Mondi reports EUR 196 million underlying earnings as costs weigh on Mondi stock

Mondi (ISIN GB00BMWC6P49) reported EUR 196 million in underlying earnings before interest, tax, depreciation and amortization for the third quarter ended September 30, 2026. The Mondi Group update dated October 15 said higher selling prices and good order books helped offset rising input costs, but energy and wood costs increased faster than expected.

Morningstar reported on October 15 that Jefferies kept a GBp 1,080.00 price target and a Buy rating after the quarterly update. Panmure Liberum set a GBp 1,103.00 target, while Davy Research kept a Neutral rating with a GBp 850.00 target.

Costs test the pricing response

The central issue is the quality of the earnings improvement. Mondi's underlying EBITDA increased from EUR 167 million in the second quarter to EUR 196 million in the third quarter, according to the company release, but the comparison with the prior year was weaker. interactive investor said adjusted EBITDA excluding forestry operations fell 12.1 percent from EUR 223 million a year earlier to EUR 196 million.

Mondi said further price increases for several paper grades were announced during the quarter, with the benefit expected toward the end of 2026 and into 2027. Forestry fair value gain was nil in the third quarter, and the company expects another nil gain in the fourth quarter if current energy prices, particularly South African diesel costs, persist.

What comes next for reporting

The chronology shows a broader restructuring effort. On May 27, 2026, Mondi launched a EUR 500 million, eight-year Eurobond. On July 30, 2026, its results for the six months ended June 30 included EUR 379 million of underlying EBITDA. On October 15, 2026, third-quarter underlying EBITDA reached EUR 196 million. These figures point to a business balancing pricing action against cost inflation.

Upcoming dates carry the next test

Mondi Group lists February 25, 2027 for the full-year results announcement and April 30, 2027 for its next trading update and annual general meeting. The February results will show whether announced price increases have begun to offset the energy and wood-cost burden.

London quote sets the market reference

Mondi's primary London Stock Exchange quote was GBp 756.80 on October 16, 2026 at 4:35 p.m. London time. The dated quote places the analyst targets above the market level, while the earnings update keeps cost inflation as the main counter-factor.

The further course of trading is shown by the continuously updated real-time quote of Mondi stock.

Market context: Market report FTSE 100.

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