Suominen

Suominen Corporation's inside information on January 29, 2026, at 9:45 a.m. (EET)

Suominen is launching a three-year program to improve the company’s profitability. The Full Potential Program targets 10% EBITDA by 2028. Suominen is also introducing a new functional operating model, with a dedicated focus on customers and factories, designed to strengthen expertise and effectiveness. 

Suominen is undertaking an ambitious transformation to unlock the company’s full potential. The first phase focuses on resetting profitability through a comprehensive three-year Full Potential Program that captures improvement opportunities across the organization. The company will concentrate on fostering a culture of accountability, driving transformational initiatives, and renewing its operating model to ensure stronger, more sustainable performance.

While restoring short-term profitability is the immediate priority, Suominen will in parallel develop its long-term strategy and financial targets. These will be communicated later in 2026, providing clear and consistent direction for the company’s next stage of development.

“At Suominen, we are at a turning point. Only by improving the reliability and efficiency of our production and supply, and by strengthening our commercial capabilities, can we fully meet the expectations of our customers and shareholders. This is the first, and most urgent phase of our journey. We will upgrade our manufacturing capabilities, embed continuous improvement across all processes, and exemplify a culture of accountability,” says Charles Héaulmé, President and CEO of Suominen.

Performance improvement program to deliver 10% EBITDA by 2028

Suominen launches a three-year Full Potential Program to unlock the full potential of its operations and to enhance competitiveness by systematically improving production efficiency, optimizing raw-material usage as well as strengthening commercial excellence and procurement.

The Full Potential Program targets delivering 10% EBITDA and a 2x–3x leverage ratio (net debt/EBITDA) by 2028. The program will involve an estimated investment of approximately EUR 30 million over the three years, of which transformation costs are estimated at EUR 10 million and capital expenditures to upgrade manufacturing capabilities around EUR 20 million. The Full Potential Program does not include investment in capacity expansion.

New operating model as of February 1, 2026

Effective February 1, 2026, Suominen’s new functional operating model strengthens focus on strategic priorities, sharpens accountability across the organization, and creates a tighter connection between customer needs, technology development, and operational performance.

In the new model, commercial functions are brought together to reinforce focus on growth and business development and ensuring strong strategic alignment between R&D and customer management. The sales organization will build deep global expertise while maintaining a strong local presence to serve customers effectively across all markets, under the leadership of the Chief Commercial and Technology Officer (CCTO).

The role of Chief Operating Officer (COO) is being broadened to command all factories, safety, manufacturing engineering, procurement, and supply chain. With this change, Suominen aims to strengthen operational reliability and output by sharpening its focus on manufacturing performance and ensuring systematic deployment of best practices, continuous improvement, and harmonized processes.

The changes aim to strengthen profit and loss accountability, enhance execution discipline, and improve decision-making across both operations and commercial functions.

Changes in the Suominen Leadership Team

To facilitate Suominen’s transformation and transition into the new operating model, Suominen has appointed Kimmo Raunio (M. Sc. (Tech), Industrial Engineering and Management) as the CFO and member of Suominen Leadership Team latest as of June 1, 2026.

Until then, Suominen’s CFO Janne Silonsaari will continue in his current role. Janne Silonsaari has decided to leave the company and will support the transition until mid-June 2026.

Kimmo Raunio is an experienced finance executive with a strong track record in the industrial manufacturing sector and brings with him executive level experience of driving turnaround and performance improvement initiatives at both group and site levels. Kimmo Raunio joins Suominen from Fortaco Group, where he has worked for 13 years in various finance roles, latest as CFO and Deputy CEO.

Markku Koivisto, currently EVP, EMEA and CTO, has been appointed Chief Commercial and Technology Officer.

Mark Ushpol, EVP, Americas, will step down from the Suominen Leadership Team and serve for six months as EVP, Strategic projects.

Marika Väkiparta, LL.M., currently Suominen VP, Business Transformation, has been appointed Chief Strategy and Transformation Officer and interim General Counsel.

“I want to express my sincere thanks to Janne Silonsaari and Mark Ushpol for their significant contributions to Suominen. Their dedication has supported the company through important phases of our development, and I wish them every success in their next chapters.
At the same time, I am pleased to welcome Kimmo Raunio and Marika Väkiparta to the Suominen Leadership Team. Each of them brings deep expertise, a strong track record in driving change and performance, and remarkable people leadership skills. I am confident that, together, this renewed team has the capability, ambition, and determination to execute the transformation ahead, strengthening our culture of accountability and accelerating the business turnaround. This is a pivotal moment for Suominen, and with this team in place, we are well positioned to deliver on our full potential”, says Charles Héaulmé, President and CEO of Suominen.

Suominen Leadership Team as of February 1, 2026:

• Charles Héaulmé, President and CEO
• Janne Silonsaari, CFO (until latest May 31, 2026)
• Kimmo Raunio, CFO, latest as of June 1, 2026
• Markku Koivisto, Chief Commercial and Technology Officer
• Francois Guetat, Chief Operating Officer
• Minna Rouru, Chief People and Communications Officer
• Marika Väkiparta, Chief Strategy and Transformation Officer and interim General Counsel
  
  

SUOMINEN CORPORATION
Corporate Communications

For further information, please contact:
Charles Héaulmé, President and CEO, tel. +358 10 214 3268

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2025 were EUR 412.4 million and we have almost 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Attachments

• CV - Kimmo Raunio - eng
• Kimmo Raunio photo
• CV - Marika Vakiparta - eng
• Marika Vakiparta photo

Suominen Corporation's stock exchange release on January 29, 2026 at 9:35 a.m. (EET)        
        

New Performance Period 2026–2028

Based on the existing share-based Long Term Incentive Plan for management and key employees, communicated as a stock exchange release on February 6, 2024, the Board of Directors of Suominen Corporation has decided on the commencement of a new plan period covering the years 2026–2028.

The purpose of the plan is to align the interests of the company’s shareholders and key employees to increase the company’s value in the long term, to commit key employees to implement the company's strategy, objectives and long-term interest, and to reward them for high performance.

The performance criteria of the performance period 2026–2028 are tied to Absolute Total Shareholder Return during the years 2026–2028 (weight 40%), Earnings Before Interests and Taxes (EBIT) in fiscal year 2028 (weight 40%), and the company’s target to improve its raw material efficiency (weight 20%), measured for fiscal year 2028. The potential rewards from the plan will be paid after the end of the performance period.

The value of the rewards to be paid on the basis of the plan corresponds to a maximum total of 1,500,000 shares of Suominen, including also the proportion to be paid in cash. The target group in the performance period 2026–2028 consists of 28 key employees, including the President & CEO and other members of the Suominen Leadership Team.

The potential reward will be paid partly in Suominen’s shares and partly in cash. The cash proportion of the reward is intended to cover taxes and statutory social security contributions arising from the reward to the key employee. As a rule, no reward will be paid if the key employee’s employment or director contract terminates before the reward payment.

The Suominen Leadership Team member must hold 50% of the received shares until the value of the Suominen Leadership Team member’s total shareholding in Suominen equals to 50% of the member’s annual gross salary for the calendar year preceding the payment of the reward. Respectively, the President & CEO must hold 50% of the received shares until the value of the President & CEO’s total shareholding in Suominen equals to the value of the President & CEO’s annual gross salary for the calendar year preceding the payment of the reward. Such number of Suominen shares must be held as long as the membership in the Suominen Leadership Team or the position as the President & CEO continues.

Amendments to the ongoing performance periods

Board of Directors has also resolved on amendments to the performance criteria for the ongoing performance periods 2024–2026 and 2025–2027. The Board has resolved that for both the performance periods, raw material efficiency will be measured based on the final year of the respective performance period (previously based on the first year of the performance period).

SUOMINEN CORPORATION
The Board of Directors

For more information:
Charles Héaulmé, President & CEO, tel. + 358 10 214 3268

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2025 were EUR 412.4 million and we have almost 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Suominen Corporation Financial Statements Release on January 29, 2026, at 9:30 a.m. (EET)

Suominen Corporation’s Financial Statements Release (unaudited) for January 1 – December 31, 2025:

Unsatisfactory performance in a challenging environment

Key figures

* Proposal by the Board of Directors

In this Financial Statements Release, the figures shown in brackets refer to the comparison period last year if not otherwise stated.

October–December 2025 in brief:

- Net sales decreased by 19.6% and were EUR 95.3 million (118.5)
- Comparable EBITDA was EUR 1.9 million (4.2)
- Cash flow from operations was EUR 7.0 million (6.5)

Financial year 2025 in brief:

- Net sales decreased by 10.8% and were EUR 412.4 million (462.3)
- Comparable EBITDA declined to EUR 12.6 million (17.0)
- Cash flow from operations totaled to EUR 12.2 million (3.9)
- Board of Directors proposes to the Annual General meeting that no dividend shall be distributed for the financial year 2025

Outlook for 2026:

Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2026 will improve from 2025. In 2025, Suominen’s comparable EBITDA was EUR 12.6 million.

Board proposal on distribution of dividend:

The Board of Directors proposes to the Annual General meeting that no dividend shall be distributed for the financial year 2025.

Charles Héaulmé, President and CEO:

“In 2025, the nonwovens market continued its growth trajectory, with the wipes segment benefiting from the rapid expansion of the moist toilet tissue category in the United States. Market dynamics were affected by excess capacity, and changes in global trade flows linked to evolving trade policies. Imports from low-cost producers intensified, creating additional price and supply disruption.

Our net sales for the fourth quarter of 2025 amounted to EUR 95.3 million (EUR 118.5 million in the prior year), with a comparable EBITDA of EUR 1.9 million (EUR 4.2 million). For the full year, net sales reached EUR 412.4 million (EUR 462.3 million), reflecting lower volumes and adverse currency effects. Two significant incidents at our US facilities constrained our supply capabilities, negatively impacting both sales and profitability during the third and fourth quarters. These supply interruptions prompted some US customers to temporarily seek alternative sources, further increasing import pressures. Our full-year comparable EBITDA was EUR 12.6 million (EUR 17.0 million), with the primary driver of the decline being reduced sales volumes, partially offset by our cost-saving initiatives.

Throughout 2025, we executed our strategic initiatives as planned. Our investment in a new production line in Alicante, Spain, announced in 2024 to enhance our sustainable product capabilities, progressed towards commercial production commencing at the beginning of the second quarter of 2026, supporting our sustainability strategy and our commitment to innovation in sustainable solutions. Overall, new products accounted for 24% of net sales in the fourth quarter and 27% for the full year.

To improve our profitability, we launched a cost-saving program at the end of the second quarter, targeting approximately EUR 10 million in benefits over 24 months. Implementation advanced steadily in the second half of 2025, delivering results in line with our original plan. Despite these initial productivity gains, Suominen’s financial results and delivery reliability did not meet expectations. Accordingly, in the fourth quarter, we conducted a comprehensive analysis to identify opportunities for restoring performance and establishing a foundation for future success. We intend to launch a wide-ranging program in early 2026 to unlock the company’s full potential.

Looking ahead, we anticipate continued growth in the nonwovens market in 2026. With robust action plans and a renewed focus on execution, I am confident that our performance will improve compared to 2025.

I would like to extend my sincere gratitude to everyone who contributes to Suominen. To our employees, thank you for your dedication and resilience. To our customers and partners, thank you for your trust and collaboration. To our shareholders, thank you for your ongoing confidence and support as we invest in long-term, sustainable growth.”

NET SALES

October–December 2025

In the fourth quarter, Suominen’s net sales decreased by 19.6% from the comparison period to EUR 95.3 million (118.5). Sales volumes decreased from the comparison period, as well as sales prices following the raw material price development. Currencies impacted net sales negatively by EUR 4.8 million.

Net sales of the Americas business area amounted to EUR 58.8 million (72.7) and net sales of the EMEA business area to EUR 36.5 million (45.8).
  
Financial year 2025

In 2025, Suominen’s net sales decreased by 10.8% from the comparison period to EUR 412.4 million (462.3). The decrease in sales was driven by lower sales volumes, but we were able to offset the lower volumes partly with better sales prices and sales mix. Currencies impacted net sales negatively by EUR 12.0 million.

Net sales of Americas business area were EUR 252.6 million (287.9) and net sales of EMEA business area were EUR 159.9 million (174.4).

EBITDA, OPERATING PROFIT / LOSS AND RESULT

October–December 2025

Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) was EUR 1.9 million (4.2). EBITDA was EUR 1.3 million (5.4). The main reasons for the decrease in comparable EBITDA were lower sales volume and sales prices offset however, with lower raw material prices. Currencies impacted EBITDA positively by EUR 0.4 million.

Comparable operating profit / loss decreased from the corresponding period of the previous year and was EUR -2.2 million (-0.3). Operating profit / loss was EUR -3.2 million (0.9).

Items affecting comparability of EBITDA in the fourth quarter of 2025 were EUR -0.6 million (+1.1) and they were mainly related to restructuring programs. The items affecting comparability of operating profit/loss in the fourth quarter of 2025 were EUR -1.0 million (+1.1) and consisted mainly of expenses related to restructuring programs and impairment losses arising from the closure of one production line. In the fourth quarter of 2024, items affecting comparability of EBITDA and operating profit/loss were EUR +1.1 million.

Result before income taxes in the fourth quarter was EUR -4.6 million (0.6) and loss for the period EUR -3.9 million (0.8). The income taxes for the period were EUR +0.7 million (+0.3).

Financial year 2025

Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) was EUR 12.6 million (17.0). EBITDA was EUR 11.3 million (17.2). The main contributor to the decrease was lower sales volumes. However, higher sales prices offset partly the effect of the lower sales volumes. Currencies impacted EBITDA negatively by EUR 0.3 million.

Comparable operating profit / loss amounted to EUR -4.2 million (-1.4). Operating profit / loss amounted to EUR -5.9 million (-1.3).

Items affecting comparability of EBITDA were EUR -1.3 million (+0.2), related mainly to the restructuring programs. Items affecting comparability of operating profit / loss were EUR -1.7 million (+0.2), arising mainly from expenses related to restructuring programs and impairment losses arising from the closure of one production line.

In 2025, the loss before income taxes was EUR -13.4 million (-5.3). Income taxes for the financial year were EUR +1.3 million (+0.1).

The result for the period was EUR -12.1 million (-5.3).

FINANCING

The Group’s net interest-bearing liabilities, calculated with the nominal value of the interest-bearing liabilities at the end of the review period, December 31, 2025, amounted to EUR 77.6 million (60.8). Gearing was 80.7% (51.7%) and equity ratio 35.3% (37.9%).

In 2025, net financial expenses were EUR -7.5 million (-4.1), or -1.8% (-0.9%) of net sales. Net effect of changes in foreign exchange rates in financial items was EUR -2.1 million (+1.0).

Cash flow from operations in the fourth quarter was EUR 7.0 million (6.5). Cash flow from operations in 2025 was EUR 12.2 million (3.9). Cash flow from operations per share in 2025 was EUR 0.21 (0.07). The financial items in the cash flow from operations in total EUR -6.1 million (-5.0), were principally impacted by the interests paid during the reporting period. The change in the net working capital in 2025 was EUR 8.3 million positive (EUR 5.9 million negative) mainly due to more cash being released from receivables and inventories.

At the end of June 2025, Suominen entered into a single-currency syndicated credit facility agreement which consists of EUR 50 million term loan and EUR 50 million revolving credit facility with a maturity of three years with a one-year extension option. The lenders for the facility are Danske Bank A/S and Nordea Bank Abp. The new credit facility includes leverage ratio and gearing as financial covenants and it replaces the previous EUR 100 million syndicated revolving credit facility agreement of Suominen provided by Danske Bank A/S and Nordea Abp.

The financial covenants of these loans are regularly monitored. In order to ensure that the covenant conditions are met, Suominen has negotiated with the lenders about amendment of the covenant thresholds.

CAPITAL EXPENDITURE

In 2025, the gross capital expenditure totaled EUR 26.3 million (16.0) and the largest items were related to the growth investment initiatives in Alicante, Spain and Bethune, USA. Other investments were mainly for maintenance.

