Orora delivers increase of 11.0% underlying EBIT and 0.5% underlying NPAT as it enters a new phase with Saverglass part of the Orora Group*
Half Year Ended 31 December 2023
Commenting on Orora’s half year results, Managing Director and Chief Executive Officer, Brian Lowe said:
“The period was marked by a significant milestone for Orora, with the acquisition of premium global glass business Saverglass completed in December. Against a backdrop of challenging economic conditions, Orora once again delivered a solid earnings performance for the first half, with growth reported in underlying EBIT and NPAT.
“Sustained business optimisation gains with strong embedded pricing discipline delivered an increase in EBIT of 0.9% from OPS North America, despite being impacted by ongoing softness in the broader North American manufacturing industry.
“Underlying EBIT increased by 2.2% in Beverage Australasia, reflecting another robust performance from the team, with continued volume growth and improved product mix in cans volumes partially offset by lower glass volumes.
“And for its first month under the ownership of Orora, Saverglass performed in line with expectations during December 2023,” said Lowe.
“Our results reflect the ongoing passion, resilience and focus of our team, delivering a commendable set of results in the current market environment, while also successfully completing the Saverglass acquisition. As we enter the second half of FY24, we look forward to continuing to deliver on our strategy, transitioning Saverglass into the Orora Group and building momentum across the organisation. Orora retains a strong balance sheet and with robust cash generation, the company remains well positioned for ongoing organic investment.”
Sustainability update
Orora continued to make good progress toward ‘Our Promise to the Future’ sustainability goals aligned to the pillars of Circular Economy, Climate Change and Community. Saverglass’ sustainability targets are in line with, and in some instances in advance of, Orora’s sustainability targets, as reflected by its Science-Based Target initiative certification. New solar and wind farm PPAs were secured in 2023 for electricity consumption at Orora’s South Australian and Queensland facilities. The Saverglass F5 furnace was recommissioned in December 2023 as a low-carbon hybrid furnace delivering up to 30% electricity boost, and successful hydrogen trials were competed at Saverglass’ furnace in Feuquiéres, France.
More information about our results for the half year ended 31 December 2023 is available under ASX releases.
Orora’s results for the half-year ended 31 December 2023 include one month of Saverglass following completion of the acquisition on 1 December 2023