M. J. MAILLIS S.A.
Presentation of M.J.MAILLIS GROUP at the Association of Greek Institutional Investors
Mr. Michael J. Maillis, the Chairman and Managing Director of M.J.MAILLIS Group, Mr John Kourouglos, Group COO and Mrs Alexandra Konida, Group CFO, presented today at the Association of Greek Institutional Investors the Group''s results for 2006 and the goals and prospects for 2007-2008.
2006 was a year of significant changes, especially in the organisation of the European sales network, aiming at increasing sales and reducing expenses. Adjustment to the international competitive conditions (manufacturing capacity moving to China, slowdown of the US economy and weakening of the USD), resulted in considerable margin pressure in the packaging industry.
Further to the above, in the 2nd half of 2006, the Group experienced increased volatility in steel raw material, with adverse impact on margins. Nonetheless, organic sales growth reached 3%, operating cash flow was supported by containment of working capital, and the Group completed successfully the first expansion step in the Asian market, with the formation of a joint venture in India.
Amidst these international market conditions, the Group has invested in completing and upgrading the technology of the product range, being able to meet the requirements of the most demanding packaging applications, and in strengthening its brand awareness on an international level, creating strong growth opportunities in Europe, and mainly in North America and Asia.
In the first months of 2007 there are clear signs of recovery, whereas the payback of the restructuring efforts and investments of the Group, is expected to be stronger in the 2nd half of 2007.
The major priorities of the Group for the years 2007 -2008 are:
- increase market share by promoting the complete end-of-line solution through the European distribution network, exploiting the Group competitive advantage,
- continue to invest in the fast growing segments of plastic packaging materials (PET strap, film),
- expand geographically: strengthen the North America presence and increase penetration in India and other Asian markets,
- finalise restructuring and rationalisation projects aiming at improving the Group''s cost base,
- generate positive cash flow and further containment of working capital.
See the presentation
2006 was a year of significant changes, especially in the organisation of the European sales network, aiming at increasing sales and reducing expenses. Adjustment to the international competitive conditions (manufacturing capacity moving to China, slowdown of the US economy and weakening of the USD), resulted in considerable margin pressure in the packaging industry.
Further to the above, in the 2nd half of 2006, the Group experienced increased volatility in steel raw material, with adverse impact on margins. Nonetheless, organic sales growth reached 3%, operating cash flow was supported by containment of working capital, and the Group completed successfully the first expansion step in the Asian market, with the formation of a joint venture in India.
Amidst these international market conditions, the Group has invested in completing and upgrading the technology of the product range, being able to meet the requirements of the most demanding packaging applications, and in strengthening its brand awareness on an international level, creating strong growth opportunities in Europe, and mainly in North America and Asia.
In the first months of 2007 there are clear signs of recovery, whereas the payback of the restructuring efforts and investments of the Group, is expected to be stronger in the 2nd half of 2007.
The major priorities of the Group for the years 2007 -2008 are:
- increase market share by promoting the complete end-of-line solution through the European distribution network, exploiting the Group competitive advantage,
- continue to invest in the fast growing segments of plastic packaging materials (PET strap, film),
- expand geographically: strengthen the North America presence and increase penetration in India and other Asian markets,
- finalise restructuring and rationalisation projects aiming at improving the Group''s cost base,
- generate positive cash flow and further containment of working capital.
See the presentation