TORONTO, July 28, 2025 /CNW/ - Richards Packaging Income Fund (TSX: RPI.UN) (the "Fund") announced today results for the quarter ended June 30, 2025.     

"The second quarter of 2025 saw the management team at Richards continuing to drive the long-term priorities of our 2030 Vision, despite a significant disruption in buying due to US tariff policies.

Food & Beverage packaging revenues were challenged in Q2, with Canadian strength offset by US weakness. The launch of our ecommerce channel toward the end of summer and an updated pricing strategy that launched in late June position us well for the second half of 2025.  Our Cosmetic business experienced a similar tariff headwind in May but strong April and June results more than offset this impact for a strong positive quarter. The absence of supply disruptions that challenged Q2 2024 also helped drive relative performance. The ecommerce channel for this group launched in late July and we look forward to monitoring its performance closely. Organically, Healthcare saw a decline in consumables, offset by strength medspa capital, particularly lower-price-point items. This was primarily driven by a one-off sale of syringes in 2024 and Parata consumables. The negative comps from the Parata loss will conclude in Q3.

Our Healthcare business welcomed DermapenWorld into the family at the beginning of June. This acquisition includes an upfront investment of $55M CAD, with a second payment contingent on performance through 2026, and is the major driver of our change in leverage ratio to 1.1x. This addition represents a strong step forward in our aesthetics OEM strategy and will allow us to more rapidly expand global distribution of the Luvo and WorldPRP brands. The closing of this deal represents the fourth significant M&A transaction in 12 months and presents us with significant integration and organic operating needs. Management is now turning its focus to integration for the remainder of the year. 

In sum, our business units are performing well despite macroeconomic hiccups and with important channel launches on the horizon and significant recent acquisitions, we are well positioned for a strong second-half of 2025" commented John Glynn, Director and Trustee.

Details of the Fund's results are currently available on Richards Packaging's website at www.richardspackaging.com and on SEDAR+ at www.sedarplus.ca

About Richards Packaging Income Fund

The Fund owns Richards Packaging Inc. ("Richards Packaging") which since 1912 has served a wide customer base throughout North America comprised of over 18,000 regional food, beverage, cosmetics, healthcare, and other enterprises.

SOURCE Richards Packaging Inc.