Huhtamaki India (509820) Q3 2024 earnings summary

Executive summary

• Q3 2024 net sales improved sequentially but declined 1.5% year-over-year to INR 6,346.7 million, with margins pressured by adverse product mix, raw material inflation, and supply chain constraints.

• Focus remained on protecting market share, operational excellence, and long-term profitable growth, with continued investment in technology and sustainability initiatives.

• Blueloop sustainable packaging solutions contributed 27-28% of sales, but margin improvement was offset by weak demand and adverse mix.

Financial highlights

• Q3 2024 revenue was INR 6.3 billion, down 1.5% year-over-year; nine-month revenue was INR 18.5 billion, down 2.5%.

• Q3 EBITDA was INR 313 million (down 35.8% year-over-year); EBIT was INR 191 million (down 49.5% year-over-year); EBIT margin was 3%.

• Net profit after tax for Q3 was INR 117.1 million; nine-month net profit was INR 762.8 million.

• EPS for Q3 was INR 1.45–1.55; nine-month EPS was INR 7–10.10.

• Exceptional income in Q3 2024 included INR 15.3 million from property sales.

Outlook and guidance

• Management expects gradual demand improvement but notes continued inflationary pressures, supply chain challenges, and market uncertainty.

• No specific revenue or volume growth guidance was provided for future periods.

• Strategic initiatives and efficiency programs are in place to support profitability and long-term growth.