30th Sep 2014 08:11
LONDON (Alliance News) - RPC Group PLC said Tuesday that it expects revenue to come in significantly ahead of last year due to the contribution from recent acquisitions as well as good growth in the USA, coffee capsules and UK DIY markets.
In a pre-close trading statement for the period April 1 to September 30, the rigid plastic packaging supplier said that it is in a strong financial position with cash flow performance in the first-half year expected to be satisfactory.
Operating profit, before exceptional items, is set to come in in line with management expectations for the first-half, said RPC,despite ongoing foreign exchange translation headwinds and an adverse time lag in passing through polymer prices.
In other developments, the company said its Fitter for the Future programme is now well advanced. The sale of the Offenburg business in Germany has completed and, as announced on September 11, the Group has entered into binding agreements on the sale of the two sheet businesses in Lokeren in Belgium and Montonate in Italy.
"The integration of the M&H Plastics and Helioplast businesses has been successfully completed whilst the integration of the ACE business is making good progress, with both packaging and non-packaging customers confirming the strategic growth potential," said the company in a statement Tuesday.
Commenting on the performance in the first-half and ongoing developments, Pim Vervaat, Chief Executive said, "The performance... is encouraging against the backdrop of a continuing challenging economic environment in the Eurozone. We continue to focus on delivering organic growth whilst also looking for opportunities to further benefit from the ongoing consolidation in the European rigid plastic packaging industry and the globalisation trend in higher added value products."
RPC Group shares were Tuesday trading 3.06% higher at 541.60 pence per share, amongst the top gainers on the FTSE 250.
By Alice Attwood; [email protected]; @AliceAtAlliance
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