Dividends (1,081) (6) (1,087)
Purchases of own shares (12) — (12)
Mondi share schemes’ 9 — 9
charge
Injection from
non-controlling — 3 3
interests
At 31December 2024 4,857 493 5,350
Total comprehensive 172 27 199
income for the year:
Profit for the year 165 32 197
Other comprehensive 7 (5) 2
income/(expense)
Hyperinflation monetary 1 — 1
adjustments
Transactions with
shareholders in their
capacity asshareholders
Dividends (see note 8) (305) (47) (352)
Purchases of own shares (8) — (8)
Mondi share schemes’ 10 — 10
charge
At 31December 2025 4,727 473 5,200
Equity attributable to shareholders
€million 2025 2024 At 1 January 2024 Share capital 97 97 97 Own shares (16) (20) (17) Retained earnings 4,449 4,582 5,434 Cumulative translation adjustment reserve (456) (456) (520) Post-retirement benefits reserve (56) (59) (53) Share-based payment reserve 15 19 19 Cash flow hedge reserve — — 1 Merger reserve 667 667 667 Other sundry reserves 27 27 27 Total 4,727 4,857 5,655
Condensed consolidated statement of cash flows
for the year ended 31
€million Notes 2025 2024 Cash flows from operating activities Cash generated from operations 13a 1,072 970 Dividends received from other investments 1 1 Income tax paid (87) (120) Net cash generated from operating activities 986 851 Cash flows from investing activities Investment in property, plant and equipment 3 (673) (933) Investment in intangible assets (17) (13) Investment in forestry assets 9 (50) (48) Proceeds from the disposal of property, plant and 18 17 equipment Acquisition of businesses, net of cash and cash 12 (496) (6) equivalents Interest received 10 32 Other investing activities 7 15 Net cash used in investing activities (1,201) (936) Cash flows from financing activities Proceeds from issue of Eurobond 13c 1,139 496 Repayment of Eurobond 13c (321) (500) Proceeds from medium- and long-term borrowings 13c 307 215 Repayment of medium- and long-term borrowings 13c (296) (215) Proceeds from short-term borrowings 13c 11 9 Repayment of short-term borrowings 13c (77) (18) Repayment of lease liabilities 13c (36) (26) Interest paid 13c (56) (44) Dividends paid to shareholders 8 (305) (1,081) Dividends paid to non-controlling interests (47) (6) Purchases of own shares (8) (12) Injection from non-controlling interests — 3 Net cash outflow from debt-related derivative financial 13c (66) (47) instruments Net cash generated from/(used in) financing activities 245 (1,226) Net increase/(decrease) in cash and cash equivalents 30 (1,311) Cash and cash equivalents at beginning of year 269 1,592 Cash movement in the year 13c 30 (1,311) Effects of changes in foreign exchange rates 13c (8) (12) Cash and cash equivalents at end of year 13b 291 269
Notes to the condensed consolidated financial statements
for the year ended 31
1 Basis of preparation
These condensed consolidated financial statements as at and for the year ended 31
The Group’s condensed consolidated financial statements have been derived from the audited consolidated financial statements of the Group, prepared in accordance with
The financial information set out in these condensed consolidated financial statements does not constitute the Company’s statutory accounts for the years ended 31
The condensed consolidated financial statements have been prepared on a going concern basis as discussed in the commentary under the heading ‘Going concern’ which is incorporated by reference into these condensed consolidated financial statements.
The condensed consolidated financial statements have been prepared under the historical cost basis of accounting, as modified by forestry assets, pension assets, certain financial assets and financial liabilities held at fair value through profit and loss, assets acquired and liabilities assumed in a business combination and accounting in hyperinflationary economies.
2 Accounting policies
The same accounting policies and Alternative Performance Measures (APMs), methods of computation and presentation have been followed in the preparation of the condensed consolidated financial statements for the year ended 31
Alternative Performance Measures
The Group presents certain measures of financial performance and position that are not defined or specified according to IFRS Accounting Standards and
3 Operating segments
The Group’s operating segments are reported in a manner consistent with the internal reporting provided to the Executive Committee, the chief operating decision-making body. These segments are managed based on the nature of the products produced by each business and comprise two distinct segments (2024: three). The segment information also includes APMs as defined at the end of this document.
