Good morning, everybody, and a warm welcome to the presentation of our financial results to June 2023. I'm Miles Roberts, the Group Chief Executive, and I'm joined by Adrian Marsh, our CFO, for what is his final presentation before his retirement. I'm delighted to be also joined by Richard Pike, who will be taking over from Adrian. We have a short presentation, followed by a Q&A session, and also be happy to answer any questions you may have. We're pleased with our performance, especially given the volatile trading environment we've been operating through. This performance is really a result of years of focusing on a consistent business model and strategy, working with the world's leading FMCG brands. Whilst packaging volumes and end consumer demand was more challenging than we originally expected, our ability to support our customers and thereby increase the value add of our products and services was especially evident. This is clearly reflected in our pricing, which, when combined with our relentless cost focus, has delivered an excellent financial performance, with our profits up 35% over last year. It's resulted in us achieving our medium-term financial targets, and I'm pleased to see our return on capital getting towards the top of our medium-term range. Our sustainability performance has also been strong, and we'll talk a lot more about that later. Of course, we've continued to invest in our business. We focus not only delivering the short term, but also on the medium term, as we have strong fundamentals and really great ongoing opportunities to improve efficiency and reduce our carbon footprint, while at the same time making attractive financial returns. While it remains a challenging trading environment, we've started the current year well, with trading in line with our expectations. Adrian? Thank you, Miles, good morning, everyone. By way of my normal reminder, I'll describe the performance of the business on a constant currency basis. Here are our financial highlights. Revenue was up 11%, despite a reduction in box volumes, reflecting higher sales prices across the whole business, which themselves reflect the rising input costs and inflation we've seen over the last two years. Price increases in the year more than offset significant cost increases of nearly GBP 900 million compared with last year, with operating profit up 35%. Return on sales increased 190 basis points, which is a very strong performance within a highly inflationary environment. As I described at the half year, in addition to selling packaging, we also buy and sell a large amount of paper, OCC, and energy, the prices of which increased over the year, albeit that was more first-half weighted. This increases both revenue and costs on a gross basis, with limited impact on profit, hence is diluted to reported margin. As usual, I give the breakdowns to calculate underlying margin absent these gross ups. Profit growth has flowed strongly through to EPS and cash, and I'll talk more about our continued leverage reduction shortly. Our earnings growth has allowed a significant increase in the dividend for the year. Our key financial metric of ROACE, which does not have the same nuance from inflation as for margins, has increased by 310 basis points to near the top of our 12%-15% target range. I'll now go through the main moving parts with the usual bridges. As before, we have broken out the packaging revenue from the totals, and also the price mix to help you understand the impact of the pass-through of external sales of paper, recyclate, and energy on underlying margin. The worse-than-expected box volumes decline had a negative impact on revenues, with half two being worse than half one. Other volumes as a mix of reduced other packaging and less external paper sales, as we produced less and used a greater proportion internally. The major increase is clearly the sales price increase. Just over GBP 1 billion of the GBP 1.2 billion is packaging pricing, representing average prices around 18% higher versus the comparative period, reflecting the multi-year inflationary cost recovery. The balance made up of positive year-on-year external paper and energy and lower recyclate sales pricing. Turning to EBITA, as with revenue, there is a negative contribution from the volume decline, and a similar story for other volumes, with less external paper being sold, although there's a corresponding benefit on the cost side, as less thing is being purchased. Sales price mix dropped straight through to profit. As Miles will talk more about, the fact that we've been able to offset the inflationary cost increases over several years is testament to the ability and quality of our customer offering, as well as our ability to manage our cost base through our proactive risk management and procurement processes, whilst ensuring security supply at all times for ourselves, and as importantly, our customers. On the cost side, the largest contributing factors were raw materials, with external paper purchasing and raw materials such as starch, more than offsetting lower fiber costs, particularly in half two. Together, raw materials make up roughly half, with other costs such as labor distribution, together with energy, making up the other half. In respect of energy, half two is better than we expected, mainly because we use less energy due to lower volumes in packaging, but also more importantly, with downtime taken in paper production. Overall, group margin has increased significantly, albeit, as I noted before, this is despite the inflationary environment. As I've discussed previously, regionally, there will always be short-term variations depending on the total of our own paper production, although clearly we think of our supply on a global basis. Northern Europe profits are up