YEAR END REPORT JANUARY - DECEMBER 2015
A SOLID YEAR WITH STRONG RESULTS
Quarter 4
- Net sales amounted to 141.5 MEUR (100.3).
- Operating profit excluding non-recurring items was 11.8 MEUR (7.3) with an operating margin of 8.4% (7.2).
- Operating profit was 11.4 MEUR (7.3) and the operating margin was 8.1% (7.3).
- Net profit was 4.7 MEUR (6.4).
- Earnings per share were 0.47 (0.64).
- Cash flow from operations was 25.2 MEUR (14.1).
- Changed reporting of operating segments.
January - December
- Net sales amounted to 513.5 MEUR (404.3).
- Operating profit excluding non-recurring items was 44.8 MEUR (27.4) with an operating margin of 8.7% (6.8).
- Operating profit was 36.6 MEUR (25.7) and the operating margin was 7.1% (6.4).
- Net profit was 20.0 MEUR (15.6).
- Earnings per share were 2.00 (1.56).
- Cash flow from operations was 67.0 MEUR (32.9).
CEO comments
AR Packaging confirms its positive development with a solid performance and strong results in 2015. The year started with the acquisition of the European operations of MeadWestvaco Corporation (MWV), which was finalised by the end of April. The acquisition has proven very good for us and complements the Group in an excellent manner. Sales in existing business now shows improved order intake, which demonstrates our ability to rectify recent years' decline and is a promising sign for our development in 2016. Finally, we improved our profit with an all-time high EBITDA margin as a result of balanced costs and internal efficiency improvements.
Net sales amounted to 514 MEUR (404), of which the acquired business accounted for 106 MEUR.
Cost control has been a top priority for the turnaround of the Group in recent years. This continued successfully in 2015 even though some resources were added to manage the integration of the acquired business and to prepare the Group for a potential public listing on the stock market. Our operating profit developed extremely well, reaching an EBITDA margin of 12.2% (10.5%) before non-recurring items. The Group also delivered a strong cash flow following the healthy improvement in operating profit.
Our organisation has been adapted to further support our set strategy within selected segments which now are linked to the three divisions; Branded Products, Barrier Packaging and Food Packaging.
Looking back on the achievements of 2015, I would like to take this opportunity to express my gratitude for the excellent collaboration with our customers and suppliers, and for the strong effort contributed by our devoted employees.
Harald Schulz, CEO
HUG#1986841