Depreciations and amortizations were EUR -16.8 million (-18.4) and impairment losses EUR -0.4 million (EUR -0.0 million in 2024).

PERSONNEL

During 2025, Suominen employed 695 FTEs (689) on average, and 672 (722) FTEs at the end of 2025. The decrease is mainly in the operations function.

PROGRESS IN SUSTAINABILITY

Suominen has a comprehensive approach to sustainability, and our Sustainability Agenda 2025-2030 defines our focus areas and their KPIs. Suominen’s portfolio includes sustainable nonwovens, and we continuously develop innovative solutions with reduced environmental impact. 

We aim for over two-thirds of our consumed raw materials to be from plant-based resources and for more than half of our new R&D initiatives to focus on advancing the development of sustainable products. Suominen prioritizes safety and accident prevention, aiming for zero lost time accidents (LTA). 2 (2024: 4) LTA occurred in 2025 at Suominen sites.

We are committed to improving production efficiency and resource utilization, targeting reductions in scope 1, 2, and 3 greenhouse gas emissions in line with the Paris Agreement (limiting global warming to 1.5°C), and achieving zero nonwoven manufacturing waste to landfill by 2030.

In line with the 1.5°C climate scenario, the reduction target will be a 42% reduction in absolute GHG emissions across Scopes 1-3.  The target period is 2025-2030, with 2024 as the base year.

In 2025, Suominen began developing its Climate Change Roadmap and Transition Plan, identifying key hot spots across its operations. For Scope 1 and 2, the main focus will be on enhancing energy efficiency and transitioning to fossil-free electricity. For Scope 3, the main emission source is purchased raw materials. Therefore, Suominen will focus on improving raw material efficiency, evaluating its product portfolio and potential investments, and strengthening supplier engagement activities.

Suominen's Climate Transition plan will be integrated together with the company strategy. A more detailed Climate Transition Plan as well as absolute GHG reduction targets will be disclosed once the new strategy has been adopted by the company.

In 2025, Suominen took part in the EcoVadis assessment for the fourth time and received a Gold Medal for the second consecutive year. The result places Suominen in the top 2% of companies in the manufacture of other textiles industry and in the top 2% of all companies in all industries rated by EcoVadis.

This result is a reflection of continuous improvement of our sustainability work and shows that sustainability really is at the core of both our strategy and all our daily operations

Suominen provides a detailed overview of its sustainability performance in the Sustainability Statement in the Report by the Board of Directors included in the Annual Report 2025, which will be published in the week starting on March 16, 2026. Suominen’s sustainability statement is prepared in accordance with the Finnish Accounting Act, European Sustainability Reporting Standards (ESRS) and EU Taxonomy regulation.

SHARE INFORMATION

Share capital

The number of Suominen’s registered shares was 58,259,219 on December 31, 2025, equaling to a share capital of EUR 11,860,056.00. Suominen has one series of shares. Each share carries one vote in the Shareholders’ Meeting and right to an equally-sized dividend. Suominen’s shares are affiliated in a book-entry system.

Share trading and price

The number of Suominen Corporation shares (SUY1V) traded on Nasdaq Helsinki from January 1 to December 31, 2025, was 1,096,086 shares, accounting for 1.9% of the average number of shares (excluding treasury shares). The highest price was EUR 2.73, the lowest EUR 1.56, and the volume-weighted average price EUR 1.89. The closing price on the first trading date of the review period, January 2, 2025, was EUR 2.34 and on the last trading date, December 30, 2025, EUR 1.79.

The market capitalization (excluding treasury shares) was EUR 103.4 million on December 31, 2025.

Treasury shares

On December 31, 2025, Suominen Corporation held 486,744 treasury shares.

In accordance with the resolution of the Annual General Meeting, in total 36,013 shares were transferred in May to the members of the Board of Directors as their remuneration payable in shares.

As a part of the CEO’s share-based payment plan vested, in total 9,359 shares were transferred to the President and CEO Tommi Björnman in June.

The portion of the remuneration of the members of the Board of Directors paid in shares

The Annual General Meeting held on April 25, 2025, decided that 75% of the annual remuneration of the members of the Board of Directors is paid in cash and 25% in Suominen Corporation’s shares.

The number of shares forming the remuneration portion payable in shares was determined based on the share value in the stock exchange trading maintained by Nasdaq Helsinki Ltd, calculated as the trade volume-weighted average quotation of the share during the two-week period immediately following the date on which the Interim Report of January‒March 2025 of the company was published. The shares were given out of the treasury shares held by the company by the decision of the Board of Directors on May 16, 2025.

Authorizations of the Board of Directors

The Board of Directors was authorized to decide on the repurchase of a maximum of 1,000,000 of the company’s own shares. The company’s own shares shall be repurchased otherwise than in proportion to the holdings of the shareholders through trading on the regulated market organized by Nasdaq Helsinki Ltd at the market price prevailing at the time of acquisition using the company’s unrestricted equity. The shares shall be repurchased to be used in the company’s share-based incentive programs, in order to disburse the remuneration of the members of the Board of Directors, to be used as consideration in acquisitions related to the company’s business, or to be held by the company, to be conveyed by other means or to be cancelled.

The Board of Directors shall decide on other terms and conditions related to the repurchase of the company’s own shares. The repurchase authorization is valid until June 30, 2026, and it revokes all earlier authorizations to repurchase company’s own shares.

The Board of Directors was authorized to decide on the issuance of new shares, conveyance of the company’s own shares held by the company and/or granting of option rights and other special rights entitling to shares referred to in Chapter 10, Section 1 of the Finnish Companies Act. By virtue of the authorization, the Board of Directors may, by one or several resolutions, issue a maximum of 5,000,000 shares. The shares granted by virtue of option rights and other special rights are included in the aforementioned maximum number. Option rights and other special rights may not be granted as a part of the company’s remuneration system.

The share issue can be made either against payment or without payment and can also be directed to the company itself. The authorization entitles the Board of Directors to also decide that shares are issued otherwise than in proportion to the shareholdings of the shareholders (directed share issue). The authorization can be used to carry out acquisitions or other arrangements related to the company’s business, to finance investments, to improve the company’s financial structure, as part of the company’s remuneration system or to pay the share proportion of the remuneration of the members of the Board of Directors or for other purposes decided by the Board of Directors.

The authorization revokes all earlier authorizations regarding the issuance of shares and issuance of option rights and other special rights entitling to shares. The Board of Directors will decide on all other terms and conditions related to the authorization. The authorization is valid until June 30, 2026.

In accordance with the resolution of the Annual General Meeting, in total 36,013 shares were transferred in May to the members of the Board of Directors as their remuneration payable in shares.

As a part of the CEO’s share-based payment plan vested, in total 9,359 shares were transferred to the President and CEO Tommi Björnman in June.

After these transactions, the maximum amount of the authorization is 4,954,628 shares in aggregate.

Share-based incentive plans for the management and key employees valid in 2025

The Group management and key employees participate in the company’s share-based long-term incentive plans. The plans are described in more detail in the Financial Statements and in the Remuneration Report, available on the company’s website www.suominen.fi.

Company's Performance Share Plan currently includes three 3-year performance periods, calendar years 2023–2025, 2024–2026 and 2025–2027. The aim of the Performance Share Plan is to combine the objectives of the shareholders and the persons participating in the plan in order to increase the value of the company in long-term, to build loyalty to the company and to offer them competitive reward plans based on earning and accumulating the company’s shares.

Performance Share Plan: Ongoing performance periods

The President & CEO of the company must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of his or her annual gross salary. A member of the Executive Team must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of half of his or her annual gross salary. Such number of shares must be held as long as the participant’s employment or service in a group company continues.

The President & CEO Charles Héaulmé’s share-based incentive plans

The President & CEO is eligible to participate in the company’s ongoing long-term share-based incentive plans for the periods 2023-2025, 2024-2026 and 2025-2027. The potential payment under incentive plans shall be pro-rated. His participation in these plans is presented in the table above.   

The President & CEO is eligible for a signing bonus of 200,000 shares in Suominen; to be paid during Q3/2026, in case his employment agreement is still in force. Possible taxes shall be paid by the recipient.

Under the Annual Shares Contribution plan as of 2026, the President & CEO is expected to acquire up to 100,000 shares of Suominen Corporation at a price formed in public trading on Nasdaq Helsinki. Suominen will match the share investment by way of the President & CEO receiving, without consideration:

• 100,000 matching shares at minimum EUR 20 million comparable EBITDA
• 300,000 shares at target EUR 25 million comparable EBITDA
• 500,000 shares at maximum EUR 30 million comparable EBITDA.
  
  

The company shall transfer the shares within Q1 of the following year subject to a Board decision.

As of the Annual Shares contribution plan 2027, the first half of the plan shall be unconditional and second half based on performance targets set by the Board, provided that the President & CEO’s service in the company is in force at the time of the reward payments.

The President & CEO Tommi Björnman’s share-based incentive plan

Under the plan the President & CEO was expected to own or acquire up to 30,000 shares of Suominen Corporation at a price formed in public trading on Nasdaq Helsinki. Suominen was to match the share investment by way of the President & CEO receiving, without consideration, up to 60,000 matching shares (gross, including also the proportion to be paid in cash).

The plan included three vesting periods, June 1, 2023–June 1, 2024, June 1, 2023–June 1, 2025, and June 1, 2023–June 1, 2026. The potential reward was to be paid partly in shares and partly in cash in three equal installments after each vesting period, provided that the President & CEO’s service in the company is in force at the time of the reward payment. The cash proportion was intended to cover taxes and tax-related costs arising from the rewards to the President & CEO.

The second vesting period ended in June 2025, and in total 9,359 shares were transferred to the CEO. The plan was terminated at the end of June as Tommi Björnman’s service in the company ended.

Restricted share unit plan for key employees

The Board of Directors of Suominen Corporation resolved in December 2025, to establish a new share-based incentive plan for selected key employees of the Group. The purpose of the plan is to align the interests of the company’s shareholders and key employees to increase the company’s value in the long term, to commit key employees to the company and to offer them a competitive incentive plan based on receiving the company’s shares.

The plan is intended to be used as a tool in situations seen necessary by the Board of Directors, for example ensuring retention of key talents to the company, attracting a new talent or other specific situations determined by the Board of Directors.

The Board of Directors may allocate rewards from the Restricted Share Unit Plan 2026–2028 during financial years 2026–2028. The value of the rewards to be paid on the basis of the plan corresponds to a maximum total of 200,000 shares of Suominen, including also the proportion to be paid in cash. The target group of the plan consists of key employees selected by the Board, including members of the Leadership Team and the CEO.

The rewards will be paid by the end of May 2029, but in any event minimum twelve (12) months after the determination of the reward opportunity. The reward is based on a valid employment or director contract and on the continuity of the employment or service.

The reward will be paid partly in Suominen’s shares and partly in cash. The cash proportion of the reward is intended to cover taxes and statutory social security contributions arising from the reward to the key employee. As a rule, no reward will be paid if the key employee’s employment or director contract terminates before the reward payment. The Board may impose a share holding obligation on the shares delivered as reward.

SHAREHOLDERS

At the end of the review period, on December 31, 2025, Suominen Corporation had in total 4,365 shareholders. Suominen is not aware of any shareholder agreements related with the shareholding or use of voting rights. Detailed information on the management shareholding and a table presenting the largest shareholders is available in the notes of this Financial Statements Release.

Notifications under Chapter 9, Section 5 of the Securities Market Act

During the review period Suominen received no notifications under Chapter 9, Section 5 of the Securities Market Act.

CHANGES IN THE EXECUTIVE TEAM

Minna Rouru started in January 2025 as Chief People & Communications Officer at Suominen.

Mark Ushpol started in January 2025 as EVP, Americas business area at Suominen.

Darryl Fournier started in February 2025 as Chief Operating Officer at Suominen.

Jonni Friman, EVP, Transformation Management Office and a member of the Executive Management Team left the company at the end of July.

On June 30, Suominen announced that the President and CEO Tommi Björnman leaves the company and that the Board of Directors of Suominen had appointed Charles Héaulmé, the Chair of the Board, as the company’s new President and CEO. Mr. Héaulmé started on August 11, 2025. Janne Silonsaari, CFO, acted as interim President & CEO for the period June 30 – August 10, 2025.

Mr. Héaulmé continues to serve as Chair of the Board until the next Annual General Meeting of Suominen in 2026. He stepped down from his position as a Chair and member of the Personnel and Remuneration Committee of the Board of Directors as of June 30.

Suominen announced in October the appointment of Francois Guetat as Chief Operating Officer and member of Suominen Leadership Team as of November 2025. Suominen also announced that its Chief Operating Officer Darryl Fournier would step down from his role as Chief Operating Officer and member of the Leadership Team. 

COMPOSITION OF THE NOMINATION BOARD

Suominen’s three largest registered shareholders Ahlstrom Capital B.V., Etola Group Oy and Oy Etra Invest Ab have nominated the following members to the Shareholders’ Nomination Board:

• Jyrki Vainionpää, President & CEO of A. Ahlström Oy, as a member appointed by Ahlstrom Capital B.V.
• Mikael Etola, CEO of Etola Group Oy, as a member appointed by Etola Group Oy
• Ville Vuori, Board Professional, as a member appointed by Oy Etra Invest
  
  

Charles Héaulmé, Chair of Suominen’s Board of Directors, serves as the fourth member of the Nomination Board. The shareholders entitled to appoint members to the Nomination Board were determined on the basis of the registered holdings in the company’s shareholders' register on September 1, 2025.

In its organizing meeting on October 21, 2025, the Nomination Board elected Jyrki Vainionpää as the Chair of the Nomination Board.

ANNUAL GENERAL MEETING

The Annual General Meeting (AGM) of Suominen Corporation was held on April 25, 2025.

The AGM adopted the Financial Statements for 2024 and discharged the members of the Board of Directors and the President and CEO from liability for the financial year 2024.

The AGM resolved to adopt the Remuneration Report for the Company’s governing bodies for 2024. The resolution made by the AGM is advisory.

The AGM decided, in accordance with the proposal by the Board of Directors, that no dividend be paid based on the adopted balance sheet regarding the financial year 2024 and that the distributable funds be left in the company’s unrestricted equity.

The AGM decided, in accordance with the proposal of the Shareholders’ Nomination Board, that the remuneration of the Board of Directors remains unchanged and is as follows: the Chair is paid an annual fee of EUR 74,000, the Deputy Chair an annual fee of EUR 45,000 and other Board members an annual fee of EUR 35,000. The Chair of the Audit Committee is paid an additional fee of EUR 10,000. Further, the members of the Board will receive a fee for each Board and Committee meeting as follows: EUR 500 for each meeting held in the home country of the respective member, EUR 1,000 for each meeting held elsewhere than in the home country of the respective member and EUR 500 for each meeting attended by telephone or other electronic means.

75% of the annual fee is paid in cash and 25% in Suominen Corporation’s shares.

Compensation for expenses is paid in accordance with the company's valid travel policy.

The AGM decided that the number of Board members will be seven (7). Andreas Ahlström, Björn Borgman, Charles Héaulmé, Nina Linander and Laura Remes were re-elected as members of the Board by the AGM. Gail Ciccione and Maija Joutsenkoski were elected as new members of the Board.

Charles Héaulmé was re-elected as the Chair of the Board of Directors.

Authorised Public Accountants KPMG Oy Ab was elected as the auditor of the company for the next term of office in accordance with the Articles of Association. KPMG Oy Ab informed that Anders Lundin, APA, ASA, will act as the principally responsible auditor of the company. The auditor’s fee was resolved to be paid according to the invoice approved by the company.

Sustainability audit firm KPMG Oy Ab was elected as the company’s authorized sustainability auditor for a term that lasts until the end of the company's next Annual General Meeting. KPMG Oy Ab has informed that Anders Lundin, APA, ASA, will act as the responsible authorized sustainability auditor of the company. The authorized sustainability auditor’s fee was resolved to be paid according to the invoice approved by the company.

