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Johannesburg - Africa’s biggest packaging group Nampak [JSE:NPK] posted an 18% rise in first-half profit helped by a robust performance from its European and sub-Saharan operations, sending its shares up more than 2%.
Nampak, which supplies plastic milk bottles to Britain and operates in several African countries, said on Wednesday headline earnings per share (EPS) totalled 94.6 cents in the six months to end-March compared with 76.7c a year earlier.
Shares in the company rose more than 2% shortly after the results but had given up some of the losses, trading 0.88% higher on Wednesday noon at R21.69.
Nampak has suffered in recent years as the economic slowdown crimped demand, but has crafted a three-year turnaround plan that includes selling non-core assets and fixing underperforming units. The company said stripping out assets that are up for sale, headline EPS jumped 28% to 93.5 cents.
Revenue was flat at R8bn as lower demand in South Africa countered strong performance in Europe and the rest of the continent.
Nampak, which raised its dividend by 36% to 34c, said it expected little improvement from its South African business.
“Demand from South African consumers has been moderate and no significant improvement is expected in the next six months,” it said.
Nampak, which supplies plastic milk bottles to Britain and operates in several African countries, said on Wednesday headline earnings per share (EPS) totalled 94.6 cents in the six months to end-March compared with 76.7c a year earlier.
Shares in the company rose more than 2% shortly after the results but had given up some of the losses, trading 0.88% higher on Wednesday noon at R21.69.
Nampak has suffered in recent years as the economic slowdown crimped demand, but has crafted a three-year turnaround plan that includes selling non-core assets and fixing underperforming units. The company said stripping out assets that are up for sale, headline EPS jumped 28% to 93.5 cents.
Revenue was flat at R8bn as lower demand in South Africa countered strong performance in Europe and the rest of the continent.
Nampak, which raised its dividend by 36% to 34c, said it expected little improvement from its South African business.
“Demand from South African consumers has been moderate and no significant improvement is expected in the next six months,” it said.
