Brambles Limited (BXB) Q2 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

everyone and thank you for joining us for our 2024 half-year results presentation. Today I'll start by providing a summary of our performance in the half, our updated outlook statement and key updates from the Shaping Our Future transformation program. I'll then hand over to Joaquin to take you through our detailed financials. Turning now to the key highlights on slide three. Our first half performance was strong across all aspects of our business. Building on the momentum Putting on the momentum we generated in FY23, we progressed with our transformation program and our financial results delivered in every element of our investor value proposition. Changes in our operating environment, combined with benefits from our transformation, both of which I'll outline in more detail in my presentation, significantly increased pallet availability across our operations, supporting better customer service levels and material improvements in asset efficiency. I'm also very proud of the progress across all aspects of our sustainability programme and our ongoing recognition as a global leader in sustainability. Turning to financial performance, our sales revenue growth of 10% was primarily driven by price realisation through improved commercial terms that better aligned to our cost to serve. The operating leverage achieved in our underlying profit growth of 19% was particularly pleasing, considering the incremental increase in plant and transport costs from higher pallet returns, as well as the investments we continue to make across our transformation programme. The stronger earnings profile, combined with lower capital expenditure and increased compensation for lost assets, significantly contributed to the $303 million increase in free cash flow before dividends. The return on ca...