over 50% despite weaker volumes. Germany is more exposed to the industrial sector, and the UK has generally been a tough economy. Paper performed well, and the drop-through to packaging was also positive. Also of note, there is a circa GBP 20 million cost in relation to the closure of our UK recycling depots. Eastern Europe also had a similar number for closing of our Trakia mill. Otherwise, profits would have been up significantly more, as volumes were down less than the group average, and cost control and pass-through to packaging were good. Southern Europe has delivered an exceptional performance, with profits up over 50%. The Europac assets continue to deliver very strong returns, both within packaging and paper, particularly in our Portuguese Kraft Liner Mill. North America remains a high-margin business, despite the overall US packaging market being difficult, in particular in half two. We continue to make good progress with our multinational packaging customers as we replicate the offering they receive in Europe, but there was an impact from export paper prices declining in half two. Turning to cash flow, returns and profitability have also converted well into cash, despite the increased investment into the business. Within working capital, as I highlighted at the half year, paper and energy prices declining towards the end of the year has had a negative impact on our working capital, and this more than offset the positive GBP 69 million net inflow from risk management of our energy hedges. While we have note, absent further risk management actions during the year, then we expect our net inflow from energy margin costs of circa GBP 180 million will have fully unwound in full year 2024. Pension payments and other is the add back of the two restructuring elements within EBITDA, as I described earlier. CapEx has increased as we continue to see attractive returns from investing in the business, and we make progress against our carbon targets. For information, invoice discounting has reduced to GBP 360 million, despite the significantly increased selling prices, meaning on a volume basis, it is lower still. Overall, a continued strong free cash flow. Moving to the cash flow bridge, net debt has increased slightly over the year, principally due to both increase in the absolute amount and also the timing of dividend payments, and the increase in CapEx, as described earlier, an FX impact of around GBP 90 million and increased renewals of IFRS 16 leases. Clearly, one of the highlights of the results is that net debt to EBITDA is now significantly below our target ratio of 2x. This is my last set of results at DS Smith, and I've been extremely proud to work with Miles and all my colleagues over the last 10 years. I've very much appreciated all the support I've personally received from our shareholders and the occasional challenges, and I hope you'll agree we're in a strong financial position, and the business we've built is delivering against the ambitions we've consistently set out. I'm now delighted to hand over to Richard, who will share some initial first thoughts on the business, capital allocation, as well as providing our usual technical guidance. Thank you, Adrian. Good morning, everyone. I've been in the business for just under three months now. As Adrian's been around during that time, I've had the opportunity to spend most of my time out in our European operations, meeting the regional teams and visiting sites across our larger markets. My initial observations are that the strong customer centricity that Miles describes really is prevalent throughout all areas of our business. That, together with a real down-to-earth, can-do, and solutions-orientated mindset, really shapes the culture that exists across the organization. Whilst the business is obviously in good shape, as demonstrated by the financials that Adrian has just talked to, I see plenty of opportunity to drive further operational efficiency, innovation, and growth. As a result, I see my key focus areas, certainly over the next couple of years, will be working with Miles and the team to build on the strong platform that we've built over the last decade, to ensure that we're driving optimal performance from our existing assets with a clear drumbeat to our operational efficiency and programs, and ensuring we're lean and fit for purpose in all areas, and prioritizing the areas of investment that make most difference and soonest with attractive returns on investment. Specifically, in terms of capital allocation and driving return on average capital employed, I see lots of attractive organic investment opportunities available to us. We'll pursue these within a consistent capital allocation framework, remaining within the parameters that will retain our investment-grade credit rating, as well as enabling us to maintain a progressive dividend policy. We won't rule out M&A where compelling, and if, after prioritizing the above, we have surplus capital, we'll look at returning capital to shareholders. At the moment, however, my view is that the returns from organic investment opportunities available to us are compelling and compare favorably when we benchmark them against share buybacks. Turning now to the technical guidance on slide 11, I'm just going to focus on a few of these areas. Firstly, in terms of interest cost, you'll see that we're expecting higher interest charge in the current year as a result of us having higher borrowings at higher rates. We've actually got good coverage in terms of energy hedging, with over 70% of our book covered for the current year. Moving to the cash flow side of the business, we will see further working capital deterioration this year. GBP 180 million of that relates to the unwind of the collateralized energy hedging. We