Smurfit Kappa Group plc (LSE:SKG) shares rose almost 5% to 3,006p after final results from the packaging group were not as bad as feared, with the final dividend increased 10% and sales volumes starting to recover.
Revenue of €11.3 billion for the past calendar year was 12% lower than the year before, with underlying profit (EBITDA) also declining 12% to €2.08 billion, as margins were maintained.
The Irish-headquartered group said the drop in sales since the pandemic drop in sales has started to reverse and it hopes for volume growth of 2.5-3% this year.
Profit before tax fell 18% to €1.055 billion, while free cash flow increased 15% to €628 million.
A final dividend of 118.4 cent per share was declared.
Chief executive Tony Smurfit called it an "excellent outcome" for the group, with the results "the second best in our 90 year history".
In September, the group announced an agreement to combine with WestRock to form Smurfit WestRock and the CEO said since then "we are increasingly excited about the potential this combination presents".
He said the group looks to the year ahead "with confidence and excitement", which the dividend reflects.