DS Smith regains pricing power.
Investors Chronicle - magazine and web content, June, 2007
The outlook looks brighter for DS Smith thanks to rising cardboard box prices. Algy Hall
The management of DS Smith, a cardboard box maker and office products wholesaler, has underlined its confidence in prospects with an unexpected dividend increase. The group has been battling against soaring raw material costs, but energy costs are now easing and tight paper supply has moved pricing power in DS Smith's favour.
In fact, while the group's waste paper collection and cardboard making operations began to command higher prices some time ago, the rises have finally moved all the way up its product chain to box prices.
This improved trading environment allowed the benefits from DS Smith's recent cost cutting and product development efforts to...
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