Ex-Pack unpacks excellent 1st half

Monday, 8 November 2021 03:27 - - {{hitsCtrl.values.hits}}

Chairman Sattar Kassim

MD Zulficar Ghouse

Ex-Pack Corrugated Cartons Ltd., one of Sri Lanka’s leading manufacturers of corrugated cartons, has announced an excellent performance during the first half of FY2021/22, ending 30 September 2021.

The Ex-Pack Group has achieved a top line revenue of Rs. 3.465 billion, against 2.065 billion during the same period in the previous year, recording a 59% increase, YOY. This was achieved amidst a subdued environment for manufacturing during April and May. Company turnover grew to Rs. 2.319 billion, against Rs. 1.460 billion the previous year.

In terms of manufacturing volumes, Ex-Pack has achieved YoY growth of 17.4% during the 1st half, which is 7.7% above forecasts. The company’s subsidiary, Neptune Papers Ltd. also posted volume growth of 13% for the same period under review. Based on the first half results, Ex-Pack is on track to exceed its forecasted revenue of LKR 5.865 billion for the year.

Given that the corrugated carton industry usually witnesses seasonal high demand during the second half of the year, the company is confident that it will beat all financial forecasts this financial year.

During the first half of the year, PAT stood at Rs. 200 million, against just 45 million during the same period in the previous year, during which performance was heavily impacted by the global pandemic. Earnings Per Share (EPS) for the first half stood at Rs. 0.80.

Discussing Ex-Pack’s solid financials and sought-after IPO, Managing Director Zulficar Ghouse said: “The numbers we are seeing are very encouraging. We have successfully managed to navigate one of the most turbulent times in global history, while still posting solid gains and delivering exceptional value to our shareholders. We take this opportunity to renew our resolve to maintain our position as one of Sri Lanka’s leading end-to-end corrugated cartons and packaging solutions providers.”

Ex-Pack Group Chairman Sattar Kassim added: “We are optimistic about the future, and look forward to expanding our production capacity through our soon to be commissioned Rs. 3 billion manufacturing plant, which will up our monthly capacity from 2,750 metric tons to 4,000 metric tons by 2025. We also take this opportunity to thank all those who subscribed to our IPO, and announce that trading of Ex-Pack shares will commence on 10 November under the ticker symbol, PACK, on the Colombo Stock Exchange.”

Ex-Pack’s product portfolio includes regular slotted cartons, die-cut cartons, laminated cartons and a host of specialised products developed using recycled material. The company has designed and engineered many innovative, world class products, including lightweight cartons for fresh fish, and hanger cartons for high-quality apparel to be shipped upright, hung on clothes hangers.

Ex-Pack also worked with the Department of Elections to transform ballot boxes in Sri Lanka, crafting them out of corrugated cartons for the first time ever, enhancing security and mobility, during the 2020 General Election. The company serves top corporate customers and brands, worldwide, across a range of industries including FMCG, consumer durables, apparel, tea and fisheries.