Pro-Pac returning to stable operating level

Revenue for the three months to 30 June for Pro-Pac was up by five per cent over the previous quarter, with the company saying it is returning to more stable operating levels.

Flexibles brought in $63.1m and Industrials $16.8m in the quarter, with the company attributing the $4m increase over the Q3 total of $75.9m to “favourable trading conditions".

Cash flow from operating activities for the third quarter represented an inflow of $13.1m, compared with a cash outflow of $600,000 for the March quarter.

Pro-Pac received a $6.1m government grant, and as at 30 June had $8.3m cash in hand, which included the $6.1m, as well as unused debt facilities of $18.8m. It has used $20.2m of its $39m debt facility, which is provided by ScotPac and ANZ Bank.

The grant came through the government’s Modern Manufacturing Initiative, and is to help Pro-Pac establish its soft plastics recycling plant.