Sappi Reports Strong Fiscal First Quarter 2022 Results on Robust Demand
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Sappi Reports Strong Fiscal First Quarter 2022 Results on Robust Demand
Sappi reported the results of its fiscal first quarter 2022 results.
Financial Summary for the Quarter
• EBITDA excluding special items US$240 million (Q1 FY21 US$98 million)
• Net debt US$1,917 million (Q1 FY21 US$2,056 million)
• Profit for the period US$123 million (Q1 FY21 loss of US$17 million)
• EPS excluding special items 20 US cent (Q1 FY21 loss of 1 US cents)
CEO Comments
Commenting on the group's results, Sappi Chief Executive Officer Steve Binnie said: "I am very pleased with an excellent performance from the group. We outperformed the guidance provided at the end of the last quarter with EBITDA at US$240 million, a 36% increase over the prior quarter (US$177 million) and more than double the equivalent quarter last year (US$98 million). Robust market demand in all product segments combined with the implementation of higher sales prices facilitated the growth and offset rising costs. This achievement was despite logistics and transport bottlenecks, as well as significant increases in energy, pulp and other raw materials."
The recovery has taken place within the context of the Covid-19 pandemic. Throughout this unprecedented time the health and safety of our employees remained paramount. A comprehensive Covid-19 action plan enabled us to operate in a safe and uninterrupted manner across all our regions."
Looking forward, Binnie stated: "Given the favorable demand outlook for all of our product segments we anticipate a further improvement in EBITDA for the second quarter of FY2022 from the excellent results achieved in the first quarter."