will again see CapEx around the GBP 500 million mark as we invest in the areas that I mentioned earlier. We also have the final Interstate put option amounting to around GBP 110 million. I'll now hand back to Miles. Thank you, Richard. The economic backdrop to last year was one of volatile, rapidly changing environment. What we saw, our large FMCG sector was quite resilient, with volumes down only a few%, whilst our smaller industrial sector was weaker, where volumes were down a double-digit%. Geographically, Germany, along with the UK, were our weakest regions, but there was a lot more resilience, particularly in the east and south of Europe. On a time basis, volumes during H2 were, on a like-for-like basis, worse than those in H1, but that was primarily due to destocking, which accounted for roughly half the decline in H2. Whilst our overall market share improved during the year, this was offset by the poor economic backdrop and did result in volumes being lower than we originally expected. The volumes at the end of the year were showing an improvement over January and February, and this improvement has continued into the current year as destocking reduces, but the end consumer, demand is still fragile. Ultimately, we think this volume weakness is short term as the corrugated packaging market shows good ongoing fundamentals, and we continue to take market share. The rapidly changing market allowed us to work even more closely with our customers, offering us the opportunity to add more value through the introduction of new product and services. All of these supported by our ongoing outstanding levels of customer service, product quality, our responsiveness, our digital capabilities, and investment program. As well as improving the value add, the profitability, this closer relationship with our customers can clearly be seen in the results of our regular customer surveys, as well as the results of our own brand survey. Both of these are showing good further improvements on what were already high scores and have resulted in our performance being at an all-time high. To further satisfy our customers' demand for new product and service innovation, during the year, we opened a new dedicated group innovation center and recruited an additional 40 innovation specialists. This has led to a higher rate of new product launches than in previous years, and these launches attract a much higher level of value add. One specific element of innovation remains plastic replacement, where we've seen a good acceleration in the take-up of our products from customers who remain committed to eliminating the use of plastic packaging wherever possible. Part of delivering a high-returning business remains our relentless focus on cost reduction, you know, for labor, for energy, for materials, for distribution, but also in capital. These reduction programs, these improvement programs, are based on our lean manufacturing and investment programs, ongoing implementation of best practice wherever we find it throughout the group, supported by our global procurement function, where we seek to maximize the benefits from our flexible supply chain, where our short paper not only gives us a cost advantage at the moment, but also allows flexibility in terms of utilizing our own paper production. For the medium term, we continue to invest to reduce our cost base through increased automation as well as energy efficiency. We've taken action to reduce our exposure to mature, low-returning assets, such that through the disposal of De Hoop or the closure of the Trakia Paper Mill, as well as some of our UK recycling depots. We've continued to invest, driving returns through our investment program. Richard has already commented on this, but we think about investment both over the short and the medium term, to meet our customers' expectations, to reduce our costs, but also to improve our environmental impact, as well as the financial performance of the group. Some recent examples of our investment are into new products and services. New products include new barrier technology, new enhanced grades of lighter, higher performance paper that utilize new manufacturing techniques, and in services, new services in digital automation of processes, where we connect with our customers, and to support our customers in their own in-house manufacturing processes, to improve their efficiency and cost base. For us to invest, to improve our efficiency, to reduce our costs, as well as enhance our capacity in faster growing regions. We've seen in the new box plants we've recently opened, that continue to deliver to our plans, have efficiencies far in excess of what we've been able to achieve historically. For example, the new plants have a labor efficiency that's about 75% ahead of the comparable size, older plant. We've also been investing to reduce our carbon footprint, where we've often shared the capital costs by investing alongside third parties, such as in the creation, the construction of a new waste-to-heat plant in Aschaffenburg in Germany. All these investments have attractive returns, with that return on capital between 15% and 20%, exactly as we've spoken about previously. Leading the way in sustainability, it's about having the right product, a fiber-based packaging product. We don't have plastic anywhere in our portfolio, and about producing it in the right way, having a one and a half degree science-based institute target. The performance last year, we've seen our CO2 emissions reduced by 10% over the previous year, on track to deliver our leading ambitions and targets by 2030 and net zero by 2050. We've launched biodiversity programs at 13 of our paper mills. We've updated our Now and Next sustainability strategy that's currently being launched, not only with enhanced