Consumables

Half-yearly results for the six months ended 30 June 2012

Thursday 09. August 2012 - Good operating performance after a challenging start to the year

Highlights
Good operating performance after a challenging start to the year
Return on Capital Employed of 13.3%, in excess of the Group’s through-the-cycle target of 13%
Interim dividend of 8.9 euro cents per share, up 8%
Strong cash generation of €353 million
Significant strategic acquisitions:
o ?wiecie minorities acquired for €296 million
o €655 million acquisition of Nordenia agreed
David Hathorn, Mondi Group chief executive, said:
“We are pleased to announce good results following the anticipated pick-up in trading after a challenging start to the year. Cash generation is robust and our return on capital employed remains above our through-the-cycle target, reflecting the strength of our low-cost operating model.
We have made significant progress on a number of strategic initiatives, most notably the acquisition of the remaining minority interest in ?wiecie and the agreement to acquire a 93.9% interest in Nordenia. These steps build on our position as a leading international packaging and paper company with a strong platform for continued growth in emerging markets.
The macroeconomic environment remains a concern, with continued soft demand evident in certain western European markets. Encouragingly, demand in a number of the emerging markets to which the Group is exposed remains firm, and positive supply side fundamentals in various of our core grades offer price support. As such, we remain confident of delivering against our expectations for the full year.”