From AFRPact removes interim dividendAlex GluyasPact Group’s...

From AFR

Pact removes interim dividend

Alex Gluyas

Pact Group’s revenue grew by 8 per cent in the first half to $998 million, driven primarily by recovery of costs and volume growth.

Underlying EBIT fell 8 per cent to $75 million, which was 3 per cent above the top of the guidance range provided at the company’s November AGM.

Underlying net profit after tax dropped 33 per cent to $26 million.

Pact decided not to pay an interim dividend due to its “desire to preserve cash to allow the company to reduce debt and continue its capital program.” It paid a dividend of 3.5¢ a share in the prior corresponding period.

The company reiterated guidance of FY23 underlying EBIT to be slightly ahead of FY22 underlying EBIT, noting that the demand outlook is uncertain.

P.S Better than expect guidance, but no dividend though.