Supremex Inc. announced its results for the 2Q ended June 30, 2014. Revenue in the 2Q 2014 amounted to $30.6 million compared with $31 .9 million in the 2Q 2013, a decrease of $1.3 million, or 4.1%, which is attributable to a decrease of units sold both in Canada and in the US.

Packaging

Supremex reports 1.3% decrease in 2Q revenue

Aug 01, 2014. /Lesprom Network/. Supremex Inc. announced its results for the 2Q ended June 30, 2014. Revenue in the 2Q 2014 amounted to $30.6 million compared with $31 .9 million in the 2Q 2013, a decrease of $1.3 million, or 4.1%, which is attributable to a decrease of units sold both in Canada and in the US. The decline was largely offset by improved average selling price related to inflation price adjustments, an improved product mix, and management's focus on value-added products. When compared to last year, units sold during the 2Q in Canada and in the U.S. both decreased by 14%, as the company said in the press release received by Lesprom Network.

EBITDA for the 2Q 2014 amounted to $5 .8 million compared with $6 .1 million in 2013, a decrease of $0.3 million, or 5.1%. The EBITDA margin of 19% for the quarter was relatively stable when compared with 19.2% last year. The higher average selling price achieved this quarter, combined with cost containment efforts, compensated in large part for the negative impact of lower sales and higher raw material prices.

Net earnings in the 2Q 2014 amounted to $2.3 million compared with $2.5 million in the 2Q 2013. Earnings per share amounted to $0.08 in the 2Q 2014 compared to $0.09 in the comparative period of 2013.

"We are pleased to have achieved an EBITDA of $5.8 million," said Stewart Emerson, President and CEO of Supremex. "The decline in units sold during the quarter was largely offset by improved average selling prices, and we also realized the benefits of manufacturing efficiencies and our ongoing efforts to contain costs. With solid cash flow from operations, we have reduced our debt level by $7.3 million year-to-date and have begun repurchasing shares with the NCIB program put in place in May.”

Supremex Inc. is Canada's largest manufacturer and marketer of a broad range of stock and custom envelopes and growing provider of packaging and related products.