Rajesh Bhatia, group CFO at Uflex, said, “The performance during this quarter is exceptional against the backdrop of huge volatility in crude oil prices. From a high of USD84.94 on 1 October 2018, the Brent crude prices kept on falling consistently to USD50.57 on 28 December 2018, thereby registering a fall of over 40% during the quarter. Such a consistent steep fall often results in de-stocking by the customers to avoid inventory losses and still the overall sales volume increased by 3.1% YoY. “

It's consolidated EBITDA for Q3 FY18-19 stood at Rs 227.7-crore, showing an increase of 13.6% YoY while the consolidated net profit rose marginally by 3.8% YoY to 54-crore for Q3 FY19.

“The aseptic packaging business continues to grow and has currently over 40 customers spanning across juice, dairy and alcohol segments and we expect EBITDA breakeven in Q4,” Bhatia added.

Uflex's total Production Volume during the quarter was 96876 metric-tonnes (MT) up 4.4% YoY and the total sales volume rose by 3.1% YoY to 94229 MT. 

Ashok Chaturvedi, chairman and managing director, Uflex, said, “The flexible packaging industry has been working on plastic waste management and sustainability and it is influencing many packaging decisions. All FMGG and pharma brands are looking at bespoke recyclable and biodegradable packaging solutions that are also cost-effective and Uflex is confident of providing leadership in these endeavours, this year.”

Few of Uflex’s key product launches and developments in Q3 FY18-19 include a US Patent granted to Flex Films USA for a breakthrough BOPET Film used for alu-alu blister packaging.; fast tear Strip foil; PET-based cold form blister; child resistant and senior friendly (CRSF) foil, among others.

“Uflex had taken a lead in putting up Recycling plants ahead of most manufacturers globally. In continuation of our efforts towards sustainability, we have successfully commissioned our pyrolysis plant at Noida facility in this quarter, making our packaging division a zero discharge unit,” Chaturvedi added.