Colorpak has reported its half yearly results from July 1, 2015 to December 31, 2015 showing fallen figures across the board in comparison to the first half of 2014.
The report shows revenues from ordinary activities down 6.8 per cent to $78.46m, profit from ordinary activities after tax down by 17.5 per cent to $1.35m and the same percentage decrease in net profit after tax to $1.35m.
But Colorpak says in its financial performance review that its revenue from ordinary activities is doing better than the figures suggest. Revenues did decrease from $84.2m to $78.5m, however the net profit before tax of $1.835m was hit by non-recurring costs of $1.05m. By excluding these non-recurring costs, Colorpak says the underlying result exceeded the prior year’s revenue of $2.85m by $34,000.
Colorpak has reported its half yearly results with figures falling across the board
The company’s debt, net of cash at bank increased by $1.54m to $32m since June 2015, which Colorpak explains is due to a continuing trend of customers extending payments terms to 90 days on contract renewals.
The company has had some major contract wins in New Zealand, picking up ‘a strategic beverage customer’ and ‘several disgruntled customers from a rival’.
Since the balance sheet date of December 31, 2015 Colorpak has announced it has sold 100 per cent of its shares to Graphic Packaging for an undisclosed sum. Shareholders will receive cash payments of 68 cents per share as a result of the deal, which is expected to be finalised mid-April.
The Commins family which owns 32 per cent of Colorpak shares supported the takeover recommended by the company’s board.
