July 19, 2023
AMG Packaging & Paper Company Limited (AMG) for the nine months ended May 31, 2023, reported a 6% increase in turnover totalling $781.84 million (2022: $738.38 million). Turnover for the third quarter had a 12% increase to close at $281.02 million compared to $251.57 million for the comparable quarter of 2022.
Total manufacturing costs amounted to $548.06 million (2022: $540 million), an increase of 1% year over year. Consequently, gross profit increased by 18% to $233.78 million compared to $198.38 million for the nine months ended May 31, 2022. The company booked gross profit of $88.57 million for the third quarter versus $63.40 million reported for the similar quarter of 2022.
Total expenses increased 25% to $131.31 million (2022: $105.01 million) with administrative expenses increasing by 24% to close at $83.95 million (2022: $67.94 million) and depreciation increasing by 47% to $31.73 million (2022: $21.64 million).
Operating profit amounted to $102.47 million, a 10% increase relative to $93.37 million reported in 2022. Operating profit for the third quarter amounted to $45.05 million (2022: $27.30 million). Other income totalled $247,364, a 13% decrease from the $285,515 booked in the corresponding period last year.
Pretax profit amounted to $102.72 million, a 10% increase relative to $93.65 million reported in 2022. Pretax profit for the third quarter amounted to $45.06 million (2022: $27.31 million).
Taxation had a 107% increase to reach $27.92 million (2022: $13.49 million). Consequently, net profit for the nine months amounted to $74.80 million, a 7% decrease from the $80.16 million reported in 2022. For the third quarter, net profit was $32.56 million (2022: $27.31 million).
Earnings per share (EPS) amounted to $0.15 (2022: $0.16), while for the quarter, EPS totalled $0.06 (2022: $0.05). The twelve-month trailing EPS was $0.20, and the number of shares used in these calculations was 511,894,285.
Notably, AMG’s stock price closed the trading period on July 18, 2023 at a price of $2.28 with a corresponding P/E ratio of 11.44x.
Balance Sheet Highlights
Total assets increased 66% to $1.63 billion (2022: $978.23 million). This upward movement was largely due to ‘Property, Plant & Equipment’, which increased 116% to $1.06 billion (2022: $491.30 million).
Shareholder’s equity increased 83% to $1.26 billion (2022: $688.11 million), representing a book value per share of $2.46 (2022: $1.34).
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