With effect from
Year ended 31
€million, unless Corrugated Flexible Packaging Corporate Intersegment Total otherwise stated Packaging elimination Segment revenue 3,775 3,941 — (53) 7,663 Internal revenue (31) (22) — 53 — External revenue 3,744 3,919 — — 7,663 Underlying EBITDA 458 583 (40) — 1,001 Depreciation, amortisation and (280) (223) (1) — (504) impairments Underlying operating profit/ 178 360 (41) — 497 (loss) Special items before tax (see (67) (39) — — (106) note 4) Capital employed 4,265 3,622 (88) — 7,799 Trailing 12-month average capital 4,048 3,445 (76) — 7,417 employed Additions to non-current 961 381 — — 1,342 non-financial assets Investment in property, plant and 325 348 — — 673 equipment Underlying EBITDA 12.1 14.8 — — 13.1 margin (%) Return on capital 4.4 10.4 — — 6.7 employed (%) Average number of employees 10.2 11.8 0.1 — 22.1 (thousands)1
1 Presented on a full-time employee equivalent basis.
Year ended 31
€million, unless Corrugated Flexible Packaging Corporate Intersegment Total otherwise stated Packaging elimination Segment revenue 3,519 3,964 — (67) 7,416 Internal revenue (30) (37) — 67 — External revenue 3,489 3,927 — — 7,416 Underlying EBITDA 526 558 (35) — 1,049 Depreciation, amortisation and (239) (203) (1) — (443) impairments Underlying operating profit/ 287 355 (36) — 606 (loss) Special items (5) (132) (13) — (150) before tax Capital employed 3,742 3,418 (78) — 7,082 Trailing 12-month average capital 3,358 3,051 (126) — 6,283 employed Additions to non-current 506 565 — — 1,071 non-financial assets Investment in property, plant and 415 518 — — 933 equipment Underlying EBITDA 14.9 14.1 — — 14.1 margin (%) Return on capital 8.5 11.5 — — 9.6 employed (%) Average number of employees 9.1 12.0 0.1 — 21.2 (thousands)1
1 Presented on a full-time employee equivalent basis.
External revenue by location of contribution and by location of customer
External External
revenue revenue
by location by location
of of customer
contribution
€ million 2025 2024 2025 2024
Western Europe
Austria 1,179 1,175 159 166
Germany 810 555 1,121 932
UK 22 3 231 196
Rest of Western Europe 787 721 1,768 1,620
Western Europe total 2,798 2,454 3,279 2,914
Emerging Europe
Czech Republic 760 705 260 264
Poland 1,418 1,347 716 729
Turkiye 410 490 451 533
Rest of emerging Europe 854 919 533 543
Emerging Europe total 3,442 3,461 1,960 2,069
Africa
South Africa 567 667 413 489
Rest of Africa 70 80 343 366
Africa total 637 747 756 855
North America 674 648 888 850
South America 9 7 138 93
Asia and Australia 103 99 642 635
Total Group revenue 7,663 7,416 7,663 7,416
4 Special items
The Group separately discloses special items, an APM as defined at the end of this document, on the face of the condensed consolidated income statement to assist its stakeholders in understanding the underlying financial performance achieved by the Group on a basis that is comparable from year to year.
€million 2025 2024 Operating special items Impairment of assets (59) (74) Restructuring and closure costs: Personnel costs (19) (18) Other restructuring and closure costs (4) (40) Costs relating to the acquisition of Schumacher Packaging (24) (5) Costs relating to the aborted all-share combination with DS Smith — (13) plc Total special items before tax (106) (150) Tax credit (see note 6) 19 1 Total special items (87) (149) Attributable to: Non-controlling interests (3) — Shareholders (84) (149)
In line with the Group’s ongoing commitment to improving productivity, enhancing its cost advantage and ensuring a future-fit network, the Group has taken action to optimise its converting plant network and streamline overhead costs. Actions include the initiation of plant closures in
This gave rise to €18
million of restructuring and closure costs, and €57
million of impairment charges. The total charge has been allocated between the two business units, with €43
million attributable to
In addition to the above, further special items were recognised in 2025 in relation to actions that took place in 2024 as set out below.
