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Packaging And Design

SIG Sees Revenue Soar In First Quarter, Driven By Acquisitions

By Steve Wynne-Jones
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SIG Sees Revenue Soar In First Quarter, Driven By Acquisitions

Packaging firm SIG has reported a 44.5% increase in group revenue in the first quarter of its financial year, to €729 million, driven by acquisitions and price increases.

Excluding acquisitions, organic revenue growth on a constant currency basis stood at 6.9%.

The group reported an adjusted EBITDA margin of 24.0% in the period, on a par with the same period last year (23.9%) and up from 22.3% in the fourth quarter of 2022.

Performance By Region

In its Europe division, revenue growth stood at 37.6% for the period, or 11.2% excluding acquisitions, with performance largely driven by price increases.

'Price in­creases in Europe reflect the particularly high raw material and energy cost inflation incurred in 2022 com­pared to the rest of the group,' SIG said in a statement.

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Organic revenue growth in the Middle East and Africa was +17.9%, compared to the same period last year, again with price increases playing a role, while in Asia Pacific, revenue growth was 20.2%. If acquisitions are not included, organic revenue fell by 9.8% in the region.

Revenue growth for the quarter in the Americas was 112.9%, reflecting the contribution from bag-in-box and spouted pouch acquisitions. If these are excluded, revenue was 19.8% higher.

Read More: SIG Opens New Production Plant In India

Full-Year Forecast

Looking ahead to the remainder of the year, SIG expects revenue growth of between 20% and 22% on a constant currency basis, with organic revenue growth expected to be between 7% and 9%.

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'Price increases in the carton business are expected to continue to contribute to top-line growth,' it added.

Read More: SIG Completes Acquisition Of Evergreen Asia

© 2023 European Supermarket Magazine – your source for the latest packaging news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.

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