Media and printing firm IVE group (ASX:IGL)
expects to round out this financial year’s revenue by a jump of 14 per cent to $750 million compared to the last financial year and reaffirmed full-year guidance, citing that momentum has continued to the second half of the period.
The company has the likes of Aldi, Officeworks, Bunnings, Westpac, Metcash, Woolworths, L’Oreal, IAG, Bupa, Toyota on their books to help with their marketing, distribution and communications plan.
In addition to their diverse portfolio of clients, IVE has eyed several acquisitions. In 2020, the company bought the first digital catalogue site in Australia, Lasoo and more recently, acquired the Active Display Group and AFI Branding Solutions, the nation’s largest fabric signage printer in October last year.
The company had earmarked this month to celebrate the full integration, however weather and Covid-19 related delays meant that the completion is slated for September this year.
Other than managing the completion of their new Braeside, Victoria facilities, the company has also updated investors on their raw inventory.
Currently, their raw material inventory levels are approximately 25 per cent higher than June 2021 to circumvent the strained supply chain which has weighed on companies around the world. They also envisage paper inventories will continue to grow over the first half of the financial year 2023 - this is to ensure that those paper catalogues you pick up from Aldi or Woolworths are available for you.
Executive chairman Geoff Selig said “we are very pleased given the current economic and market volatility to provide an update reaffirming our full year earnings guidance. It also demonstrates once again the capacity of the business to deliver shareholders a very healthy dividend yield, which is particularly important in the current climate and has always been core to IVE’s investment proposition”.
Shares are trading 7.2 per cent higher to $1.71.