Prolonged strike badly affects Transpaco’s full-year performance
The plastics and packaging company expects its headline earnings per share to be 40%-45% lower
Plastics and packaging company Transpaco said that a three-month industry strike in late 2018 was partially responsible for the decline in the company's full-year performance.
Transpaco said on Tuesday that it expects its headline earnings per share as well as its earnings per share, to fall 40%-45% to between 179,04c and 164,34c, for the full-year ended June.
“An unprecedented, prolonged, three-month plastic-industry strike, which impacted Transpaco during the company’s busiest period — October, November and December — coupled with a depressed consumer environment and a stagnant economy, resulted in Transpaco’s decline in performance,” the company said.
Transpaco negotiated for employees to return to work by January 7 after its recycling unit was closed for the period of the strike. The company will release its full-year results on August 21.
Transpaco's share price was at R17 on Tuesday.