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Johannesburg - Plastic packaging group Astrapak on Monday said that headline earnings per share (Heps) from continuing operations increased by 824% to 47.1 cents for the six months ended August 31, from 5.1 cents in 2008.
Fully diluted Heps increased by 845%, and earnings per share from continuing operations were up 821%.
Revenue for the period was down 3.7%, to R1.26bn, and profit from continuing operations was at R52.1m, from a loss of R14.2m earlier.
Ebidta from continuing operations was up 14%, according to Astrapak.
Astrapak said the results in the comparative period were negatively impacted on by certain once-off items of expenditure and a reversal of a number of deferred tax assets totalling approximately R20m.
"During the past 12 months Astrapak engaged in a strategic review of its portfolio of operations, target markets, management structures, capital structures and its underlying growth strategies.
"The information extracted during this review was analysed and used to redefine the future strategy for the Group," Astrapak said.
The group said it had resolved to focus and invest in it's core Film and Rigid divisions. "The profile of the group has therefore changed significantly from that reported in previous periods.
The group is now best described as a manufacturer and distributor of an extensive range of rigid and film plastic packaging products," it said.
The Board decided not to declare an interim dividend in order to preserve funding for the Group's strategic growth options, it said.
Looking ahead, the packaging group said that uncertainty around current economic conditions, local and foreign, would continue to impact negatively on consumer confidence. "The steep increase in the cost of electricity and other cost increases are of further concern and need to be monitored and managed on a continuing basis."
"The challenge for Astrapak will be to retain and grow market share in its chosen segments and to ensure that the Group is strategically well positioned to benefit from an upswing in the economy as and when that occurs. This will be achieved through improved capital allocation and cost reduction programs, improved synergies, tighter financial disciplines and various plant level productivity and efficiency initiatives," it concluded.
- I-Net Bridge