–
–
Transaction costs of €24
million were recognised in 2025 in relation to the acquisition of the Western Europe Packaging Assets of
–
–
A paper bags plant in Maastricht (
–
A paper bags plant in
–
Following the fire at the Stambolijski paper mill (
The operating special items resulted in a cash outflow from operating activities of €47
million for the year ended 31
5 Write-down of inventories to net realisable value
€million 2025 2024 Within materials, energy and consumables used Write-down of inventories to net realisable value (61) (69) Aggregate reversal of previous write-downs of inventories 52 49
6 Taxation
The Group’s effective rate of tax before special items for the year ended 31
€million 2025 2024 UK corporation tax at 25% (2024: 25%) 2 4 Overseas tax 86 105 Current tax in respect of the prior years (1) (4) Current tax 87 105 Deferred tax in respect of the current year 20 10 Deferred tax in respect of the prior years (14) (5) Deferred tax attributable to a change in the rate of domestic income (2) 7 tax Tax charge before special items 91 117 Current tax on special items (3) — Deferred tax on special items (16) (1) Tax credit on special items (see note 4) (19) (1) Tax charge for the year 72 116 Current tax charge 84 105 Deferred tax (credit)/charge (12) 11
As the Group operates in a number of countries, each with different tax systems, a degree of tax risk is inevitable, as tax laws are complex and subject to changes in legislation and to differing interpretations. Consequently, provision has been made for such tax risk exposures within current tax liabilities of €38 million (2024: €40 million), mainly in relation to transfer pricing risks arising from cross-border transactions. There is not expected to be any material change to the tax risk exposures or associated provisions within the next 12 months.
7 Earnings per share (EPS)
EPS
attributab
le to
shareholde
rs
euro cents 2025 2024
Basic EPS 37.4 49.1
Diluted EPS 37.4 49.1
Basic underlying EPS 56.5 82.7
Diluted underlying EPS 56.5 82.6
Basic headline EPS 48.1 60.8
Diluted headline EPS 48.1 60.8
The calculation of basic and diluted EPS, basic and diluted underlying EPS and basic and diluted headline EPS is based on the following data:
Earnings
€million 2025 2024
Profit for the year attributable to shareholders 165 218
Special items attributable to shareholders (see note 4) 103 150
Related tax (see note 4) (19) (1)
Underlying earnings 249 367
Net gain on disposal of property, plant and equipment (2) (12)
Insurance reimbursements for property damages (1) (3)
Restructuring and closure costs (see note 4) (23) (58)
Costs relating to the aborted all-share combination with DS Smith plc — (13)
(see note 4)
Costs relating to the acquisition of Schumacher Packaging (see note 4) (24) (5)
Gain on purchase of business before transaction-related costs — (13)
Impairments not included in special items 1 —
Loss arising from sale and leaseback transaction — 3
Related tax 12 4
Headline earnings for the year 212 270
Underlying earnings and headline earnings represent APMs which are defined at the end of this document.
Weighted
average
number of
shares
million 2025 2024
Basic number of ordinary shares outstanding 440.8 444.0
Effect of dilutive potential ordinary shares — 0.1
Diluted number of ordinary shares outstanding 440.8 444.1
The weighted average number of shares was prospectively adjusted from
8 Dividends
An interim dividend for the year ended 31
A proposed final dividend for the year ended 31
The final ordinary dividend proposed has been recommended by the Board and is subject to shareholder approval at the Annual General Meeting scheduled for Friday
2025 2024
euro cents pershare €million euro cents pershare €million
Final ordinary
dividend paid in 46.67 202 46.67 209
respect of the prior
year
Special dividend — — 160.00 769
Interim ordinary
dividend paid in 23.33 103 23.33 103
respect of the current
year
Total ordinary and 305 1,081
special dividends paid
Final ordinary
dividend proposed to 4.92 22 46.67 206
shareholders
On
Dividend timetable
The proposed final dividend for the year ended 31
Last date to trade shares cum-dividend JSE Limited Tuesday24 March 2026 London Stock Exchange Wednesday25 March 2026 Shares commence trading ex-dividend JSE Limited Wednesday25 March 2026 London Stock Exchange Thursday26 March 2026 Record date Friday27 March 2026 Last date for receipt of Dividend Reinvestment Plan (DRIP) elections byCentral Securities Depository Thursday2 April 2026 Participants Last date for DRIP elections toUK Registrar and South African Transfer SecretariesSouth African Register Tuesday7 April 2026 UK Register Thursday16 April 2026 Annual General Meeting Friday 24April 20261 Payment date Thursday7 May 2026 DRIP purchase settlement date (subject to market conditions and the purchase of shares in the open market)UK Register Monday11 May 2026 South African Register Wednesday13 May 2026 DRIP results announcement Thursday21 May 2026 Currency conversion date ZAR/euro Thursday19 February 2026 Euro/sterling Tuesday21 April 2026
1
Results of the Annual General Meeting to be held are expected to be released on or around Friday
Share certificates on
Information relating to the dividend tax to be withheld from Mondi plc shareholders on the South African branch register will be announced separately, together with the ZAR/euro exchange rate to be applied, on or shortly after Thursday
9 Forestry assets
€million 2025 2024 At 1 January 503 519 Investment in forestry assets 50 48 Fair value gains 39 7 Disposal of assets (1) — Felling costs (85) (92) Currency movements 5 21 At 31December 511 503 Mature 392 371 Immature 119 132
The fair value of forestry assets is a level 3 measure in terms of the fair value measurement hierarchy (see note 16), consistent with prior years. The fair value of forestry assets is determined using a market based approach.
