05 Aug - 7 min read

Results for the six months ended 30 June 2021 (short form announcement)

Results for the six months ended 30 June 2021 (short form announcement)

Mondi plc
(Incorporated in England and Wales)
(Registered number: 6209386)
LEI: 213800LOZA69QFDC9N34
LSE share code: MNDI   ISIN: GB00B1CRLC47
JSE share code: MNP

5 August 2021


Results for the six months ended 30 June 2021 (short form announcement)
Highlights
      -     Strong financial performance, good momentum
                o Higher sales volumes, higher average selling prices and effective cost control
                o Underlying EBITDA of €709 million, with margin of 19.5%
                o Cash generated from operations of €552 million
                o Balance sheet at 1.5x net debt to underlying EBITDA
      -     Investing through-the-cycle
                o Completed acquisition of Olmuksan, strengthening our position in the fast growing Turkish corrugated market
                    (€88 million on an implied 100% EV basis)
                o Good progress on capital investment projects, delivering growth, sustainability benefits and enhanced cost
                    competitiveness (€286 million capital investments in the period)
                o Approved €125 million upgrade and expansion of Kuopio containerboard mill (Finland) and further investment in
                    corrugated plants to support strong growth in eCommerce
      -     Launched Mondi Action Plan 2030 (MAP2030), our sustainability framework for the next decade
      -     Signed €750 million revolving credit facility aligning financing with MAP2030 and extending debt maturity profile
      -     Interim dividend declared of 20.0 euro cents per share
      -     Well-positioned for growth in packaging markets, with cost-advantaged asset base, strong financial position and
            unique portfolio of sustainable solutions


Financial summary
                                                                                                                      Six months         Six months
                                                                                                                           ended              ended
€ million, except for percentages and per share measures                                                            30 June 2021       30 June 2020         Change %

Group revenue                                                                                                              3,627              3,452                 5%
Underlying   EBITDA1                                                                                                         709                738               (4)%
Underlying operating profit1                                                                                                 497                524               (5)%
Operating profit                                                                                                             503                518               (3)%
Profit before tax                                                                                                            461                466               (1)%

Basic underlying earnings per share1 (euro cents)                                                                           70.7               73.0               (3)%
Basic earnings per share (euro cents)                                                                                       71.8               72.0                —%
Basic headline earnings per        share1   (euro cents)                                                                    70.7               71.6               (1)%


Interim dividend per share (euro cents)                                                                                    20.00              19.00                 5%


Cash generated from operations                                                                                               552                602               (8)%
Net debt1                                                                                                                  2,004              2,039


Underlying EBITDA margin1                                                                                                 19.5%              21.4%
Return on capital employed         (ROCE)1                                                                                14.8%              17.1%
Note:
1 The Group presents certain measures of financial performance, position or cash flows that are not defined or specified according to International Financial Reporting
  Standards (IFRS). These measures, referred to as Alternative Performance Measures (APMs), are defined at the end of the full announcement and where relevant,
  reconciled to IFRS measures in the notes to the condensed consolidated financial statements (see link to the full announcement below).



Andrew King, Mondi Group Chief Executive Officer, said:
"We are pleased with our first half performance. Volume growth and pricing momentum in our packaging markets has
been strong. Encouragingly, we have also seen improving uncoated fine paper markets. We exhibited strong cost
control, against a backdrop of rising commodity input costs, whilst keeping a sharp focus on delivering our high-quality
product and service offering to our customers. My thanks go to the teams across Mondi for their ongoing commitment
and dedication.

Sustainable packaging is at the centre of what we do and top of our customers' agendas. With our leading offering in
paper and flexible plastic-based packaging, I am confident we are well-positioned to support their goals with innovative
solutions that are sustainable by design, based on our principle of paper where possible, plastic when useful.
We remained focused on driving organic growth through our capital investment programme. We successfully started up
a new 300,000 tonne containerboard line at Ruzomberok (Slovakia) and a repurposed machine in Steti (Czech Republic)
which is now dedicated to producing speciality kraft paper for eCommerce and retail shopping bags. Expansionary
projects are also underway at a number of our converting packaging operations, enhancing our production capabilities
and product offering to further support our customers, particularly in eCommerce. We also approved an expansion and
upgrade of our semi-chemical fluting mill in Kuopio (Finland). We are excited by the possibilities offered by our cost-
advantaged asset base and we continue to evaluate further development opportunities in our structurally growing
packaging markets.

We completed the acquisition of Olmuksan, expanding our corrugated offering in the fast growing Turkish market, and
welcome the team to the Mondi family.

While macroeconomic uncertainties remain, trading is positive. In the second half, we expect to see the full impact of the
price increases implemented to date and the continued contribution from our capital investment projects. We also expect
the impact of planned maintenance shuts and ongoing input cost pressures, which we aim to mitigate by our relentless
focus on cost control.

