TORONTO – Labelling and packaging company CCL Industries Inc. (TSX:CCL.A) reports a second-quarter profit of $25.9 million, or 76 cents per share.
That’s compared to $21.8 million, or 64 cents per share, for the same period last year.
Revenue grew to $337.1 million, from $318.9 million a year ago.
The Toronto-based company says it saw double digit sales growth rates in North America and emerging markets, but those gains were offset by low, single digit growth in Europe.
Get weekly money news
The company says the stronger U.S. dollar improved its North American results, but start-up costs for new products and facilities offset some of those gains.
Depite the weaker euro, the company’s European business saw improvement, thanks to cost reductions and turnaround in underperforming business units.
Profits from the Asia Pacific region were held back by the company’s efforts to reorganize its Thailand operations to prepare for more expansion, while performance in China was strong.
“Given the global economic trends, we are pleased with the company’s performance for the first half of the year and remain cautiously optimistic for the balance of 2012,” said president and chief executive officer Geoffrey Martin.
- Central Alberta carbon capture hub on track to be largest in Canada
- Enbridge makes US$2.55B acquisition of pipeline, storage systems in U.S. midwest
- Choose Canada, businesses urge Albertans ahead of ‘risky gamble’ referendum
- Alberta landowners challenge ‘chronic underfunding’ for orphan well cleanup
“The widely discussed European economic conditions have now been in place for some time and therefore we see limited risk on the downside, in part aided by our limited exposure to countries in southern Europe. Our main cause for doubt has shifted to the United States.”
CCL Industries employs about 6,400 people and operates 72 production facilities around the world.
Last month, the company announced it has acquired the pharmaceutical assets of Australian printing company Graphitype Printing Services for $7.3 million.
Comments
Want to discuss? Please read our Commenting Policy first.