Nampak reports marginal growth in revenue boosted by cost saving initiatives

SOUTH AFRICA – Africa’s largest diversified packaging manufacturer, Nampak has reported that its first quarter revenue for the period ended December 2020, marginally rose by 1% on a year-on-year basis. The company notes that its cost saving initiatives undertaken by the company during the 2020 financial year, yielded benefits and were complemented by higher export sales, which was reflected in the group trading profit improving by 18% relative to the previous year’s first quarter. Nampak also reports a significant increase in operating profit for the year under review, partly as…

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Nampak’s full year revenue feels the pinch of COVID-19 falling by 23%

SOUTH AFRICA – Africa’s largest diversified packaging manufacturer, Nampak has suffered a R4.3 billion (US$280.5m) full year loss impacted by reduced economic activity across all geographies due to COVID-19, coupled with an already weak economic climate and pressure on consumers’ disposable income. The company’s group revenue for the year ended September 2020 was down 23% to R11.3 billion (US$737m), with an overall decline of 28% in the Metal division, 6% in Plastics and 10% in Paper. In response to the decline in revenue as consumer demand fell sharply, Nampak undertook…

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Nampak Zimbabwe’s full year sales volume decline by 24.7%

ZIMBABWE – Zimbabwe’s largest packaging manufacturer, Nampak Zimbabwe has reported a 24.7% sales volume decline during the year ended September 30, 2020 due to depressed demand. In a trading update, the Zimbabwe Stock Exchange-listed outfit blamed the COVID-19-induced lockdown for the slide and pointed out that foreign currency shortage, high inflation and low disposable incomes were among key drawbacks. “Despite incomes not matching the inflationary pressures, the Group’s order books are healthy. The Group remains confident of continuing sustainability.” Nampak Zimbabwe The group’s printing and converting unit, Hunyani Paper and…

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Nampak registers 17% decline in half year revenue to US$372.4m

SOUTH AFRICA – Africa’s largest packaging manufacturer, Nampak, has reported a drop in revenue by 17% to R6.5billion (US$372.4m) for the six months ended March 2020, primarily due to weaker economic conditions in South Africa, Angola and Zimbabwe.   The groups operating profit fell by 68% to R287 million (US$16.4m), due to tough trading conditions, increased competition and foreign exchange movements. Trading profit fell 39% to R633m (US$36.2m), as a result of a loss in Divfood, reduced demand in Angola and the overall beverage can market declining in South Africa. The…

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Nampak finalizes sale of its glass business to Isanti Glass 1

SOUTH AFRICA – Africa’s largest diversified packaging manufacturer, Nampak has announced the completion of sale of its glass packaging business. In September 2019, Nampak announced its intention to sell Nampak Glass – which manufactures beer, spirit and wine, water and juice bottles, as well as food jars to Isanti Glass 1, a local subsidiary of beer maker AB InBev for about R1.5 billion (US$81.3m). “The proceeds were received in cash on 31 March 2020,” the company said in an update to shareholders. Nampak previously said the payment would consist of…

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The Competition Tribunal of South Africa approves the sale of Nampak’s glass business

SOUTH AFRICA – The Competition Tribunal of South Africa has approved the sale of the glass business of Africa’s largest diversified packaging manufacturer, Nampak pegging certain conditions to be fulfilled. Conditions imposed by the tribunal are acceptable to the parties, Nampak said, with one condition still outstanding, related to certain material licences and permits. Nampak did not give further details, saying it would update the market again on the matter before the end of March. Last Year, September, Nampak, sold the business to Isanti Glass 1, an entity made up…

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Public Investment Corporation of South Africa increases stake in Nampak to 20.5%

SOUTH AFRICA – The Public Investment Corporation of South Africa, responsible for investing Government Employee Pension Fund, has increased its stake in Africa’s largest packaging manufacturer, Nampak. The PIC previously held 10.47% in Nampak which it has increased to 20.54% of the total issued ordinary shares of the company. According to the groups full year results for the year ended September 30, 2019, Nampak reported a loss of R390m (US$26.8m) down 132% compared to last year’s profit of R1.2bn (US$81.3m), according to its annual financial results for the year ended…

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South African packaging group Nampak officially opens new technical hub

SOUTH AFRICA – Africa’s paper and packaging product manufacturing giant, Nampak has officially launched its Liquid Carton divisions’ new Technical Hub in Roodepoort, Johannesburg. The new plant complements Nampak’s existing liquid carton facilities, which include a sales office in Bryanston, Gauteng; a printing plant in Isithebe, KwaZulu-Natal; a research and development (R&D) facility in Cape Town, and sister carton producing plants in both Malawi and Zambia. Following renewed popularity and rising demand for liquid cartons, Nampak says the new Technical Hub was custom built to maintain, and service the growing…

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South African packaging group Nampak appoints Erik Smut as new CEO

SOUTH AFRICA – Paper and Packaging product manufacturer Nampak, has appointed Erik Smuts as the new group CEO following the resignation of Andre de Ruyter last month who will be taking up the post of embattled power utility Eskom boss. He will take over as CEO on January 15, 2020. Erik Smuts joined Nampak Bevcan in 1997 as project accountant and was in 2001 appointed to the divisional board as commercial director. On 1 April 2014, he was appointed as group executive responsible for Nampak’s beverage can interests in South…

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South African packaging company Nampak reports full year loss impacted by foreign operations

SOUTH AFRICA – Africa’s largest packaging manufacturer, Nampak, reported a loss of R390m down 132% compared to last year’s profit of R1.2bn (US$81.3m), according to its annual financial results for the year ended September 30, 2019. The results were impacted by the R1.9bn (US$128.7m) net pre-tax foreign exchange loss in Zimbabwe, and a higher-than-expected tax rate in Angola, reports Fin24. Headline earnings per share (HEPS) declined more than two-thirds (69%) from 173.3c to 54.1c, while revenue declined 8% from R15.9bn to R14.6bn (US$0.98bn) and operating profit declined by 84% from…

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