MEPCO says strong performance driven by higher sales, improved cost

Middle East Paper Co.’s (MEPCO) strong performance was driven by growth in sales and continuous cost improvement, which reflected positively on its gross profit and net income, the company said in a meeting with investors on Monday.

Healthy sales growth since launch of commercial operations has translated into solid earnings and returns.

MEPCO added that it is eying more growth and higher shareholder returns expecting limited regional competition for specialist products to spur healthy growth going forward.

Potential Strategic growth would be realized through focusing on the continuous improvement in Waste Collection and Recycling Co.’s (WASCO) operations, core activities, efficiency improvement, and diversification of products and markets.

The company is also planning to expand in packaging business.

The paper manufacturer is seeking to diversify and increase its exports to Europe and other countries, after capturing a high market share in over 40 countries, MEPCO added.