UFlex records 26.8% yoy revenue increase for Q2FY23; Stock plunges near 5%

15 Nov 2022 , 01:22 PM

UFlex Ltd, India's largest multinational in flexible packaging solutions has  announced its consolidated financial results for the second quarter and half year ended September 30, 2022.

The consolidated revenue of the company grew 26.8% yoy to Rs3848.8 crore in Q2FY23. The company's Earnings before interest, depreciation & amortization and tax (EBITDA) recorded an increase of 16.2% yoy and company's Profit after Tax (PAT) increased by 11. 7% to Rs190.7 crore yoy.

In Q2, 2022, the total production volume grew 1.5% YoY to 151865 Tons and the sales volumes grew 1.8% YoY to 149737 Tons. Aseptic packaging sales volume grew by 139% YoY.

Q2 FY2023 Highlights

• EBITDA recorded an increase of 16.2% YoY to Rs493.2 crore
• Aseptic Packaging sales volumes increase by 149% yoy
• PAT at Rs190.7 crore in the September quarter -11.7% YoY growth
• Continued progress on sustainability priorities with recycling facilities close to commissioning in Mexico and Poland

Ashok Chaturvedi, Chairman and Managing Director UFlex Ltd., stated, "Our consistent focus on product innovation, sustainability, vertical-integration, and customer orientation continue to pay rich dividends.

In line with our continued focus and investments in sustainability, we are in the process of commissioning our Post-Consumer Recyclate (PCR) and Multi-Layered Plastic (MLP) recycling facilities in Mexico and Poland. We have commissioned a CPPpackaging films plant with a capacity of 18000 MTPA at Dharwad, India during the quarter.

While the flexible packaging industry has witnessed stupendous growth in the last many years, the emanating energy challenges in Europe coupled with the impending fear of global recession/high inflation in USA and Europe resulting in aggressive changes in monitory policies of major central banks has had an impact on the packaging films industry during the quarter.

Having said that, we are confident of sustaining our leadership position across product categories in the packaging industry".

At around 1:19 PM, Uflex Ltd is currently trading at Rs645.35 per share down by Rs32.95 or 4.86% from its previous closing of Rs678.30 per  share on the BSE.

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