• Rich man, poor man

    Culture change from below is the only way to overcome poverty, says Leopold Scholtz.

  • Tech bubble talk

    After the tech euphoria of 2013, the fast-moving sector has hit a speed bump.

  • Money creation made easy

    Changing the money creation system may be simpler than we think, says Edward Ingram.

Data provided by McGregor BFA
All data is delayed
Loading...
See More

Sappi profit drops on lower selling prices

Feb 06 2013 08:48 Reuters

Company Data

SAPPI LIMITED [JSE:SAP]

Last traded 36.15
Change 0.72
% Change 0.02
Cumulative volume 491740
Market cap 19.57bn

Last Updated: 23/04/2014 at 04:26. Prices are delayed by 15 minutes. Source: McGregor BFA

Related Articles

Sappi swings to profit

Sappi to retool mill for coated paper

Sappi third-quarter loss widens

Sappi prices $700m notes offering

Sappi puts debt cut before investment

Sappi mothballs Tugela Mill

 

Johannesburg - Sappi [JSE:SAP] posted a fall in first-quarter profit on Wednesday, hit by lower paper and pulp selling prices, and said it expected market conditions to remain tough.

Sappi, the world's largest maker of fine paper used in glossy magazines, reported diluted headline earnings per share of 3 US cents for the three months to the end of December from 8 US cents a year earlier.

The company said operating profit, excluding special items, fell to $73m from $100m last year.

Sappi said market conditions for its paper business were expected to remain tough, particularly in Europe, and that its second quarter operating profit excluding special items was likely to be below the first quarter.

The global paper industry is struggling to recover from a slump caused by sluggish demand and over capacity and Sappi has turned its focus into higher margin businesses such as specialised cellulose to boost its earnings.

The company, which is also the world's top producer of chemical cellulose, is currently investing $500m in boosting its chemical cellulose capacity to more than 1.3 million tonnes a year.

Sappi produces chemical cellulose from its own woods for conversion into raw materials for clothing, plastics, food and pharmaceutical products.  

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

sappi
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're Talking About: Small Business

Standard Bank is looking for 12 entrepreneurs to participate in a 10-part TV series. They could win a R1m investment into their dream.
 
 

Cope loses members to ANC

President of the Cope Youth Movement, Abel Rangata, and three other Cope members have resigned from the party to join the ANC.

 
 

Latest elections multimedia

11 Julius Malema quotes you'll never forget
DA won't get 30% - Zille
The EFF's ad was banned, see why
Why Jack Parow wants you to vote on 7 May

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...