UFlex net profit jumps by 96% in Q3FY22

Owing to the global expansions and contributions being made by the new lines that were commissioned in the past quarters, total production volume surpassed its previous record to reach 153,441 MT in Q3FY22 witnessing a jump of 38% year-on-year whereas total sales volume mirrored the 38% year-on-year increase to reach 154,224 MT.

Rajesh Bhatia, Group CFO, UFlex, said, “Rapid technological advancements, rising consumption, regulatory focus and brands’ commitment to move towards sustainable packaging have resulted in significant changes for the plastics industry to expand locally and globally. However, after last year’s slump, the crude oil prices are rising again and the growing input costs are a cause for concern. Its impact across industries and on prices of raw materials in addition to other products is going to be more pronounced. This quarter indicates a high in packaging films production volume with the contribution to our topline coming from the newly commissioned overseas capacities reflected in year-on-year growth of 46.3% in packaging films production volume. Looking ahead, we are expecting incremental growth in forthcoming quarters as we operationalise our new aseptic liquid packaging capacity in Sanand and packaging films lines in Karnataka & Dubai.”

Ashok Chaturvedi, chairman and managing director, UFlex, said, “Packaging waste management, especially of plastic is an ever-increasing area of focus, across the world. UFlex has been walking the green path by recycling post-consumer MLP mixed plastic waste; upcycling recycled resins into post-consumer recycled (PCR) films range and also creating solutions that use lesser amount of virgin plastic at source. The new high-value line of products and solutions including the proposed enzyme-based biodegradable packaging solution are aimed at adoption of responsible packaging and reflects our increased focus and investments in R&D. UFlex has already been recycling close to 30,000 tonnes of plastic waste per year and our target is to reach 1,00,000 tonnes. The new recycling lines to be commissioned in our Mexico and Poland facility and the proposed recycling infrastructure in Egypt will help us realise our vision. We are also expecting the new EPR regulations in India shortly which will bring more certainty towards sustainable packaging.”