Results for the first three quarters of 2020

Financial News
  • Continuous business development

  • Sales close to the previous year's level

  • Earnings below previous year due to market and structural one-off effects

  • Resilience through concentration on system-relevant packaging products

  • Strategic focus: cost optimization and growth

The Mayr-Melnhof Group was able to carry on the overall continuous business development in 2020 with solid volume and cash flow development in the 3rd quarter. The focus on system-relevant products, cartonboard and cartonboard packaging for consumer staples, shows a certain resilience despite challenging conditions. A sharp rise in orders at the start of the pandemic at the beginning of the 2nd quarter was followed by largely normalized demand over the course of the year.

While sales in the first three quarters almost reached again the previous year's level, the earnings figures are, as expected, below those of the previous year, due to one-off effects resulting mainly from necessary market and structural adjustments. As of the end of September 2020, these impact the operating result with accumulated EUR 57.5 million, a large part of which is attributable to depreciation and amortization of non-current assets.

In the cartonboard division, especially favorable raw material costs as well as a consistent pricing policy contributed to a positive development in the on-going business. The packaging division proved to be robust, mainly due to the overall good volume development.

Cost optimization and deeper market penetration are the focus of the MM Group with the aim of sustainably combining growth and profitability in a highly competitive market environment. The related investment, innovation and acquisition activities will be intensified. As already indicated, the annual result is expected to be lower than in the previous year due to one-off effects.


Source: Mayr-Melnhof