Graanul - comment

Graanul released its Q2 results this morning, with a conference call scheduled for tomorrow at 1 pm. The initial reaction to the results is that sales are down compared to the previous year, although EBITDA remains flat. However, commentary highlights that the wood pellet market is still in a state of oversupply.

Specifically, the Company reiterated its cautious stance, stating that macroeconomic risk persists. Upcoming US trade tariffs on exports from Vietnam, Canada, and the EU may alter global trade flows and pricing. In Europe, uncertainty continues around the United Kingdom’s post-2027 biomass subsidy policy, although the introduction of a temporary bridging subsidy mechanism for Drax has provided some reassurance.