targets for environmental performance, but also targets to improve the understanding of the importance of the environment and our performance in the communities in which we operate. Of course, we're delighted to see the ongoing recognition of our performance by many external agencies. Of course, all the progress the group has made over many years comes from really everybody who works in DS Smith, all of our 30,000 colleagues right across the organization, wherever they are. We continue to invest in developing our people, providing ourselves and them with the skills that we need, not just for today, but for the future, and in creating a safe environment. We've again delivered another year of improvement in our health and safety scores, our fifteenth consecutive year of improvement, and working with our European Works Council to deliver on the commitments enshrined in our employee charter. we're also pleased with the progress. There's more to do. There's always more to do here, the progress on our diversity and our inclusion, as well as our employee engagement and engagement with our communities, has moved forwards over the last year. well, the trading environment continues to be volatile. Consumer end demand remains fragile, we do expect to see an improving trend in volumes. We continue to focus on adding value to our customers, this is supporting our pricing. Of course, we remain utterly focused on driving efficiency, reducing our cost base throughout the business, supported by our investment program, where returns are attractive. We're pleased with the start of the new year, where trading has been in line with expectations. I'll leave you with our last slide of the summary about our differentiator, about why you feel confident about our business model and the future. Thank you. Myself, Adrian, and Richard are happy to take any questions you may have. Thank you. As a reminder, to ask a question, "please signal by pressing star one", please make sure mute function on your phone is switched off to allow your signal to reach our equipment. The first question comes from Charlie Muir-Sands, from BNP Paribas Exane. Please go ahead. Your line is open. Yes, good morning, gentlemen. Thank you very much for taking my questions. I've got several, but I'll limit myself to three. Firstly, in order to I appreciate it's early in the year, but it's encouraging you're giving that message around meeting expectations, which I understand is consistent with consensus as well. Can you talk about what kind of improvement you'd need to see in volumes through the year to get there? You know, obviously recognizing that's not the only potential moving part. The second question relates to working capital. You've obviously given us the quantum of the likely energy hedge unwind, but can you give us any steer on the potential quantum of the other remaining underlying working capital outflow you might see? The final question relates to those 297 million items you've replaced plastic with fiber-based packaging in the last year. Could you just help us quantify that financially? What kind of percentage of your packaging sales would that represent? Thank you. Thank you very much, Charlie. If we take the volume and talk about the plastics, and Richard, are you happy taking the working capital? Look, on the volumes, as I said, we've started to see, you know, there's some very early signs that the destocking is certainly starting to improve, and we are expecting to see that sort of trend continue. We're not expecting anything heroic on the volumes. During the year, as I said, the end consumer remains weak, but we are expecting that sort of rate of decline certainly to be improving during the coming year. That sort of leads into the issue on the plastics, the GBP 300 million. The revenue for those is over GBP 100 million. The as I said in my earlier presentation, the actual, the value add on those is actually very good. It's better than the group than the group average. Richard, on working capital? On the working capital, Charlie, it's, I mean, basically around about GBP 100 million is sort of what we expect to see in terms of further decline in working capital over and above the energy hedge collateralization wind. That's, I mean, that obviously depends on where paper prices go, you know, so that could move if we see paper prices improving in the second half. As we sit today, we think, you know, with sort of paper prices declining and energy prices declining, that's the sort of order of magnitude we're expecting. Thank you. We will now move to our next question from Lars Kjellberg, from Credit Suisse. Please go ahead. Your line is open. Yeah, thank you. I just want to stay a bit with the volume component. Of course, you're getting into very easy compass with transition into H2. It looks like you were down 8%-9% in H2. Do you expect that to be year-on-year positive? Really, how do you see sort of incremental volumes transitioning through the year, not in statistical comparison, but in absolute terms? Other question is, of course, relating to box prices. Maybe I've didn't capture it, but I don't know if you made any reference to box prices, how they transition in, you know, in the final two quarters of the year, and what you're seeing in the near term. The final question that I have relating to the energy hedges and how you can make us understand what sort of impact this has on your energy costs for the current year, in relation to where the spot prices are, which of course, have come down quite materially. Thank you. Thank you, Lars. If I take the volume and box price, and Richard, are you happy on the energy? Sure. You're absolutely right. In the volume in the second half was worse than the first half, but about half of the volume decline in the second