Thanks to Wasron,jfgw,Rhyd6,eyeball08,Wondergirly, for Donating to support the site
dealtn wrote:daveh wrote:Green Bond Issuance
Why would you replace bonds with a coupon of 1.375% with bonds with a coupon of 4.375-4.5% ~12 months earlier than you need to (other than extending the term of the debt by 6 years?
Not unusual (especially for a net indebted company) to resolve cliff edge refinancing as early as this.
DS Smith Plc ("DS Smith"), today issues a trading update in respect of the period since 1 May 2023.
Trading in line with expectations
· Overall trading is in line with our expectations, driven by continued resilient pricing and strong cost control measures, despite end markets remaining challenging.
· Like for like performance in corrugated box volumes has improved since the start of the financial year, with clear signs of reduction in customer de-stocking, while remaining below the prior year comparative.
Inaugural Green bond
· €1.5 billion inaugural green bonds issued in July, which has significantly extended our debt maturity profile at attractive terms.
Miles Roberts, Group Chief Executive, said:
"While the economic environment in which we operate remains challenging we have started the financial year well. We continue to work closely with our customers, meeting their evolving needs and are pleased with their positive feedback and the progress we are making. This, together with our ongoing focus on cost and operational efficiencies and our robust and flexible supply chain, positions us well for the remainder of FY24 and beyond."
DS Smith Plc today announces the appointment of Tessa Bamford to the Company's Board as a Non-Executive Director, with effect from 1 January 2024. She will also join the Audit, Nomination and Remuneration Committees of the Board.
Tessa will be joining following her retirement from Spencer Stuart, a global leadership search and advisory firm, where she led the UK Board and CEO practice, working with clients in the UK and internationally. Tessa previously held non-executive director roles at Ferguson plc for 10 years and at Barratt Developments plc for 9 years. Prior to joining Spencer Stuart, Tessa was a founding director of Cantos Communications, an online corporate communications company where she also managed many of its largest client accounts. Her earlier career was as an investment banker for 18 years, which started at BZW, then Schroders, latterly as a managing director in which she worked in both the UK and US advising companies on equity capital markets and M&A.
Trading continues in line with expectations
· As expected, like for like corrugated box volume performance has improved quarter on quarter, albeit remaining below the prior year.
· Pricing has remained more resilient than expected, reflecting our strong customer relationships, ongoing innovation and high service levels. Reduced input costs and cost mitigation efforts have broadly offset the price declines.
· We continue to invest in our business, including the recently opened group-wide innovation hub, R8. This UK-based facility allows us, our customers, and partners to accelerate the research and development of new packaging solutions.
· Overall trading remains in line with expectations, with adjusted EBITA for the 6 months to 31 October 2023 expected to be approximately £360m.
Miles Roberts, Group Chief Executive, said:
"Overall, I am pleased with our robust performance during the first half. Despite an ongoing weak macro-economic environment, we expect volume performance to improve, with second half volume performance anticipated to be better than the first half. We continue to invest behind our customers, focusing on providing them with value added solutions and this, together with our strong operational performance, means we are positioned well for the remainder of FY24."
· Robust adjusted operating profit of £365m (£418m H1 FY22/23) in challenging environment
· Decline in like for like box volumes of 4.7% in H1, with sequential quarter-on-quarter improvement and H2 expected to show continued positive momentum
· Pricing has been resilient, underpinned by strong customer relationships, innovation and high service levels, with downward pressure offset by lower input costs and productivity initiatives
· Strong financial position: 1.7x net debt/EBITDA (FY22/23: 1.3x)
· Continued capital and operational investment to support our customers and improve productivity and environmental efficiency
· Full year trading in line with management expectations
And later;
Dividend
The Board considers the dividend to be an important component of shareholder returns. As first set out in December 2010, our policy is that dividends will be progressive and, in the medium term, dividend cover should be on average 2.0x to 2.5x through the cycle. In considering future dividends the Board will continue to be mindful of the Group's earnings growth potential, future expansion and leverage.
