Mexico City-based Bio Pappel S.A.B. de C.V. has reported a 29 percent increase in shipments and a 2 percent increase in earnings in the second quarter of this year compared with last year. The earnings figure is based on earnings before interest, taxes, depreciation and amortization (EBITDA).
The company, which has operations in the United States and Canada and refers to itself as the largest manufacturer of paper and paper products in Mexico, also has reported a 24 percent jump in net sales year on year for the second quarter.
The company says its rising sales were attributed to its growth in shipments, “particularly in the brown paper and packaging segments.”
Bio Pappel also indicates, however, that its cost of sales rose by more than 5 percent in the quarter “due to an increase the cost of pulp and recycled fibers in the national and imported markets.”
“In this quarter, inflation and higher costs of raw materials and energy were offset by a higher volume of shipments both in packaging and in white paper and notebooks,” remarks Miguel Rincón, Bio Pappel board chair.
Earlier this year, Bio-Pappel disclosed it was lining up financing to fund expansion and with the intention of delisting as a publicly traded company in Mexico.