Overview
Supremex Q2 revenue falls to C$66.0 mln, missing analyst expectations
Company reports net loss of C$0.3 mln, compared to net earnings last year
Supremex renews NCIB, plans to repurchase up to 10% of public float
Result Drivers
ENVELOPE DECLINE - Revenue in envelope segment fell due to decreased volume from a major U.S. customer and pricing pressures
PACKAGING GROWTH - Packaging segment revenue rose due to higher demand and new business wins
FOREIGN EXCHANGE LOSS - Non-cash foreign exchange loss impacted profitability, overshadowing cost reduction efforts
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
C$65.96 mln
C$70.10 mln (1 Analyst)
Q2 Adjusted EPS
C$0.14 (1 Analyst)
Q2 Adjusted Net Income
C$75,000
Q2 Adjusted EBITDA
C$5.83 mln
Q2 Adjusted EBITDA Margin
8.8%
Q2 Operating Income
C$692,000
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the paper products peer group is "buy"
Wall Street's median 12-month price target for Supremex Inc is C$5.00, about 15.8% above its August 6 closing price of C$4.21
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago
Press Release: ID:nGNX8Gv98K
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)