Huhtamaki India Targets Margin Enhancement Through Efficiency and Premium Packaging
Huhtamaki PPL, a subsidiary of Huhtamäki Oyj, reported improved profitability in Q3 despite a 4.70% decrease in net sales. The company's EBIT increased by 172.10% year-over-year, with EBIT margin rising to 8.60%. This improvement is attributed to a favorable sales mix and cost efficiency programs. Huhtamaki India plans to further enhance margins through operational efficiency and the introduction of new premium packaging solutions, aligning with its Huhtamaki Strategy 2030 for sustainable packaging.

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Huhtamaki PPL , a subsidiary of global packaging solutions provider Huhtamäki Oyj, has unveiled plans to boost its profit margins through a two-pronged approach: improving operational efficiency and introducing new premium packaging solutions. This strategic move comes as the company navigates a challenging market environment marked by lower sales volumes.
Financial Performance
In its recently released Q3 results, Huhtamaki India reported:
Metric | Q3 2025 | Q3 2024 | YoY Change |
---|---|---|---|
Net Sales | ₹6,049.00 | ₹6,347.00 | -4.70% |
EBIT | ₹521.00 | ₹191.00 | +172.10% |
EBIT Margin | 8.60% | 3.00% | +5.60 percentage points |
Despite the decrease in sales, the company has managed to significantly improve its profitability, with EBIT more than doubling compared to the same period last year.
Strategic Initiatives
Dhananjay Salunkhe, Managing Director of Huhtamaki India, commented on the company's performance: "During Q3 and the 9-month period ended Sep 2025, the revenues are almost range bound compared to corresponding periods of the previous year. However, in-spite of the slight dip in sales, the margins have improved significantly for both Q3 as well as the 9-month period vs the corresponding periods of last year."
The company attributes this improvement to:
- Favorable sales mix
- Cost efficiency programs across the value chain
Huhtamaki India plans to build on this success by:
- Enhancing margins through continued efficiency improvements
- Introducing new premium packaging solutions
- Focusing on long-term profitable growth initiatives
Sustainability Focus
As part of its Huhtamaki Strategy 2030, the company aims to position itself as the first choice in sustainable packaging solutions. This aligns with global trends towards environmentally friendly packaging options and may contribute to the company's premium product offerings.
Market Outlook
While Huhtamaki India faces challenges in terms of sales volume, its focus on operational efficiency and premium solutions suggests a strategic shift towards higher-value products. This approach may help the company navigate the current market environment and potentially capture more lucrative market segments.
The company's ability to improve profitability despite lower sales volumes indicates resilience and effective management of its cost structure. However, investors should monitor whether Huhtamaki India can sustain this margin improvement and successfully introduce premium packaging solutions to drive future growth.
As the packaging industry continues to evolve, with increasing emphasis on sustainability and innovation, Huhtamaki India's strategic initiatives position it to potentially capitalize on these trends. The coming quarters will be crucial in determining the effectiveness of the company's margin enhancement and product development strategies in driving long-term growth and profitability.
Historical Stock Returns for Huhtamaki PPL
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
-1.23% | -2.73% | -0.46% | +17.21% | -41.96% | -23.83% |