Smurfit Kappa Group Plc (LON:SKG) has highlighted 7% underlying revenue growth for the first quarter of 2018.
The packaging group said it achieved 22% group earnings growth for the quarter at €340mln for the three months to March 31, while earnings margin improved to 15.7%.
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It said the full year performance is now expected to be materially better than 2017, thanks to ongoing benefits of a prior capital investment programme and strong demand.
“We have momentum in price recovery in our corrugated business, demand remains robust and paper markets remain tight,” said Tony Smurfit, group chief executive.
He added: “Trading in the second quarter remains very encouraging with good demand across most regions, continued corrugated price recovery and lower sequential recovered fibre costs.
“For the year, while recovered fibre pricing remains uncertain, we have strong momentum in the business and expect continued corrugated price recovery and execution of our medium-term plan, further enhancing SKG’s operating platform for sustained growth.”