Smurfit Kappa Group announced results for the 3 months and 6 months ending 30 June 2013.Key figures from the report include:
-First half European box volume growth in excess of 2% year-on-year; Americas growth of 5% excluding SK Orange County (‘SKOC’)
-Cost take-out of €100 million re-confirmed
-EBITDA margin progression from 12.7% in quarter one to 13.4% in quarter two
-Capital structure successfully repositioned from leveraged to corporate
-Interim dividend increased by 37% to 10.25 cent
-Recycled containerboard price increase of €50 per tonne effective from 1 August
Gary McGann, Smurfit Kappa Group CEO, commented: “Smurfit Kappa Group is pleased to report first half revenue growth of 6% and strong EBITDA of €512 million. The strong result has been achieved through improved pricing, continued cost take-out and enhanced efficiency programmes. In spite of the recessionary conditions in Europe, the Group delivered like-for-like box volume growth in Europe of over 2% year-on-year and 5% volume growth in the Americas, excluding box volumes of SKOC.
SKG’s ability to win new business in the current challenging operating environment is evidence of the Group’s strong value proposition for our customers. With an integrated global network of packaging designers, trademarked software tools and technical engineers, SKG is well placed to deliver a superior total offering together with real cost efficiencies throughout its customers’ supply chains. In July the Group announced the development of a unique 3D tool entitled ‘Virtual Store’ to enhance the understanding of shopper behaviour. This will translate into real benefits for retail ready packaging design.
