Ashok Chaturvedi, chairman and managing director, UFlex, said, “FY24 has begun on the right note with packaging verticals delivering strong performances. Globally, the packaging films business is facing headwinds due to high inflation in the US and European regions. In India, we have seen an uptick in demand, and our new CPP and BOPET lines in Dharwad, Karnataka are operational, which resulted in a 22% YoY increase in sales volume in the quarter. Our backward integration strategy of manufacturing polyester resin chips, investments in sustainable products and solutions, technology, and continued focus on recycling, decarbonization, and other environment-friendly manufacturing processes will help us achieve our business and strategic goals.”

Rajesh Bhatia, Group CFO, UFlex, said, “While the packaging films business in India and globally continues to remain sluggish, UFlex’s flexible packaging and aseptic packaging business continues to perform well. Despite the impact of an early monsoon in 2023, we have witnessed a 7% YoY increase in sales volume in the packaging business in the quarter. By debottlenecking the existing aseptic packaging plant at Sanand, Gujarat, we intend to achieve a capacity of about 12 billion packs per annum from April 2024 onward. Our continued focus on exports has resulted in a 56% YoY increase in exports from India to touch Rs 400-crore.”

The company continued the momentum in innovation and product development with a slew of launches in Q1.

Q1 FY24 Highlights (consolidated)
Revenue at Rs 3,278-crore; a decrease of 19% YoY

EBITDA at Rs 304-crore; a decrease of 58% YoY

Loss after tax at Rs 416-crore against PAT of Rs 375-crore in Q1 FY23. 

Exceptional loss of Rs 382-crore due to change in the Forex Policy of the Central Bank of Nigeria in June 2023

Total sales volume at 1,43,159 tonnes; down 7.5% YoY