Devro plc Announces Unaudited Consolidated Earnings Results for the Six Months Ended 30 June 2018; Provides Financial Guidance for 2018
The group expects a full year underlying effective tax rate of 22% - 25%. Capital expenditure was broadly unchanged in first half of 2018 compared with prior year, but is expected to increase in second half due to investments related to delivering the Devro 100 savings. As previously guided, Devro 100 capital expenditure is expected to be £5 million - £6 million in 2018, which is in addition to the normal levels of maintenance spend. Both net debt and the covenant net debt /underlying EBITDA ratio for December 2018 are expected to be in line with December 2017.