Mondi is responding to the persistently weak market situation with site closures. As the packaging and paper group announced in its 2025 annual results, a corrugated board plant in Turkey and two paper sack plants in Hungary and Germany will be closed. The measures are part of a strategic network optimisation.
According to the company, 22 processing plants have already been closed in the past ten years. The steps now announced are also intended to bundle capacities and concentrate production at more efficient locations.
Downturn weighs on packaging business
The closure of the corrugated board plant affects the Corrugated Packaging segment, while the two paper sack plants are allocated to the Flexible Packaging segment. In future, customers will be supplied from other plants that have the corresponding capacities and expertise.
Mondi remains convinced of the structural growth drivers in the packaging business and believes it is well positioned to benefit from a market recovery.
Earnings and debt
In the 2025 financial year, Mondi achieved sales of 7.663 billion euros after 7.416 billion euros in the previous year. Adjusted EBITDA was EUR 1.001 billion, compared to EUR 1.049 billion in 2024. Net financial debt increased to EUR 2.599 billion, while the ratio of net financial debt to adjusted EBITDA rose to 2.6.
With the site closures and other efficiency measures, Mondi intends to adapt its cost base to the current market environment and secure its competitiveness in the packaging business, according to the statement.
Source: Mondi
