RPC was established in 1991 following the management buyout of the plastic operations of Reedpack Ltd from SCA. Originally comprising five UK factories, the company today has over 55 operations in 19 countries and employs more than 11,100 people, with annual sales in excess of £1bn. It was listed on the London Stock Exchange in 1993 and entered the FTSE 250 in March 2011.

RPC is unique in offering products manufactured by the three main conversion processes – blow moulding, injection moulding and thermoforming, each technology producing different product characteristics that are suitable for specific packaging applications. It is structured along market and technological lines into six clusters which are aligned to these three processes.

Each cluster has on average seven manufacturing sites, operating across a wide geographical area for reasons of customer proximity, local market demand and manufacturing resource. Each plant is run autonomously.

This structure gives RPC a high degree of knowledge and expertise, along with the flexibility to deal with all types of sizes of businesses, and enables the company to deliver packaging solutions tailored each time to individual customer requirements, as well as the highest levels of service and support.


http://www.rpc-group.com/

Market buzz - RPC Group

Analysts at Berenberg said shares in RPC Group were arguably cheap, giving short shrift to criticism of the company's adjustments to its operating profits, or that it was overpaying for assets, amongst other issues.

RPC Group was a 'roll-up' story, it had always been so and it continued to be so, the broker said, with the packaging business buying rivals and extracting synergies from them.

Adjustments to its earnings before interest and taxes were not "particularly large or unusual" relative to the size of the acquisitions carried out.

Critics of the Northamptonshire-based company were also failing to take duly into account the positives from its aqcuisitions, including the generation of synergies, Berenberg said.

With the price for past acquisitions running at about seven times EBITDA, falling to five times' once all costs and synergies were considered, the company was not destroying value "en masse".

Furthermore, at present its shares were trading on EBITDA and EBIT multiples aking to those of DS Smith, implying that the premium for further M&A had been taken out as investors' confidence wavered.

"If RPC makes more acquisitions and creates more synergies, then arguably this is cheap. We do think, however, that management could increase the focus on quality of acquisition rather than quantity," Berenberg said.

The broker kept the shares at 'buy' with a 1,120p target price.

Credit Suisse Outperform 850.25 1,175.00 1,175.00 Reiterates

why the fall must be to much debt S/p @780 approx will buy ' 750 BB

Pre Close Trading Statement
RNS
RNS Number : 0299S
RPC Group PLC
28 September 2017
 
28 September 2017
 
 
RPC Group Plc
 
Pre Close Trading Statement
 
RPC Group Plc ("RPC" or "Group"), a leading international plastic products design and engineering company, today issues a pre close trading statement relating to the period 1 April 2017 to 30 September 2017 ("first half" or "period"), ahead of its first half results announcement due to be published on 29 November 2017.
 
Revenues in the first half of the year are projected to be well ahead of the corresponding period last year driven by the contribution from acquisitions, organic growth, polymer price tailwinds and translation benefits from foreign exchange movements. Group margins and profitability levels (before and after exceptional items) are anticipated to be ahead of management expectations, with profitability levels significantly up on the same period last year due to the contribution of acquisitions, the realisation of synergies, organic growth, lower exceptional costs and a foreign exchange benefit more than offsetting a modest polymer headwind. Our investment in innovation for both product design and process engineering continues to drive a healthy pipeline, and the Group remains confident of continuing to grow through the cycle ahead of GDP. In the first half good growth has been achieved in China benefiting from investments made in the previous year.
 
The integration of Letica continues to progress well and the Group remains encouraged by the opportunities resulting from this acquisition. Both the realisation of acquisition related cost synergies and the costs of achieving these synergies have continued in line with expectations.  
 
The Group's financial position remains strong, with good cash flow development in the first half, and it has significant headroom under its debt facilities.
 
On 19 July 2017 the Group announced an inaugural share buyback programme of up to £100m. Under the programme to date, 1.38 million shares have been acquired for a total consideration of £12.4 million.
 
 
Commenting on the performance in the half year, Pim Vervaat, RPC's Chief Executive, said:
 
"The Group has progressed well in the first half with an encouraging trading performance whilst successfully integrating recent acquisitions and realising the associated synergies. We continue to successfully execute our Vision 2020 growth strategy."

