Mpact forecasts 26% operating profit decline despite revenue growth

Mpact Limited expects group revenue from continuing operations to rise approximately 3% to R6,173 million for the six months ended 30 June 2025.

However, the company projects a 15% decrease in EBITDA from R731 million and a 26% decline in underlying operating profit from R423 million compared to June 2024.

Earnings per share and headline earnings per share from continuing operations are anticipated to fall between 88-100 cps, representing decreases of 19.3%-29.0% and 18.2%-28.0% respectively.

The Plastics business saw 15% revenue decline, while Paper business revenue increased 7%. Net debt decreased from R3.230 billion to R2.985 billion.