Mondi (LSE:MNDI) reported that underlying EBITDA for Q1 2026 was €212 million, including an €8 million forestry fair value gain, and flagged a change to its full-year forestry fair value expectation to nil for 2026.
Sales volumes increased sequentially in Corrugated Packaging and Flexible Packaging, supported by recent capacity expansions and no planned maintenance, but the benefit was offset by lower average selling prices and, late in the quarter, higher energy-related input costs, while Corrugated Solutions and Paper Bags faced margin pressure and Consumer Flexibles remained broadly stable.
Significantly heightened geopolitical tensions in the Middle East increased volatility and fed higher energy, raw material and logistics costs across the group, prompting pricing actions that Mondi says will take full effect in the third quarter.
The group said it is strengthening competitiveness through operational excellence, cost and margin discipline, and in April announced the closure of three converting plants that will reduce headcount by 450 this year, bringing recent closures to six with customers transferring within its network.
"While there is an inherent time lag, we expect these measures to take full effect in the third quarter," said Andrew King, CEO Mondi Group, and the company held a results call at 08:00 BST today with a replay available on its website.
