Profit after tax and before significant items was up 5.7% to $322m for the six months up to 31 December 2012. Amcor managing director and chief executive Ken MacKenzie said: “The first half result represented a record underlying profit, record returns and a record interim dividend for the company.
“Profit before significant items increased 14% to $304.7m, returns increased from 13.1% to 15.1% and the dividend increased 6% to 18 cents per share. During the half, the company also completed a $150m share buy-back.
However, the company also announced that it was cutting about 300 jobs which it blamed on the high value of the Australian dollar and increasing cost pressures.
Continuing its expansion, Amcor also announced its agreement with AGI-Shorewood to acquire select printing assets of its Tobacco Packaging and Specialty Folding Carton Operations for $114.8m. The deal expands Amcor’s business in the higher growth regions of Asia and Latin America and includes specialty folding carton production assets in the United States. In Mexico it builds on the position established by Amcor following the recent acquisition of Aluprint for $40m last year.
MacKenzie, said: “This acquisition is aligned with our strategic objective of expanding our position in emerging markets. The attractive purchase multiple and substantial operational cost synergies ensure the acquisition will generate very attractive returns for shareholders.”
