New big web presses kicking in for PMP

PMP was on the back foot during the first half of the financial year with its too-early press decommissioning leading to capacity issues, but it got the ball rolling again towards the end of the year with a series of high-profile press installations. Brian Evans, CEO of PMP, says the tonnage is coming back to the company now that it has returned to full capacity.

“One issue we've focused on is securing as many long-term contracts as we could given we're now back to full capacity,” says Evans. “From that perspective, we're very comfortable, and we now have the ability to be more choosey about the work we go for.”

Print revenues for the 2005/06 financial year were down 5.3 per cent to $652.3 million with earnings-before-income-tax falling 10.9 percent to reach $66.2 million. PMP attributes the fall to the capacity constraints imposed by the equipment upgrade and changes to paper purchasing arrangements, the company claiming more customers now choosing to supply their own paper.

However, PMP emphasises that earnings for its print division rose 19.5 per cent in the second half to reach $31.9 million, which it attributes to the press installations being completed ahead of time and under budget.