Paper and packaging group Smurfit Kappa has reported pre-tax profits of €299m for last year, almost treble the previous year's €103m profit.
Total revenue for the group rose by 10% from 2010 to €7.36 billion, while underlying earnings grew by 12% to just over €1 billion. Earnings per share before exceptional items rose by 69% to €1. The company has also decided to reinstate a dividend, with a final dividend of 15 cent to be paid.
Shares in the company closed 10.6% higher €7.30 in Dublin this evening.
There was particularly strong growth in its Latin American business, where underlying earnings rose by 19%.
Gary McGann, Smurfit Kappa's chief executive, said that the financial performance was strong, and demonstrated the benefits of the group's continued efficiency improvements, which led to growth in its European business.
Smurfit Kappa also said it was looking for the consent of its lenders to change its senior credit facility agreement, so that the debt will not have to be repaid until 2016 and 2017. During 2011, the company reduced its debt level by €358m to €2.75 billion.
For the final quarter of 2011, revenue was up 4% from a year earlier to €1.8 billion. Pre-tax profits were up more than 50% to €77m.
After the results, credit rating agency Moody's said it had put all of the company's ratings under review for a possible upgrade. It said the review was due to the strong 2011 results and the announcement on its credit facilities.