half, we think, our analysis shows us it's around about half of that second half decline. The underlying position, sort of second half, first half, was very broadly the same. We started to see the stocking coming to an end, and in fact, on a like-for-like basis, the rate of decline certainly improving when we look at sort of second half of March into April, and actually that's continued into June as well. You're absolutely right, the comparators, particularly in the second half of the year, will be very favorable. Nevertheless, you know, we are looking for that rate of decline to carry on improving. It'd be second half weighted, but we should start to see, you know, hopefully the volumes get back to, you know, just on an absolute basis, onto a position that we've seen in previous years, during the second half of the year. I said, you know, there is, there's quite a bit of uncertainty there. We haven't built our forecast on any heroic assumptions on volume. We've got a number of new contract wins coming in. We have looking quite positive. We're very focused, as you say, on the FMCG sector. There are some signs that that's improving a bit, we do remain a little cautious. Interesting on the box prices, if you go to last year, Q2 pricing was better than Q1. Q3. That takes us into this current calendar year, was better than Q2. Q4 did show a modest, until a very modest initial decline. Since then, we've obviously seen a reduction in the, in the paper price. That does trigger a number of the indices. I remind everybody, we still have a lot of non-paper inflationary indices in our mechanisms, and obviously, the index is for half our business, the other half are freely negotiated. Clearly, we expect box pricing to fall the first half, the first quarter of this year compared to the Q4 of last year. At the moment, the declines are coming through, but they are modest. You know, we are not, they are, modest for the reasons that I've said. Richard, on energy? Coming on to the energy hedges, Lars, I mean, as you know, we have a sort of rolling three-year hedging program. As you can imagine from that, because the impact of that is that it sort of smooths the impact of energy movements on the business, you wouldn't expect to see a marked difference in terms of the price of energy per se. As you know, we took capacity down during FY 2023, and therefore utilized less energy in our paper mills during the current year. As Miles has talked about, as we expect, you know, volumes to start moving in the right direction, we're expecting our mills to operate at close to capacity, and therefore we'll be buying more energy. It's more of a volume impact rather than a price impact, but you'd expect to be around about, again, GBP 100 million of year-on-year negative impact in terms of energy cost in our P&L. Thank you. We will now move to our next question from Cole Hathorn from Jefferies. Please go ahead. Your line is open. Morning, Miles, morning, Richard, morning, Adrian. I'd just like to focus on the free cash flow of the business into next year and then into 25 and 26 as you see it develop there. Maybe if we start off on the CapEx number, it's still an elevated CapEx spend. Maybe I'd just like to hear your thoughts around that CapEx spending. Is this more efficiency, you know, ultimate goal, improving the relative position of all your assets into the future? Just wondering how that's split versus kind of expansion versus efficiency CapEx. Coming back to the working capital, are you saying that there's gonna be a GBP 180 million outflow for the energy, and then a further GBP 100 million outflow for the working capital? Will there be an underlying items you can do to improve that working capital inflow and protect your free cash flows through 2024 and 2025? Why don't I take both of those, Cole? I mean, in terms of the first thing on the CapEx, as you know, I mean, that depreciation is sort of north of GBP 300 million. Just spending to maintain our assets in, you know, in good shape, you'd expect our CapEx to be around that level. Hence, although, you know, we're looking at a number of GBP 500 million, you're talking about GBP 180 million-GBP 200 million of sort of incremental CapEx. As we've touched on, we see opportunities in lots of areas with attractive returns, and we think that those, as a result, are, you know, worth pursuing. There will be a weighting towards efficiency. You know, Miles has given you some examples of the things where not only have we got some degree of capacity expansion, but we're actually operating much more efficiently on the back of those investments. When you look at some of the areas where we actually have assets coming to the end of life, we're not just replacing those assets, but you know, investing in further improvement in efficiency or capacity, which actually enhances the returns from those investments. I think in overall terms, you'd expect us to be looking to ensure that, you know, we're deploying our monies most effectively in the areas that will return most quickly, but also to enhance our underlying operational capability. Even if the market continues to be difficult in the near term, those efficiency investments will stand us in good stead as we go forward. On the working capital, as you described it's just that. It's the GBP 180 million in relation to the energy hedges, plus a further GBP 100 million of underlying outflow, based on, as we see things today, where paper and energy prices are in particular. To your point about can we improve on that, we'll obviously be looking at that. You know, there may be upside, you know, if actually paper prices and energy prices recover. As I'm sure you're aware, energy prices sort of, you know, bottomed so far, you know, at the start of June, have recovered since