Suominen published a stock exchange release on April 25, 2025, concerning the resolutions of the Annual General Meeting and the organizing meeting of the Board of Directors. The stock exchange release and introductions of the new Board members can be viewed on Suominen’s website at www.suominen.fi.

Organizing meeting and permanent committees of the Board of Directors

In its organizing meeting held after the AGM, the Board of Directors elected Andreas Ahlström as the Deputy Chair of the Board.

The Board elected from among its members the members for the Audit Committee, Personnel and Remuneration Committee, and Strategy Committee. Nina Linander was re-elected as the Chair of the Audit Committee, and Andreas Ahlström and Laura Remes were re-elected as members. Maija Joutsenkoski was elected as a new member. Charles Héaulmé was re-elected as the Chair of the Personnel and Remuneration Committee, and Björn Borgman was re-elected as a member. Gail Ciccione was elected as a new member. Laura Remes was re-elected as the Chair of the Strategy Committee, and Andreas Ahlström was re-elected as a member. Maija Joutsenkoski was elected as a new member.

BUSINESS RISKS AND UNCERTAINTIES

Manufacturing risks

Suominen has production plants in several European countries, United States and Brazil. Interruptions at the plants caused for example by machinery breakdown can cause production losses and delivery problems. Ongoing maintenance and investments aiming to extend the lifetime of the assets are an essential part of ensuring the operational efficiency of the existing production lines.

Suominen’s operations could be disrupted due to abrupt and unforeseen events beyond the company's control, such as power outages or fire and water damage. Suominen may not be able to control such events through predictive actions, which could lead to interruptions in business. Risks of this type are insured in order to guarantee the continuity of operations. As Suominen has valid property damage and business interruption insurances, it is expected that the damage would be compensated, and the direct financial losses caused by the interruption of business would be covered.

Suominen uses certain technologies in its production. In the management’s view, the chosen technologies are competitive and there is no need to make major investments in new technologies. However, it cannot be excluded that the company’s technology choices could prove wrong, and the development of new or substitute technologies would then require investments.

Competition

Suominen has numerous regional, national and global competitors in its different product groups. Products based on new technologies and imports from countries of lower production costs may reduce Suominen’s competitive edge. If Suominen is not able to compete with an attractive product offering, it may lose some of its market share. Competition may lead to increased pricing pressure on the company’s products.


Price and availability of raw materials

Suominen purchases significant amounts of pulp- and oil-based raw materials. Raw materials are the largest cost item for operations. Changes in the global market prices of raw materials can have an impact on the company’s profitability. Suominen’s stocks equal two to four weeks’ consumption and it generally takes two to five months for raw material price changes to be reflected in Suominen’s customer pricing either through automatic pricing mechanisms or negotiated price changes.

Extended interruptions in the supply of Suominen’s main raw materials could disrupt production and have a negative impact on the Group’s overall business operations. As Suominen sources most of its raw materials from a number of major international suppliers, significant interruptions in the production of the majority of Suominen’s products are unlikely.

Price and availability of energy

Energy costs represent a significant portion of Suominen's production costs. Suominen consumes mainly electricity and gas. Higher prices as well as reduced availability of energy could have an impact on Suominen's profitability through increased production costs.

Market and customer risks

Suominen’s customer base is fairly concentrated, which increases the potential impact of changes in customer specific sales volumes. In 2025, the Group’s ten largest customers accounted for 69.5% (69.4%) of the Group’s net sales. Long-term contracts are preferred with the largest customers. In practice, the customer relationships are long-term and last for several years. Customer-related credit risks are managed in accordance with a credit policy approved by the Board of Directors. Credit limits are confirmed for customers on the basis of credit ratings and customer history.

The demand for Suominen’s products depends on possible changes in consumer preferences. Historically, such changes have had mainly a positive impact on Suominen, as they have resulted in the growing demand for products made of nonwovens. However, certain factors, including consumers’ attitude towards the use of products made even partially of oil-based raw materials, or their perception on the sustainability of disposable products in general, might change the consumers’ buying habits. Suominen monitors the consumer trends proactively and develops its product offering accordingly. The company has had biodegradable, 100% plant-based nonwovens in its portfolio for over 15 years and hence is well positioned to respond to changes in customer preferences related to sustainability and climate change.

Generally, the demand for nonwovens for wipes has been resilient to changing economic conditions. However, it is conceivable that high consumer price inflation could lead to decline in end consumer demand for wiping products as the consumers’ available income effectively decreases.

Regarding the war in Ukraine, the direct impact to Suominen’s business is minor as we have no customers nor suppliers in Russia, Belarus or Ukraine. Suominen is mostly affected by the indirect economic impacts of the war.

The instabilities in different parts of the world continue to cause general uncertainty.

Changes in legislation, political environment, or economic conditions

Suominen’s business and products can be affected directly or indirectly by political decisions and changes in government regulations for example in areas such as environmental policy or waste legislation. An example of such legislation is the EU's Single-Use Plastics Directive that focuses on reducing marine litter. The potential exists for similar regulations to expand worldwide. This creates demand for more sustainable products, and Suominen is well placed to respond to this increasing demand.

Global political developments could have an adverse effect on Suominen. For instance, a political decision that constrains the global free trade may significantly impact the availability and price of certain raw materials, which would in turn affect Suominen’s business and profitability. Suominen’s geographical and customer-industry diversity provide partial protection against this risk.

The relevance of the United States in Suominen’s business operations increases the significance of the exchange rate risk related to USD in the Group’s total foreign exchange position. Suominen manages its foreign exchange position in accordance with its hedging policy.

The risks that are characteristic to South American region, including significant changes in political environment or exchange rates, could have an impact on Suominen’s operations in Brazil.


Investments

Suominen continuously invests in its manufacturing facilities. The deployment of the investments may delay from what was planned, the costs of the investments may increase from what has been expected or the investments may create less business benefits than anticipated. The deployment phase of investments may cause temporary interruptions in operations.

Cyber and information security

Suominen’s operations are dependent on the integrity, security and stable operation of its information and communication systems and software as well as on the successful management of cyber-attack risks. If Suominen’s information and communication systems and software were to become unusable or significantly impaired for an extended period of time, or the cyber-attack risks are realized, Suominen’s reputation as well as ability to deliver products at the appointed time, order raw materials and handle inventory could be adversely impacted.

Financial risks

The Group is exposed to several financial risks, such as foreign exchange, interest rate, counterparty, liquidity and credit risks. The Group’s financial risks are managed in line with a policy confirmed by the Board of Directors. The financial risks are described in the Note 3 of the consolidated financial statements.

Suominen is subject to corporate income taxes in numerous jurisdictions. Significant judgment is required to determine the total amount of corporate income tax at Group level. There are many transactions and calculations that leave room for uncertainty as to the final amount of the income taxes. Tax risks relate also to changes in tax rates or tax legislation or misinterpretations, and materialization of the risks could result in increased payments or sanctions by the tax authorities, which in turn could lead to financial loss. Deferred tax assets included in the statement of financial position require that the deferred tax assets can be recovered against the future taxable income.

Suominen performs goodwill impairment testing annually. In impairment testing the recoverable amounts are determined as the value in use, which comprises of the discounted projected future cash flows. Actual cash flows can differ from the discounted projected future cash flows. Uncertainties related to the projected future cash flows include, among others, the long economic useful life of the assets and changes in the forecast sales prices of Suominen’s products, production costs as well as discount rates used in testing. Due to the uncertainty inherent in the future, it is possible that Suominen’s recoverable amounts will be insufficient to cover the carrying amounts of assets, particularly goodwill. If this happens, it will be necessary to recognize an impairment loss, which, when implemented, will weaken the result and equity. Goodwill impairment testing has been described in the consolidated financial statements.

BUSINESS ENVIRONMENT

In 2025, Suominen operated in an environment characterized by continued macroeconomic uncertainty and geopolitical tensions. The general economic situation, inflationary pressures and shifts in global trade policies influenced market sentiment and purchasing behavior across regions.

Ongoing geopolitical tensions, including the war in Ukraine and instabilities in the Middle East, continued to create uncertainty globally. In addition, developments related to US trade tariffs contributed to volatility in global supply chains and temporarily disrupted demand patterns, particularly during the first half of the year.

Market dynamics during the year were influenced by excess capacity and changes in global trade flows due to trade policies.

Oversupply and intensified competition placed pressure on pricing, especially in Europe, with raw material prices declining to record low levels. At the same time, customers increasingly focused on optimizing inventories and diversifying sourcing to mitigate supply chain risks.

Despite these uncertainties, the nonwovens and wipes markets continued to demonstrate resilience and long-term growth potential. Demand for daily consumer goods is not highly cyclical in nature, and the wipes market has historically demonstrated stability even in challenging economic conditions.

OUTLOOK

Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2026 will improve from 2025. In 2025, Suominen’s comparable EBITDA was EUR 12.6 million.

PROPOSAL ON DISTRIBUTION OF FUNDS

The loss of the financial year 2025 of Suominen Corporation, the parent company of Suominen Group, was EUR -3,673,120.27. The funds distributable as dividends, including the loss for the period, were EUR 15,122,312.95 and total distributable funds were EUR 90,814,648.85.

The Board of Directors proposes that no dividend shall be distributed for the financial year 2025 and that the loss shall be transferred to retained earnings.

DISCLOSURE OF THE CORPORATE GOVERNANCE STATEMENT, REMUNERATION REPORT, THE FINANCIAL STATEMENTS AND THE REPORT BY THE BOARD OF DIRECTORS

Suominen will publish its Financial Statements, Report by the Board of Directors, Auditor’s Report, Sustainability Assurance Report, Corporate Governance Statement and Remuneration Report concerning the financial year 2025, as part of the Annual Report during the week commencing March 16, 2026. The above documents will be published as a Stock Exchange Release and they will be available also at www.suominen.fi.

ANNUAL GENERAL MEETING 2026

The Annual General Meeting of Suominen Corporation is planned to be held on April 15, 2026. The Board of Directors will convene the Annual General Meeting by issuing a Notice to the Annual General Meeting as a Stock Exchange Release. The notice to the Annual General Meeting will also be published at www.suominen.fi.

EVENTS AFTER THE REPORTING PERIOD

The Shareholders' Nomination Board of Suominen Corporation published on January 26, 2026 its proposal on the number of the members, on the composition, and on the Chair of the Board of Directors to the Annual General Meeting.

The Nomination Board proposes to the Annual General Meeting 2026 that the number of Board members will be decreased from seven to six.

The Nomination Board proposes to the Annual General Meeting that Andreas Ahlström, Gail Ciccione, Nina Linander, Maija Joutsenkoski and Laura Remes would be re-elected as members of the Board of Directors and that Ville Vuori would be elected as a new member of the Board of Directors.

Out of the current Board members, Björn Borgman, is not available as a candidate for the Board of Directors. Additionally, the current Chairman of the Board, Charles Héaulmé, has decided to step out from the Board of Directors due to his role as the President & CEO of the Company.

Ville Vuori (b. 1973, B.Sc. (Mech. Eng.), eMBA, Finnish citizen) currently acts as the Chairman of the Boards of Incap Oyj and Aspocomp Oyj. Prior to that, he served as the CEO of Kemppi Oy and Incap Oyj.

All candidates have given their consent to the election. All candidates are independent of the company. The candidates are also independent of Suominen’s significant shareholders, with the exceptions of Andreas Ahlström who acts currently as the CEO of Ahlström Invest B.V. and Maija Joutsenkoski, who acts as the Investment Director at A. Ahlström Corporation. The largest shareholder of Suominen Corporation, Ahlstrom Capital B.V., belongs to the same group of companies as Ahlström Invest B.V. and A. Ahlström Corporation.

The Nomination Board proposes to the Annual General Meeting that Ville Vuori be elected as the Chair of the Board of Directors.

With regard to the election procedure for the members of the Board of Directors, the Nomination Board recommends that the shareholders take a position on the proposal as a whole at the Annual General Meeting. In preparing its proposals the Nomination Board, in addition to ensuring that individual board member candidates possess the required competences, has determined that the proposed Board of Directors as a whole has the best possible expertise for the company and that the composition of the Board of Directors meets the other requirements of the Finnish Corporate Governance Code for listed companies.

Proposal on the Board remuneration

The Nomination Board proposes that the remuneration of the Board of Directors remains unchanged and would be as follows: the Chair would be paid an annual fee of EUR 74,000, the Deputy Chair an annual fee of EUR 45,000 and other Board members an annual fee of EUR 35,000. The Nomination Board also proposes that the additional fee paid to the Chair of the Audit Committee remain unchanged and be EUR 10,000.

Further, the Nomination Board proposes that the fees payable for each Board and Committee meeting would remain unchanged and be as follows: EUR 500 for each meeting held in the home country of the respective member, EUR 1,000 for each meeting held elsewhere than in the home country of the respective member and EUR 500 for each meeting attended by telephone or other electronic means. No fee is paid for decisions made without convening a meeting.

75% of the annual fees are paid in cash and 25% in Suominen Corporation’s shares. The shares will be transferred out of the own shares held by the company by the decision of the Board of Directors within two weeks from the date on which the interim report of January–March 2026 of the company is published.

Compensation for expenses will be paid in accordance with the company's valid travel policy.

The composition of the Nomination Board

The members of the Nomination Board, as of September 2, 2025, are Jyrki Vainionpää (President & CEO of A. Ahlström Corporation) as a member appointed by Ahlstrom Capital B.V., Mikael Etola (CEO of Etola-Yhtiöt) as a member appointed by Etola Group Oy and Ville Vuori (Board Professional) as a member appointed by Oy Etra Invest Ab. Charles Héaulmé, Chair of Suominen’s Board of Directors, serves as the fourth member of the Nomination Board.

Jyrki Vainionpää acts as the Chair of the Nomination Board. 

All of the proposals made by the Nomination Board were unanimous, except that Charles Héaulmé and Ville Vuori abstained from participating in the decision-making relating to the Nomination Board’s proposal for the Chair of the Board.

The Board of Directors of Suominen Corporation will include the proposals submitted by the Nomination Board to the Notice of the Annual General Meeting of Suominen which will be published at a later date. The Annual General Meeting of Suominen Corporation is scheduled to be held on April 15, 2026.

THE NEXT FINANCIAL REPORT

Suominen Corporation will publish its Interim Report for January–March 2026 on Thursday, May 7, 2026.

ANALYST AND NEWS CONFERENCE

Charles Héaulmé, President & CEO, and Janne Silonsaari, CFO, will present the result in English in an audiocast and a conference call for analysts, investors, and media on the same day at 11:00 a.m. (EET). The audiocast can be followed https://suominen.events.inderes.com/q4-2025. The recording of the audiocast and the presentation material will be available after the event at www.suominen.fi.

Conference call participants can access the teleconference by registering at  https://events.inderes.com/suominen/q4-2025/dial-in. The phone numbers and a conference ID to access the conference will be provided after the registration.
SUOMINEN GROUP JANUARY 1 – DECEMBER 31, 2025

The consolidated financial statements of Suominen presented in this Financial Statements Release have not been audited. Also the quarterly information, half-year report and interim reports have not been audited.

As result of rounding differences, the figures presented in the tables do not necessarily add up to total.

ACCOUNTING PRINCIPLES

The consolidated financial statements of Suominen Group are prepared in accordance with IFRS Accounting Standards, including International Accounting Standards (IAS) and Interpretations issued by the International Financial Reporting Interpretations Committee (SIC and IFRIC). IFRS Accounting Standards are standards and their interpretations adopted in accordance with the procedure laid down in regulation (EC) No 1606/2002 of the European Parliament and of the Council. The Notes to the Financial Statements are also in accordance with the Finnish Accounting Act and Ordinance and the Finnish Companies' Act.

This Financial Statements Release has been prepared in accordance with the principles defined in IAS 34 Interim Financial Reporting as approved by the European Union. Financial statement release does not include all information required for full financial statements.

The principles for preparing consolidated financial statements are mainly the same as those used for preparing the consolidated financial statements for 2024. The new or amended standard, annual improvements, or interpretations applicable from January 1, 2025, are presented below.