10 Borrowings
The primary sources of the Group’s liquidity include its €3 billion Guaranteed Euro Medium Term Note Programme, its €1 billion Syndicated Revolving Credit Facility (RCF), and financing from various banks and other credit agencies, thus providing the Group with access to diverse sources of debt financing.
The principal loan arrangements in place are the following:
€million Maturity Interest rate % 2025 2024 Financing facilities Syndicated Revolving June 2028 EURIBOR + margin 1,000 750 Credit Facility1 €600 million Eurobond April 2026 1.625% 279 600 €750 million Eurobond April 2028 2.375% 750 750 €550 million Eurobond May 2031 3.375% 550 — €500 million Eurobond May 2032 3.750% 500 500 €600 million Eurobond May 2033 3.750% 600 — Long-Term Facility December 2026-June 2031 Various 20 13 Agreement Total committed 3,699 2,613 facilities Drawn (2,699) (1,863) Total committed 1,000 750 facilities available
1
Increased from €750 million to €1 billion on
The Group’s Eurobonds incur a fixed rate of interest. Foreign exchange swap agreements are utilised by the Group to raise non-euro-denominated currency to fund subsidiaries' liquidity needs, thereby exposing the Group to floating interest rates.
The RCF incorporates key sustainability targets linked to MAP2030, classifying the facility as a Sustainability-Linked Loan. Under the terms of the agreement, the margin is adjusted according to the Group’s performance against specified sustainability targets.
In
Short-term liquidity needs are met by cash and the RCF. As at 31
The Group currently has investment grade credit ratings from both Moody’s Investors Service (Baa1, outlook negative) and Standard & Poor’s (BBB, outlook stable).
2025 2024
€million Current Non-current Total Current Non-current Total
Secured
Lease liabilities 39 145 184 24 104 128
Total secured 39 145 184 24 104 128
Unsecured
Bonds 279 2,384 2,663 — 1,842 1,842
Bank loans and overdrafts 26 9 35 39 6 45
Total unsecured 305 2,393 2,698 39 1,848 1,887
Total borrowings 344 2,538 2,882 63 1,952 2,015
11 Retirement benefits
All assumptions related to the Group’s defined benefit schemes and post-retirement medical plan liabilities were re-assessed individually for the year ended 31
12 Business combinations
To 31
On
The acquisition complements Mondi’s
Since the date of acquisition,
The Group incurred total transaction costs of €29 million, of which €24 million was recognised in 2025 and €5 million in the second half of 2024. The transaction costs were treated as a special item and recorded within other net operating expenses in the condensed consolidated income statement (see note 4).
Details of the net assets acquired, as adjusted from book to fair value, are as follows:
€million Fair value Net assets acquired Property, plant and equipment 375 Intangible assets 43 Inventories 47 Trade and other receivables 62 Cash and cash equivalents 10 Assets held for sale 1 Total assets 538 Trade and other payables (50) Income tax liabilities (1) Deferred tax liabilities (10) Other provisions (1) Total liabilities (62) Short-term borrowings (72) Medium- and long-term borrowings (41) Debt assumed (113) Net assets acquired 363Goodwill arising on acquisition 129 Purchase price adjustment receivable 14 Cash acquired net of overdrafts (10) Net cash paid per consolidated statement of cash flows 496
The acquisition included several legal entities and was executed through a combination of share and asset deals. The acquisition constitutes a business accounted for under IFRS 3, 'Business Combinations'. The share deals involved 100% of the voting equity interests in the entities with the exception of a few entities with immaterial non-controlling interests. The non-controlling interests for these entities were recognised as the proportion of the fair values of the assets and liabilities recognised at acquisition.
