April 15, 2024
AMG Packaging & Paper Company Limited (AMG)
Unaudited financials for the six months ended February 29, 2024:
AMG Packaging & Paper Company Limited (AMG) for the six months ended February 29, 2024, reported a 4% increase in Revenue totalling $522.50 million compared to $500.82 million in the corresponding period last year. Revenue for the second quarter had a 1% increase to close at $250.01 million compared to $246.54 million for the comparable quarter of 2023.
Total Manufacturing Costs amounted to $325.15 million (2023: $355.60 million), this represents a decrease of 9% year over year. Consequently, gross profit increased by 36% to $197.35 million compared to $145.22 million for the six months ended February 29, 2023. The company booked gross profit of $95.75 million for the second quarter versus $71.80 million reported for the similar quarter of 2023.
Administrative expenses increased by 20% to close at $65.67 million (2023: $54.78 million), while Depreciation expenses increased by 26% from $20.89 million in 2023 to $26.33 million in the period under review. As a result, total expenses for the six months ended February 29, 2024, amounted to $101.95 million, a 16% increase relative to $87.85 million reported in 2023.
Operating Profit for the six months ended February 29, 2024, amounted to $95.40 million, a 66% increase relative to $57.37 million reported in 2023. Operating Profit for the second quarter amounted to $43.85 million (2023: $28.05 million).
Finance Cost totalled $4.56 million a 1875% increase from the corresponding period last year. (2023: $230,653).
Pretax profit for the six months ended February 29, 2024, amounted to $99.96 million, a 74% increase relative to $57.60 million reported in 2023. Pretax profit for the second quarter amounted to $45.60 million (2023: $28.28 million).
Taxation for the six months ended February 29, 2024, had an 82% increase to reach $28.13 million (2023: $15.42 million). Net Profit for the six months amounted to $71.83 million, a 70% increase from the $42.18 million reported in 2023. For the second quarter, Net Profit was $31.97 million (2023: $17.84 million).
Consequently, Earnings per share for the six months amounted to $0.14 (2023: EPS: $0.08), while Earnings per share for the quarter totalled $0.06 (2023: EPS: $0.03). The twelve month trailing EPS was $0.23 and the number of shares used in these calculations was 511,894,285.
Notably, AMG’s stock price closed the trading period on April 12, 2024, at a price of $3.20 with a corresponding P/E ratio of 13.76x.
Balance Sheet Highlights
The company’s assets totalled $1.68 billion (2023: $1.58 billion). The growth in total assets was mainly due to a 76% uptick in ‘Cash & Cash Equivalents’ to close at $252.13 million (2022: $143.52 million).
Shareholder’s equity was $1.29 billion (2023: $1.23 billion), representing a book value per share of $2.53 (2023: $2.39).
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