Underpinned by the Group's integrated cost-advantaged asset base, culture of continuous improvement, portfolio of
sustainable packaging solutions and the strategic flexibility offered by our strong cash generation and financial position,
the Group remains well-placed to deliver sustainably into the future."

Dividend
The Board aims to offer shareholders long-term ordinary dividend growth within a targeted dividend cover range of two to three
times on average over the cycle.

An interim dividend of 20.0 euro cents per share has been declared by the directors and will be paid on Thursday 30 September
2021 to those shareholders on the register of Mondi plc on Friday 27 August 2021.

Last date to trade shares cum-dividend
JSE Limited                                                                                                Tuesday 24 August 2021
London Stock Exchange                                                                                    Wednesday 25 August 2021
Shares commence trading ex-dividend
JSE Limited                                                                                              Wednesday 25 August 2021
London Stock Exchange                                                                                     Thursday 26 August 2021
Record date                                                                                                 Friday 27 August 2021
Last date for receipt of Dividend Reinvestment Plan (DRIP) elections by Central Securities
Depository Participants                                                                                 Thursday 2 September 2021

Last date for DRIP elections to UK Registrar and South African Transfer Secretaries:
South African Register                                                                                    Friday 3 September 2021
UK Register                                                                                              Monday 13 September 2021
Payment Date                                                                                           Thursday 30 September 2021
DRIP purchase settlement dates (subject to market conditions and the purchase of shares
in the open market):
UK Register                                                                                                 Monday 4 October 2021
South African Register                                                                                   Wednesday 6 October 2021
Currency conversion dates
ZAR/euro                                                                                                   Thursday 5 August 2021
Euro/sterling                                                                                            Friday 17 September 2021

Share certificates on Mondi plc's South African register may not be dematerialised or rematerialised between Wednesday
25 August 2021 and Friday 27 August 2021, both dates inclusive, nor may transfers between the UK and South African registers
of Mondi plc take place between Wednesday 18 August 2021 and Friday 27 August 2021, both dates inclusive.

Information relating to the dividend tax to be withheld from Mondi plc shareholders on the South African branch register will be
announced separately, together with the ZAR/euro exchange rate to be applied, on or shortly after Thursday 5 August 2021.
The dividend will be paid from distributable reserves. For further information please see the full announcement (link below).



Short form announcement
This short form announcement is the responsibility of the directors. It is only a summary of the information contained in the full
announcement and does not contain full or complete details.
Any investment decision should be based on the full announcement accessible from Thursday, 5 August 2021, via the JSE link
below and also available on our website at www.mondigroup.com/en/investors/results-and-reports.

The full announcement is available at our registered office and our sponsor’s office for inspection, at no charge, during office
hours. Copies of the full announcement may also be requested by email: Investor.Relations@mondigroup.com
The JSE link is as follows: https://senspdf.jse.co.za/documents/2021/jse/isse/MNP/HY2021.pdf



Enquiries
Investors/analysts:
Clara Valera                                                     +44 193 282 6357
Mondi Group Head of Strategy and Investor Relations


Media:
Suvra Jans                                                       +44 193 282 6333
Mondi Senior Media Relations Manager


Richard Mountain (FTI consulting)                                +44 790 968 4466

Conference call dial-in and webcast details
Please see below details for the conference call and webcast that will be held at 09:00 (UK) and 10:00 (CET/SA) today.
The conference call dial-in numbers are:
UK              0800 2796 619
South Africa    0800 014 552
Other           +44 2071 928 338
Conference ID 2367067
The webcast will be available via www.mondigroup.com/en/investors/
The presentation will be available to download from the above website around 30 minutes before the webcast commences.
Written questions can be submitted via the webcast. If you wish to ask a question verbally, please connect via the dial-in
conference call.

Should you have any issues on the day with accessing the dial-in conference call facility, please call +44 2071 928 338. For
queries regarding access to the webcast, please e-mail group.communication@mondigroup.com and you will be contacted as
soon as possible. A video recording of the presentation will be available on Mondi’s website during the afternoon of 5 August 2021.



Editors’ notes
Mondi is a global leader in packaging and paper, contributing to a better world by making innovative packaging and paper
solutions that are sustainable by design. Our business is integrated across the value chain – from managing forests and producing
pulp, paper and plastic films, to developing and manufacturing effective industrial and consumer packaging solutions.
Sustainability is at the centre of our strategy and intrinsic in the way we do business. We lead the industry with our customer-
centric approach, EcoSolutions, where we ask the right questions to find the most sustainable solution. In 2020, Mondi had
revenues of €6.66 billion and underlying EBITDA of €1.35 billion.

Mondi has a premium listing on the London Stock Exchange (MNDI), and a secondary listing on the JSE Limited (MNP). Mondi is
a FTSE 100 constituent, and has been included in the FTSE4Good Index Series since 2008 and the FTSE/JSE Responsible
Investment Index Series since 2007.


Sponsor in South Africa: UBS South Africa Proprietary Limited.

Date: 05-08-2021 08:00:00
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