Strong Q2 results from Canpack
Canpack Group has announced its results for the three and six months ending on 30 June and its trading update for Q2 and H1 2021.
During the three and six months ended on 30 June 2021, consumers have continued to switch to beverage cans as the preferred option for at-home consumption. Canpack’s strong volume performance was driven by: (i) all beverage can capacities being sold out due to increased demand in Europe and South America, (ii) increased production volumes from our new Czech Republic facility, which began production in June 2020, (iii) increased demand from the US customer base, for which they e have shipped cans mainly from facilities in Asia, and (iv) a weaker Q2 2020 due to Covid-19 impact as compared to Q2 2021.
Net sales increased 66% and 42%, respectively, for the three and six months ended 30 June 2021. This strong performance was driven by volume increases, of 36% and 29% in Beverage Can and Ends division and 48% and 30% in the Glass Packaging division for the three and six months ended 30 June 2021.
Additionally, beverage can net sales have increased for the three and six months ended 30 June 2021 due to higher LME levels during the three and six months ended 30 June 30, 2021 compared to the same periods in 2020.
Cost of sales increased 60% and 42%, respectively, for the three and six months ended 30 June 2021. These increases were primarily due to an increase in beverage can volumes, higher aluminium prices given higher LME levels and higher labour costs during the three and six months ended 30 June 2021 compared to the same periods in 2020.
Chief Executive Officer, Roberto Villaquirán, commented: “We are pleased to announce continued strong performance across all of our business units despite a challenging supply chain environment. Market dynamics for the aluminium can remain strong, driven by innovation, differentiation and sustainability credentials.
“Our new US greenfield in Olyphant is on time and on schedule, with commercial cans now in production, demonstrating our proven expertise in delivering greenfield operations successfully.”