then, we'll have to see how the year plays out. We'll be looking in the same as with our capital, at how can we ensure that we're deploying our, you know, capital employed most efficiently across the piece. Thank you. We will now move to our next question from Justin Jordan from Davy. Please go ahead. Thank you. Good morning, everyone. I've got two questions, I suppose, on capital allocation, really looking at your four circles on slide 10, as it were. Firstly, can you talk us through the last circle, the surplus cash return to shareholders? I'm just trying to understand, in the board's thinking, where would buybacks potentially rank currently, given your confidence on your medium-term capital generation, sorry, cash generation versus derated valuation. Secondly, on, I suppose, the GBP 500 million CapEx for the current year and beyond, we've had recent announcements from Valmet of two orders to supply a new recovery boiler to DS Smith for your Viana mill in Portugal and a new, I think it's 450,000 tons kraft liner mill to your Lucca Mill in Italy. Can you just explain your confidence in CapEx, and clearly CapEx in excessive growth, sorry, in excessive depreciation, given the sort of volume outlook that you're talking about? On the return of capital, Justin, I think as I tried to describe in, when I talked things through, we see attractive returns in terms of organic investment. We absolutely want to maintain the progressive dividend policy. You know, there are obviously, you know, continuous bolt-on acquisition opportunities, but, you know, that's not where our primary focus is right now. If we generate surplus capital, then we will look at, you know, returns of capital to shareholders. In the near term, I believe that actually, the attractive returns on investment will be where we're deploying our capital. On the where are we spending our money, the replacement boiler in Viana is our kraft mill in northern Portugal. That's an end-of-life asset, where the investment that we're making actually will make us even more efficient on the back of the replacement. Lucca isn't a kraft mill, it's actually a testliner facility, where, again, one of our lines is end of life. The new line there basically runs at three times the speed of the old facility. That both produces additional capacity, but it's much, much more efficient than the old thing. As I was saying, when we're looking at end-of-life assets, we're looking at ways in which we can improve our underlying efficiency, as well as actually being more sustainable, because the actual CO2 emissions from these sort of investments are much lower as well. Thank you. We will now move to our next question from Kevin Fogarty from Numis. Please go ahead. Thank you. Morning, all. Two questions, if I could you, please. Firstly, in terms of margins, obviously, kind of well done in terms of margin delivery during the second half of the year. With the business now, sort of delivering, you know, close to the midpoint of your margin target at an EBITDA level, I just wondered, you know, appreciate there's a lot of moving parts, as we go through the current year, just in terms of the kind of level of commitment to either kind of maintaining or at least, you know, remaining within those, that sort of target range this year, is there anything we should think about in terms of cost initiatives to help you to do that? Maybe a sort of a point on that, please. Just secondly, in terms of inventory destocking, I just wondered if you could sort of help us. What sort of gives you the level of confidence that destocking has come to an end? You know, I think there about perhaps kind of level of inventory typically held by customers or perhaps what that looks like now, if you could help to put that into context, that would be useful. Thanks. If I, if I take the sort of cost reduction efforts, Kevin, and hand over to Miles. As you'd expect for an international manufacturing business, you know, cost efficiency is top of mind all the time. And particularly given the inflationary environment we've been in and continue to face into, that, you know, continues to be something that's, you know, is very important to us. Will those cost reduction efforts more than offset the inflationary factors? I would say, you've got to bear in mind the levels of inflation. That, that would be a pretty chunky ask. You know, we are looking at all areas in terms of, you know, what we can do in that regard. We have, you know, a now relatively well-established continuous improvement program, the DS Smith way. That's four or five years into its evolution so far, therefore, the drumbeat of our continuous improvement efforts are ongoing. Miles mentioned, you know, the basically the value that procurement is bringing to our business, again, to offset those inflationary pressures. Quite a bit of our capital investment is again focused on those areas. We've got very established, you know, programs to drive cost efficiency. Just bear in mind that we are well, that line, in large part, is offsetting the underlying inflation that we're facing into. On the destocking, so the first thing, in our second half volumes, if you start to look at it on a monthly basis, we could see in the second half of December, and then into January, we saw that our customers were taking extended downtime in their facilities. They talked to us about how they built a lot of stock during the COVID years to maintain their service levels, really into the retailers and the final consumer, given all the supply chain challenges there have been. They've explained that now the environment looked different as we come out of COVID, they therefore don't need to hold the level of stock in their own finished goods that they have in the that they had for the previous 2 years. They