Operating profit (EBITDA) at Constantia Packaging (Vienna / Austria; http://www.constantiapackaging.com/) increased by 17% year-on-year to EUR 160m in the first six months of 2010. Profit margin increased to 16.3% from 16.1% in the same period of 2009. Sales increased to EUR 981m, compared with EUR 847m in the first half of 2009.

The company’s flexible packaging business accounted for over half of overall sales, at EUR 503m, up 2% from EUR 495m in the first six months of 2009. Operating profit in the business improved by 15% year-on-year to EUR 77.1m in the period. Constantia said that customers are increasingly placing orders at short notice and that this, combined with rises in commodity prices, is increasing pressure on costs. Adjusted for the dissolution of the Danapak (Slagelse / Denmark; www.danapakflex.com) a joint venture – see Plasteurope.com of 06.03.2009 – and the sale of thermo-shaped packaging producer AVI in March 2010, sales increased by 6%. The closing of the purchase of Spanish flexible packaging producer Tobepal from Amcor (Abbotsford / Australia; www.amcor.com) – see Plasteurope.com of 23.07.2010 – is expected to be completed soon.

Looking forward, Constantia said that group-wide programs to improve productivity and portfolio management will be continued. A focus on capital expenditure will mainly involve efficiency- and quality-improving projects and the company remains “cautiously optimistic” in relation to its sales and earnings in 2010.