Huhtamaki India Limited · NSE:HUHTAMAKI
Huhtamaki India — Q2 2023 Earnings Presentation
19 slides from Huhtamaki India's earnings presentation, Jul 20, 2023
Slide 1: Exchange filing cover letter for investor presentation
20th July 2023 Department of Corporate Services The Listing Department BSE Limited National Stock Exchange of India Ltd Phiroze Jeejeebhoy Towers Exchange Plaza, Mumbai – 400 001 Bandra Kurla Complex Security Code No – 509820 Bandra (East), Mumbai 400 051 Security Code – HUHTAMAKI Sub: Investor Pres
Slide 2: Earnings presentation – Q2 2023
Earnings presentation – Q2 2023 Huhtamaki India Limited Dhananjay Salunkhe Managing Director Jagdish Agarwal Executive Director & CFO
Slide 3: Disclaimer
Disclaimer Information presented herein contains, or may be deemed to contain, forward-looking statements. These statements relate to future events or Huhtamaki India Limited's (the Company) future financial performance, including, but not limited to, strategic plans, potential growth, expected capi
Slide 4: Performance during Q2 2023
Performance during Q2 2023 • Challenging environment – Performance continues to be impacted by lower volumes; committed to long term sustainable growth • Financial performance • Lower net sales QoQ and YoY • EBIT, PBT and EPS improved YoY, however lower than QoQ • Footprint optimization – 3 small si
Slide 5: Financial review
Financial review Huhtamaki
Slide 6: Operational efficiency and mix are driving improved earnings despite lower sales
Operational efficiency and mix are driving improved earnings despite lower sales Change Q2 Change MINR Q2 23 Q2 22 H1 23 H1 22 22 H1 22 Sale of products and services 6,058.2 7,754.5 -21.9 % 12,518.4 14,865.2 -15.8 % • Q2 23 and H1 23 Sales growth EBITDA 420.9 403.3 4.4 % 996.5 1,036.0 -3.8 % impacte
Slide 7: Performance overview (MINR & %)
Performance overview (MINR & %) Net Sales EBIT and EBIT margin 6.50% 7,755 420 5.04% 7,535 6,765 6,460 3.60% 6,058 305 Sales 2.40% EBIT 246 184 EBIT % 0.50% 40 JQ22 SQ22 DQ22 MQ23 JQ23 JQ22 SQ22 DQ22 MQ23 JQ23* *Excluding exceptional item JQ – June quarter, SQ – Sept Quarter, DQ – Dec Quarter and MQ
Slide 8: Net debt to adjusted EBITDA increased from Q1
Net debt to adjusted EBITDA increased from Q1 – Increase in borrowing and lower EBITDA • Debt/ EBITDA as of Jun 23 at 7.6 25.5 times 4,853 • At the end of Q2 23: 4,081 4,140 16.5 • Cash and cash equivalents INR Debt MINR 3,194 3,230 3,127 3,211 516 Mn Debt / Equity 12.0 Debt / EBITDA • Unutilized fu
Slide 9: Stable financial position
Stable financial position MINR Jun-23 Dec-22 Total assets 17,600 17,507 • Operating working capital decreased mainly due to lower receivables Operating working capital 4,622 4,787 • Net debt lower than June 2022 and Net debt 3,211 3,230 December 2022. • Stable financial position remains Total Equity
Slide 10: Free cash flow impacted by working capital and capital expenditure
Free cash flow impacted by working capital and capital expenditure 1,217 Cash flow driven by: 536 446 566 546 82 • Higher Profit before tax (162) (89) (58) (184) (251) (274) • Change in working capital mainly (495) following decrease in receivables and inventories partially offset by a decrease in t
Slide 11: In our commitment to sustainability, we are proud to present Huhtamaki blueloop
In our commitment to sustainability, we are proud to present Huhtamaki blueloop™ TM blueloop™ is our enterprise-wide sustainability brand aligned with our 2030 strategy to become the first choice in sustainable packaging solutions, driven by technology and operational excellence 10 July 20, 2023 Ear
Slide 12: We are on a transformation journey to become the first choice in sustainable packaging solutions
We are on a transformation journey to become the first choice in sustainable packaging solutions Our 2030 vision Game-changing technology & Our value proposition, today solution innovation Sustainable innovation in Our core business Solution innovation in partnership partnership with customers with
Slide 13: Four development streams
Four development streams From… …to Complex and not recyclable mono material laminates designed to be recycled Mono Complex Multi- Not PP Layer Recyclable e.g., Mono PET /Alu/PE PE PET/metPET/PE Simple Mono Weight CO2 Recyclable Mono material reduction reduction Paper/metPET/PE PET/PE PAP PET/EVOH PE
Slide 14: We uniquely combine the power of 3: protection, recyclability, and affordability
We uniquely combine the power of 3: protection, recyclability, and affordability R ECYCL ABI L I TY P ROTEC TION • Recycling of flexible packaging made possible, complex • Guaranteed protection and shelf structures made simple – life – no compromise on highest level of mono-material protecting food
Slide 15: Transformation
Transformation Huhtamaki
Slide 16: Footprint Optimization - Capacity consolidation
Footprint Optimization - Capacity consolidation • 3 manufacturing sites were consolidated during the quarter • The three site’s sales has not been material • The capacity of these 3 plants has shifted to larger sites to benefit from scale • Footprint optimization based on • Changing Market Dynamics
Slide 17: Financial calendar 2023
Financial calendar 2023 October 17, 2023 Financial result Q3 and Q1-Q3 2023 16 July 20, 2023 Earnings Presentation April-June 2023
Slide 18: For further information, please contact us
For further information, please contact us: investor.communication@huhtamaki.com https://www.huhtamaki.com/en-in/flexible-packaging/investors 17 July 20, 2023 Earnings Presentation April-June 2023
Slide 19: Thank you
Thank you Huhtamaki