Huhtamaki India: Flat revenue, lower EBIT in Q1 2025

For the first quarter of 2025, Huhtamaki India Limited reported net sales of INR 5,930-million, remaining nearly flat compared to INR 5,936.5-million in the same quarter last year. Total revenue from operations stood at INR 6,099.3-million, marginally down from INR 6,101.2-million a year ago and INR 6,191.1-million in Q4 2024.

Net profit (after tax) for the quarter was INR 261.5-million, marginally up from INR 260.3-million in Q1 2024 and more than double the INR 116.9 million reported in the preceding quarter. Earnings per share (EPS) came in at INR 3.46, broadly unchanged from INR 3.45 in the year-ago period but significantly higher than INR 1.55 in Q4 2024.

Operating income (EBIT) for the quarter was INR 371-million, reflecting a 7% decline year-on-year. However, this marks a notable improvement from INR 152.3-million in Q4 2024. The EBIT margin stood at 6.3%.

Dhananjay Salunkhe, managing director of Huhtamaki India, said, “The company had a flat start to the year with revenue for the quarter remaining relatively flat compared to the corresponding period of the previous year. EBIT is reflecting a decrease of 7% as compared to the corresponding period, though improving significantly compared to the trailing quarter. The improvement in margins compared to the trailing quarter is driven by better sales mix and operational efficiencies.”

Cost of materials consumed stood at INR 4,253.4-million, lower than both Q1 2024 and Q4 2024. This, along with a reduction in inventory-related expenses, helped offset a rise in employee and other expenses. Depreciation rose to INR 126.8-million, up from INR 95.2-million a year ago.

“Approximately 2% of revenue has been reinvested in new technology aimed at enhancing sustainability and operational efficiency. A major initiative is the expansion of the Blueloop brand, a recyclable mono-material packaging portfolio that addresses India's pressing need for circular solutions in flexible plastic packaging,” shared Salunkhe. With production scaled through its Blueloop plant in Silvassa, the company is leveraging innovative structures made from PP retort, PE, and paper to deliver sustainable, high-performance packaging.

Other income rose to INR 110.2-million from INR 83.2-million in Q1 2024, contributing positively to the bottom line. Huhtamaki also reported INR 6.7-million in exceptional gains during the quarter.

Huhtamaki's overarching ambition, as part of its Strategy 2030, is to be the preferred choice in sustainable packaging solutions.