DS Smith forecasts growth will beat targets after in-line results
RECYCLED packaging supplier DS Smith yesterday reported in-line results for the third quarter and said growth remains ahead of its medium-term financial targets.
The FTSE 250 firm said that like-for-like corrugated box volume growth has remained good, with a particularly strong performance from Germany and central and eastern Europe.
The company, which packages McVities Hobnobs among other popular brands, also said that synergies from its £1.35bn acquisition of Swedish peer SCA Packaging in 2012 continue to boost the company’s performance.
“The year has continued in line with our plans, despite market conditions remaining difficult,” said chief executive Miles Roberts.
“We are continuing to grow volumes in these competitive markets, as our customers seek to consolidate their supplier base, by offering a complete service from design and production right through to supply and recycling via our closed loop model, delivered across Europe…We continue to see opportunities for growth in this market and are confident in the prospects for the business.”
DS Smith’s customers include Proctor & Gamble, Nestle and Unilever.
Its geographic reach extends across 20 European countries, with exceptions including Portugal, Norway and the south east of the continent.