Uflex (500148) Q4 24/25 earnings summary

Executive summary

• FY25 marked a turnaround with revenue, volumes, and operational EBITDA all increasing year-over-year, reversing prior declines and driven by global expansion and sustainability initiatives.

• Exceptional losses dropped significantly, leading to a consolidated net profit after tax of Rs. 14,232 lacs, compared to a net loss of Rs. 69,099 lacs in FY24.

• Major capex in Egypt, Mexico, and India expanded aseptic packaging, WPP bags, and recycling infrastructure.

• Dividend of Rs. 3 per share (30%) recommended for FY25, subject to shareholder approval.

• Management expects robust FY26, led by demand for sustainable packaging and technological advancements.

Financial highlights

• Consolidated FY25 revenue was Rs. 1,503,609 lacs, up from Rs. 1,336,363 lacs in FY24, with packaging films surpassing 500,000 tons in production and sales.

• Operational EBITDA increased by about 18% year-over-year, reaching Rs. 97,629 lacs.

• CapEx for FY25 totaled Rs. 17,258 million, with major investments in aseptic packaging and WPP projects.

• Net debt as of March 2025 was Rs. 68,432 million; net debt/normalized EBITDA at 3.60x.

• Basic and diluted EPS (consolidated) for FY25 was Rs. 19.71, compared to Rs. (95.69) in FY24.

Outlook and guidance

• FY26 is expected to benefit from new project commissions in Mexico, Egypt, and Noida, with strong demand for sustainable packaging films and flexible solutions.

• Revenue is projected to grow by 10% to INR 16,700 crore, with EBITDA margins expected at 12.5%-13%, targeting INR 2,100 crore EBITDA.

• Aseptic packaging volume guidance for FY26 is 10-10.5 billion packs.

• CapEx for FY26 is planned at around INR 1,200 crore, with debt repayments of INR 1,175 crore.

• Management foresees growth from bioplastics, emerging markets, and innovative packaging technologies.