RPC's margins under pressure
RPC, a supplier of rigid plastic packaging, has said that revenue for the fourth quarter is expected to be well ahead of last year due to the inclusion of the Superfos business and higher like-for-like revenues.
RPC, a supplier of rigid plastic packaging, has said that revenue for the fourth quarter is expected to be well ahead of last year due to the inclusion of the Superfos business and higher like-for-like revenues.
However, margins have been affected as a result of polymer index prices rising around 20% since the start of the year, although the operating profit for the fourth quarter and full year is set to remain within management's expectations.
"The financial position remains robust with a good cash flow development in the fourth quarter and significant headroom under the group's debt facilities," the firm said.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
![https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg](https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748-320-80.jpg)
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The company added that the previously announced withdrawal from the loss-making market segments of automotive components in Germany and vending cups in mainland Europe looks set to cost about £15m. The proceeds from asset sales, together with the release of working capital, are expected to be more than sufficient to fund any redundancy costs.
Shares were down 1.89% at 373.8p in early trading on Thursday.
NR
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
Regulator moves to protect access to cash amid branch closures and disappearing ATMs
News The Financial Conduct Authority has told banks to start assessing if local communities have adequate cash access from mid-September
By Marc Shoffman Published
-
VAT hike on private school fees could come earlier than previously expected
The government could start charging VAT on private school fees as soon as January 2025, according to the latest reports. What does it mean for parents?
By Katie Williams Published