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 2008-05-20 Pallet supplier Brambles reports rapid growth (Kerrie Sinclair)


BRAMBLES reported yesterday that 10-month sales had risen by 13 per cent, reflecting continued growth across all the regions it operates in.

The company, whose shares are listed on the ASX and the London stock exchange, issued a two-sentence trading summary yesterday to meet London listing requirements ahead of a more detailed trading update due out on June 24.

The world's largest supplier of pallets for shipping and transporting goods said sales from July 1 last year to May 2 this year were up 13 per cent from the same period a year earlier, with growth of 6 per cent if currency fluctuations were removed.

Brambles shares rose 10 cents or 1.12 per cent to close at $9.01, against a slightly higher overall share market yesterday.

Brambles also said that since February 21, when it released its first-half financial results, it had paid $279.9 million to buy back about 29.2 million of its shares.

The shares were pummelled last month when investors took fright at a Brambles statement that said a major US customer, Wal-Mart, was reviewing its pallet management arrangements.

Analysts last month said the $1.44 billion wiped from the company's stock price on that day was an over-reaction and Brambles later issued a second statement clarifying that its Chep pallets business did not generate revenue directly from Wal-Mart and that its discussions with Wal-Mart had no impact on Chep's issue volumes or revenue.


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