28 Sep
Numis
1,130.00
Add

3 Nov
Peel Hunt
1,250.00
Buy

14 Nov
Peel Hunt
1,250.00
Buy
14 Nov
Jefferies...
1,150.00
Buy

Half year results

Financial highlights:
 
·   Revenue growth of 53% to £1,876m reflecting the contribution from acquisitions, organic growth, polymer price tailwinds and translation benefits from foreign exchange movements
·   Adjusted operating profit increase of 58% to £214.7m with adjusted EPS up 27% to 36.4p
·   Return on sales increase of 30 basis points to 11.4%
·   Strong cash generation; statutory net cash from operating activities increase of 62% to £245.4m, and free cash flow up 45% to £171.7m
·   RONOA expansion of 320 basis points to 28.0% reflecting acquisition synergy realisation and profitability improvements
·   ROCE increase of 30 basis points to 15.1%; remains well ahead of weighted average cost of capital
·   Interim dividend of 7.8p up 28% representing the 25th year of consecutive growth
 
Strategic highlights:
 
·   European synergy programme on track for completion in the current financial year with exceptional costs significantly lower in the half and overall implementation costs lower than expected
·   Letica integration well advanced; successful completion of Astrapak acquisition (announced in FY 17)
·   More than 20% of revenues now generated outside of Europe
·   Healthy innovation pipeline; one additional innovation centre added taking the total to 32 worldwide
·   Share buyback scheme implemented to deliver further shareholder value; £12.4m of capital deployed in the period

10:10 16/01/2018
Broker Forecast - Berenberg issues a broker note on RPC Group PLC
Berenberg today downgrades its investment rating on RPC Group PLC (LON:RPC) to hold (from buy) and cut its price target to 920p (from 1120p). Story provided by StockMarketWire.com

RPC revenue grows by 31%
StockMarketWire.com
RPC Group, the plastic products design and engineering company, grew its revenue by 31% in the third quarter to £898m, driven by acquisitions, polymer price tailwinds and organic growth of over 4%.

As at the end of the third quarter, the year to date organic growth rate was 2.6%.

RPC said profitability (before and after exceptional items) was in line with management expectations and grew significantly versus the prior year, aided by organic growth and the further realisation of synergies which offset an adverse polymer time lag impact.

Cash generation (before and after exceptional items) was also in line with management expectations.

The recently enacted Tax Cuts and Jobs Act in the US, which will reduce the federal corporate income tax rate from 35% to 21%, is applicable from 1 January 2018. For the year to 31 March 2018 it is currently expected that the US reforms will have a small positive impact on the group's adjusted effective tax rate, with a one-off non-cash tax credit of around £10m resulting from the revaluation of US related deferred tax assets and liabilities.

For the year to 31 March 2019 it is currently expected that the changes will reduce the group's adjusted effective tax rate by approximately 1%, based on the existing mix of profits.

Pim Vervaat, RPC's chief executive, said: "I am pleased with the performance of the business in the third quarter and the further progress towards completing the European synergy programme. Through our focus on innovation, sustainability and operating in attractive end markets, we remain confident in continuing to grow through the cycle ahead of GDP and that our Vision 2020 strategy will deliver further value to our shareholders."



Story provided by StockMarketWire.com

Trading Statement
RNS
RNS Number : 3238J
RPC Group PLC
29 March 2018

29 March 2018

RPC Group Plc

Trading Statement


RPC Group Plc ("RPC" or "Group"), a leading international plastic products design and engineering company, today releases its scheduled Trading Statement, relating to trading for the period from 1 April 2017 to today. The Group will announce its full year results on 6 June 2018.


Trading performance

The positive trading trends outlined in the third quarter update have continued, and revenue for the full year is expected to have grown significantly versus last year, driven by organic growth and aided by acquisitions, polymer price and foreign exchange tailwinds.

Profitability and cash generation (both before and after exceptional items) are expected to be in-line with management expectations. The Group's financial position remains robust with good cash flow development and significant headroom in its debt facilities.


UK Government environment plan and EU plastics strategy

As Europe's leading recycler of polyethylene film, RPC is continuing its work with the entire plastics supply chain to ensure positive outcomes for the environment. Through its numerous design and innovation centres, the Group continues to develop products that have minimal environmental impact and that can be easily recycled at the end of their life. RPC is helping its customers make the right choices at the design stage by increasing use of its in-house developed tool that uses internationally recognised sustainability measurement criteria, and the Group continues to work closely with policy makers and industry bodies.

The Government has recently announced a Deposit Return Scheme in England, which is expected to cover single-use glass and plastic bottles, and steel and aluminium cans. The scheme is subject to consultation and RPC looks forward to positive discussions with the Government as to the details of the final scheme.


Integration and acquisition update

The European integration programme consisting of the integration of Promens, GCS and BPI is now substantially complete. In total, 22 locations will have closed and over 300 production lines relocated over a three year time period. The Group remains confident of achieving an annual synergy run-rate of €105m by the end of the financial year ending March 2019.

On 13 March 2018 RPC announced the acquisition of Nordfolien GmBH ("Nordfolien") for a consideration of €75m. Nordfolien is a leading player in the design and manufacture of higher added value polythene films for both industrial and consumer packaging markets. It will contribute to the Group's future growth while affording the opportunity to realise an attractive level of cost synergies, without incurring material exceptional costs.