New or amended standard, annual improvements or interpretations applicable from January 1, 2025:

- Lack of Exchangeability, Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates, applicable from January 1, 2025. The amendments specify how an entity should assess whether a currency is exchangeable to another currency and how it should determine a spot exchange rate when exchangeability is lacking. As Suominen conducts business only in currencies which are exchangeable, the amendments have no effect on Suominen.

Other new or amended accounting standards, improvements or annual improvements applicable from January 1, 2025, were not material for Suominen Group.

New and amended IFRS standards and IFRIC interpretations published but mandatory from January 1, 2026, or later:

- Classification and Measurement of Financial Instruments, Amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures, applicable from January 1, 2026. The new requirements will be applied retrospectively with an adjustment to opening retained earnings.
The amendments clarify the derecognition of financial liabilities, how to assess the contractual cash flow characteristics of financial assets that include ESG-linked or similar contingent features and the treatment of non-recourse assets and contractually linked instruments. The amendments also introduce an accounting policy option to derecognize financial liabilities that are settled through an electronic payment system before settlement date if certain conditions are met.
The amendments require additional disclosures for financial assets and liabilities with contractual terms that reference a contingent event, including those that are ESG-linked, and equity instruments classified as fair value through other comprehensive income.

The amendments have no material effect on the notes of equity instruments classified as fair value through other comprehensive income.

Otherwise, the amendments have no material effect on Suominen.

- IFRS 18 Presentation and Disclosure in Financial Statements, applicable from January 1, 2027. Also, the consequential amendments to other IFRS Accounting Standards due to application of IFRS 18 are effective from January 1, 2027. The standard will be applied retrospectively.

The standard will introduce new categories and subtotals in the statement of profit or loss. It also requires disclosure of management-defined performance measures (MPM) in the financial statements and includes new requirements for the location, aggregation and disaggregation of financial information. IFRS 18 will replace IAS 1 Presentation in Financial Statements.

In accordance with the new standard, an entity is required to classify all income and expenses in the statement of profit or loss into one of five categories: operating, investing, financing, income taxes and discontinued operations. IFRS 18 also requires an entity to present in its statement of profit or loss subtotals and totals for operating profit or loss, profit or loss before financing and income taxes and profit or loss.

IFRS 18 introduces the concept of management-defined performance measures (MPM) which it defines as a subtotal of income and expenses that an entity uses in public communications outside financial statements in order to communicate the management's view of the financial performance of the entity. IFRS 18 requires disclosure of information about all the entity's MPMs in a single note to the financial statements and requires several disclosures to be made of each MPM, including the calculation of the MPM as well as reconciliation to the most comparable subtotal specified by IFRS accounting standards.

IFRS 18 also differentiates between presenting information in the primary financial statements and disclosing it in the notes and introduces a principle for determining the location of information based on identified roles of the primary financial statements and the notes. The standard requires aggregation and disaggregation of information to be performed with reference to similar and dissimilar characteristics. There is also new guidance for determining meaningful descriptions or labels for items that are aggregated in the financial statements.

The application of IFRS 18 will also amend IAS 7 Statement of Cash Flows. The standard amends the starting point of determining cash flows from operations under the indirect method to operating profit or loss. The optionality around classification of cash flows from dividends and interests in the statement of cash flows has also largely been removed.

There are also some consequential changes to other IFRS Accounting Standards, of which the most material to Suominen is the amendment of IAS 34 Interim Financial Reporting, which will require disclosure of MPMs also in the interim reports.

The new standard will change the definition of operating profit/loss (EBIT). Operating profit/loss of Suominen as defined in IFRS 18 will be lower than operating profit/loss calculated before the application of the standard, as certain expenses currently included in financial items will be included in the operating category before operating profit/loss. In addition, some income items included currently in financial items will be, in accordance with the new standard, included in the investing category. After the application of IFRS 18 standard financing category will include mainly interest and other expenses related to interest-bearing liabilities.

Also, the profit / loss before income taxes will change slightly, as interest income and expenses related to income taxes will be included in the income tax category.

Other new or amended accounting standards, improvements or annual improvements applicable from January 1, 2026, or later are not material for Suominen Group.

STATEMENT OF FINANCIAL POSITION

STATEMENT OF PROFIT OR LOSS

STATEMENT OF COMPREHENSIVE INCOME

STATEMENT OF CHANGES IN EQUITY

STATEMENT OF CASH FLOWS

KEY RATIOS

* Compared with the corresponding period in the previous year.

** 2025 Proposal of the Board

CALCULATION OF KEY RATIOS

Key ratios per share

Key ratios per share are either IFRS key ratios (earnings per share) or required by Ordinance of the Ministry of Finance in Finland or alternative performance measures (cash flow from operations per share).

Earnings per share

Basic earnings per share are calculated by dividing the net result attributable to owners of the parent by the weighted share-issue adjusted average number of shares outstanding during the reporting period, excluding shares acquired by the Group and held as treasury shares.                

When calculating diluted earnings per share the number of shares is adjusted with the effects of the share-based incentive plans.

Cash flow from operations per share

Equity per share

Dividend payout ratio, %

Dividend yield, %

Price per earnings per share (P/E)

Market capitalization

Share turnover

Alternative performance measures

Some of Suominen's key ratios are alternative performance measures. An alternative performance measure is a key ratio which has not been defined in IFRS standards. Suominen believes that the use of alternative performance measures provides useful information for example to investors regarding the Group's financial and operating performance and makes it easier to make comparison between the reporting periods.

Operating profit/loss and comparable operating profit/loss

Operating profit/loss, or earnings before interest and taxes (EBIT) is an important measure of profitability as by ignoring income taxes and financial items it focuses solely on the company's ability to generate profit from operations. Operating profit/loss is presented as a separate line item in the consolidated statement of profit or loss.

In order to improve the comparability of result between reporting periods, Suominen presents comparable operating profit / loss as an alternative performance measure. Operating profit/loss is adjusted with material items that are considered to affect comparability between reporting periods. These items include, among others, impairment losses or reversals of impairment losses, gains or losses from the sales of property, plant and equipment or intangible assets or other assets and restructuring costs. In 2025, items affecting comparability of result were impairment losses arising from the closure of one production line and restructuring expenses. In 2024, the items affecting comparability consisted mainly of restructuring expenses.

EBITDA and comparable EBITDA

EBITDA is an important measure that focuses on the operating performance excluding the effect of depreciation and amortization, financial items and income taxes, in other words what is the margin on net sales after deducting operating expenses.

Gross capital expenditure

Suominen considers gross capital expenditure as a relevant measure in order to understand for example how the Group maintains and renews its production machinery and facilities. Gross capital expenditure includes also capitalized borrowing costs and capitalized cash flow hedges. Gross capital expenditure (gross investments) does not include increases in right-of-use assets.

Interest-bearing net debt

Suominen considers interest-bearing net debt to be an important measure for investors to be able to understand the Group’s indebtedness. It is the opinion of Suominen that presenting interest-bearing liabilities not only at amortized cost but also at nominal value gives relevant additional information to the investors.

Return on equity (ROE), %

The return on equity is one of the most important profitability ratios used by owners and investors. The ratio measures the ability of a company to generate profits from its shareholders' investments in the company and it defines the yield on the company's equity during the reporting period.

Invested capital

Return on invested capital (ROI), %

Return on invested capital is one of the most important key ratios. It measures the relative profitability of the company, i.e. the yield on the capital invested in the company.

Equity ratio, %

Equity ratio is an important key ratio as it measures the solidity of the company, the company's tolerance for losses and ability to cover its long-term commitments. The performance measure shows how much of the company's assets are financed with equity. The equity creates a buffer against potential losses, and equity ratio represents the level of this buffer.

Gearing, %

Gearing represents the ratio between the equity invested by the owners of the company and the interest-bearing liabilities borrowed from financiers. Gearing is an important performance measure in assessing the financial position of a company. A high gearing is a risk factor which might limit the possibilities for growth of a company and narrow its financial freedom.

NET SALES BY GEOGRAPHICAL MARKET AREA

QUARTERLY DEVELOPMENT

QUARTERLY SALES BY BUSINESS AREA

INFORMATION ON RELATED PARTIES

Suominen Group's related parties include the parent of the Group (Suominen Corporation) and subsidiaries. In addition, the related parties of Suominen include the members of the Board of Directors, President & CEO and the members of the Suominen Leadership Team as well as their family members and their controlled companies. In addition, shareholders who have a significant influence in Suominen through share ownership are included in related parties. Suominen has no associated companies.

In its transactions with related parties Suominen follows the same commercial terms as in transactions with third parties.

Suominen has separate consulting agreements with two of the members of the Board of Directors, Laura Remes and Gail Ciccione. The services purchased from them during January−December based on the consulting agreements were as follows: Laura Remes EUR 19.5 thousand and Gail Ciccione EUR 24.1 thousand.

Management remuneration

The Annual General Meeting held on April 25, 2025, resolved that 25% of the annual remuneration for the Board of Directors is paid in Suominen Corporation’s shares. The number of shares transferred to the members of the Board of Directors as their remuneration payable in shares for 2025 was 36,013 shares. The shares were transferred on May 16, 2025, and the value of the transferred shares totaled EUR 75,987.

The annual and meeting fees paid to the Board of Directors of Suominen Corporation in 2025 were in total EUR 401 thousand, of which EUR 76 thousand were paid in shares.

A part of the CEO Tommi Björnman’s share-based plan vested, and shares were transferred to him in June. The number of the shares transferred was 9,359 shares. The value of the shares and the portion settled in cash was in total EUR 40,604.

Salaries paid or accrued, including fringe benefits, to President & CEO and other members of the Suominen Leadership Team during January-December 2025 amounted to EUR 2,365 thousand, of which EUR 42 thousand was the value of the vested share-based payments. Obligatory pension payments and accruals were EUR 251 thousand and voluntary pension payments and accruals EUR 97 thousand. In January 2026, an additional compensation corresponding to the 12 months' salary, totaling 462,000 euros, was also paid to Tommi Björnman. The accrual, excluding social costs, based on the non-vested share-based incentive plans in accordance with IFRS standards was EUR 598 thousand for the related parties for the reporting period.

Management share ownership

Number of shares

THE LARGEST SHAREHOLDERS ON DECEMBER 31, 2025

CHANGES IN PROPERTY, PLANT AND EQUIPMENT, INTANGIBLE ASSETS AND RIGHT-OF-USE ASSETS

Intangible assets excluding goodwill.

CONTINGENT LIABILITIES
EUR thousand

FINANCIAL ASSETS BY CATEGORY

Principles in estimating fair value for financial assets for 2025 are the same as those used in consolidated financial statements for 2024.

CHANGES IN INTEREST-BEARING LIABILITIES

EUR thousand

FINANCIAL LIABILITIES

The financial liabilities in the table above are measured at amortized cost.

Principles in estimating fair value for financial liabilities for 2025 are the same as those used in consolidated financial statements for 2024.

FAIR VALUE MEASUREMENT HIERARCHY

EUR thousand

Principles in estimating fair value for financial assets for 2025 are the same as those used in consolidated financial statements for 2024.

SUOMINEN CORPORATION
Board of Directors

For further information, please contact:
Charles Héaulmé, President and CEO, tel. +358 10 214 3268
Janne Silonsaari, CFO, tel. +358 50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2025 were EUR 412.4 million and we have almost 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
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Main media
www.suominen.fi

Attachment

• Suominen Corporation Financial Statement Release 2025

Suominen Corporation's stock exchange release on January 26, 2026 at 1.00 p.m. EET

Proposal on the number of the members, on the composition, and on the Chair of the Board of Directors

The Shareholders' Nomination Board of Suominen Corporation proposes to the Annual General Meeting 2026 that the number of Board members will be decreased from seven to six.

The Nomination Board proposes to the Annual General Meeting that Andreas Ahlström, Gail Ciccione, Nina Linander, Maija Joutsenkoski and Laura Remes would be re-elected as members of the Board of Directors and that Ville Vuori would be elected as a new member of the Board of Directors.

Out of the current Board members, Björn Borgman, is not available as a candidate for the Board of Directors. Additionally, the current Chairman of the Board, Charles Héaulmé, has decided to step out from the Board of Directors due to his role as the President & CEO of the Company.

Ville Vuori (b. 1973, B.Sc. (Mech. Eng.), eMBA, Finnish citizen) currently acts as the Chairman of the Boards of Incap Oyj and Aspocomp Oyj. Prior to that, he served as the CEO of Kemppi Oy and Incap Oyj. Ville Vuori’s CV is attached to this stock exchange release. The proposed current members of the Board of Directors are presented on the company website www.suominen.fi.

All candidates have given their consent to the election. All candidates are independent of the company. The candidates are also independent of Suominen’s significant shareholders, with the exceptions of Andreas Ahlström who acts currently as the CEO of Ahlström Invest B.V. and Maija Joutsenkoski who acts as the Investment Director at A. Ahlström Corporation. The largest shareholder of Suominen Corporation, Ahlstrom Capital B.V., belongs to the same group of companies as Ahlström Invest B.V. and A. Ahlström Corporation.

The Nomination Board proposes to the Annual General Meeting that Ville Vuori would be elected as the Chair of the Board of Directors.

With regard to the election procedure for the members of the Board of Directors, the Nomination Board recommends that the shareholders take a position on the proposal as a whole at the Annual General Meeting. In preparing its proposals the Nomination Board, in addition to ensuring that individual board member candidates possess the required competences, has determined that the proposed Board of Directors as a whole has the best possible expertise for the company and that the composition of the Board of Directors meets the other requirements of the Finnish Corporate Governance Code for listed companies.

Proposal on the Board remuneration

The Nomination Board proposes that the remuneration of the Board of Directors remains unchanged and would be as follows: the Chair would be paid an annual fee of EUR 74,000, the Deputy Chair an annual fee of EUR 45,000 and other Board members an annual fee of EUR 35,000. The Nomination Board also proposes that the additional fee paid to the Chair of the Audit Committee would remain unchanged and be EUR 10,000.

Further, the Nomination Board proposes that the fees payable for each Board and Committee meeting would remain unchanged and be as follows: EUR 500 for each meeting held in the home country of the respective member, EUR 1,000 for each meeting held elsewhere than in the home country of the respective member and EUR 500 for each meeting attended by telephone or other electronic means. No fee is paid for decisions made without convening a meeting.

75% of the annual fees is paid in cash and 25% in Suominen Corporation’s shares. The shares will be transferred out of the own shares held by the company by the decision of the Board of Directors within two weeks from the date on which the interim report of January–March 2026 of the company is published.

Compensation for expenses will be paid in accordance with the company's valid travel policy.

The composition of the Nomination Board

The members of the Nomination Board, as of September 2, 2025, are Jyrki Vainionpää (President & CEO of A. Ahlström Corporation) as a member appointed by Ahlstrom Capital B.V., Mikael Etola (CEO of Etola-Yhtiöt) as a member appointed by Etola Group Oy and Ville Vuori (Board Professional) as a member appointed by Oy Etra Invest Ab. Charles Héaulmé, Chair of Suominen’s Board of Directors, serves as the fourth member of the Nomination Board.

Jyrki Vainionpää acts as the Chair of the Nomination Board. 

All of the proposals made by the Nomination Board were unanimous, except that Charles Héaulmé and Ville Vuori abstained from participating in the decision‑making relating to the Nomination Board’s proposal for the Chair of the Board.

The Board of Directors of Suominen Corporation will include the proposals submitted by the Nomination Board to the Notice of the Annual General Meeting of Suominen which will be published at a later date. The Annual General Meeting of Suominen Corporation is scheduled to be held on April 15, 2026.

SUOMINEN CORPORATION

For additional information please contact Jyrki Vainionpää, Chair of the Nomination Board of Suominen Corporation, tel. +358 50 486 9869

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
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Main media
www.suominen.fi

Attachment

• CV - Ville Vuori - eng

Suominen Corporation Stock exchange release December 19, 2025, at 3:30 p.m. EET

The Board of Directors of Suominen Corporation has resolved to establish a new share-based incentive plan for selected key employees of the group. The purpose of the plan is to align the interests of the company’s shareholders and key employees to increase the company’s value in the long-term, to commit key employees to the company and to offer them a competitive incentive plan based on receiving the company’s shares.

