Packaging specialist DS Smith (SMDS) says "good progress" has been made since the start of the year as the group's customer support, unique product line and service proposition helped it reap the benefit of a good retail and consumer environment. Meanwhile, benefits of scale are helping push up return on sales and return on average capital employed.
Recent acquisitions are settling in well, too. Duropack, a south-eastern Europe-based recycled corrugated packaging business acquired in May, is now expected to generate better annual cost synergies of €15m (£10.9m) and cash synergies of €18m within three years. Grupo Lantero, a Spainish corrugated producer, has also integrated well and should increase the group's market share in the fast-growing region to about 10 per cent.
