DS Smith Reports Decline in Pretax Profit, CEO to Retire

London-listed packaging company DS Smith has announced a decrease in its pretax profit for the first six months of fiscal 2024. The company's Chief Executive, Miles Roberts, will also retire.

In the half-year period ending on October 31, DS Smith reported a pretax profit of £268 million, compared to £322 million in the same period the previous year. This decline was mainly driven by a 10% decrease in operating profit to £314 million and an 18% drop in revenue to £3.51 billion. The decrease in revenue was attributed to a 4.7% decline in like-for-like box volumes and lower selling prices.

Despite these challenges, DS Smith has observed sequential improvement in volumes quarter-on-quarter, while pricing has remained resilient. Roberts stated, "We are seeing signs of volume improvement, with the second quarter performance being better than the first, albeit remaining below the comparable prior period."

Looking ahead, DS Smith anticipates a continued challenging market environment.

Furthermore, the FTSE 100 company has declared an interim dividend of 6 pence per share, maintaining stability for its shareholders.

In a separate statement, DS Smith revealed that Roberts will retire no later than November 30, 2025, following the start of his notice period on December 1 next year.