The plan is intended to be used as a tool in situations seen necessary by the Board of Directors, for example ensuring retention of key talents to the company, attracting a new talent or other specific situations determined by the Board of Directors.

The Board of Directors may allocate rewards from the Restricted Share Unit Plan 2026—2028 during financial years 2026—2028. The value of the rewards to be paid on the basis of the plan corresponds to a maximum total of 200,000 shares of Suominen, including also the proportion to be paid in cash. The target group of the plan consists of key employees selected by the Board, including members of the Leadership Team and the CEO.

The rewards will be paid by the end of May 2029, but in any event minimum twelve (12) months after the determination of the reward opportunity. The reward is based on a valid employment or director contract and on the continuity of the employment or service.

The reward will be paid partly in Suominen’s shares and partly in cash. The cash proportion of the reward is intended to cover taxes and statutory social security contributions arising from the reward to the key employee. As a rule, no reward will be paid if the key employee’s employment or director contract terminates before the reward payment. The Board may impose a share holding obligation on the shares delivered as reward.

SUOMINEN CORPORATION
Charles Héaulmé, President & CEO

For more information, please contact:
Charles Héaulmé, President & CEO, tel. + 358 10 214 3268

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Suominen Corporation stock exchange release on October 29, 2025, at 9:35 a.m. EET

Suominen has appointed Francois Guetat, M.Eng., as Chief Operating Officer, and member of Suominen Leadership Team effective November 3, 2025.

Francois Guetat brings over two decades of global experience in operations, supply chain, and manufacturing excellence. Most recently, he served as SVP of Integrated Supply Chain at Kalmar, where he led business across sourcing, manufacturing, logistics and strategy. His leadership has been shaped by 22 years at Volvo, where he held key roles in Sweden, USA, and Poland.

“I’m pleased to welcome Francois to our team. He has consistently driven results through transformational programs, systematic continuous improvement deployment, strong commitment to total quality, safety and sustainability, and great people leadership skills”, says Charles Héaulmé, President and CEO of Suominen.

Suominen’s Chief Operating Officer Darryl Fournier has decided to leave the company to pursue other professional endeavors. He will continue with Suominen until end of January 2026, focusing on strategic projects.

“I want to thank Darryl for his dedication and commitment to Suominen and wish him all the best going forward”, says Charles Héaulmé.

Francois Guetat's CV and picture are attached to this release. 

SUOMINEN CORPORATION
Charles Héaulmé, President & CEO

For more information, please contact:
Charles Héaulmé, President & CEO, tel. + 358 10 214 3268

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million, and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Attachments

• Francois Guetat photo
• CV - Francois Guetat - Eng

Suominen Corporation Interim Report on October 29, 2025, at 9:30 a.m. (EET)

Suominen Corporation’s Interim Report for January 1 – September 30, 2025:

Profitability affected by exceptional events, outlook reduced

KEY FIGURES

In this interim report, figures shown in brackets refer to the comparison period of the previous year if not otherwise stated.

July–September 2025 in brief:

- Net sales decreased by 11% from the corresponding period of 2024 and were EUR 99.8 million (111.6)
- Comparable EBITDA increased to EUR 3.4 million (3.3)
- Cash flow from operations was EUR 15.7 million (-2.6)
- Charles Héaulmé started as President and CEO on August 11, 2025

January–September 2025 in brief:

- Net sales decreased by 8% from the corresponding period of 2024 and were EUR 317.1 million (343.8)
- Comparable EBITDA decreased to EUR 10.7 million (12.8)
- Cash flow from operations was EUR 5.2 million (-2.6)

Outlook for 2025

Suominen communicated on October 15, 2025, a change in its outlook. The company now expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will be lower compared to 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

In its Financial Statements release for 2024, published on March 5, 2025, and in its half-year report published on August 7, 2025, Suominen estimated that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will improve from 2024.

Charles Héaulmé, President & CEO:

“Nonwoven demand has historically been stronger in the second half of the year. However, after the supply chain disruption during the first half of the year, the third quarter volume recovery progressed slower than previously anticipated.

During the third quarter, our net sales decreased by 11% and were EUR 99.8 million (111.6). Sales volumes decreased but sales margins increased from the corresponding period of 2024. Currencies impacted net sales negatively by EUR 3.7 million.

Our quarterly comparable EBITDA increased to EUR 3.4 million (3.3). During the third quarter, two major incidents affected our US plants: an equipment failure at one facility resulted in an extended production line shutdown and additional costs, while another facility experienced significant flooding in the storage area that required disposal of inventory. These incidents affected our ability to supply during the third quarter. The total negative impact of these incidents on comparable EBITDA was EUR 2.8 million. Damages are being evaluated for potential recovery, though the timing of compensation remains uncertain.

We have accelerated the execution of our cost-saving program, announced in May 2025, which is expected to result in savings of approximately EUR 10 million over the next 24 months. We are on track to implement the majority of the actions by the end of the year.

Sustainability is at the core of both our strategy and daily operations, particularly innovating for sustainable solutions. The share of new products remained on a good level, totaling 30% of net sales in the third quarter and 28% year-to-date.

In 2025 Suominen was awarded by the EcoVadis assessment a Gold Medal for the second consecutive year. The result places Suominen in the top 2% of companies in the manufacture of other textiles industry and in the top 2% of all companies in all industries rated by EcoVadis. Continuing to execute our strategy to be the frontrunner in sustainability, the on-going investments in Alicante, Spain and Bethune, USA, are progressing as planned.

Given the slower than expected market recovery and the incidents in our plants, we revised our full year guidance on comparable EBITDA and now expect comparable EBITDA to be lower than in 2024. As we move forward, our priority remains on driving the turnaround and elevating the company’s performance.”

NET SALES

July–September 2025

In July–September 2025, Suominen’s net sales decreased from the comparison period by 11% to EUR 99.8 million (111.6). Sales volumes decreased but sales margins increased from the corresponding period of 2024. Incidents at US plants impacted net sales negatively by 5.4 million and currencies negatively by EUR 3.7 million.

Suominen has two business areas, Americas and EMEA. Net sales of the Americas business area amounted to EUR 60.3 million (69.5) and net sales of the EMEA business area to EUR 39.5 million (42.1).

January–September 2025

In January–September 2025, Suominen’s net sales decreased from the comparison period by 8% and amounted to EUR 317.1 million (343.8). Sales volumes decreased from the corresponding period of 2024, but sales margins increased. Currencies impacted net sales negatively by EUR 7.0 million.

Net sales of the Americas business area amounted to EUR 193.7 million (215.2) and net sales of the Europe business area to EUR 123.4 million (128.6).

EBITDA, OPERATING PROFIT AND RESULT

July–September 2025

Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) increased and was EUR 3.4 million (3.3). The negative effect of lower sales volumes on comparable EBITDA was offset by lower raw material prices.

EBITDA was EUR 3.3 million (3.4). The items affecting comparability of EBITDA during Q3 totaled EUR -0.1 million (+0.1). The effect of currencies on the comparable EBITDA was EUR +0.3 million. The items affecting comparability were mainly related to the restructuring program launched at the end of May.

Comparable operating profit increased from the comparison period and amounted to EUR -0.7 million (-1.5). Operating profit increased from the comparison period and amounted to EUR -0.8 million (-1.4). The items affecting comparability of operating profit totaled EUR -0.1 million (+0.1).

The profit before income taxes was EUR -2.1 million (-3.3), and profit for the reporting period was EUR -2.0 million (-3.2). Income taxes for the period were EUR +0.1 million (+0.1).

January–September 2025

Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) was EUR 10.7 million (12.8). The negative effect of lower sales volumes and higher raw material costs on comparable EBITDA was offset by higher sales prices and better sales mix. Currency impact on comparable EBITDA was EUR -0.7 million.

EBITDA decreased to EUR 10.0 million (11.8). The items affecting comparability of EBITDA totaled EUR
-0.7 million (-1.0). The items affecting comparability were mainly related to the restructuring program launched at the end of May.

Comparable operating profit was EUR -1.9 million (-1.2). Operating profit was EUR -2.7 million (-2.1). The items affecting comparability of operating profit totaled EUR -0.7 million (-1.0).

Profit before income taxes was EUR -8.8 million (-5.9), and profit for the reporting period was
EUR -8.2 million (-6.1). Income taxes for the period were EUR +0.6 million (-0.2).

FINANCING

The Group’s net interest-bearing liabilities at nominal value amounted to EUR 76.1 million (63.3) at the end of the review period. The gearing ratio was 76.0% (57.1%) and the equity ratio 36.1% (37.1%).

In January–September, net financial expenses were EUR -6.1 million (-3.8), or -1.9% (-1.1%) of net sales. Fluctuations in exchange rates increased the net financial expenses by EUR 2.1 million (in 2024, increased by EUR 0.2 million).

Cash flow from operations amounted to EUR 15.7 million (-2.6) for July–September and EUR 5.2 million (-2.6) for January–September, resulting in cash flow per share of EUR 0.09 (-0.05). The improvement in cash flow from operations for January–September primarily resulted from reductions in capital tied up in net working capital, particularly trade receivables, following targeted measures implemented to accelerate net working capital turnover.

In the third quarter the change in net working capital in the cash flow from operations was EUR 13.9 million (-2.7). The change in net working capital in the cash flow from operations in January–September was EUR 0.9 million (-9.7).

At the end of June, Suominen entered into a single-currency syndicated credit facility agreement which consists of EUR 50 million term loan and EUR 50 million revolving credit facility with a maturity of three years with a one-year extension option. The lenders for the facility are Danske Bank A/S and Nordea Bank Abp. The new credit facility includes leverage ratio and gearing as financial covenants and it replaces the previous EUR 100 million syndicated revolving credit facility agreement of Suominen provided by Danske Bank A/S and Nordea Abp.

CAPITAL EXPENDITURE

In January–September, the gross capital expenditure totaled EUR 17.0 million (8.8) and the largest investments were related to the growth investment initiatives in Bethune, USA and Alicante, Spain. Other investments were mainly normal maintenance investments.

Depreciation, amortization and impairment losses for the review period amounted to EUR 12.6 million (13.9).

PROGRESS IN SUSTAINABILITY

During the quarter, Suominen received a Gold Medal for the second consecutive year from the EcoVadis sustainability assessment. Suominen took part in the assessment in 2025 for the fourth time. The result places Suominen in the top 2% of companies in the manufacture of other textiles industry and in the top 2% of all companies in all industries rated by EcoVadis.

Compared to the previous year, we improved points in all four themes in the assessment: environment, labor & human rights, ethics and sustainable procurement. The improvements were primarily the result of newly implemented policies. According to EcoVadis, Suominen demonstrates an advanced sustainability management system that covers all four themes under review.

Suominen prioritizes safety and accident prevention, aiming for zero lost time accidents (LTA). 1 (2) LTA occurred in January-September at Suominen sites.

We are committed to improving production efficiency and resource utilization, targeting reductions in scope 1, 2, and 3 greenhouse gas emissions in line with the Paris Agreement (limiting global warming to 1.5°C), and achieving zero manufacturing waste to landfill by 2030.

Our portfolio includes sustainable nonwovens, and we continuously develop innovative solutions with reduced environmental impact. We aim for over two-thirds of our consumed raw materials to be from plant-based resources and for more than half of our new R&D initiatives to focus on advancing the development of sustainable products. 30% of our net sales in the third quarter came from new products launched in the last three years.

Suominen reports progress in its sustainability KPIs annually. Suominen provided a detailed overview of its 2024 sustainability performance in the Sustainability Statement published on April 1 as part of the Report by the Board of Directors published in Suominen’s Annual Report 2024. The Sustainability Statement was prepared in accordance with the Finnish Accounting Act, European Sustainability Reporting Standards (ESRS) and EU Taxonomy regulation.

INFORMATION ON SHARES AND SHARE CAPITAL

Share capital

The number of Suominen’s registered shares was 58,259,219 shares on September 30, 2025, equaling to a share capital of EUR 11,860,056.00.

Share trading and price

The number of Suominen Corporation shares traded on Nasdaq Helsinki from January 1 to September 30, 2025, was 665,056 shares, accounting for 1.2% of the average number of shares (excluding treasury shares). The highest price was EUR 2.73, the lowest EUR 1.70, and the volume-weighted average price EUR 2.01. The closing price at the end of review period was EUR 1.81. The market capitalization (excluding treasury shares) was EUR 104.6 million on September 30, 2025.

Treasury shares

On September 30, 2025, Suominen Corporation held 486,744 treasury shares.

In accordance with the resolution of the Annual General Meeting, in total 36,013 shares were transferred in May to the members of the Board of Directors as their remuneration payable in shares.

As a part of the CEO’s share-based payment plan vested, in total 9,359 shares were transferred to the President and CEO Tommi Björnman in June.

The portion of the remuneration of the members of the Board of Directors paid in shares

The Annual General Meeting held on April 25, 2025, decided that 75% of the annual remuneration of the members of the Board of Directors is paid in cash and 25% in Suominen Corporation’s shares.

The number of shares forming the remuneration portion payable in shares was determined based on the share value in the stock exchange trading maintained by Nasdaq Helsinki Ltd, calculated as the trade volume-weighted average quotation of the share during the two-week period immediately following the date on which the Interim Report of January‒March 2025 of the company was published. The shares were given out of the treasury shares held by the company by the decision of the Board of Directors on May 16, 2025.

Share-based incentive plans for the management and key employees

The Group management and key employees participate in the company’s share-based long-term incentive plans. The plans are described in more detail in the Financial Statements and in the Remuneration Report, available on the company’s website www.suominen.fi.

Company's Performance Share Plan currently includes three 3-year performance periods, calendar years 2023–2025, 2024–2026 and 2025–2027. The aim of the Performance Share Plan is to combine the objectives of the shareholders and the persons participating in the plan in order to increase the value of the company in long-term, to build loyalty to the company and to offer them competitive reward plans based on earning and accumulating the company’s shares.

Performance Share Plan: Ongoing performance periods

The President & CEO of the company must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of his or her annual gross salary. A member of the Executive Team must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of half of his or her annual gross salary. Such number of shares must be held as long as the participant’s employment or service in a group company continues.

The President & CEO Charles Héaulmé’s share-based incentive plan

The President & CEO is eligible to participate in the company’s ongoing long-term incentive plans for the periods 2023-2025, 2024-2026 and 2025-2027. The potential payment under incentive plans shall be pro-rated.

The President & CEO is eligible for a sign-in bonus of 200 000 company shares; to be paid during Q3/2026, in case the Agreement is still in force. Possible taxes shall be paid by the recipient.

Under the Annual Shares Contribution as of 2026, the President & CEO is expected to acquire up to 100,000 shares of Suominen Corporation at a price formed in public trading on Nasdaq Helsinki. Suominen will match the share investment by way of the President & CEO receiving, without consideration:

• 100,000 matching shares at minimum EUR 20 million comparable EBITDA
• 300,000 shares at target EUR 25 million comparable EBITDA
• 500,000 shares at maximum EUR 30 million comparable EBITDA.
  
  

The company shall transfer the shares within Q1 of the following year subject to a Board decision. As of 2027, the first half of the plan shall be unconditional and second half based on performance targets set by the Board, provided that the President & CEO’s service in the company is in force at the time of the reward payments. Proportion of the incentives is to be paid in cash, intended to cover taxes and tax-related costs arising from the rewards to the President & CEO.

The President & CEO Tommi Björnman’s share-based incentive plan

Under the plan the President & CEO was expected to own or acquire up to 30,000 shares of Suominen Corporation at a price formed in public trading on Nasdaq Helsinki. Suominen was to match the share investment by way of the President & CEO receiving, without consideration, up to 60,000 matching shares (gross, including also the proportion to be paid in cash).

