TORONTO, May 2, 2024
/CNW/ - Richards Packaging Income Fund (TSX: RPI.UN) (the
"Fund") announced today results for the quarter ended
March 31,
2024.
"The first quarter financial performance was in line with the
trend set in 2023. March revenue was very soft driven mainly
by weak food and beverage packaging sales as the oversupply of
inventory continued with both customers and suppliers.
Inventory was reduced $4 million
which was largely deployed to pay down debt.
First quarter total revenue was down 8.4% with a $8 million impact of oversupply in food, beverage
& other packaging and the $1
million currency translation loss with the dollar flat at
US/Cdn. 74¢, on $5 million lower
Richards US offset by $1 million of
growth in sales of pumps and sprayers. Net income decreased
$1 million, or 2¢ per Unit, mainly
due to the lower mark to market gain on exchangeable shares.
Richards faces a challenging future as the oversupply in the food
& beverage market that depressed our sales continues" commented
Gerry Glynn, Director and
Trustee.
The Fund paid monthly dividends of 11¢ per Unit, which
represented an annualized yield of 3.8% on the March 31st closing price of $34.43 per Unit along with a special dividend of
36¢ funded by its opening cash balance.
Details of the Fund's results are currently available on
Richards Packaging's website at www.richardspackaging.com and on
SEDAR+ at www.sedarplus.ca
About Richards Packaging Income
Fund
The Fund owns Richards Packaging Inc. ("Richards Packaging")
which since 1912 has served a wide customer base throughout
North America comprised of over
17,000 regional food, beverage, cosmetics, healthcare, and other
enterprises.
SOURCE Richards Packaging Inc.