UPM Annual Report 2020

Financial Statements 2020

Consolidated financial statements, IFRS Consolidated income statement

147 148 149 150 152 179 179 181 185 188 188 190 190 192 197 197 197 199 199 199 201 202 202 202 202 202

Consolidated income statement and statement of comprehensive income

Consolidated balance sheet

EURm

NOTE

2020 8,580

2019

Consolidated statement of changes in equity

Sales

Consolidated cash flow statement

2.1, 2.2

10,238

Other operating income

2.3 2.3 4.2

116

97

Notes to the consolidated financial statements

Costs and expenses

-7,371

-8,531

Change in fair value of forest assets and wood harvested Share of results of associated companies and joint ventures Depreciation, amortisation and impairment charges

-25

26

1. Basis for reporting 1.1 Corporate information 1.2 Basis of preparation 1.3 Consolidation principles 1.4 Foreign currency translation 1.5 Changes in accounting policies

5. Capital structure 5.1 Capital management

152 152 152 153 153 154 154 154 159 160 162 163 163 163 164 166 169 170 172 172 174 176 177

3

3

2.3, 4.1, 4.4

-541 761

-490

5.2 Net debt

Operating profit

1,344

5.3 Financial assets and liabilities by category

5.4 Financial income and expenses 5.5 Share capital and reserves

Exchange rate and fair value gains and losses

5.4 5.4

2

0

Interest and other finance costs, net

-26

-38

Profit before tax

737

1,307

2. Business performance

6. Risk management 6.1 Financial risk management

2.1 Business areas

Income taxes

7.1

-169 568

-234

2.2 Sales

6.2 Derivatives and hedge accounting

Profit for the period

1,073

2.3 Operating expenses and other operating income

Attributable to: Owners of the parent company

7. Income tax

2.4 Earnings per share and dividend

560

1,061

7.1 Tax on profit for the year

Non-controlling interests

8.1

8

12

3. Employee rewards

7.2 Deferred tax

568

1,073

3.1 Employee costs

8. Group structure

3.2 Key management personnel 3.3 Share-based payments 3.4 Retirement benefit obligations

Earnings per share for profit attributable to owners of the parent company Basic earnings per share, EUR

8.1 Business acquisitions and disposals 8.2 Principal subsidiaries and joint operations

2.4 2.4

1.05 1.05

1.99 1.99

Diluted earnings per share, EUR

8.3 Related party transactions

4. Capital employed

8.4 Assets held for sale

Consolidated statement of comprehensive income

4.1 Property, plant and equipment

9. Unrecognised items

4.2 Forest assets

EURm

NOTE

2020

2019 1,073

4.3 Energy shareholdings

9.1 Commitments and contingencies

Profit for the period

4.4 Goodwill and other intangible assets

9.2 Litigation

568

Other comprehensive income for the period, net of tax Items that will not be reclassified to income statement: Actuarial gains and losses on defined benefit plans

4.5 Provisions

9.3 Events after balance sheet date

4.6 Working capital

-36

-58 -13

10. Other notes

202 202

Changes in fair value of energy shareholdings

-251

10.1 Forthcoming new standards, amendments and accounting policy changes

Items that may be reclassified subsequently to income statement: Translation differences

-262

67

Net investment hedge

5

-6

203

Parent company accounts

Cash flow hedges

-24

-50 -58

Other comprehensive income for the period, net of tax

7.2

-569

Total comprehensive income for the period

0

1,014

Attributable to: Owners of the parent company

-7

987

Non-controlling interests

6 0

27

1,014

The notes are integral part of these consolidated financial statements.

146 146

UPM ANNUAL REPORT 2020 UPM FINANCIAL REPORT 2020 31 147

UPM ANNUAL REPORT 2020