The plan included three vesting periods, June 1, 2023–June 1, 2024, June 1, 2023–June 1, 2025, and June 1, 2023–June 1, 2026. The potential reward was to be paid partly in shares and partly in cash in three equal installments after each vesting period, provided that the President & CEO’s service in the company is in force at the time of the reward payment. The cash proportion was intended to cover taxes and tax-related costs arising from the rewards to the President & CEO.

The second vesting period ended in June 2025, and in total 9,359 shares were transferred to the CEO. The plan was terminated at the end of June as Tommi Björnman’s service in the company ended.

ANNUAL GENERAL MEETING

The Annual General Meeting (AGM) of Suominen Corporation was held on April 25, 2025.

The AGM adopted the Financial Statements for 2024 and discharged the members of the Board of Directors and the President and CEO from liability for the financial year 2024.

The AGM resolved to adopt the Remuneration Report for the Company’s governing bodies for 2024. The resolution made by the AGM is advisory.

The AGM decided, in accordance with the proposal by the Board of Directors, that no dividend be paid based on the adopted balance sheet regarding the financial year 2024 and that the distributable funds be left in the company’s unrestricted equity.

The AGM decided, in accordance with the proposal of the Shareholders’ Nomination Board, that the remuneration of the Board of Directors remains unchanged and is as follows: the Chair is paid an annual fee of EUR 74,000, the Deputy Chair an annual fee of EUR 45,000 and other Board members an annual fee of EUR 35,000. The Chair of the Audit Committee is paid an additional fee of EUR 10,000. Further, the members of the Board will receive a fee for each Board and Committee meeting as follows: EUR 500 for each meeting held in the home country of the respective member, EUR 1,000 for each meeting held elsewhere than in the home country of the respective member and EUR 500 for each meeting attended by telephone or other electronic means.

75% of the annual fee is paid in cash and 25% in Suominen Corporation’s shares.

Compensation for expenses is paid in accordance with the company's valid travel policy.

The AGM decided that the number of Board members will be seven (7). Andreas Ahlström, Björn Borgman, Charles Héaulmé, Nina Linander and Laura Remes were re-elected as members of the Board by the AGM. Gail Ciccione and Maija Joutsenkoski were elected as new members of the Board.

Charles Héaulmé was re-elected as the Chair of the Board of Directors.

Authorised Public Accountants KPMG Oy Ab was elected as the auditor of the company for the next term of office in accordance with the Articles of Association. KPMG Oy Ab informed that Anders Lundin, APA, ASA, will act as the principally responsible auditor of the company. The auditor’s fee was resolved to be paid according to the invoice approved by the company.

Sustainability audit firm KPMG Oy Ab was elected as the company’s authorized sustainability auditor for a term that lasts until the end of the company's next Annual General Meeting. KPMG Oy Ab has informed that Anders Lundin, APA, ASA, will act as the responsible authorized sustainability auditor of the company. The authorized sustainability auditor’s fee was resolved to be paid according to the invoice approved by the company.

Suominen published a stock exchange release on April 25, 2025, concerning the resolutions of the Annual General Meeting and the organizing meeting of the Board of Directors. The stock exchange release and introductions of the new Board members can be viewed on Suominen’s website at www.suominen.fi.

Organizing meeting and permanent committees of the Board of Directors

In its organizing meeting held after the AGM, the Board of Directors elected Andreas Ahlström as the Deputy Chair of the Board.

The Board elected from among its members the members for the Audit Committee, Personnel and Remuneration Committee, and Strategy Committee. Nina Linander was re-elected as the Chair of the Audit Committee, and Andreas Ahlström and Laura Remes were re-elected as members. Maija Joutsenkoski was elected as a new member. Charles Héaulmé was re-elected as the Chair of the Personnel and Remuneration Committee, and Björn Borgman was re-elected as a member. Gail Ciccione was elected as a new member. Laura Remes was re-elected as the Chair of the Strategy Committee, and Andreas Ahlström was re-elected as a member. Maija Joutsenkoski was elected as a new member.

Authorizations of the Board of Directors

The Board of Directors was authorized to decide on the repurchase of a maximum of 1,000,000 of the company’s own shares. The company’s own shares shall be repurchased otherwise than in proportion to the holdings of the shareholders through trading on the regulated market organized by Nasdaq Helsinki Ltd at the market price prevailing at the time of acquisition using the company’s unrestricted equity. The shares shall be repurchased to be used in the company’s share-based incentive programs, in order to disburse the remuneration of the members of the Board of Directors, to be used as consideration in acquisitions related to the company’s business, or to be held by the company, to be conveyed by other means or to be cancelled.

The Board of Directors shall decide on other terms and conditions related to the repurchase of the company’s own shares. The repurchase authorization is valid until June 30, 2026, and it revokes all earlier authorizations to repurchase company’s own shares.

The Board of Directors was authorized to decide on the issuance of new shares, conveyance of the company’s own shares held by the company and/or granting of option rights and other special rights entitling to shares referred to in Chapter 10, Section 1 of the Finnish Companies Act. By virtue of the authorization, the Board of Directors may, by one or several resolutions, issue a maximum of 5,000,000 shares. The shares granted by virtue of option rights and other special rights are included in the aforementioned maximum number. Option rights and other special rights may not be granted as a part of the company’s remuneration system.

The share issue can be made either against payment or without payment and can also be directed to the company itself. The authorization entitles the Board of Directors to also decide that shares are issued otherwise than in proportion to the shareholdings of the shareholders (directed share issue). The authorization can be used to carry out acquisitions or other arrangements related to the company’s business, to finance investments, to improve the company’s financial structure, as part of the company’s remuneration system or to pay the share proportion of the remuneration of the members of the Board of Directors or for other purposes decided by the Board of Directors.

The authorization revokes all earlier authorizations regarding the issuance of shares and issuance of option rights and other special rights entitling to shares. The Board of Directors will decide on all other terms and conditions related to the authorization. The authorization is valid until June 30, 2026.

NOTIFICATIONS UNDER CHAPTER 9, SECTION 5 OF THE SECURITIES MARKET ACT

During the review period Suominen received no notifications under Chapter 9, Section 5 of the Securities Market Act.

CHANGES IN THE EXECUTIVE TEAM

Minna Rouru started in January 2025, as Chief People & Communications Officer at Suominen.

Mark Ushpol started in January 2025 as EVP, Americas business area at Suominen.

Darryl Fournier started in February 2025 as Chief Operating Officer at Suominen.

Jonni Friman, EVP, Transformation Management Office and a member of the Executive Management Team left the company at the end of July.

On June 30, Suominen announced that the President and CEO Tommi Björnman leaves the company and that the Board of Directors of Suominen had appointed Charles Héaulmé, the Chair of the Board, as the company’s new President and CEO. Mr. Héaulmé started on August 11, 2025. Janne Silonsaari, CFO, acted as interim President & CEO for the period June 30–August 10, 2025.

Mr. Héaulmé continues to serve as Chair of the Board until the next Annual General Meeting of Suominen in 2026. He stepped down from his position as a Chair and member of the Personnel and Remuneration Committee of the Board of Directors as of June 30. 

NOMINATION BOARD

Suominen’s three largest registered shareholders Ahlstrom Capital B.V., Etola Group Oy and Oy Etra Invest Ab have nominated the following members to the Shareholders’ Nomination Board:

• Jyrki Vainionpää, President & CEO of A. Ahlström Oy, as a member appointed by Ahlstrom Capital B.V.
• Mikael Etola, CEO of Etola Group Oy, as a member appointed by Etola Group Oy
• Ville Vuori, Board Professional, as a member appointed by Oy Etra Invest
  
  

Charles Héaulmé, Chair of Suominen’s Board of Directors, serves as the fourth member of the Nomination Board. The shareholders entitled to appoint members to the Nomination Board were determined on the basis of the registered holdings in the company’s shareholders' register on September 1, 2025.

In its organizing meeting on October 21, 2025, the Nomination Board elected Jyrki Vainionpää as the Chair of the Nomination Board.

SHORT TERM RISKS AND UNCERTAINTIES

Market remained volatile in the third quarter, but on a lower scale than in the previous quarter. Demand in global supply chains, especially regarding tariffs in the USA, are recovering but at a slower pace than previously expected.

The ongoing war in Ukraine has no direct impact on Suominen’s business, as the company does not have customers or suppliers in Russia, Belarus, or Ukraine. Suominen is primarily affected by the indirect economic impacts of the conflict. The situation in the Red Sea has caused volatility in sea freight costs.

Suominen’s other risks and uncertainties include but are not limited to: risks related to manufacturing, competition, raw material prices and availability, customer specific volumes and credits, changes in legislation, political environment or economic conditions and investments, and financial risks.

A more detailed description of risks is available in Suominen’s Annual Report 2024 at www.suominen.fi/investors.

BUSINESS ENVIRONMENT

Suominen’s nonwovens are, for the most part, used in daily consumer goods, such as wipes as well as in hygiene and medical products. In these target markets of Suominen, the general economic situation determines the development of consumer demand, even though the demand for consumer goods is not very cyclical in nature. North America and Europe are the largest market areas for Suominen. In addition, the company operates in the South American markets. The growth in the demand for nonwovens has typically exceeded the growth of gross domestic product by a couple of percentage points.

We follow the market development and signals from our customers closely, but the overall global economic uncertainty and fierce competition continue to make longer-term visibility challenging. It remains to be seen how the current economic climate impacts the end consumer demand and consumer preferences regarding wipes. Historically, the wipes market has been rather steady despite the general economic situation.

Geopolitical tensions such as instabilities in the Middle East and the war in Ukraine continue to generate uncertainty globally. Possible impacts to Suominen as a company are expected to be mainly indirect. However, possible effects on supply chain, especially on raw material and logistic costs, would impact Suominen directly. We continue to monitor the situation.

The ongoing US tariff developments are contributing to increased market uncertainty. Fluctuations in tariff policies may lead to temporary disruptions within supply chains. In the third quarter, volume recovery from supply chain disruption mostly related to US tariff variations progressed slower than previously anticipated.

OUTLOOK FOR 2025

Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will be lower compared to 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

CORPORATE GOVERNANCE AND REMUNERATION REPORT

Suominen has prepared a separate Corporate Governance Statement and a Remuneration Report for 2024, which comply with the recommendations of the Finnish Corporate Governance Code for listed companies. The statements have been published on Suominen's website at www.suominen.fi

EVENTS AFTER THE REPORTING PERIOD

On October 15, 2025, Suominen communicated a change in its outlook. The company now expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will be lower compared to 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

AUDIOCAST AND CONFERENCE CALL

Charles Héaulmé, President & CEO, and Janne Silonsaari, CFO, will present the result in English in an audiocast and a conference call for analysts, investors, and media on October 29 at 11:00 a.m. (EET).

The audiocast can be followed at https://suominen.events.inderes.com/q3-2025. The recording of the audiocast and the presentation material will be available after the event at www.suominen.fi.

Conference call participants can access the teleconference by registering at https://events.inderes.com/suominen/q3-2025/dial-in. The phone numbers and a conference ID to access the conference will be provided after the registration.

NEXT FINANCIAL REPORT

Suominen Corporation will publish its Financial Statements Bulleting 2025 on January 29, 2026, approximately at 9:30 a.m. (EET).

SUOMINEN GROUP JANUARY 1 – SEPTEMBER 30, 2025

The figures in this interim report are mainly presented in EUR thousands. As a result of rounding differences, the figures presented in the tables do not necessarily add up to total.

This interim report has not been audited.

This interim report has been prepared in accordance with the principles defined in IAS 34 Interim Financial Reporting. The principles for preparing the interim are the same as those used for preparing the consolidated financial statements for 2024, with the exception of the effect of the new accounting standards and interpretations which have been applied from January 1, 2025.

The new or amended standards or interpretations applicable from January 1, 2025, are not material for Suominen Group.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

CONSOLIDATED STATEMENT OF PROFIT OR LOSS

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

CONSOLIDATED STATEMENT OF CASH FLOWS

KEY RATIOS

*Compared with the corresponding period in the previous year.

CALCULATION OF KEY RATIOS AND ALTERNATIVE PERFORMANCE MEASURES

Key ratios per share are either IFRS key ratios (earnings per share) or required by Ordinance of the Ministry of Finance in Finland or alternative performance measures (cash flow from operations per share).

Some of the other key ratios Suominen publishes are alternative performance measures. An alternative performance measure is a key ratio which has not been defined in IFRS standards. Suominen believes that the use of alternative performance measures provides useful information, for example to investors regarding the Group's financial and operating performance and makes it easier to make comparisons between the reporting periods.

The link between the components of the key ratios per share and the consolidated financial statements is presented in the consolidated financial statements of 2024. The link between the components of the alternative performance measures and the consolidated financial statements is presented in Suominen’s Annual Report for 2024.

Calculation of key ratios per share

Earnings per share                                
                                

Cash flow from operations per share
        

        
Equity per share

Market capitalization

Share turnover

Calculation of key ratios and alternative performance measures

Operating profit and comparable operating profit

In order to improve the comparability of results between reporting periods, Suominen presents comparable operating profit as an alternative performance measure. Operating profit is adjusted with material items that are considered to affect comparability between reporting periods. These items include, among others, impairment losses or reversals of impairment losses, gains or losses from the sales of property, plant and equipment or intangible assets or other assets and restructuring costs.

Comparable operating profit

EBITDA and comparable EBITDA

Gross capital expenditure

Interest-bearing net debt

It is the opinion of Suominen that presenting interest-bearing liabilities not only at amortized cost but also at nominal value gives relevant additional information to the investors.

Return on equity (ROE), %

Invested capital

Return on invested capital (ROI), %

Equity ratio, %

Gearing, %

NET SALES BY GEOGRAPHICAL MARKET AREA

QUARTERLY SALES DEVELOPMENT BY BUSINESS AREA

QUARTERLY DEVELOPMENT

RELATED PARTY INFORMATION

The related parties of Suominen include the members of the Board of Directors, President & CEO and the members of the Corporate Executive Team as well as their family members and their controlled companies. In addition, shareholders who have a significant influence in Suominen through share ownership are included in related parties. Suominen has no associated companies.

In its transactions with related parties Suominen follows the same commercial terms as in transactions with third parties.

Suominen has separate consulting agreements with two of the members of the Board of Directors, Laura Remes and Gail Ciccione. The services purchased from them during January−September based on the consulting agreements were as follows: Laura Remes EUR 19.5 thousand and Gail Ciccione EUR 16.7 thousand. Trade payable at the end of September was EUR 1.5 thousand (to Gail Ciccione).

The Annual General Meeting held on April 25, 2025, resolved that 25% of the annual remuneration for the Board of Directors is paid in Suominen Corporation’s shares. The number of shares transferred to the members of the Board of Directors as their remuneration payable in shares for 2025 was 36,013 shares. The shares were transferred on May 16, 2025, and the value of the transferred shares totaled EUR 75,987.

A part of the CEO Tommi Björnman’s share-based plan vested, and shares were transferred to him in June. The number of the shares transferred was 9,359 shares. The value of the shares and the portion settled in cash was in total EUR 40,604.

CHANGES IN PROPERTY, PLANT AND EQUIPMENT, INTANGIBLE ASSETS AND RIGHT-OF-USE ASSETS

Goodwill is not included in intangible assets.

CHANGES IN INTEREST-BEARING LIABILITIES

CONTINGENT LIABILITIES

FINANCIAL ASSETS BY CATEGORY

Principles in estimating fair value of financial assets for 2025 are the same as those used for preparing the consolidated financial statements for 2024.

FINANCIAL LIABILITIES

Principles in estimating fair value for financial liabilities for 2025 are the same as those used for preparing the consolidated financial statements for 2024.

FAIR VALUE MEASUREMENT HIERARCHY

Principles in estimating fair value of financial assets and their hierarchies for 2025 are the same as those used for preparing the consolidated financial statements for 2024.

There were no transfers in the fair value measurement hierarchy levels during the reporting period.