The Board declares an interim dividend of 6.0 pence per share in light of the strong business performance, building on the robust position of the second half of the previous year. The dividend will be paid on 31 January 2024 to ordinary shareholders on the register at close of business on 15 December 2023.
idpickering wrote:2023/24 HALF YEAR RESULTS.· Robust adjusted operating profit of £365m (£418m H1 FY22/23) in challenging environment
· Decline in like for like box volumes of 4.7% in H1, with sequential quarter-on-quarter improvement and H2 expected to show continued positive momentum
· Pricing has been resilient, underpinned by strong customer relationships, innovation and high service levels, with downward pressure offset by lower input costs and productivity initiatives
· Strong financial position: 1.7x net debt/EBITDA (FY22/23: 1.3x)
· Continued capital and operational investment to support our customers and improve productivity and environmental efficiency
· Full year trading in line with management expectations
And later;
Dividend
The Board considers the dividend to be an important component of shareholder returns. As first set out in December 2010, our policy is that dividends will be progressive and, in the medium term, dividend cover should be on average 2.0x to 2.5x through the cycle. In considering future dividends the Board will continue to be mindful of the Group's earnings growth potential, future expansion and leverage.
The Board declares an interim dividend of 6.0 pence per share in light of the strong business performance, building on the robust position of the second half of the previous year. The dividend will be paid on 31 January 2024 to ordinary shareholders on the register at close of business on 15 December 2023.
https://www.investegate.co.uk/announcem ... ts/7926813
Ian (I hold).
DS Smith Plc today announces that Miles Roberts has informed the Company of his intention, following 13 years with the Company, to retire from the Board and from his role as CEO. It is intended that Miles' formal notice period will start on 1 December 2024, which means that he would retire from the Board and step down as CEO no later than 30 November 2025. This will give the Company an appropriate amount of time to identify and appoint his successor.
A thorough recruitment process will be conducted and Miles will remain as a director of the Company and CEO throughout and will continue to focus on delivering strong performance from the Group and on supporting an orderly transition to his successor.
Response to Media Speculation
The Board of DS Smith notes the recent media speculation and confirms that it has received a highly preliminary expression of interest from Mondi plc ("Mondi") regarding a combination with DS Smith. The Board of DS Smith understands that Mondi is considering a possible offer for DS Smith although no proposal has been received at this stage.
There can be no certainty as to whether any proposal will be made or the terms of any such proposal. A further announcement will be made if and when appropriate.
This statement is being made by DS Smith without the prior agreement or approval of Mondi.
daveh wrote:The question is do I sell my taxable holding now. I plan to do it before tax year end anyway. Or do I wait to see if anything comes of this offer or if the price goes up further?
atement Regarding Possible All Share Combination With DS Smith Plc
Mondi plc ("Mondi") notes the recent announcement by DS Smith plc ("DS Smith").
Mondi confirms that it is in the early stages of considering a possible all share combination with DS Smith.
Mondi routinely considers various options within its disciplined capital allocation framework aimed at accelerating its growth in the structurally growing packaging sectors in which it operates.
Mondi believes that a possible all share combination with DS Smith represents an exciting opportunity to create an industry leader in European paper-based sustainable packaging solutions:
well positioned to benefit from structural growth trends in sustainable packaging;
benefitting from enhanced vertical integration, bringing with it a balanced paper position, greater earnings resilience through the cycle and enhanced security of paper supply, for the benefit of both shareholders and customers; and
benefitting from substantial synergies as a result of vertical integration alongside highly complementary positions and expertise in containerboard, corrugated solutions and flexible packaging, in addition to expected benefits from economies of scale and efficiencies across a combined supply chain and administration.
Continued resilient performance in a challenging environment
· Like for like corrugated box volume performance continues to improve compared with the first half of our financial year, with flat like for like volumes in the period since 1 November 2023. North America and Eastern Europe saw good growth in the quarter, offset by a weaker performance in Northern Europe
· Focus remains on resilient pricing, operational efficiency and tight cost control with anticipated containerboard price increases expected to be reflected in ongoing packaging prices, following the usual lag
· Overall trading together with our outlook for the remainder of the year remains in line with management expectations
Miles Roberts, Group Chief Executive, said:
"I am pleased with a continuing resilient performance, despite tough economic conditions. Our strong customer relationships, quality and service has led to a number of recent FMCG customer contract wins, underpinning our confidence in the outlook for volume growth going forward. While markets remain challenging, we continue to focus on providing value-added solutions to our customers and on driving operational efficiency and cost control across the Group and view the future with confidence."
BullDog wrote:The offer is in. 373p. Perhaps a bit stingy from Mondi. But I'll set a limit sell in the morning if the SMDS shares bounce, as they should. Only question is what to set it at? I'll mull that one over.
RNS -
https://www.lse.co.uk/rns/SMDS/statemen ... 7bowc.html
Return to “Company Share news (LSE Main Market)”
Users browsing this forum: No registered users and 28 guests