SCG Packaging (SCGP) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was 32,209 MB, down 5% YoY but up 3% QoQ, reflecting lower selling prices and reduced export volumes, but improved domestic sales and consumer-focused strategy.

• EBITDA was 4,232 MB, down 18% YoY but up 49% QoQ, with margin improvement driven by better production utilization and cost-saving initiatives.

• Net profit was 900 MB, down 48% YoY, but a turnaround from a loss in Q4 2024, with a profit margin of 3%.

• Consumer packaging business increased to 44% of total revenue, up from 39% a year ago.

• Operational excellence and strategic adaptability enabled effective supply chain management and cost optimization.

Financial highlights

• Revenue from sales: 32,209 MB (−5% YoY, +3% QoQ).

• EBITDA: 4,232 MB (−18% YoY, +49% QoQ), margin at 13%.

• Net profit: 900 MB (−48% YoY, up from −57 MB in Q4 2024), profit margin at 3%.

• Core profit: 916 MB; core EBITDA: 4,257 MB.

• COGS to sales ratio improved to 82% from 86% in Q4 2024.

Outlook and guidance

• Focus on expanding consumer packaging and healthcare supplies, leveraging ASEAN growth and new market opportunities.

• Targeting EBITDA of 18,000 MB for 2025; 2025 CAPEX budget set at 13,000 MB, with 8,000–10,000 MB for expansion and M&A.

• Proactive strategies to mitigate US tariff impacts and diversify into South Asia, Middle East, and Oceania.

• ESG targets include 25% GHG reduction by 2030 and Net Zero by 2050, with 42% alternative fuel usage achieved in Q1 2025.

• Raw material and freight costs projected to trend slightly upward; energy costs stable, but geopolitical and currency risks persist.