EVENTS AFTER THE REPORTING PERIOD

On October 15, 2025, Suominen communicated a change in its outlook. The company now expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will be lower compared to 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

SUOMINEN CORPORATION
Board of Directors

For additional information, please contact:
Charles Héaulmé, President & CEO, tel. +358 10 214 3268
Janne Silonsaari, CFO, tel. +358 50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Attachment

• Suominen Corporation Interim Report Q3 2025

Suominen Corporation's insider information on October 15, 2025, at 2:30 p.m. EEST

In its Financial Statements release for 2024, published on March 5, 2025, and in its half-year report published on August 7, 2025, Suominen estimated that its comparable EBITDA in 2025 will improve from 2024. Suominen now estimates that its comparable EBITDA in 2025 will be lower compared to 2024.

"While nonwoven demand has historically been stronger in the second half of the year and our cost-saving measures are contributing, volume recovery from supply chain disruption mostly related to US tariff variations progressed slower in the third quarter than we previously anticipated. Additionally, two major incidents affected our US plants during the third quarter: an equipment failure at one facility resulted in an extended production line shutdown and added costs, while another location experienced significant flooding in the storage area that required disposal of inventory. Damages are under assessment related to potential recovery compensation, but timing of the compensation is uncertain. Our third quarter net sales amounted to EUR 99.8 million and comparable EBITDA is estimated to be approximately EUR 3.4 million. As a result, we expect that the full-year comparable EBITDA will be lower compared to 2024", states Charles Héaulmé, President and CEO of Suominen.

New outlook: Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will be lower compared to 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

Previous outlook: Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will improve from 2024.

Suominen publishes its third quarter report on Wednesday October 29, 2025, at approximately 9.30 a.m. EEST.

SUOMINEN CORPORATION

For more information:
Janne Silonsaari, CFO, tel. +358 50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Suominen Corporation's stock exchange release on September 23, 2025 at 11:00 a.m. (EEST)

Suominen will publish its Financial Statements Release, Annual Report, Half-Year Financial Report and two Interim Reports in 2026 as follows:

January 29, 2026 – Financial statements bulletin for 2025
Week commencing March 16, 2026 at the latest – Annual Report for 2025
May 7, 2026 – Interim Report for January–March 2026
August 7, 2026 – Half-Year Financial Report for January–June 2026
November 5, 2026 – Interim Report for January–September 2026

Suominen's Annual General Meeting is planned to be held on April 15, 2026. Suominen's Board of Directors will summon the meeting at a later date.

For more information:
Anu Ilvonen, Director, Communications & Marketing, tel. +358 50 376 0438

SUOMINEN CORPORATION
Corporate Communications

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million, and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution: 
Nasdaq Helsinki
Main media
www.suominen.fi 

Suominen Corporation September 12, 2025 at 3:00 p.m. (EEST)

Charles Héaulmé has reported to have made transactions with Suominen Corporation's shares. The transactions are presented below as a summary, and in detail as per the disclosure requirement.

Acquisitions on September 11, 2025:

• Total amount 4000 shares
• Volume weighted average price EUR 1.8400

Suominen Oyj - Managers' Transactions
____________________________________________
Person subject to the notification requirement
Name: Charles Héaulmé
Position: Chief Executive Officer
Issuer: Suominen Oyj
LEI: 743700Z1BNFYR9PRDF52
Notification type: INITIAL NOTIFICATION
Reference number: 122590/4/4

____________________________________________
Transaction date: 2025-09-11
Venue: NASDAQ HELSINKI LTD (XHEL)
Instrument type: SHARE
ISIN: FI0009010862
Nature of transaction: ACQUISITION

Transaction details
(1): Volume: 4000 Unit price: 1.84 EUR

Aggregated transactions (1):
Volume: 4000 Volume weighted average price: 1.84 EUR

SUOMINEN CORPORATION

For more information, please contact:
Janne Silonsaari, CFO, tel. +358 (0)50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million, and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution: 
Nasdaq Helsinki
Main media
www.suominen.fi 

Suominen Corporation September 8, 2025 at 3:00 p.m. (EEST)

Charles Héaulmé has reported to have made transactions with Suominen Corporation's shares. The transactions are presented below as a summary, and in detail as per the disclosure requirement.

Acquisitions on September 5, 2025:

• Total amount 397 shares
• Volume weighted average price EUR 1.8800
  
  

Suominen Oyj - Managers' Transactions
____________________________________________
Person subject to the notification requirement
Name: Charles Héaulmé
Position: Chief Executive Officer
Issuer: Suominen Oyj
LEI: 743700Z1BNFYR9PRDF52
Notification type: INITIAL NOTIFICATION
Reference number: 122035/4/4

____________________________________________
Transaction date: 2025-09-05
Venue: NASDAQ HELSINKI LTD (XHEL)
Instrument type: SHARE
ISIN: FI0009010862
Nature of transaction: ACQUISITION

Transaction details
(1): Volume: 397 Unit price: 1.88 EUR

Aggregated transactions (1):
Volume: 397 Volume weighted average price: 1.88 EUR

SUOMINEN CORPORATION

For more information, please contact:
Janne Silonsaari, CFO, tel. +358 (0)50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million, and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution: 
Nasdaq Helsinki
Main media
www.suominen.fi 

Suominen Corporation September 3, 2025 at 3:00 p.m. (EEST)

Charles Héaulmé has reported to have made transactions with Suominen Corporation's shares. The transactions are presented below as a summary, and in detail as per the disclosure requirement.

Acquisitions on September 1, 2025:

• Total amount 1788 shares
• Volume weighted average price EUR 1.8514

Acquisitions on September 2, 2025:

• Total amount 5000 shares
• Volume weighted average price EUR 1.8900

Acquisitions in total:

• Total amount 6788 shares
• Volume weighted average price EUR 1.8666

Suominen Oyj - Managers' Transactions
____________________________________________
Person subject to the notification requirement
Name: Charles Héaulmé
Position: Chief Executive Officer
Issuer: Suominen Oyj
LEI: 743700Z1BNFYR9PRDF52
Notification type: INITIAL NOTIFICATION
Reference number: 121495/5/6
____________________________________________
Transaction date: 2025-09-01
Venue: NASDAQ HELSINKI LTD (XHEL)
Instrument type: SHARE
ISIN: FI0009010862
Nature of transaction: ACQUISITION

Transaction details
(1): Volume: 1540 Unit price: 1.85 EUR
(2): Volume: 248 Unit price: 1.86 EUR

Aggregated transactions (2):
Volume: 1788 Volume weighted average price: 1.85139 EUR

____________________________________________
Transaction date: 2025-09-02
Venue: NASDAQ HELSINKI LTD (XHEL)
Instrument type: SHARE
ISIN: FI0009010862
Nature of transaction: ACQUISITION

Transaction details
(1): Volume: 5000 Unit price: 1.89 EUR

Aggregated transactions (1):
Volume: 5000 Volume weighted average price: 1.89 EUR

SUOMINEN CORPORATION

For more information, please contact:
Janne Silonsaari, CFO, tel. +358 (0)50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million, and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution: 
Nasdaq Helsinki
Main media
www.suominen.fi 

Suominen Corporation’s stock exchange release on September 2, 2025 at 10:00 a.m. (EEST)

Suominen’s three largest registered shareholders Ahlstrom Capital B.V., Etola Group Oy and Oy Etra Invest Ab have nominated the following members to the Shareholders’ Nomination Board:

• Jyrki Vainionpää, President & CEO of A. Ahlström Oy, as a member appointed by Ahlstrom Capital B.V.
• Mikael Etola, CEO of Etola Group Oy, as a member appointed by Etola Group Oy
• Ville Vuori, Board Professional, as a member appointed by Oy Etra Invest Ab
  
  
  

Charles Héaulmé, Chair of Suominen’s Board of Directors, serves as the fourth member of the Nomination Board. The shareholders entitled to appoint members to the Nomination Board were determined on the basis of the registered holdings in the company’s shareholders' register on September 1, 2025.

The Shareholders’ Nomination Board prepares the proposals on the number, composition, and remuneration of the members of the Board of Directors to the Annual General Meeting. The Nomination Board shall submit its proposals to the Board of Directors no later than February 1 prior to the Annual General Meeting.

SUOMINEN CORPORATION
Charles Héaulmé, President & CEO

For additional information, please contact:
Janne Silonsaari, CFO, Suominen Corporation, tel. +358 50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution:
Nasdaq Helsinki
Main media
www.suominen.fi

Suominen Corporation August 13, 2025 at 3:00 p.m. (EEST)

Charles Héaulmé has reported to have made transactions with Suominen Corporation's shares. The transactions are presented below as a summary, and in detail as per the disclosure requirement.

Acquisitions on August 11, 2025:

• Total amount 4896 shares
• Volume weighted average price EUR 1.8000
  
  

Suominen Oyj - Managers' Transactions
____________________________________________
Person subject to the notification requirement
Name: Charles Héaulmé
Position: Chief Executive Officer
Issuer: Suominen Oyj
LEI: 743700Z1BNFYR9PRDF52
Notification type: INITIAL NOTIFICATION
Reference number: 118735/4/4

____________________________________________
Transaction date: 2025-08-11
Venue: NASDAQ HELSINKI LTD (XHEL)
Instrument type: SHARE
ISIN: FI0009010862
Nature of transaction: ACQUISITION

Transaction details
(1): Volume: 150 Unit price: 1.8 EUR
(2): Volume: 3000 Unit price: 1.8 EUR
(3): Volume: 94 Unit price: 1.8 EUR
(4): Volume: 1652 Unit price: 1.8 EUR

Aggregated transactions (4):
Volume: 4896 Volume weighted average price: 1.8 EUR

SUOMINEN CORPORATION

For more information, please contact:
Janne Silonsaari, CFO, tel. +358 (0)50 409 9264

Suominen manufactures nonwovens as roll goods for wipes and other applications. Our vision is to be the frontrunner for nonwovens innovation and sustainability. The end products made of Suominen’s nonwovens are present in people’s daily life worldwide. Suominen’s net sales in 2024 were EUR 462.3 million, and we have over 700 professionals working in Europe and in the Americas. Suominen’s shares are listed on Nasdaq Helsinki. Read more at www.suominen.fi.

Distribution: 
Nasdaq Helsinki
Main media
www.suominen.fi 

Suominen Corporation’s Half-Year Financial Report on August 7, 2025, at 9:30 a.m. (EEST)

Suominen Corporation’s Half-Year Financial Report for January 1 – June 30, 2025:

Performance impacted by trade environment, cost saving program progressing

KEY FIGURES

In this financial report, the figures shown in brackets refer to the comparison period last year if not otherwise stated.

April–June 2025 in brief:

- Net sales decreased by 16% and amounted to EUR 99.8 million (118.7)

- Comparable EBITDA decreased to EUR 3.2 million (5.0)

- Cash flow from operations was EUR -10.1 million (2.1)

- Charles Héaulmé appointed as the new President and CEO, starting on August 11

January–June 2025 in brief:

- Net sales decreased 6% from the previous year and amounted to EUR 217.3 million (232.3)

- Comparable EBITDA was EUR 7.3 million (9.5)

- Cash flow from operations was EUR -10.5 million (-0.1)

Outlook for 2025

Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will increase from 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

Janne Silonsaari, CFO, Interim President & CEO:

“In the second quarter, we faced a lot of volatility in the market driven by the US tariff situation. Ahead of the announced high tariffs towards China, US nonwoven customers stocked their inventories, mainly with supply from China. This momentarily led to excess inventories throughout the supply chain and impacted negatively the demand in the second quarter. A gradual recovery was seen during the latter part of the quarter, but still, our second quarter sales, EUR 99.8 million, were 15% lower than in the first quarter of 2025 and 16% lower than in the comparison period in 2024 (118.7). This reflected negatively on our profitability and, coupled with the Bethune investment ramp-up phase and costs related to the CEO change, led to lower-than-expected comparable EBITDA in the second quarter, amounting to EUR 3.2 million (5.0).

To support our profitability, we implemented a cost saving program at the end of the second quarter targeting approximately EUR 10 million savings. The program led to a decrease of approximately 60 positions globally. On top of that, we reduced the number of contractor roles and are implementing several other saving actions. The majority of the actions will be implemented by the end of the year.

The on-going large investment in Spain is progressing as planned. The Bethune investment ramp up in the USA continues.

I am also pleased to acknowledge the renewed credit facility and term loan agreement, which supports our financial position going forward.

Looking ahead, we remain focused on executing the turnaround and strengthening the performance of the company, led by our new President and CEO, Charles Héaulmé, who will start on August 11, 2025.”

NET SALES

April–June 2025

In April–June 2025, Suominen’s net sales decreased by 16% from the comparison period to EUR 99.8 million (118.7). Sales volumes were lower than in the comparison period while sales prices increased. The impact of currencies on net sales was EUR 3.6 million negative.

Suominen’s business areas are Americas and EMEA. The net sales of the Americas business area were EUR 59.9 million (75.7) and of the EMEA business area EUR 40.0 million (43.0).

January–June 2025

In January–June 2025, Suominen’s net sales decreased 6% from the corresponding period in 2024 and amounted to EUR 217.3 million (232.3). Sales volumes decreased from H1/2024, but sales prices increased following higher raw material prices. The impact of currencies on net sales was EUR 3.2 million negative.

The net sales of the Americas business area were EUR 133.5 million (145.7) and of the EMEA business area EUR 83.9 million (86.5).

EBITDA, OPERATING PROFIT AND RESULT

April–June 2025

Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) was EUR 3.2 million (5.0). The decrease was driven mainly by lower sales volumes as well as expenses related to the CEO change.

The impact of currencies on comparable EBITDA was EUR -0.2 million.

EBITDA was EUR 2.6 million (3.8) due to items affecting comparability mainly arising from the restructuring program launched at the end of May. The items affecting comparability of EBITDA totaled EUR -0.6 million (-1.2).

Comparable operating profit decreased from the comparison period and amounted to EUR -1.0 million (0.4). Operating profit declined from the comparison period and was EUR -1.6 million (-0.8). The items affecting comparability of operating profit totaled EUR -0.6 million (-1.2).

The profit before income taxes was EUR -4.5 million (-1.9), and profit for the reporting period was EUR -4.0 million (-1.9).

January–June 2025

Comparable EBITDA (earnings before interest, taxes, depreciation and amortization) was EUR 7.3 million (9.5). Our sales volumes were lower than in the comparison period, but the effect was partly offset by higher sales prices. There were also additional expenses related to the CEO change. The impact of currencies on EBITDA was EUR -0.9 million.

EBITDA declined to EUR 6.6 million (8.4). The items affecting comparability of EBITDA totaled EUR -0.6 million (-1.0).

Comparable operating profit was EUR -1.3 million (0.3). Operating profit decreased and was EUR -1.9 million (-0.7). The items affecting comparability of operating profit totaled EUR -0.6 million (-1.0).

The profit before income taxes was EUR -6.7 million (-2.6), and profit for the reporting period was EUR -6.2 million (-2.9).

FINANCING

The Group’s net interest-bearing liabilities at nominal value amounted to EUR 86.8 million (56.6) at the end of the review period. The gearing ratio was 85.5% (47.9%) and the equity ratio 36.5% (37.6%).

In January–June, net financial expenses were EUR -4.8 million (-1.9), or -2.2% (-0.8%) of net sales. Fluctuations in exchange rates increased the net financial expenses by EUR 2.0 million (decreased by EUR 0.5 million).

Cash flow from operations in April–June was EUR -10.1 million (2.1) and in January–June EUR -10.5 million (-0.1), representing a cash flow per share of EUR -0.18 (0.00) and EUR -0.17 (0.04) for the quarter.

In the second quarter the change in net working capital was EUR -10.3 million (-1.2).

The decrease in the cash flow from operations in the first half of the year was mainly due to negative change in net working capital. The change in net working capital was EUR -13.1 million (-7.0).

Suominen entered at the end of June into a single-currency syndicated credit facility agreement which consists of EUR 50 million term loan and EUR 50 million revolving credit facility with a maturity of three years with a one-year extension option. The lenders for the facility are Danske Bank A/S and Nordea Bank Abp. The new credit facility includes leverage ratio and gearing as financial covenants and it replaces the previous EUR 100 million syndicated revolving credit facility agreement of Suominen provided by Danske Bank A/S and Nordea Abp.

