Huhtamaki Oyj · OMXHEX:HUH1V
Huhtamaki Oyj — Q1 2025 Earnings Presentation
25 slides from Huhtamaki Oyj's earnings presentation, Apr 24, 2025
Slide 1: Stable performance in a volatile environment
Stable performance in a volatile environment Interim Report Q1 2025 Ralf K. Wunderlich President and CEO Thomas Geust CFO
Slide 2: Stable performance in a volatile environment
Q1 2025 Stable performance in a volatile environment • Market trends - Uncertainty increased again during Q1 • Financial performance stable and at the previous year’s level • Program to improve efficiency proceeding well; total savings EUR 87m and costs EUR 25m by the end of Q1 • We have taken actio
Slide 3: Closely managing the tariff situation
Closely managing Overall, the situation is evolving and it’s early to the tariff situation draw conclusions. We are well positioned to manage the situation • Our business is mostly local for local, neutral direct impact expected • Actively monitoring and adapting according to the development in the
Slide 4: Our 2030 Profitable Growth Strategy
Our 2030 Profitable Growth Strategy Scale up profitable Develop blueloop Operational core businesses sustainable innovation excellence in partnership with our customers With a focus on: 1 • Profitable growth supported by all levers Organic growth 2 • Disciplined capital allocation Reduced capex, sti
Slide 5: Actions taken in our focus areas
Actions taken in our focus areas Profitable growth Disciplined capital Accountability and 1 supported by all levers 2 allocation 3 speed of execution Organic growth Capex moderated but still above Empower segments with clear accountability • Focused approach to enable our depreciation allowing for g
Slide 6: Acquisition of Zellwin Farms
Acquisition of Zellwin Farms • Privately-owned manufacturer of molded fiber egg flats and cartons • One factory in Florida, US • EV USD 18 million • Net sales (2024) USD ~20 million • Value and margin accretive transaction from year 1 • Provides the North America segment with increased capacity in a
Slide 7: Business performance
01 Business performance 7 April 24, 2025 Q1 2025
Slide 8: Adj. EPS increased despite flat adj. EBIT
Adj. EPS increased despite flat adj. EBIT MEUR Q1 25 Q1 24 Change • Net sales at the previous year’s level: • Comparable growth: -2% Net sales 1,001.6 1,003.9 0% • Support from changes in 1 98.5 98.8 0% currencies: 1% Adjusted EBIT • Adj. EBIT and margin at the previous Margin 9.8% 9.8% year’s level
Slide 9: Foodservice Packaging: Soft demand weighed on performance
Foodservice Packaging: Soft demand weighed on performance Key figures, MEUR Q1 25 Q1 24 Change Net sales (EUR million) Net sales 234.2 241.1 -3% Comparable growth -4% -5% 252 241 234 247 249 Adjusted EBIT1 19.8 22.0 -10% 2024 Margin 8.5% 9.1% 2025 Adjusted RONA 9.9% 10.8% Capital expenditure 4.7 5.4
Slide 10: North America: Timing of sales impacted performance
North America: Timing of sales impacted performance Key figures, MEUR Q1 25 Q1 24 Change Net sales (EUR million) Net sales 345.6 344.1 0% Comparable growth -3% -3% 370 386 Adjusted EBIT1 40.5 47.9 -15% 344 346 359 2024 Margin 11.7% 13.9% 2025 Adjusted RONA 18.5% 19.6% Capital expenditure 12.3 14.6 -
Slide 11: Flexible Packaging: Focus on margin improvement yielded results
Flexible Packaging: Focus on margin improvement yielded results Key figures, MEUR Q1 25 Q1 24 Change Net sales (EUR million) Net sales 328.7 335.2 -2% Comparable growth -2% -1% 335 329 326 334 327 Adjusted EBIT1 26.6 21.6 23% 2024 Margin 8.1% 6.4% 2025 Adjusted RONA 7.5% 6.6% Capital expenditure 5.7
Slide 12: Fiber Packaging: Strong performance continued
