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Sales up, profits up at Brambles


Brambles Limited has reported sales revenue of USD 4,146.8 million for the financial year ended 30 June 2010, up 3% on the prior corresponding period. Statutory operating profit before finance costs and tax was USD 724.5 million, up 1%. Statutory profit after tax was USD 443.9 million, up 2%.
 
Cash flow from continuing operations increased USD 159.9 million to USD 882.3 million. Free cash flow after dividends increased USD 202.2 million to USD 344.1 million.
 
The board has declared a final dividend of 12.5 Australian cents per share, 20% franked and payable on 14 October 2010 to shareholders on the company’s register on 22 September 2010. The Dividend Reinvestment Plan will be available for this dividend.
 
Brambles’ CEO Tom Gorman said: “This result, in particular the strong cash flow performance and our robust balance sheet, highlights Brambles’ stability and resilience during a period of continued challenging economic conditions. We are focused on driving the next phase of growth.
 
“Our growth in sales revenue in the 2010 financial year of 3% was driven by CHEP Europe, Middle East and Africa (EMEA), CHEP Asia-Pacific and Recall, which offset the impact on the group’s financial results of a decline in sales revenue in CHEP Americas.
 
“Brambles delivered a 6% increase in second-half sales revenue compared with the same period in the 2009 financial year as established and developing regions generated new business, balancing subdued underlying conditions in some regions.
 
“Developing CHEP regions including China, India, Central and Eastern Europe and the Middle East delivered particularly strong growth rates. Investment in these CHEP regions is ongoing, along with other growth initiatives throughout the group.
 
“The Better Everyday program has delivered a higher pallet quality standard to CHEP USA customers. This initiative, which began in October 2009, has positioned CHEP USA for future profitable growth and enabled it to regain positive sales momentum.
 
“Recall delivered strong profit growth and an improvement in return on capital. Recall benefited from new sales conversion, cost-efficiency programs undertaken in the previous financial year and ongoing strong demand in its Document Management Solutions se...
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