Mondi
plc
(Incorporated in England and
Wales)
(Registered
number:
6209386)
LEI: 213800LOZA69QFDC9N34
LSE share
code: MNDI
ISIN:
GB00BMWC6P49
JSE share
code: MNP
3 May 2024
Q1
2024 Trading Update
Mondi plc,
a global leader in the production of sustainable packaging and
paper, today provides an update on trading for the three months to
31 March 2024 ("first quarter" or "Q1
2024").
In the
first quarter of 2024, market conditions continued to improve with
stronger order books leading to higher sales volumes across our
range of paper grades compared to the fourth quarter of 2023 ("Q4
2023"). This was supported by a solid performance in our downstream
converting operations. Average selling prices were lower compared
to Q4 2023 however recently announced paper price increases are
starting to come through in the second quarter. Costs remained
broadly stable when compared to Q4 2023. Underlying EBITDA for the
quarter was in line with our expectations at €214 million (Q4 2023:
€260 million), which includes a one-off €32 million loss incurred
in the period from the devaluation of the Egyptian
pound.
In
Corrugated
Packaging,
containerboard sales volumes were higher compared to Q4 2023 and
corrugated solutions delivered a stable performance.
Flexible
Packaging saw good
sales volume growth which was largely offset by lower average
selling prices. Uncoated
Fine Paper benefited
from price increases implemented in the quarter, however, a lower
forestry fair value gain impacted comparative
performance.
During the
quarter, Mondi paid a €1.60 per share special dividend to
shareholders, returning the net proceeds received from the sale of
all the Group's Russian assets. The special dividend was
accompanied by a share consolidation whereby shareholders received
10 new ordinary shares for every 11 existing ordinary shares
held.
Andrew King, Chief Executive
Officer,
said: "Market
demand has continued to improve in the first quarter of the year,
with stronger order books leading to higher sales volumes across
our range of paper grades. While we entered the year with lower
selling prices compared to the prior year, improvements in demand
have supported our initiatives to increase selling prices across
the business. We
remain well positioned to benefit from this growing demand with our
strong operational leverage, broad product offering and organic
growth investment projects, which remain on track and on
budget."
-END
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Conference
call dial-in details
A
conference call will be held this morning, Friday 3 May, at 08:00
(BST) / 09:00 (CET/SAST).
The
conference call dial-in numbers are:
United Kingdom (Local): +44 20
3936 2999
United Kingdom (Toll-Free): +44
800 358 1035
Global Dial-In Numbers
Access Code: 472790
Please
dial in at least 10 minutes before the start of the call to allow
the operator sufficient time to get all your information before
connecting you to the call.
Replay
details:
An audio
playback will be available in replay mode on our website within a
couple hours after the end of the conference call.
https://www.mondigroup.com/investors/results-reports-and-presentations/
Enquiries
Investors/analysts:
Fiona Lawrence
+44
742 587 8683
Group Head
of Investor Relations
Media:
Chris Gurney
Group Head
of Corporate Communication
+44
799 004 3764
Richard Mountain
FTI
Consulting +44
790 968 4466
Editor's
notes
Mondi is a
global leader in packaging and paper, contributing to a better
world by producing products that are sustainable by design. We
employ 22,000 people in more than 30 countries and operate an
integrated business with expertise spanning the entire value chain,
enabling us to offer our customers a broad range of innovative
solutions for consumer and industrial end-use applications.
Sustainability is at the centre of our strategy, with our ambitious
commitments to 2030 focused on circular driven solutions, created
by empowered people, taking action on climate.
In 2023,
Mondi had revenues of €7.3 billion and underlying EBITDA of €1.2
billion. Mondi has a premium listing on the London Stock Exchange
(MNDI), where the Group is a FTSE100 constituent, and also has a
secondary listing on the JSE Limited (MNP).
mondigroup.com
Sponsor in
South Africa: Merrill Lynch South
Africa Proprietary Limited t/a BofA Securities.