Fiber Packaging: Strong performance continued Key figures, MEUR Q1 25 Q1 24 Change Net sales (EUR million) Net sales 95.8 85.0 13% Comparable growth 10% 1% 96 99 92 88 Adjusted EBIT1 12.3 8.6 43% 85 2024 Margin 12.8% 10.1% 2025 Adjusted RONA 15.9% 14.6% Capital expenditure 7.4 3.5 >100% 1 Operating
Slide 13: Financial review
02 Financial review 13 April 24, 2025 Q1 2025
Slide 14: EPS driven by lower financing costs
EPS driven by lower financing costs MEUR Q1 25 Q1 24 Change Q1 commentary: Net sales 1,001.6 1,003.9 0% 1 • Net sales and adj. EBIT at the Adjusted EBITDA 152.0 149.0 2% previous year’s level 1 Margin 15.2% 14.8% • Financing costs decreased Adjusted EBIT2 98.5 98.8 0% Margin 2 9.8% 9.8% • High level
Slide 15: Currency impact turned positive
Currency impact turned positive Average Average Change in Change in Closing rates rate rate average closing Q1 24 Q1 25 rate Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 rate (YoY) (YoY) USD 1.09 1.05 3% 1.08 1.07 1.12 1.04 1.08 0% Foreign currency INR 90.18 91.12 -1 % 90.13 89.24 93.38 89.27 92.35 -2% translation
Slide 16: Net debt to adjusted EBITDA stable at 2.0
Net debt to adjusted EBITDA stable at 2.0 Net debt, net debt/adj. EBITDA and gearing Covenant level 3.75 • Net debt/Adj. EBITDA at 2.0 1,249 1,255 1,252 1,220 1,216 • At the end of Q1 2025: Ambition 2.1 • Cash and cash equivalents 2.0 2.0 2.0 2.0 2–3 EUR 277 million • Unused committed credit Net deb
Slide 17: Loan maturities
Loan maturities Debt maturity structure March 31, 2025 (EUR million) 600 • Average maturity 2.9 years at the 500 end of Q1 2025 (2.6 at the end of Q1 2024) 400 300 200 100 0 2025 2026 2027 2028 2029 Later Lease liabilities Available unused committed facilities Drawn committed credit facilities Comme
Slide 18: Cash flow decreased due to an increase in working capital
Cash flow decreased due to an increase in working capital Free cash flow bridge (EUR million) Change in working capital the main 150 negative factor, due to: 138 • Increase in inventory 38 • Decrease in payables 0 10 2 -4 -8 -2 -11 0 Support from: -30 -37 -22 -55 • Higher reported EBITDA • Lower cap
Slide 19: Financial position continued to improve
Financial position continued to improve MEUR Mar 2025 Mar 2024 Total assets 4,838 4,768 • Working capital increased Working capital 669 608 • Net debt flat, gearing Net debt 1,252 1,249 decreased somewhat Equity & non-controlling interest 2,110 2,000 • Adjusted ROI improved Gearing 0.59 0.62 Adjuste
Slide 20: Progress towards long-term financial ambitions
Progress towards long-term financial ambitions Long-term 2018 2019 2020 2021 2022 2023 2024 Q1 25 ambition Comparable net sales growth 5% 6% -2% 7% 15% -2% 0% -2% 5-6% Adjusted EBIT margin 8.1% 8.6% 9.1% 8.8% 8.8% 9.4% 10.1% 9.8% 10-12% Adj. ROI 11.6% 12.3% 11.7% 11.3% 11.0% 11.2% 12.1% 12.0% 13-15%
Slide 21: Looking forward
03 Looking forward 21 April 24, 2025 Q1 2025
Slide 22: Outlook for 2025 and short-term risks and uncertainties
Outlook for 2025 and short-term risks and uncertainties Outlook for 2025 Short-term risks and uncertainties The Group’s trading conditions are expected to remain Decline in consumer demand, inflation in key cost items relatively stable during 2025. The good financial position (including raw material
Slide 23: Upcoming events
July 24, 2025 Half-yearly Report Upcoming events October 23, 2025 Q3 Interim Report 23 April 24, 2025 Q1 2025
Slide 24: Disclaimer
Disclaimer Information presented herein contains, or may be deemed to contain, forward-looking statements. These statements relate to future events or Huhtamäki Oyj’s or its affiliates’ (“Huhtamaki”) future financial performance, including, but not limited to, strategic plans, potential growth, expe
Slide 25: Thank you.
Thank you. Contact us at ir@huhtamaki.com