Investing to deliver customer-led product solutions
Orora today announced a strong operating result for the half year ended 31 December 2017, delivering double-digit underlying NPAT, EBIT and EPS growth.
Commenting on Orora’s performance, Managing Director and CEO, Nigel Garrard, said: “Orora’s track record of delivering strong and sustainable earnings growth has continued, driven in the first half by organic growth in the Group’s core businesses and enhanced by the benefits now beginning to flow from recent acquisitions and capital investments to deliver customer led product solutions and improve productivity.”
“Orora’s strong cash conversion combined with the strength of its balance sheet, continues to provide the Company with capacity to invest with discipline in innovation, capital projects and acquisition growth opportunities that deliver sustainable value creation for shareholders.
“Based on the success of recent organic investments, the current focus is to invest more to support organic growth and to bolster the capability to drive the integration of the Orora Visual acquisitions, while continuing to evaluate acquisition opportunities against Orora’s strategic and financial hurdle rates.
“The Orora Global Innovation Initiative, established in 2015 with $45 million earmarked for investment in innovation over three years, has now been fully committed, with investments made contributing to earnings growth across the group. As a result of the success of the Innovation Initiative, it will be increased by $30 million to $75 million, to continue the focus on bringing new, innovative customer led product solutions to life, whilst improving productivity in the plants,” Mr Garrard said.
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