The global packaging market continues to consolidate and, as Europe's largest plastic packaging player, growth through acquisition remains an important part of the Group's strategy; RPC continues to build a healthy pipeline of opportunities.


Capital Allocation

On 19 July 2017, the Group announced an inaugural share buyback of up to £100m over a period of up to 12 months. Under the programme to date 9.64m shares have been repurchased for a total consideration of £83.2m.

Commenting on the statement, Pim Vervaat, RPC's Chief Executive, said:

"I am delighted with the progress the Group has made in the year whilst nearing the successful completion of the European integration programme. We look forward to further developing the business organically and remain excited by opportunities in the ongoing industry consolidation. With our innovation and recycling capabilities, RPC is uniquely placed to help drive a sustainable environment whilst continuing to deliver value to shareholders."

Full year results

Financial highlights:

§ Revenue growth of 36% to £3,748m driven by acquisitions and organic growth of 2.8%
§ Adjusted operating profit increase of 38% to £425.0m with adjusted basic EPS up 16% to 72.0p
§ Statutory operating profit increase of 85% to £355.7m with statutory basic EPS up 66% to 61.6p
§ Robust cash generation with net cash flows from operating activities increase of 40% to £386.7m
§ RONOA expansion of 150 basis points to 27.2% with ROCE at 14.8% (2016/17: 15.2%)
§ Final dividend of 20.2p giving a full year dividend of 28.0p, representing an increase of 17% on last year and the 25th year of consecutive dividend growth

Strategic highlights:

§ Capital investment to deliver continuing pipeline of growth opportunities
§ Major European synergy programme substantially completed
§ Market position in flexibles strengthened by the Nordfolien acquisition (completed post year end)
§ Position outside Europe has been significantly enhanced
§ Active portfolio management: non-core businesses with a total revenue of £209m identified for disposal

Full year results for the year ended 31 March 2018


RPC Group Plc, a leading global plastic products design and engineering company, announces its results for the year ended 31 March 2018.

Financial highlights:


§ Revenue growth of 36% to £3,748m driven by acquisitions and organic growth of 2.8%

§ Adjusted operating profit increase of 38% to £425.0m with adjusted basic EPS up 16% to 72.0p

§ Statutory operating profit increase of 85% to £355.7m with statutory basic EPS up 66% to 61.6p

§ Robust cash generation with net cash flows from operating activities increase of 40% to £386.7m

§ RONOA expansion of 150 basis points to 27.2% with ROCE at 14.8% (2016/17: 15.2%)

§ Final dividend of 20.2p giving a full year dividend of 28.0p, representing an increase of 17% on last year and the 25th year of consecutive dividend growth

Strategic highlights:

§ Capital investment to deliver continuing pipeline of growth opportunities

§ Major European synergy programme substantially completed

§ Market position in flexibles strengthened by the Nordfolien acquisition (completed post year end)

§ Position outside Europe has been significantly enhanced

§ Active portfolio management: non-core businesses with a total revenue of £209m identified for disposal



Pim Vervaat, Chief Executive, said:

I am pleased with the progress made since launch of the Vision 2020 strategy five years ago with record profitability levels achieved this year on a significantly enlarged business whilst establishing a global footprint. I am excited by the many opportunities for the business to further develop both organically and through acquisitions. With our unique global network of design and engineering centres, the Group is well placed to benefit from the development opportunities driven by recent sustainability and e-commerce trends. We target through the cycle underlying organic growth ahead of GDP and to improve the adjusted operating profit of the core businesses, including the contribution from the recent Nordfolien acquisition, by at least £50m by the financial year ending March 2021. At the same time, within the overall capital allocation framework, the Group will continue to assess value-adding acquisition opportunities which meet our strict acquisition criteria. The new financial year has started in-line with management expectations.

more.....

And currently down 14%!

Plastics are very much out of favour at the moment. Also in March they mentioned a European Integration program, which might see them exiting the UK following the Brexit vote? And....the Tax Cuts and Jobs Act in the US has possibly skewed the figures a little?

Well I've taken a punt @658.

658 looking good right now.

I used to day-trade this stock constantly. Haven't looked it for years apart from one intra-day trade about 3 months ago which turned out ok but made me sweat a bit.

One to put back on my list once I've understood this EU directive thing

My RPC got closed at open for 35 points.

RPC shares fall on concerns over cash conversion.

FT "However, RPC’s chief executive Pim Vervaat said that the FTSE 250 group did not manufacture any of the products that will be restricted under a proposed EU directive.

The list also includes cotton bud sticks, beverage cups and drinks stirrers. By contrast, RPC supplies screw caps, bottle tops, asthma inhalers and coffee capsules, among other items."

You just wait, they will ban all of the rest of the plastic throwaway items soon enough, so not sure RPC are in the clear yet.