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Orora Limited (ASX:ORA)

ALERT: Price-sensitive ASX Announcement for ORA
Current share price for ORA : $1.405 -0.865 (-38.11%)+
Announcement
Release
14 Aug 2024 8:46AM
Price at Release
$2.270
Full Release
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Summary
Orora Limited reported its financial results for the year ended 30 June 2024, noting a 9.5% increase in sales revenue to $4,697.6m and a 26% rise in underlying EBIT to $404.0m. The company announced underlying NPAT of $223.7m, up 10.2%, and statutory NPAT from continuing operations remaining flat at $185.2m. Key initiatives included a focus on sustainability, with significant improvements in recycled content in products and a reduction in greenhouse gas emissions. The company is in discussions to potentially divest its OPS business, aiming to focus on its global beverage packaging operations. Despite rejecting an undervalued proposal from Lone Star Fund XII Acquisitions, Orora remains optimistic about future growth and shareholder returns.
Key Points
  • Sales revenue increased by 9.5% to $4,697.6m, with $3,992.2m excluding Saverglass.
  • Underlying EBIT rose by 26% to $404.0m, with $323.4m excluding Saverglass.
  • Underlying NPAT was up 10.2% to $223.7m.
  • Statutory NPAT from continuing operations remained flat at $185.2m.
  • Final ordinary dividend was 5.0cps, with full-year dividends totaling 10.0cps.
  • OPS EBIT in the US was down 2.7% to US$109.5m, while Global Beverage EBIT increased by 54.6% to $237.0m.
  • Cash conversion improved to 80.5%, with underlying operating cash flow increasing by 47.1% to $397.0m.
  • Discussions to potentially divest the OPS business are ongoing.
  • Rejected a proposal from Lone Star Fund XII Acquisitions as it undervalued Orora.
  • Sustainability efforts included an increase in recycled content in glass and aluminium products and a reduction in greenhouse gas emissions.
  • Anticipated slight EBIT decline in Global Beverage (Australasia) due to G3 furnace rebuild at Gawler.
  • Higher full-year EBIT expected from Global Beverage (Saverglass) with improved volume recovery from early CY25.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.