- Smurfit Kappa Group PLC on Friday reported first quarter earnings growth despite headwinds at the start of 2022.

Shares in Smurfit were up 4.2% at 3,407.00 pence in London during Friday morning trade.

The packaging firm reported year-on-year revenue growth of 33% to €3.02 billion in the first quarter of 2022, with earnings before interest, tax, depreciation and amortisation rising at the same rate to €514 million.

Its Ebitda margin was flat at 17% despite inflationary pressures in the period.

‘The first quarter presented a number of significant operational challenges. Practically all input costs have risen sharply and already tight markets and supply chains have been exacerbated by the war in Ukraine. Our integrated and resilient business model has ensured security of supply in this increasingly complex environment,’ said Chief Executive Tony Smurfit.

Demand is good entering the second quarter, it said. Cost increases and supply constraints are ongoing but it is coping with this through active price recovery.

‘We remain confident in the future prospects of our business and our first quarter performance, together with our ongoing investment program, sets a strong foundation for 2022 and beyond,’ the company said.

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