Mondi's paper profits on a tear

First-half profits from Mondi will be well ahead of those from last year, the paper and packaging maker said in a short trading statement.

Headline EPS will be up around 18-28% to €0.57-€0.62, with basic underlying earnings per share up roughly 25-35% to €0.65-€0.70.

The FTSE 100 group said its results for the half year ended 30 June 2015, which will be released on 6 August 2015, will show underlying operating profit higher than the prior year period of €377m, although it did not give a figure.

Due to restructuring activities including closing a small kraft paper mill in Finland, a consumer packaging plant in Spain and further restructuring of the US bags business, Mondi will recognise a net special item charge after tax for the six months of roughly €36m, up from the prior period's €16m.

The company said it published the figures under the Johannesburg Stock Exchange, where companies are required to publish a trading statement "as soon as they become reasonably certain that the financial results for the period to be reported on next will differ by at least 20% from those of the previous corresponding period".