Mondi annual profit rises 22%Comment on this story
Johannesburg - Mondi, South Africa’s biggest packaging and paper company, said full-year profit increased 22 percent on rising sales of consumer-goods wrapping.
Operating profit excluding exceptional items increased to 699 million euros ($959 million) in 2013, compared with a restated figure of 574 million euros a year ago, the Johannesburg-based company said in a statement today.
Sales rose 12 percent to 6.48 billion euros.
Mondi has expanded operations into China and Iraq as it focuses on emerging markets to boost earnings.
The company is increasing its focus on consumer packaging in order to meet demand from clients such as household goods and foodmaker Procter & Gamble Co. Mondi agreed to buy Germany’s Nordenia International in 2012 to boost its presence in that industry.
“It is particularly pleasing to see how well the integration of the businesses acquired in late 2012 has gone, with synergies delivered in line with target,” Mondi chief executive David Hathorn said.
“Despite a difficult trading environment, the new business segment of consumer packaging has demonstrated its resilience.”
Mondi shares increased 4.8 percent to 192.85 rand as of 10:16 am in Johannesburg, the biggest gain on an intraday basis since December 17.
The shares have gained 4.9 percent this year. - Bloomberg News