Packaging firm Verallia has posted a 6.7% increase in revenue in the first quarter of its financial year, to €633 million (up 9.9% at constant exchange rates).
Adjusted EBITDA was up 18.8%, to €142 million (up 22.3% at constant exchange rates), while the business reduced its net debt in the period to €1.79 billion, compared to €1.87 billion in the same period the previous year.
In a statement, the group reported that it is considering an initial public offering on the Euronext Paris index in 2019, subject to market conditions.
"I am very pleased with our performance in this first quarter, shaped by strong revenue growth and continued improvement of the group’s profitability," commented Michel Giannuzzi, CEO of Verallia.
"We intend to continue improving our performance over full‐year 2019 and beyond. Verallia and its shareholders are considering an initial public offering of the group on Euronext Paris in 2019. This would enable Verallia to increase its visibility vis‐à‐vis its customers and partners, and would give it the flexibility it needs to pursue any future growth opportunities," added Giannuzzi.
The group's Southern and Western European division, which encompasses France, Spain, Portugal and Italy, saw revenue rise by 7.1%, both on a reported basis and at constant exchange rates.
In Northern and Eastern Europe, which comprises comprising Germany, Russia, Ukraine and Poland, reported revenue climbed by 11%, however, declines in the Russian rouble had an impact on its performance.
In Latin America, a 4.3% decline in reported revenue was due to further depreciation in currencies in the region – in particular, the Argentine peso – the company reported.
Commenting on the planned IPO, Robert Seminara, senior partner of Apollo, the owner of Verallia, said, “An initial public offering would be one of the potential next steps in Verallia’s development. Apollo would remain a shareholder in the company, to support Verallia’s strategy of growth and operational excellence as it continues its transformational journey.”
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.