DS Smith Half-Year Report 2023

• Robust adjusted operating profit of £365m (£418m H1 FY22/23) in challenging environment
• Decline in like for like box volumes of 4.7% in H1, with sequential quarter-on-quarter improvement and H2 expected to show continued positive momentum
• Pricing has been resilient, underpinned by strong customer relationships, innovation and high service levels, with downward pressure offset by lower input costs and productivity initiatives
• Strong financial position: 1.7x net debt/EBITDA (FY22/23: 1.3x)
• Continued capital and operational investment to support our customers and improve productivity and environmental efficiency
• Full year trading in line with management expectations

For the six month period, revenue declined to £3,513 million, down 18 per cent on a constant currency and reported basis driven by declines in box volumes (£142 million) and lower selling prices (£615 million) across the Group. Packaging prices were down £273 million, approximately 9 per cent, with the balance reflecting lower external paper, recyclate and energy sales. Packaging prices have been more resilient than expected reflecting our strong customer relationships, ongoing innovation and continued focus on high service levels.