Uflex (500148) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 continued strong momentum with robust growth in packaging sales, especially in packaging films and aseptic packaging, supported by international expansion.

• Aseptic packaging achieved 93% capacity utilization in a typically lean season, up from 83% last year.

• Commissioning of aseptic packaging facility in Egypt in FY26 and launch of 25K aseptic filling and sealing machine mark key milestones.

• Consolidated revenue from operations for Q2 FY25 was ₹383,338 lakhs, up from ₹336,944 lakhs in Q2 FY24.

• Sustainability and innovation remain central, with investments in AI, recycling, and new product development to enhance operational efficiency and environmental stewardship.

Financial highlights

• Q2 FY25 consolidated revenue reached Rs. 38,532 Mn (+13.7% YoY); H1 FY25 revenue at Rs. 75,357 Mn (+13.0% YoY).

• Q2 standalone revenue rose 19.3% YoY to INR 1,970 crore, with packaging films revenue up 39%.

• Q2 consolidated normalized EBITDA was INR 438 crore, up from INR 408 crore YoY; standalone EBITDA was INR 215 crore, up from INR 168 crore.

• H1 consolidated EBITDA increased 23.9% YoY to INR 903 crore, with packaging sales volume up 13.8%.

• Net loss after tax for Q2 FY25 was ₹10,668 lakhs, compared to a net profit of ₹10,978 lakhs in Q2 FY24.

Outlook and guidance

• Expecting 20% volume increase in aseptic packaging sales post capacity expansion in Q4.

• Targeting 13%-13.5% EBITDA margin for H2 FY25.

• Normalized EBITDA for FY25 projected at INR 2,000 crore, supported by new capacities and cost savings from PET chips plant.

• Management remains confident that no material tax liability will arise from ongoing tax proceedings.

• Commissioning of major projects in Egypt and Mexico expected in H2 FY25 and FY26.