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- Group performance review
- Directors’ responsibility
- Independent review reports
- Income statement
- Statement of comprehensive income
- Statement of financial position
- Statement of cash flows
- Statement of changes in equity
- Production statistics
- Shareholder information
- Glossary of financial terms
Operational and financial highlights
- Underlying operating profit up 61%, driven by a strong performance from the Europe & International Division
- Sustained improvement in order inflows, volumes and prices across all key paper grades
- Improving performance in South Africa Division
- Restructuring of European Corrugated business completed
- Major capital project in Russia on schedule for completion in second half
- Successful issuance of inaugural €500 million Eurobond, used to pay down existing debt
- Interim dividend up 40% at 3.5 euro cents per share
Financial summary¹
| € million | Six months ended 30 June 2010 | Six months ended 30 June 2009 | Half- yearly change % |
|---|---|---|---|
| Group revenue | 3,033 | 2,614 | 16 |
| EBITDA | 405 | 308 | 31 |
| Underlying operating profit | 222 | 138 | 61 |
| Underlying profit before tax | 176 | 81 | 117 |
| Profit/(loss) before tax | 177 | (1) | n/m² |
| Basic earnings/(loss) per share (€ cents) | 21.5 | (7.1) | n/m² |
| Underlying earnings per share (€ cents) | 20.3 | 8.3 | 145 |
| Headline earnings/(loss) per share (€ cents) | 24.8 | (0.8) | n/m² |
| Interim dividend per share (€ cents) | 3.5 | 2.5 | 40 |
| Cash generated from operations | 269 | 392 | (31) |
| Net debt | 1,632 | 1,661 | (2) |
| Group return on capital employed (ROCE) | 9.5% | 7.4% | 28 |
Notes:
- ¹ Refer to Glossary of financial terms.
- ² n/m – not measurable.
From the CEO
“Mondi achieved a pleasing result in the period against a backdrop of improving market conditions, supported by a particularly strong performance from the European Uncoated Fine Paper business. The outcome bears testament to our robust business model, which encompasses leading market positions in higher growth emerging markets, low-cost operations and a relentless focus on performance.
Despite cost pressures, the positive pricing momentum witnessed in Europe since the beginning of the fourth quarter of 2009 in most of the Group’s key grades should see the business continue to deliver a strong performance in the second half. The South Africa Division should benefit from the further management actions taken to improve profitability, although much depends on the outlook for the rand and export pulp prices. While the sustainability of the economic recovery remains uncertain, we believe the Group is well positioned to continue benefiting from the current positive trading environment.”
David Hathorn
Mondi Group chief executive