TORONTO, Oct. 27,
2022 /CNW/ - Richards Packaging Income Fund
(TSX: RPI.UN) (the "Fund") announced today results for the
quarter ended October 31, 2022.
"The upside revenue surprise after July reflects significant
growth in pharmacy supplies at hospitals and aesthetics as pent-up
demand during the summer vacation season took hold. However, the
future looks less rosy as we face two headwinds. Firstly, the
purchasing by our competitors in the pump and sprayer market has
created an oversupply that will depress our sales by 6% for the
next few quarters and secondly, higher interest rates and a
recession will undermine our healthcare equipment sales that
represent 9% of our total revenues.
Third quarter revenue was down 3%, on a 33% reduction in
cosmetics offset by strong healthcare growth at 10%. Net income
increased $7.7 million, or 39¢ per
Unit, without the need for a contingent consideration adjustment
for the Clarion acquisition and a mark-to-market gain on
exchangeable shares.
October revenue is expected to be down approximately 5% due to
an oversupply of pumps and sprayers in the cosmetics marketplace
partially offset by 2% due to the Canadian dollar weakening by 7¢
to U.S./Cdn. 73¢." commented Gerry
Glynn, Director and Trustee.
Details of the Fund's results are currently available on
Richards Packaging's website at www.richardspackaging.com and on
SEDAR at www.sedar.com.
About Richards Packaging Income
Fund
The Fund owns Richards Packaging Inc. ("Richards Packaging")
which since 1912 has served a wide customer base throughout
North America comprised of
approximately 18,000 regional food, beverage, cosmetics,
healthcare, and other enterprises.
SOURCE Richards Packaging Income Fund