Real success in US for Orora

Andrew Stanley

Ralton Asset Management Limited

Package manufacturing and distribution business, Orora (ASX:ORA), added to Ralton's Australian Shares portfolio during August with shareholders benefiting from a clean set of profit figures and a well-received strategy. Since demerging from Amcor, ORA's management has delivered on promised synergies for the Australian pulp mill and demonstrated an ability to expand ORA's footprints in low-growth markets. With Australian operations under control, ORA's real success has been in the US. The corrugated paper and packaging products division has achieved strong profit growth, aided by strong market share gains, geographical expansions, a boost in operating margins and targeted acquisitions. The US division has further expanded with the acquisition of IntegraColor, a specialist package producer. IntegraColor's focus is the design and supply of pop-up packaging (POP) products - the type seen at the bookend of supermarket aisles displaying products on promotion. ORA intends to expand further in the US$10bn POP North American market. With a well-capitalised balance sheet, we expect ORA has scope to consolidate what is currently a large unconsolidated market, often dominated by local players and no real national leader. (VIEW LINK)


1 stock mentioned

Head of Australian Equities
Ralton Asset Management Limited

Andrew has been with Ralton since its inception in 2006 and leads the investment management of Ralton’s managed accounts. He brings over 25 years of funds management and investment banking experience having held senior positions with major...


No areas of expertise

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.