The fair values of assets acquired and liabilities assumed in business combinations are level 3 measures in terms of the fair value measurement hierarchy. The assets were measured at fair value using relevant valuation methods accepted under IFRS 13, 'Fair Value Measurement', with related deferred tax adjustments.
Property, plant and equipment were measured using valuation techniques appropriate to each asset class. Land was valued using the market approach, which reflects current market prices for comparable properties. Buildings were assessed using the income approach, based on the present value of expected future cash flows attributable to these assets. Equipment was measured using the cost approach, which considers the replacement cost of a similar asset, adjusted for depreciation, physical deterioration and economic obsolescence. Management has considered the impact of environmental and climate risks on the estimated fair values of the acquired property, plant and equipment and concluded that these factors did not have a material impact.
Intangible assets, primarily customer relationships, were measured using the multi-period excess earnings method. This approach estimates fair value by projecting future cash flows attributable to the asset and deducting charges for contributory assets required to support those cash flows. The valuation incorporates key assumptions regarding revenue growth, EBITDA margins, customer attrition rates, discount rates, expected future tax obligations and contributory asset charges.
The purchase price adjustment receivable of €14 million, which is recognised in other receivables, relates to the finalisation of the purchase price and was settled in
On this basis, goodwill of €129 million was determined based on the fair values of the net assets acquired and was fully allocated to the
To 31
On
13 Consolidated cash flow analysis
(a) Reconciliation of profit before tax to cash generated from operations
€million 2025 2024 Profit before tax 269 378 Depreciation and amortisation 503 443 Impairment of property, plant and equipment (not included in special 1 — items) Share-based payments 10 9 Net cash flow effect of current and prior year special items 59 116 Net finance costs 112 70 Net monetary loss arising from hyperinflationary economies 9 5 Net loss from joint ventures 1 3 (Decrease)/increase in provisions (6) 13 Decrease in net retirement benefits (6) (8) Net movement in working capital 83 (108) Decrease/(increase) in inventories 51 (70) Increase in operating receivables (55) (140) Increase in operating payables 87 102 Fair value gains on forestry assets (39) (7) Felling costs 85 92 Net gain on disposal of property, plant and equipment (2) (12) Insurance reimbursements for property damages (1) (13) Other adjustments (6) (11) Cash generated from operations 1,072 970
(b) Cash and cash equivalents
€million 2025 2024 Cash and cash equivalents per condensed consolidated statement of 292 278 financial position Bank overdrafts included in short-term borrowings (1) (9) Cash and cash equivalents per condensed consolidated statement of cash 291 269 flows
The cash and cash equivalents of €292 million (2024: €278 million) include money market funds of €84 million (2024: €50 million) valued at fair value through profit and loss, with the remaining balance carried at amortised cost with fair values approximate to the carrying values presented.
The Group operates in certain countries where the existence of exchange controls or access to hard currency may restrict the use of certain cash balances outside of those countries. These restrictions are not expected to have any material effect on the Group’s ability to meet its ongoing obligations.
