Antalis sales slip in H1

By Jo Francis, Tuesday 30 July 2019

Be the first to comment

Antalis has announced a drop in sales and profits for the first half of the year, with no further news as yet on its search for a new shareholder to take over Sequana’s majority stake in the business.

antalis-packaging-design-centre

Antalis: packaging business is growing

The merchanting group has announced preliminary, unaudited results for the six months to 30 June. It expects sales to be down 5.6% on a like-for-like basis at €1.072bn (£982m). EBITDA (earnings before interest, taxes, depreciation and amortisation) is set to be around 16.7% lower than the prior year, at €30m (2018: €36m).

The business is the largest paper merchant in Europe.

In a statement, Antalis said the declines were mainly due to lower paper volumes, with the market contracting by 7% in the first half of the year, plus the impact of “the collapse of one of Antalis’ graphic and recycled papers suppliers”.

Sequana-owned Arjowiggins put its largest French paper mill at Bessé-sur-Braye, which made recycled papers, into liquidation in March. It subsequently shut down in May.

Sequana itself went into judicial liquidation in mid-May. The process of liquidating its assets could take up to two years.

Antalis pointed to the bright spots of its growing Packaging and Visual Communications businesses, which together now make up 39% of gross margin.

Antalis UK opened a Smart Packaging Centre at its Coalville site in 2018. The firm recently announced that in its first year of operation the facility has helped more than 50 customers with their packaging design challenges.

Packaging technologist manager Jason Poxon said: “Most customers visiting the centre are looking to reduce their pack cost and/or cut waste and improve their environmental footprint and credentials. We find that very often these three issues work hand-in-hand, particularly as customers are often using more packaging than they need to." 

Meanwhile, five months on from the initial announcement that it was seeking to find a new shareholder to take over the 75.2% stake in the business currently owned by Sequana, Antalis said it was “progressing in its process”.

“The company will inform the market once it is in a position to announce definitive steps,” Antalis stated.   

Shares in Antalis moved up slightly on the announcement, from €0.74 to €0.75 (52-week high: €1.47, low: €0.72).

The group will announce its first-half results on 30 September. Antalis had full-year sales of €595m in the UK and Ireland in 2018.

 

 

Share this

Related headlines

UK ops hold steady in Antalis Q1 results
25 April 2019

Operating profits at Antalis were down by almost a third in Q1, but the merchanting group said that its...

Antalis sales and profits slip
29 March 2019

Paper merchanting group Antalis has posted its year-end results, with a perfect storm of Brexit uncertainty,...

Antalis MD speaks out on Sequana/Arjo situation
26 March 2019

Antalis is “driving the process” of selling on major shareholder Sequana’s shares as the paper group...

Antalis to establish new shareholding structure
13 February 2019

Antalis has revealed it will set up a new shareholding structure in the coming months, which could result...

This Issue

Latest comments