Mondi (LON: MNDI) shares fell about 10% today after the packaging and paper group reported third-quarter underlying EBITDA of €196m, down from €223m a year earlier. The trading update was published at 7am, before the London open.
The shares stood at 732.6p at 10.43am today, down 10.4% from yesterday’s close of 817.2p. They opened at 800.8p, which was also the day’s high, and touched a low of 719p.
Underlying EBITDA, core operating profit before interest, tax, depreciation and amortisation after adjustments, was up from €167m in the second quarter. Excluding the forestry fair value gain, a non-cash revaluation of Mondi’s forests, it was lower than in the second quarter, mainly because of planned maintenance shuts.
Input costs ran higher than expected. Energy-related costs kept rising and wood costs rose in Central and Eastern Europe, and higher selling prices only offset the increases. Mondi announced further price rises for a number of paper grades, with the benefit expected towards the end of this year and into 2027.
The year-on-year gap also reflects forestry. Third-quarter 2025 included a €20m forestry gain, while this quarter’s was nil and is expected to stay nil in the fourth quarter if current prices prevail, in particular South African diesel prices. The figures below include forestry fair value.
| Quarter | 2026 (€m) | 2025 (€m) |
|---|---|---|
| Q1 | 212 | 290 |
| Q2 | 167 | 274 |
| Q3 | 196 | 223 |
| Q4 | No data | 214 |
Every 2026 quarter so far sits below its 2025 equivalent, and the third quarter’s gap is the narrowest.
Chief executive Andrew King framed the quarter as resilient:
We delivered a resilient performance in the third quarter against a backdrop of rising input costs, with good order books supporting positive price momentum.
Andrew King, CEO, Mondi Group
He said higher packaging paper prices are expected to support the fourth quarter despite ongoing input cost pressure. At the end of September Mondi sold one solid board converting plant and agreed the sale of a second. The company’s statement added that energy prices remain highly volatile and hard to predict.