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Brambles Industries (BI.)

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Tuesday 02 September, 2003

Brambles Industries

Final Results

Brambles Industries PLC
01 September 2003

News Release

2 September 2003

        Brambles reports annual results for the year ended 30 June 2003

Brambles today reported a profit before tax, goodwill amortisation and
exceptional items of £286 million.  This is in line with Brambles' June 2003
trading update.  Profit after tax but before goodwill amortisation and
exceptional items was £195 million.  Exceptional items of £62 million (£43
million after tax) related predominantly to the restructuring of CHEP Europe.

Financial Summary

• Revenue from continuing businesses grew by 6% to £2.9 billion with
  CHEP and Recall up 10% and 17% respectively, in constant currency.

• Comparable operating profit (profit before interest, tax, goodwill
  amortisation and exceptional items) from continuing businesses at £359 million
  was 2% lower than last year in constant currency.

• Operating cash flow after capital expenditure was significantly
  stronger and improved by £112 million to £228 million with all businesses
  generating cash after capital expenditure.

• Capital expenditure was reduced by 18% to £456 million.

• Earnings per share before goodwill amortisation and exceptional items
  were 11.5 pence, 12% below the previous year.

• The final dividend for shareholders in Brambles Industries Limited
  remains at 10 cents, 100% franked.  The second interim dividend for shareholders
  in Brambles Industries plc is slightly higher at 4.053 pence due to currency

Operational Summary

• The restructuring programme in CHEP Europe is on track for completion
  in 2005. An operating exceptional item of £50 million was incurred in the year.

• Revenue in CHEP Americas grew by 12% in constant currency terms. Unit
  transport cost reductions and improved management of the non-participating
  distribution network in the USA were offset by higher pallet inspection, storage
  and repair costs arising from both heightened quality specifications and the
  increased levels of damaged pallets from higher recoveries.

• CHEP in the rest of the world continued to perform strongly.

• Recall sales and comparable operating profit increased by 17% and 30%

• Cleanaway performed well and generated excellent cash flow in a
  difficult market. The outcome of DSD contract re-tendering in Germany, likely to
  be announced shortly, is expected to result in some margin compression in 2004.

• Brambles Industrial Services performed strongly in Australia with
  steady progress in the Northern Hemisphere.  The result for Regional Businesses
  was affected adversely by a depressed market for Interlake.

Brambles Chief Executive Officer, Sir CK Chow, said: 'The significant
improvement in cash flow performance in the year is evidence of our commitment
to improve asset productivity and generate stronger returns for our
shareholders.  Through the restructuring programmes underway in CHEP, a great
deal of work has been done to grow sales, to reduce its cost structure, and to
improve asset utilisation.  These initiatives are on track and will place CHEP
on a sustainable growth path. The performance of Recall was outstanding,
particularly in the second half.  Cleanaway and Brambles Industrial Services
have continued to outperform their competitors in challenging markets.'

                 Brambles is globally headquartered in Australia

For further information, contact:


Investor    Sue Scholes, Head of Investor Relations   +44 (0) 20 7659 6012
Media       Richard Mountain, Financial Dynamics      +44 (0) 20 7269 7291


Investor    John Hobson, Head of Investor Relations   +61 (0) 2 9256 5216
                                                      +61 (0) 414 239 188
Media       Jeannette McLoughlin                      +61 (0) 2 9256 5255
            Group General Manager Corporate           +61 (0) 401 990 425
            Communications                            (mobile)

                      This information is provided by RNS
            The company news service from the London Stock Exchange