Chairman Graham Reaney said the company expected EBIT (earnings before significant items) to be in the range of $31m-$33m for the six months ending 31 December. He added that the company was “confident of improved EBIT growth” for the full financial year.

“The second half result is well supported by a number of new contracts and we would expect a considerable uplift from last year’s $22.1m result. Thus, for the full year, we are looking for double-digit growth in EBIT before significant items,” he said.

PMP also announced the details of its ‘Stage II Transformation Plan’, which will see the company install a new press in its Perth facility and heavily consolidate its New Zealand operations.

As part of the transformation, PMP plans to consolidate its current five sites in Auckland into two sites over the next 18 months.

As a result, the current eight presses in New Zealand will be reduced to five, including a new press from overseas and a reconditioned press acquired from APN.

PMP will take on the Goss M600 press currently being housed at APN’s Manukau site, which is set to close at the end of the month.

PMP chief executive Richard Allely said: “The annualised benefits from the NZ and Australian restructure will amount to $28m with approximately 80% of this to be realised in fiscal 2012, with the full benefits in fiscal 2013. Some benefits will flow through in 2011 as the programs commence.”

More details to follow…

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