Highlights
Beverage can volumes including UAC up 4% (2% organic)
Underlying operating profit flat at constant currency, including UAC
Underlying earnings per share up 5%
Return on capital employed at 14.5%
Final dividend declared as a second interim dividend of 11.9p, taking total to 17.7p in line with 2014, consistent with the terms of the Ball offer
Recommended offer by Ball Corporation progressing with completion expected towards the end of H1 2016.
Commenting, Graham Chipchase, Rexam's chief executive, said:
"I am pleased with our performance and progress as reported volumes grew 4% in difficult trading conditions. Underlying profit before tax is up 1% despite commoditisation of certain specialty cans in North America and higher energy costs in Brazil. We remained focused on our strategic priorities whilst supporting the anti-trust process for the Ball offer.
"We expect 2016 to present a tough trading environment but with continued volume growth. The expected premium benefit will be offset by pricing pressures in Europe and the savings from restructuring will be partially offset by cost headwinds. However, as ever, we continue to focus on tight cost management and the elements that we know we can control."
Dividend
Returns to shareholders are an established priority for Rexam and the dividend is a core element of total shareholder returns. The board has declared a final dividend* of 11.9p (2014: 11.9p) per share consistent with the terms of the Ball offer requiring that future dividends would not exceed the corresponding interim or final dividend paid or declared in respect of 2014. The final dividend* will be paid on 6 May 2016 to holders of shares registered on 8 April 2016. This final dividend* for 2015 will be paid whether or not the Ball offer completes.
