UFLEX Limited — PPTs, 17-06-2025: Investor Presentation

1. Financial Highlights:

UFlex reported consolidated revenue of Rs. 151,838 million in FY25, up 12.4% YoY, driven by 8.0% volume growth and a favorable product mix. Normalized EBITDA increased 18.1% YoY to Rs. 19,024 million, with margin expansion to 12.5%. Packaging films contributed 77.7% of the sales volume, growing 10.3% YoY, while packaging volumes rose marginally by 0.6%. Q4 FY25 revenue rose 10.8% YoY to Rs. 38,738 million, with normalized EBITDA of Rs. 4,782 million and a margin of 12.3%. Net profit recovered to Rs. 3,201 million for FY25 from Rs. 1,803 million in FY24, supported by lower currency-related losses. Capex stood at Rs. 6,681 million in Q4, fueling capacity expansions.

2. Strategic Initiatives & Growth Drivers:

UFlex continues to invest in capacity expansion and technology upgrades, focusing on aseptic packaging and woven polypropylene (WPP) bags to capture growing FMCG and pet food markets. Major ongoing projects include a 12 billion-pack aseptic plant in Egypt (~Rs. 10,905 million capex), an 80 million capacity WPP bag plant in Mexico (~Rs. 4,222 million capex), and two recycling units in Noida for PCR PET chips and MLP recycling (Rs. 3,171 million). The Sanand aseptic plant is being debottlenecked to raise output to 12 billion packs/year by H1 FY26.

3. Business Developments:

Commercial operations commenced for the 216,000 MTPA virgin PET chips plant in Egypt and the 18,000 MTPA CPP film line in Mexico during Q4 FY25. UFlex continues expanding its global footprint with 17 manufacturing units across 9 countries, enhancing integration across resins, films, flexible packaging, holography, inks, adhesives, and engineering.

4. Market Position & Competitive Advantage:

UFlex is India’s largest flexible packaging company with Rs. 152 billion revenue and Rs. 19 billion EBITDA. It boasts a fully integrated value chain spanning PET resins to printing cylinders and aseptic packaging. The global manufacturing network across five continents ensures rapid delivery and cost efficiencies. Its ‘Project Plastic Fix’ initiative, pioneering plastic recycling since 1995, further strengthens its ESG credentials and product differentiation with 100% rPET-based films and sustainable packaging solutions.

5. Investor Implications:

The company’s strong volume growth, margin improvement, and global expansion underpin positive growth potential. Strategic capex in high-margin aseptic packaging and WPP segments positions UFlex to capitalize on rising FMCG and polymer demand. Investor attention should focus on execution of large-scale projects and managing currency exposure risks, which have moderated but remain a sensitivity given multinational operations. The sustainability focus adds long-term value alignment with ESG trends.