can't take it all out in the first sort of month. They start to take it out with reducing overtime and extended sort of lower production. We've also seen the end consumer has been weak as well, so therefore, the volumes come down to take out the additional stock they're holding, and then to adjust to the new end consumer demand. Now, we would expect this to take a number of months to come out. Indeed, when we started to get into March and April, we could see our underlying level of demand into our customers start to improve, and that's continued into June. When we also look where we have, you know, we have substantial positions, supply positions with our main customers, and when we look at their own sales in volume of their product and match it to our sales of their business, where we know that we can have the whole category, 100% of the category, et cetera. We can see the mismatch. Everything tells us that this should be relatively short, a live. That's, in fact, that's what's happened, you know. We say again, but we are working in a volatile environment, and the end consumer does remain challenged. Our market share has certainly been improving. I think, you know, we've got new contract wins, which gives us some, you know, real, some confidence about future demand. It is based on that, partly on that destocking continuum, but it does seem to be happening, and that's what our customers tell us as well. At the end of the day, we don't know exactly, because we don't, we don't know their final stock position. Thank you. We will now move to our next question from Brian Logan, from Morgan Stanley. Please go ahead. Your line is open. Hi, guys. Thanks very much for your time. Can I just ask on the tactical approach to upgrading your own paper machines at the moment, would you be running your paper mills at full, at the moment, and then buying less paper on the open market at the moment? I mean, we have Our paper capacity is less than our packaging capacity. The reason we have this position is because some markets, principally the German paper market, is very oversupplied in paper. Indeed, even more capacity has recently come on in and around the German market. There's an abundance of supply, and indeed, the financial returns from holding those assets in and around Germany and paper mills in testliner, have historically and continue to be extremely challenging. As we said in the presentation, having that shorter position also allows us to use the paper that's right for the customer, and not just the paper we produce. It also gives us flexibility when volumes move, that we don't have to adjust our own production to the same degree as if we were more integrated, in that we just are able to flex the supplies we've taken from our third parties. During last year, we have taken some downtime, but that downtime, I think, is much less than you've seen across the industry, because we've had that flexibility. In fact, has been one reason why, you know, our financial performance has been so strong in what has been, you know, in a challenging market. It does give us that flexibility, and it works very well for us. More importantly, I think it works very well for our customers. Thank you. We'll now take our next question from James Twyman from Prescient. Please go ahead. Your line is open. Yes, thank you. Thank you very much for the presentation. I've got two questions, if I may. The first one is, there's quite a big range in margins between your three European regions. Could you go through the key reasons for that? Because they do seem to be quite long lasting. There was another question earlier about this 297 million units that you've replaced, which is obviously pretty valuable stuff. Could you transfer that into something that's, that we can understand in terms of either tons or percentage of sales? That would be very helpful. If I may, just very quickly, what is the net capacity impact of these investments that you're doing in terms of whether it increases your net purchases or reduces your net purchases of paper relative to market? Thanks. I'll take off the first one. Adrian, you've got to take one. Yeah, exactly. I'll come in for this. In terms of the different regions, I think we, yeah, over the years, we've tried our best to describe this. It largely depends on where our paper capacity sits. In Northern Europe, we have a significant amount of our recycled capacity. In Eastern Europe, we have less, and it's much more based on pure open market purchases. In Southern Europe, we have our is where the Europac acquisition was, where we've got our kraftliner capacity, which is, yeah, a very margin-enhancing business. We also have some testliner capacity as well. That generally describes the spread. When paper prices are high, Eastern Europe generally does better than Northern Europe. Southern Europe still does well. When paper prices start reducing, you'll see, you'll see the flip of that. In, and in North Americas. North Americas is a very, a very separate business in terms of, the environment in the States is very different from the rest of Europe. It is largely around where paper capacity is. Look, on the plastic replacement, you said it's just under 300 million new units. I mean, the revenue on that is over GBP 100 million, the gross margin is very attractive. That relates to a total packaging turnover of about GBP 5 billion. Just on sort of an average basis, it can go up and down, depending on the price of paper. That's sort of the five, last year, probably about GBP 5.5 billion-GBP to GBP 6 billion. It's that sort of percentage. On the last question around capacity, if I understood the question correctly in terms of what amount of our CapEx is being deployed in increased paper capacity? Not much of it is the reality. As I