CAPITAL EXPENDITURE

In January–June, the gross capital expenditure totaled EUR 11.7 million (6.4), and the largest investments were related to the growth investment initiatives in Bethune, USA and Alicante, Spain. Other investments were mainly normal maintenance investments.

Depreciation, amortization and impairment losses for the review period amounted to EUR 8.5 million (9.1).

PROGRESS IN SUSTAINABILITY

Suominen prioritizes safety and accident prevention, aiming for zero lost time accidents (LTA). 1 (2) LTA occurred in the first half of the year at Suominen sites.

Ensuring workplace safety is a top priority at Suominen, and we launched a new campaign focused on forklift safety. Forklifts are essential for daily operations, but they also present significant risks if not operated with care. With the campaign, Suominen reaffirms its commitment to workplace safety, minimizing forklift-related incidents and ensuring that forklift operations remain efficient and safe for everyone.

As part of Suominen’s strategic program Total Productive Manufacturing, all white-collar employees were trained for Raw Material Efficiency (RME) by the end of June. RME is set as a common target for Suominen’s Leadership Team members and employees in production function. It is vital that also all white-collar employees understand the purpose and content of RME.

We are committed to improving production efficiency and resource utilization, targeting reductions in scope 1, 2, and 3 greenhouse gas emissions in line with the Paris Agreement (limiting global warming to 1.5°C), and achieving zero manufacturing waste to landfill by 2030.

Our portfolio includes sustainable nonwovens, and we continuously develop innovative solutions with reduced environmental impact. We aim for over two-thirds of our consumed raw materials to be from plant-based resources and for more than half of our new R&D initiatives to focus on advancing the development of sustainable products. 28% of our net sales in the second quarter came from new products launched in the last three years. We promote responsible business practices and transparent communication. Our goals include assessing all qualified raw material suppliers against Suominen’s sustainability criteria and training all employees in Suominen’s sustainability program.

Suominen reports progress in its key sustainability KPIs annually. Suominen provided a detailed overview of its 2024 sustainability performance in the Sustainability Statement published on April 1 as part of the Report by the Board of Directors published in Suominen’s Annual Report 2024. The Sustainability Statement was prepared in accordance with the Finnish Accounting Act, European Sustainability Reporting Standards (ESRS) and EU Taxonomy regulation.

INFORMATION ON SHARES AND SHARE CAPITAL

Share capital

The number of Suominen’s registered shares was 58,259,219 on June 30, 2025, equaling to a share capital of EUR 11,860,056.00.

Share trading and price

The number of Suominen shares traded on Nasdaq Helsinki from January 1 to June 30, 2025, was 354,847 shares, accounting for 0.6% of the average number of shares (excluding treasury shares). The highest price was EUR 2.73, the lowest EUR 1.89, and the volume-weighted average price EUR 2.13. The closing price at the end of review period was EUR 1.98. The market capitalization (excluding treasury shares) was EUR 114.4 million on June 30, 2025.

Treasury shares

On June 30, 2025, Suominen Corporation held 486,744 treasury shares.

In accordance with the resolution of the Annual General Meeting, in total 36,013 shares were transferred in May to the members of the Board of Directors as their remuneration payable in shares.

As a part of the CEO’s share-based payment plan vested, in total 9,359 shares were transferred to the President and CEO Tommi Björnman in June.

The portion of the remuneration of the members of the Board of Directors paid in shares

The Annual General Meeting held on April 25, 2025, decided that 75% of the annual remuneration of the members of the Board of Directors is paid in cash and 25% in Suominen Corporation’s shares.

The number of shares forming the remuneration portion payable in shares was determined based on the share value in the stock exchange trading maintained by Nasdaq Helsinki Ltd, calculated as the trade volume-weighted average quotation of the share during the two-week period immediately following the date on which the Interim Report of January‒March 2025 of the company was published. The shares were given out of the treasury shares held by the company by the decision of the Board of Directors on May 16, 2025.

Share-based incentive plans for the management and key employees

The Group management and key employees participate in the company’s share-based long-term incentive plans. The plans are described in more detail in the Financial Statements and in the Remuneration Report, available on the company’s website www.suominen.fi.

Company's Performance Share Plan currently includes three 3-year performance periods, calendar years 2023–2025, 2024–2026 and 2025–2027. The aim of the Performance Share Plan is to combine the objectives of the shareholders and the persons participating in the plan in order to increase the value of the company in long-term, to build loyalty to the company and to offer them competitive reward plans based on earning and accumulating the company’s shares.

Performance Share Plan: Ongoing performance periods

The President & CEO of the company must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of his or her annual gross salary. A member of the Executive Team must hold 50% of the net number of shares given on the basis of the plan, as long as his or her shareholding in total corresponds to the value of half of his or her annual gross salary. Such number of shares must be held as long as the participant’s employment or service in a group company continues.

The President & CEO Tommi Björnman’s share-based incentive plan

Under the plan the President & CEO was expected to own or acquire up to 30,000 shares of Suominen Corporation at a price formed in public trading on Nasdaq Helsinki. Suominen was to match the share investment by way of the President & CEO receiving, without consideration, up to 60,000 matching shares (gross, including also the proportion to be paid in cash).

The plan included three vesting periods, June 1, 2023–June 1, 2024, June 1, 2023–June 1, 2025, and June 1, 2023–June 1, 2026. The potential reward was to be paid partly in shares and partly in cash in three equal installments after each vesting period, provided that the President & CEO’s service in the company is in force at the time of the reward payment. The cash proportion was intended to cover taxes and tax-related costs arising from the rewards to the President & CEO.

The second vesting period ended in June 2025, and in total 9,359 shares were transferred to the CEO. The plan was terminated at the end of June as Tommi Björnman’s service in the company ended.

ANNUAL GENERAL MEETING

The Annual General Meeting (AGM) of Suominen Corporation was held on April 25, 2025.

The AGM adopted the Financial Statements for 2024 and discharged the members of the Board of Directors and the President and CEO from liability for the financial year 2024.

The AGM resolved to adopt the Remuneration Report for the Company’s governing bodies for 2024. The resolution made by the AGM is advisory.

The AGM decided, in accordance with the proposal by the Board of Directors, that no dividend be paid based on the adopted balance sheet regarding the financial year 2024 and that the distributable funds be left in the company’s unrestricted equity.

The AGM decided, in accordance with the proposal of the Shareholders’ Nomination Board, that the remuneration of the Board of Directors remains unchanged and is as follows: the Chair is paid an annual fee of EUR 74,000, the Deputy Chair an annual fee of EUR 45,000 and other Board members an annual fee of EUR 35,000. The Chair of the Audit Committee is paid an additional fee of EUR 10,000. Further, the members of the Board will receive a fee for each Board and Committee meeting as follows: EUR 500 for each meeting held in the home country of the respective member, EUR 1,000 for each meeting held elsewhere than in the home country of the respective member and EUR 500 for each meeting attended by telephone or other electronic means.

75% of the annual fee is paid in cash and 25% in Suominen Corporation’s shares.

Compensation for expenses is paid in accordance with the company's valid travel policy.

The AGM decided that the number of Board members will be seven (7). Andreas Ahlström, Björn Borgman, Charles Héaulmé, Nina Linander and Laura Remes were re-elected as members of the Board by the AGM. Gail Ciccione and Maija Joutsenkoski were elected as new members of the Board.

Charles Héaulmé was re-elected as the Chair of the Board of Directors.

Authorised Public Accountants KPMG Oy Ab was elected as the auditor of the company for the next term of office in accordance with the Articles of Association. KPMG Oy Ab informed that Anders Lundin, APA, ASA, will act as the principally responsible auditor of the company. The auditor’s fee was resolved to be paid according to the invoice approved by the company.

Sustainability audit firm KPMG Oy Ab was elected as the company’s authorized sustainability auditor for a term that lasts until the end of the company's next Annual General Meeting. KPMG Oy Ab has informed that Anders Lundin, APA, ASA, will act as the responsible authorized sustainability auditor of the company. The authorized sustainability auditor’s fee was resolved to be paid according to the invoice approved by the company.

Suominen published a stock exchange release on April 25, 2025, concerning the resolutions of the Annual General Meeting and the organizing meeting of the Board of Directors. The stock exchange release and introductions of the new Board members can be viewed on Suominen’s website at www.suominen.fi.

Organizing meeting and permanent committees of the Board of Directors

In its organizing meeting held after the AGM, the Board of Directors elected Andreas Ahlström as the Deputy Chair of the Board.

The Board elected from among its members the members for the Audit Committee, Personnel and Remuneration Committee, and Strategy Committee. Nina Linander was re-elected as the Chair of the Audit Committee, and Andreas Ahlström and Laura Remes were re-elected as members. Maija Joutsenkoski was elected as a new member. Charles Héaulmé was re-elected as the Chair of the Personnel and Remuneration Committee, and Björn Borgman was re-elected as a member. Gail Ciccione was elected as a new member. Laura Remes was re-elected as the Chair of the Strategy Committee, and Andreas Ahlström was re-elected as a member. Maija Joutsenkoski was elected as a new member.

Authorizations of the Board of Directors

The Board of Directors was authorized to decide on the repurchase of a maximum of 1,000,000 of the company’s own shares. The company’s own shares shall be repurchased otherwise than in proportion to the holdings of the shareholders through trading on the regulated market organized by Nasdaq Helsinki Ltd at the market price prevailing at the time of acquisition using the company’s unrestricted equity. The shares shall be repurchased to be used in the company’s share-based incentive programs, in order to disburse the remuneration of the members of the Board of Directors, to be used as consideration in acquisitions related to the company’s business, or to be held by the company, to be conveyed by other means or to be cancelled.

The Board of Directors shall decide on other terms and conditions related to the repurchase of the company’s own shares. The repurchase authorization is valid until June 30, 2026, and it revokes all earlier authorizations to repurchase company’s own shares.

The Board of Directors was authorized to decide on the issuance of new shares, conveyance of the company’s own shares held by the company and/or granting of option rights and other special rights entitling to shares referred to in Chapter 10, Section 1 of the Finnish Companies Act. By virtue of the authorization, the Board of Directors may, by one or several resolutions, issue a maximum of 5,000,000 shares. The shares granted by virtue of option rights and other special rights are included in the aforementioned maximum number. Option rights and other special rights may not be granted as a part of the company’s remuneration system.

The share issue can be made either against payment or without payment and can also be directed to the company itself. The authorization entitles the Board of Directors to also decide that shares are issued otherwise than in proportion to the shareholdings of the shareholders (directed share issue). The authorization can be used to carry out acquisitions or other arrangements related to the company’s business, to finance investments, to improve the company’s financial structure, as part of the company’s remuneration system or to pay the share proportion of the remuneration of the members of the Board of Directors or for other purposes decided by the Board of Directors.

The authorization revokes all earlier authorizations regarding the issuance of shares and issuance of option rights and other special rights entitling to shares. The Board of Directors will decide on all other terms and conditions related to the authorization. The authorization is valid until June 30, 2026.

NOTIFICATIONS UNDER CHAPTER 9, SECTION 5 OF THE SECURITIES MARKET ACT

During the review period Suominen received no notifications under Chapter 9, Section 5 of the Securities Market Act.

CHANGES IN SUOMINEN LEADERSHIP TEAM

Minna Rouru started in January 2025, as Chief People & Communications Officer at Suominen.

Mark Ushpol started in January 2025 as EVP, Americas business area at Suominen.

Darryl Fournier started in February 2025 as Chief Operating Officer at Suominen.

On June 16, Suominen announced that Jonni Friman, EVP, Transformation Management Office and a member of the Executive Management Team left the company at the end of July.

On June 30, Suominen announced that the president and CEO Tommi Björnman leaves the company and that the Board of Directors of Suominen had appointed Charles Héaulmé, the Chair of the Board, as the company’s new President and CEO. Mr. Héaulmé will start on August 11, 2025.  Janne Silonsaari, currently the CFO, was appointed as interim President & CEO, effective June 30, 2025.

Mr. Héaulmé will continue to serve as Chair of the Board until the next Annual General Meeting of Suominen in 2026. He stepped down from his position as a Chair and member of the Personnel and Remuneration Committee of the Board of Directors as of June 30. 

SHORT TERM RISKS AND UNCERTAINTIES

The market remained volatile in the second quarter of 2025. Global supply chains are being impacted by geopolitical uncertainty, particularly around tariffs in the USA. This has led to momentarily excess inventory levels throughout the supply chain, mainly in the USA.

The ongoing war in Ukraine has no direct impact on Suominen’s business, as the company does not have customers or suppliers in Russia, Belarus, or Ukraine. Suominen is primarily affected by the indirect economic impacts of the conflict. The situation in the Red Sea has caused volatility in sea freight costs.

Suominen’s other risks and uncertainties include but are not limited to: risks related to manufacturing, competition, raw material prices and availability, customer specific volumes and credits, changes in legislation, political environment or economic conditions and investments, and financial risks.

A more detailed description of risks is available in Suominen’s Annual Report 2024 at suominen.fi/investors.

BUSINESS ENVIRONMENT

Suominen’s nonwovens are, for the most part, used in daily consumer goods, such as wipes as well as in hygiene and medical products. In these target markets of Suominen, the general economic situation determines the development of consumer demand, even though the demand for consumer goods is not very cyclical in nature. North America and Europe are the largest market areas for Suominen. In addition, the company operates in the South American markets. The growth in the demand for nonwovens has typically exceeded the growth of gross domestic product by a couple of percentage points.

We follow closely market development and signals from our customers, but the overall global economic uncertainty and fierce competition continue to make the longer-term visibility challenging. It remains to be seen how the current economic climate impacts the end consumer demand and consumer preferences regarding wipes. Historically, the wipes market has been rather steady despite the general economic situation.

Geopolitical tensions instabilities in the Middle East and the war in Ukraine continue to generate uncertainty globally. Possible impacts to Suominen as a company are expected to be mainly indirect. However, possible effects on supply chain, especially on raw material and logistic costs, would impact Suominen directly. We continue to monitor the situation.

The ongoing US tariff developments are contributing to increased market uncertainty. Fluctuations in tariff policies may lead to temporary disruptions within supply chains.

OUTLOOK FOR 2025

Suominen expects that its comparable EBITDA (earnings before interest, taxes, depreciation and amortization) in 2025 will increase from 2024. In 2024, Suominen’s comparable EBITDA was EUR 17.0 million.

CORPORATE GOVERNANCE AND REMUNERATION REPORT

Suominen has prepared a separate Corporate Governance Statement and a Remuneration Report for 2024, which comply with the recommendations of the Finnish Corporate Governance Code for listed companies. The statements have been published on Suominen's website at www.suominen.fi

EVENTS AFTER THE REPORTING PERIOD

There were no events after the reporting period.

AUDIOCAST AND CONFERENCE CALL

Janne Silonsaari, CFO and interim President & CEO, will present the result in English in an audiocast for analysts, investors and media on August 7 at 11:00 a.m. (EEST). The audiocast can be followed at https://suominen.events.inderes.com/q2-2025. The recording of the audiocast and the presentation material will be available after the event at www.suominen.fi

Conference call participants can access the teleconference by registering at https://palvelu.flik.fi/teleconference/?id=50051445. The phone numbers and a conference ID to access the conference will be provided after the registration.

NEXT FINANCIAL REPORT

Suominen Corporation will publish its Interim Report for January–September 2025 on October 29, 2025, approximately at 9:30 a.m. (EET).

SUOMINEN GROUP JANUARY 1 – JUNE 30, 2025

The figures in these half-year financial statements are mainly presented in EUR thousands. As a result of rounding differences, the figures presented in the tables do not necessarily add up to total.

This half-year report has not been audited.

This half-year report has been prepared in accordance with IAS 34 Interim Financial Reporting. The principles for preparing the half-year report are the same as those used for preparing the consolidated financial statements for 2024, with the exception of the effect of the new accounting standards and interpretations which have been applied from January 1, 2025.

The new or amended standards or interpretations applicable from January 1, 2025, are not material for Suominen Group.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION