Slide 1: 2007 Interim Results
2007 Interim Results September 2007
Slide 2: Introduction
Introduction • Executive Summary • 2007 Interim Results • Cash Flow • Business Review Packaging Distribution Manufacture • Conclusions
Slide 3: Executive Summary
Executive Summary Pre-tax profit from continuing activities £0.5m (2006 : Loss of 0.4m) Sales growth 12% - Distribution 15% Manufacturing 2% Distribution Margin 30.5% versus 29.9% in 2006 Recovery in Labels business, but US experiencing lower demand Net debt £9.5m at 30 June but expect traditional s
Slide 4: 2007 Interim Results - Continuing Operations
2007 Interim Results Continuing Operations £m H1 2007 H2 2006 H1 2006 Distribution 44.3 42.4 38.5 Manufacture 13.1 12.7 12.7 Sales 57.4 55.1 51.2 Distribution 30.5% 29.9% 29.9% Manufacture 37.3% 38.3% 37.0% Distribution 0.3 0.9 (0.5) Manufacture 0.4 1.3 0.3 Operating profit 0.7 2.2 (0.2) Interest (0
Slide 5: 2007 Cash flow
2007 Cash flow £m H1 2007 H2 2006 H1 2006 Profit + depreciation 1.0. 2.4. 0.9. Working capital (2.8) 0.8. (2.4) Operating inflows (1.8) 3.2. (1.5) Capex (0.3) (0.2) (0.4) Asset disposal 0.0. 0.0. 1.5. Business disposal 0.0. 0.0. 2.1. Acquisition 0.0. (1.3) 0.0. (2.1) 1.7. 1.7. Dividends (1.1) 0.0. (
Slide 6: 2007 – Distribution
Packaging Distribution 2007 – Distribution Distribution sales growth 15% versus 2006 • Margins improving to 30.5% but still scope for further improvement • 2006 investments in e-commerce, new business team and strengthening RDC management team now bearing fruit • 12/16 RDCs trading profitably in H1
Slide 7: Packaging Distribution
Packaging Distribution £45,000 £44,000 New Business £1.1m £43,000 Doing things Bloomfield differently £42,000 acquisition £2.7m £41,000 £40,000 RDC growth £2.1m Doing things £39,000 better £38,000 2006 Sales £37,000 £38.5m £36,000 £35,000 Sales 2007
Slide 8: Actions – Distribution
Packaging Distribution Actions – Distribution Intense focus on ensuring pass through of supplier price increases Accelerate current sales momentum through RDC sales, New Business Team and Packaging2u Complete integration of Bloomfield • Implement further acquisitions
Slide 9: 2007 – Manufacture
Manufacture 2007 – Manufacture Labels - showing stability in sales and margin improvement Plastics - sales flat but some potential new wins in 2H 2007 UK Packaging Manufacture - improving sales, still to deliver benefits of investments and recent changes to management team US/Mexico - revenue down b
Slide 10: Actions – Manufacture
Manufacture Actions – Manufacture Labels - focus on re-building sustainable margin sales on self adhesive labels and penetrating USA with ReSeal-It Plastics - improving penetration in growth markets particuarly Asia Packaging Manufacture - strengthening relationship with Distribution and ensuring re
Slide 11: Conclusions
Conclusions • Encouraging H1 2007 performance driven by sales growth and margin recovery in Distribution and stability in Manufacturing • H2 2007 started strongly and clear action plans being implemented by each business unit • H2 2007 will see more focus given to Group activities. • Pension deficit