Inapa Solid Growth in H1

Originally written by Andy Braithwaite and published at OPI

Positive H1 for Inapa

According to OPI, European paper merchant Inapa has released a solid set of H1 results with sales and earnings both growing.

The Portugal-based group reported sales for the six months to 30 June of almost €455 million ($535 million), 6.6% up on the same period last year. The improvement followed the company’s acquisition of Papyrus France and the sale of Inapa Switzerland at the end of 2016 which led to an increase in both sales and market share.

H1 sales at Inapa’s paper distribution unit increased by about 5.5% year on year to €405 million as the acquisition of Papyrus France more than offset a 5% decline in Germany – Inapa’s largest market – and the sale of the Swiss business.

Sales of packaging and visual communications products were both up in the mid-teens (to €36 million and €18 million respectively) as Inapa – like its competitors – expands in these categories. Packaging sales were boosted by the November 2016 acquisition of French packaging firm Embaltec.

Adjusted EBITDA for the period of €13 million was 27% up on the previous year’s H1 as Inapa benefited from greater efficiencies and supply chain flexibility.

In the second half of this year, Inapa said it expected cut-sheet paper prices to increase due to demand pressures resulting from planned machine outages and the impact of an incident at one of Stora Enso’s facilities in Finland which has put one of its paper machines out of action until the end of the year.