Packaging company Smurfit Kappa has reported a 4% rise in group revenue to €6.35 billion for the first nine months of the year, when compared with the same period in 2016.
However, despite continued box price progression in the third quarter, pre-tax profits were 17% lower at €415m.
The company made two significant acquisitions in the third quarter; a corrugated plant in Moscow and a high-end display and corrugated business in Greece.
Smurfit Kappa shares were 3.4% higher in afternoon trade in Dublin.
Commenting on the results, Smurfit Kappa Group CEO Tony Smurfit said: "SKG continues to deliver, showing strong sequential progress with Group EBITDA margin at 15.1% for the quarter.
"Total Group corrugated volumes grew 3% for the quarter. Corrugated volumes in Europe improved by 4% on a days-adjusted basis with strong demand in most areas of activity. In the Americas demand growth was 3% with growth in most markets.
"In the third quarter, recovered fibre cost pressures remained, resulting in a headwind of almost €40 million for the quarter and €111 million for the year-to-date compared to 2016.
"SKG will continue to offset these cost pressures through further corrugated price recovery and ongoing efficiency improvements as we progress towards the year-end and into 2018."
