9 month sales turnover of RMK exceeded EUR 104 million 30.10

RMK earned the majority of the revenue from the sale of timber and wood chips. In nine months, RMK sold 2.1 million cubic metres of timber for a total of EUR 90 million. The average timber sales price turned out to be EUR 42.9 per cubic metre, which is 6% less than in the same period last year. In the first nine months, cutting waste and wood chips were sold in the volume of 0.27 million cubic metres for EUR 8.9 million. The average sales price amounted to EUR 32.7 per cubic metre.

“We have balanced a certain price decrease compared to last year with an increase in production volume,” commented Aigar Kallas, Chairman of Management Board, on the financial results of RMK, and added that a key issue for the near future is finding new sales possibilities for low-quality timber.

To enable people to purchase firewood and timber for a good price, RMK sells cutting rights to growing forests to private persons, and within the first nine months of 2012 the sales volume of cutting rights reached 32,206 cubic metres (EUR 11.1/m3). Compared to the same period last year, when cutting rights were sold in the volume of 27,210 cubic metres (EUR 9.5/m3), this is 16% higher.

In the budget for 2012, RMK forecast sales revenue for this year to be EUR 128.9 million and profit to be EUR 9.7 million.

RMK is a profit-making state agency established under the Forestry Act, aimed at sustainable and efficient management of the state forest. RMK grows reforestation material, organises forest works, executes practical nature protection works and is engaged in forest management and timber sales. Additionally, RMK establishes opportunities for nature walking and forest holidays in recreation areas, in Estonia’s five national parks and in almost 40 other protected areas, and shapes nature awareness. RMK manages 38% of Estonia’s forests.