(c) Movement in net debt
The Group’s net debt position is as follows:
Cash and Current Debt Debt-related Total
financial Debt due due derivative net
€million cash asset within1year1 financial
investments after instruments debt
equivalents 1year
At 1 January 1,592 1 (559) (1,460) 7 (419)
2024
Cash flow (1,311) — 535 (496) 47 (1,225)
Cash movement in (1,311) — — — — (1,311)
the year
Proceeds from — — — (496) — (496)
Eurobonds
Repayment of — — 500 — — 500
Eurobonds
Proceeds from — — (9) (215) — (224)
borrowings
Repayment of — — 18 215 — 233
borrowings
Repayment of
lease — — 26 — — 26
liabilities
Net cash outflow
from
debt-related — — — — 47 47
derivative
financial
instruments
Additions to
lease — — (11) (19) — (30)
liabilities
Disposal of
lease — — — 2 — 2
liabilities
Movement in
unamortised loan — — — (2) — (2)
costs
Net movement in
fair value of
derivative — — — — (49) (49)
financial
instruments
Reclassification — — (25) 25 — —
Currency (12) (1) 6 (2) — (9)
movements
At 31December 269 — (54) (1,952) 5 (1,732)
2024
Cash flow 30 — 423 (1,150) 66 (631)
Cash movement in 30 — — — — 30
the year
Proceeds from — — — (1,139) — (1,139)
Eurobonds
Repayment of — — 321 — — 321
Eurobonds
Proceeds from — — (11) (307) — (318)
borrowings
Repayment of — — 77 296 — 373
borrowings
Repayment of
lease — — 36 — — 36
liabilities
Net cash outflow
from
debt-related — — — — 66 66
derivative
financial
instruments
Additions to
lease — — (10) (39) — (49)
liabilities
Disposal of
lease — — 3 4 — 7
liabilities
Acquisitions
excluding cash — — (72) (41) — (113)
and overdrafts
(see note 12)
Movement in
unamortised loan — — — (3) — (3)
costs
Net movement in
fair value of
derivative — — — — (80) (80)
financial
instruments
Reclassification — — (642) 642 — —
Currency (8) — 9 1 — 2
movements
At 31December 291 — (343) (2,538) (9) (2,599)
2025
1 €1 million (2024: €9 million) of bank overdrafts are included in cash and cash equivalents for presentation in the condensed consolidated statement of cash flows (see note 13b), but are included in short-term borrowings in the condensed consolidated statement of financial position.
The Group incurred interest expense of €130 million (2024: €107 million) in relation to bank overdrafts, loans and lease liabilities. Included in this expense is €39 million (2024: €35 million) relating to forward exchange rates on derivative contracts and interest paid on borrowings of €56 million (2024: €44 million).
14 Capital commitments
As at 31
15 Contingent liabilities
The Group’s contingent liabilities as at 31
16 Fair value measurement
Assets and liabilities that are measured at fair value, or where the fair value of financial instruments has been disclosed in the notes to the condensed consolidated financial statements, are based on the following fair value measurement hierarchy:
• Level 1 – quoted prices (unadjusted) in active markets for identical assets or liabilities
• Level 2 – inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived from prices)
• Level 3 – inputs for the asset or liability that are not based on observable market data (that is, unobservable inputs)
The assets measured at fair value using level 3 inputs are the Group’s forestry assets, as detailed in note 9, and certain assets acquired or liabilities assumed in a business combination, as detailed in note 12.
There have been no transfers of assets or liabilities between levels of the fair value hierarchy during the year.
The fair values of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) require estimation and judgement and are determined using generally accepted valuation techniques. These valuation techniques maximise the use of observable market data and rely as little as possible on Group-specific estimates.
Specific valuation methodologies used to value financial instruments include the following:
• The fair values of foreign exchange contracts are calculated as the present value of expected future cash flows based on observable yield curves and exchange rates.
• The fair values of the Group’s commodity price derivatives are calculated as the present value of expected future cash flows based on observable market data.
• Other techniques, including discounted cash flow analysis, are used to determine the fair values of other financial instruments.
Except as detailed below, the carrying values of financial instruments at amortised cost as presented in the condensed consolidated financial statements approximate their fair values.
Carrying Fair value
amount
€million 2025 2024 2025 2024
Financial liabilities
Borrowings 2,882 2,015 2,868 2,010
17 Related party transactions
The Group and its subsidiaries, in the ordinary course of business, enter into various sale, purchase and service transactions with associated undertakings in which the Group has a material interest. All related party transactions are conducted on an arm's length basis. These transactions, in total, are not considered to be significant. Transactions between Mondi plc and its subsidiaries, as well as transactions between subsidiaries, are eliminated on consolidation. There have been no significant changes to related parties as disclosed in note 32 of the Group’s annual financial statements for the year ended 31
18
Events occurring after 31
Aside from the final ordinary dividend proposed for 2025 (see note 8), there have been no material reportable events since 31
Production statistics
2025 2024
Containerboard 000 tonnes 2,631 2,345
Kraft paper 000 tonnes 1,257 1,233
Uncoated fine paper 000 tonnes 917 938
Pulp 000 tonnes 3,775 3,725
Internal consumption 000 tonnes 3,118 3,044
Market pulp 000 tonnes 657 681
Corrugated solutions million m2 2,419 1,899
Paper bags million units 5,903 5,583
Consumer flexibles million m2 1,768 1,912
Functional paper and films million m2 2,960 3,067
Exchange rates
Average Closing
Versus euro 2025 2024 2025 2024
South African rand (ZAR) 20.18 19.83 19.44 19.62
Czech koruna (CZK) 24.69 25.12 24.24 25.19
Polish zloty (PLN) 4.24 4.31 4.22 4.28
Pound sterling (GBP) 0.86 0.85 0.87 0.83
Turkish lira (TRY)1 44.82 35.57 50.48 36.74
US dollar (USD) 1.13 1.08 1.18 1.04
1 The Group has applied hyperinflation accounting for its subsidiaries in Turkiye.
Alternative Performance Measures
The Group presents certain measures of financial performance and position in the condensed consolidated financial statements that are not defined or specified according to IFRS Accounting Standards in order to provide additional performance-related measures to its stakeholders. These measures, referred to as Alternative Performance Measures (APMs), are prepared on a consistent basis for all periods presented in this report.
By their nature, the APMs used by the Group are not necessarily uniformly applied by peer companies and therefore may not be comparable with similarly defined measures and disclosures applied by other companies. Such measures should not be viewed in isolation or as a substitute to the equivalent IFRS Accounting Standards measure.
Internally, the Group and its operating segments apply the same APMs in a consistent manner in planning and reporting on performance to management, the Executive Committee and the Board. Two of the Group’s APMs, underlying EBITDA and ROCE, link to the Group’s strategy and form part of the executive directors' and senior management's remuneration targets.
The most significant APMs used by the Group are described below, together with a reconciliation to the equivalent IFRS Accounting Standards measure. The reconciliations are based on Group figures. The reporting segment equivalent APMs are measured in a consistent manner.
APM description and purpose Financial statement Closest IFRS equivalent
reference measure
Special items
Special items are generally
material, non-recurring
items that exceed €10
million. The Audit Committee
regularly assesses the
monetary threshold of €10
million on a net basis and
considers the threshold in
the context of both the
Group as a whole and
individual operating segment
performance.
The Group separately
discloses special items on
the face of the condensed
consolidated income
statement to assist its
stakeholders in
understanding the underlying
financial performance
achieved by the Group on a
basis that is comparable
from year to year. Examples
of special item charges or
credits include, but are not
limited to, significant
restructuring programmes,
impairment of assets or
cash-generating units, costs
associated with potential Note 4 None
and achieved acquisitions,
profits or losses from the
disposal of businesses, and
the settlement of
significant litigation or
claims.
Subsequent adjustments to
items previously recognised
as special items, including
any related credits received
subsequently, continue to be
reflected as special items
in future periods even if
they do not exceed the
quantitative reporting
threshold. Subsequent
adjustments to items, or
charges and credits on items
that are closely related,
which previously did not
qualify for reporting as
special items, continue to
be reported in the
underlying result even if
the cumulative net
charge/credit over the years
exceeds the €10 million
quantitative reporting
threshold.
Underlying EBITDA
Operating profit before
special items, depreciation,
amortisation and impairments
not recorded as special Condensed consolidated
items provides a measure of income statement Operating profit
the cash-generating ability
of the Group's operations
that is comparable from year
to year.
Underlying EBITDA margin
Underlying EBITDA expressed
as a percentage of Group
revenue (segment revenue for
operating segments) provides None
a measure of the
cash-generating ability of
the Group's operations
relative to revenue.
APM calculation:
€million, unless otherwise 2025 2024
stated
Underlying EBITDA (see
condensed consolidated 1,001 1,049
income statement)
Group revenue (see condensed
consolidated income 7,663 7,416
statement)
Underlying EBITDA margin (%) 13.1 14.1
Underlying operating profit
Operating profit before
special items provides a
measure of operating Condensed consolidated Operating profit
performance of the Group income statement
that is comparable from year
to year.
Underlying profit before tax
Profit before tax and
special items. Underlying
profit before tax provides a Condensed consolidated
measure of the Group’s income statement Profit before tax
profitability before tax
that is comparable from year
to year.
Effective tax rate
Underlying tax charge
expressed as a percentage of
underlying profit before
tax. The underlying tax None
charge represents the
Group’s tax charge before
special items.
APM calculation:
€million, unless otherwise 2025 2024
stated
Tax charge before special 91 117
items (see note 6)
Underlying profit before tax
(see condensed consolidated 375 528
income statement)
Effective tax rate (%) 24 22
Underlying earnings (and per share measure)
Net profit after tax before
special items arising from
the Group's operations that
is attributable to
shareholders.
Profit for the period
Underlying earnings (and the Note 7 attributable to shareholders
related per share measure (and per share measure)
based on the basic, weighted
average number of ordinary
shares outstanding) provides
a measure of the Group's
earnings.
Headline earnings (and per share measure)
The presentation of headline
earnings (and the related
per share measure based on
the basic, weighted average
number of ordinary shares
outstanding) is mandated Profit for the period
under the Listings Note 7 attributable to shareholders
Requirements of the JSE (and per share measure)
Limited and is calculated in
accordance with Circular
1/2023, ‘Headline Earnings’,
as issued by the South
African Institute of
Chartered Accountants.
Dividend cover
Basic underlying EPS divided
by total ordinary dividend
per share paid and proposed None
provides a measure of the
Group’s earnings relative to
ordinary dividend payments.
APM calculation:
euro cents, unless otherwise 2025 2024
stated
Basic underlying EPS (see 56.5 82.7
note 7)
Total ordinary dividend per 28.25 70.00
share (see note 8)
Dividend cover (times) 2.0 1.2
Capital employed (and related trailing 12-month average capital employed)
Capital employed comprises
total equity and net debt.
Trailing 12-month average
capital employed is the
average monthly capital
employed over the last 12
months adjusted for spend on
major capital expenditure
projects which are not yet Note 3 Total equity
in production.
These measures provide the
level of invested capital in
the business. Trailing
12-month average capital
employed is used in the
calculation of return on
capital employed.
Return on capital employed (ROCE)
Trailing 12-month underlying
operating profit, including
share of associates' and
joint ventures' net profit/
(loss), divided by trailing None
12-month average capital
employed. ROCE provides a
measure of the efficient and
effective use of capital in
the business.
APM calculation:
€million, unless otherwise 2025 2024
stated
Underlying operating profit
(see condensed consolidated 497 606
income statement)
Underlying net loss from
joint ventures (see (1) (3)
condensed consolidated
income statement)
Underlying profit from
operations and joint 496 603
ventures
Trailing 12-month average
capital employed (see note 7,417 6,283
3)
ROCE (%) 6.7 9.6
Net debt (and related trailing 12-month average net debt)
A measure comprising short-,
medium- and long-term
interest-bearing borrowings
and the fair value of
debt-related derivatives
less cash and cash
equivalents, net of
overdrafts, and current
financial asset investments. Note 13c None
Net debt provides a measure
of the Group’s net
indebtedness or overall
leverage. Trailing 12-month
average net debt is the
average monthly net debt
over the last 12 months.
Net debt to underlying EBITDA
Net debt divided by trailing
12-month underlying EBITDA.
A measure of the Group’s net None
indebtedness relative to its
cash-generating ability.
APM calculation:
€million, unless otherwise 2025 2024
stated
Net debt (see note 13c) 2,599 1,732
Underlying EBITDA (see
condensed consolidated 1,001 1,049
income statement)
Net debt to underlying 2.6 1.7
EBITDA (times)
Forward-looking statements
This document includes forward-looking statements. All statements other than statements of historical facts included herein, including, without limitation, those regarding Mondi’s financial position, business strategy, market growth and developments, expectations of growth and profitability and plans and objectives of management for future operations, are forward-looking statements. Forward-looking statements are sometimes identified by the use of forward-looking terminology such as “believe”, “expects”, “may”, “will”, “could”, “should”, “shall”, “risk”, “intends”, “estimates”, “aims”, “plans”, “predicts”, “continues”, “assumes”, “positioned” or “anticipates” or the negative thereof, other variations thereon or comparable terminology. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of
No assurance can be given that such future results will be achieved; various factors could cause actual future results, performance or events to differ materially from those described in these statements. Such factors include in particular but without any limitation: (1) operating factors, such as continued success of manufacturing activities and the achievement of efficiencies therein, continued success of product development plans and targets, changes in the degree of protection created by Mondi’s patents and other intellectual property rights and the availability of capital on acceptable terms; (2) industry conditions, such as strength of product demand, intensity of competition, prevailing and future global market prices for Mondi’s products and raw materials and the pricing pressures thereto, financial condition of the customers, suppliers and the competitors of
Editors’ notes
In 2025,
Sponsor in
