Huhtamäki Oyj : Huhtamäki Oyj's Interim Report January 1 - March 31, 2013: Net
sales and EBIT increased
HUHTAMÄKI OYJ STOCK EXCHANGE RELEASE 25.4.2013 AT 08:30
- Net sales growth of 4% led by the foodservice acquisition in Asia completed
- Continued strong earnings improvement in the Foodservice Europe-Asia-Oceania
- Solid net sales growth and earnings development in the Molded Fiber business
- Unfavorable product mix and soft demand for films and flexible packaging
products in Europe impacted the Group's earnings
- Further investments in North America to strengthen the Group's global
EUR million Q1 2013 Q1 2012 FY 2012
Net sales 568.4 546.8 2,321.2
EBIT 37.2 34.3 163.5
EBIT margin, % 6.5 6.3 7.0
EPS, EUR 0.24 0.24 1.19
ROI, % 12.9 10.5 12.6
ROE, % 15.4 11.8 15.8
Free cash flow -21.4 -10.9 102.6
Net debt 432.5 410.2 405.9
Gearing 0.51 0.53 0.50
The Group's trading conditions remained relatively stable despite prevailing
general economic uncertainty. Continued customer cautiousness had a negative
impact on demand for consumer packaging. Order sizes remained small and
customers focused on keeping inventory levels low. In addition, the prolonged
winter period in Europe and in North America had a negative effect on the
demand of seasonal products. Raw material prices remained stable.
The Group's net sales grew by 4%, driven by the impact of acquisitions
completed in 2012. The Group's net sales were EUR 568 million (EUR 547
million). Reported net sales growth was EUR 22 million. Organic growth
continued strong in the Molded Fiber business segment.
The Group's earnings before interest and taxes (EBIT) grew. EBIT was EUR 37
million (EUR 34 million). Earnings development was strongest in the
Foodservice Europe-Asia-Oceania business segment, mainly resulting from
continued good progress in the UK and Russia, as well as contribution of the
acquired units in Asia.
The Group's free cash flow was EUR -21 million (EUR -11 million). Return on
investment (ROI) was 12.9% (10.5%) and return on equity (ROE) was 15.4%
The purchase of a manufacturing facility in Batavia, Ohio, in the United
States was completed on January 31, 2013, in order to begin setting up a new
state of the art manufacturing and distribution unit. The initiation of
efficiency improving measures within the Foodservice Europe-Asia-Oceania
business segment and a cost savings program within the Films business segment
were announced on March 4, 2013. As detailed action plans were not finalized
by the end of the first quarter, the measures had no effect on the Group's
Outlook for 2013
The Group's trading conditions are expected to remain relatively stable during
2013. The good financial position and ability to generate a positive cash flow
will enable the Group to further address profitable growth opportunities.
Capital expenditure is expected to be above EUR 100 million. A significant
part of the investments is due to the increases in foodservice disposables
capabilities within the North America segment.
Financial Reporting Schedule in 2013
Huhtamaki will publish the interim report for January 1 - June 30, 2013 on
July 19 and January 1 - September 30, 2013 on October 25.
This is a summary of Huhtamaki's Interim Report January 1 - March 31, 2013.
The complete report is attached to this release and is also available at the
company website at www.huhtamaki.com.
For further information, please contact:
Jukka Moisio, CEO, tel. +358 10686 7801
Timo Salonen, CFO, tel. +358 10 686 7880
Huhtamaki Group is a leading manufacturer of consumer and specialty packaging
with 2012 net sales totaling EUR 2.3 billion. Foodservice and consumer goods
markets are served by approximately 14,400 people in 64 manufacturing units
and several sales offices in 31 countries. The parent company, Huhtamäki Oyj,
has its head office in Espoo, Finland and its share is quoted on NASDAQ OMX
Helsinki Ltd. Additional information is available at www.huhtamaki.com.
Huhtamaki Oyj Interim Report January 1 - March 31, 2013
This announcement is distributed by Thomson Reuters on behalf of Thomson
The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other
applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of
information contained therein.
Source: Huhtamäki Oyj via Thomson Reuters ONE
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