Strike damages Transpaco’s earnings


Strike damages Transpaco’s earnings

Published Date: 2019-08-14 | Source: Stephen Gunnion | Author: Stephen Gunnion

Strike damages Transpaco’s earnings

The group says the unprecedented three-month plastic industry strike and a stagnant economy are to blame for a decline in its performance.

Transpaco says it will report a sharp slide in full-year earnings due to a strike in the plastic industry and the weak economy.

In a trading statement, the plastic and paper packaging manufacturer, recycler and distributor said earnings and headline earnings per share (HEPS) for the year to end-June would be between 40% and 45% lower than last year. This would result in HEPS of between 179.04c and 164.34c, down from last year's 297.4c.

It said the unprecedented prolonged three-month plastic industry strike impacted its business during the busiest October to December period. Coupled with a depressed consumer environment and a stagnant economy, this resulted in the decline in its performance.

The group's results are scheduled for release on 21 August. Its shares didn't trade yesterday, closing unchanged at R17.

Similar Stories