mentioned, you know, the Viana investment is mainly around replacement of the boiler. It does give us an incremental level of capacity improvement, but it's very modest. The Viana investment, which is a several year investment, does increase our capacity, but actually it replaces some degree of old capacity, as that machine's coming to the end of its life. The vast majority of our incremental CapEx, over and above, you know, our license to operate spend, is around efficiency improvement, energy efficiency improvement, labor productivity improvement, as well as box capacity, increases. I think your question was about how much are we increasing paper capacity by, and it's very modest. It's a limited. Well, it's no increase in the short term. Over time, there is, and we said consistently, we will invest in paper capacity where it's difficult for us to get access on the open market. So for us, as Richard was saying, Italy is again, where it's a much harder market. It's either paper tends to be imported in from either overseas or by road from Northern Europe. There are times where, you know, our security of supply will be tighter there. Investing in Lucca makes sense for that, and as Rich said, it's part of our CO2 program as well. Viana, you know, is an absolutely essential asset for us now. It was the reason, or the large reason behind the Europac acquisition. Gives us kraft liner capacity in Europe, which is very tight. Any increase in capacity there over time, again, would be beneficial to us from a group perspective. Thank you. We'll now move to our next question from Andrew Jones, from UBS. Please go ahead, Andrew. Hi, gents. Just to cover. One is just on the bridge for next year. We've talked about energy and the GBP 100 million headwind. Can you just give us an idea for maybe some of the other cost elements, you know, labor and, you know, I mean, we can work out the OCC ourselves. Just give us a bit of a bridge on some of the other less visible cost items, if that's okay. Secondly, just on the state of the industry, I mean, obviously, we've seen you take out some capacity in Bulgaria, but, I mean, it's relatively small in the grand scheme of things. We've seen some capacity being taken out by, you know, by Stora Enso, including your pulp mill. Is there any, I mean, as a leader in the industry, do you feel responsibility to potentially, you know, exit more in the, in the near future, given the sort of expected capacity additions and obviously relatively soft demand? Is that, could we see more, sort of tactical removal of capacity from yourselves? Do you expect to see much more come through in the coming months in the industry? Yeah, I'll take both actually. In terms of the first question on the cost basis for bridges. Obviously, you know, the first port of call would be to assume normalized inflation or normalized inflation, is where it's currently running at across Europe. Don't get too focused on the U.K. on that. It's predominantly for us, that, you know, there'll be the labor inflation rates going through. Again, you know, one should think about low, mid-single digits there. Then you've got to think about as we will be planning all the time, on what efficiency measures are we taking to mitigate against those? There are a number of the normal inflationary cost pressures coming through. The options we have on that, as, and Richard talked quite extensively about it, is the efficiency measures. Miles has described it in terms of some of the capital programs. Against that, and we've been, you know, we've done that every year, to be fair. Then, yeah, against that, you've also got how we're recovering our inflation, our non-paper inflation, through paper price rises. In terms of your other question on paper capacity, yeah, look, it's no great surprise. You always hear sort of large announcements over time of when new capacity is coming down. You hear it about a day before it's announced, when it's taken out. We have seen an announcement last week in terms of the Netherlands. You would have seen, we took a decision in Bulgaria with our Trakia mill. Would I imagine others would take similar activities at the moment? Yeah, it wouldn't surprise me at all, but you never know until the day before it happens. Yeah. It feels like paper, I mean, who knows? It feels like paper prices are bumping along the bottom- Yeah -at the moment. Well, obviously, we don't know, but it certainly feels that. I think we've got time for one more question. Charlie Muir-Sands, BNP Paribas, please go ahead. Yeah, thanks very much. I had one more question, which is also in a way about the cost bridge. In, in the years finished, you flagged GBP 19 million across from the restructuring of Trakia and GBP 17 million to shut down the U.K. recycling, which I think both are costs that you incurred in underlying profits. Just wondered, you know, as you look here today, are there kind of similar quantums of cost we might expect in other parts of the business? Or, you know, is that a sort of GBP 35 million as we, as we look at the year ahead? Yeah, look, I mean, there's nothing that's planned at the moment. You know, we manage these things on a case-by-case basis. We look at the economics at any point in time. There's nothing that I can think of. Richard is obviously owning the numbers going forward. You know, there's nothing that I'm aware of that's being planned for at the moment. Yeah. nothing to flag at the moment, Charlie. Great. Well, thank you very much. That concludes all the questions. Thank you very much, everybody, for your time. I said when we started, we're pleased with the progress that we've made in what's been a very volatile environment, and our trading in the year to date is in line with our expectations. Thank you very much, everybody. Thank you.