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Richards Packaging Income Fund announces 2016 Second Quarter Results
Richards Packaging Income Fund announces 2016 Second Quarter Results Richards Pack...
About this update from Richards Group Inc.
[{"type":"text","content":"\n\n\n\nRichards Packaging Income Fund announces 2016 Second Quarter Results\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n.prngen3{\nBORDER-BOTTOM:black 0pt; BORDER-LEFT:black 0pt; PADDING-LEFT:0.50em; PADDING-RIGHT:0.50em; BORDER-TOP:black 0pt; BORDER-RIGHT:black 0pt\n}\n.prngen2{\nBORDER-BOTTOM:black 0pt; BORDER-LEFT:black 0pt; PADDING-LEFT:0.50em; PADDING-RIGHT:0.50em; VERTICAL-ALIGN: TOP; BORDER-TOP:black 0pt; BORDER-RIGHT:black 0pt\n}\n.prnsbt0{\nBORDER-TOP:0pt\n}\n.prnbcc{\nBORDER-COLLAPSE: COLLAPSE\n}\n.prnsbl0{\nBORDER-LEFT:0pt\n}\n.prnsbr0{\nBORDER-RIGHT:0pt\n}\n.prnsbb0{\nBORDER-BOTTOM:0pt\n}\n\n\n\n\n\n\nRichards Packaging Income Fund announces 2016 Second Quarter Results\nCanada NewsWire\nTORONTO, July 28, 2016\n\n\n\n\n \n\n\n\nTORONTO, July 28, 2016 /CNW/ - Richards Packaging Income Fund (TSX: RPI.UN) (the \"Fund\") announced today results for the quarter ended June 30, 2016.      \n\n \n\nSecond quarter performance was in line with our 2016 outlook as total revenue increased 20.3% due to the Healthmark acquisition and organic revenue growth and a U.S./Cdn. 3.7¢ weakening of the dollar to 78¢, up from 73¢ in the first quarter.  Gross profit and EBITDA1 as a percent of sales were consistent with the first quarter at 17.2% and 13.2% respectively.  EBITDA was up $2.5 million, or 34.5%, due to higher sales and the translation impact of Richards US.  Net income decreased $4.5 million, or 42.0¢, with higher EBITDA offset by a $4 million contingent consideration revaluation for the Healthmark acquisition, higher mark-to-market loss on the exchangeable shares and higher income taxes.\n\nThe $2.9 million of free cash flow2 generated in the second quarter increased the cash on hand by $2.4 million to $3.2 million after paying $2.1 million of income tax payable from the first quarter.  The remaining cash, together with the $1.1 million working capital reduction, was utilized to pay $2.0 million of term debt and invest in $0.1 million of expansion capital.  We are building up cash balances to f...