Huhtamaki India's Q3 2025 profit surges on improved margins

Huhtamaki India Limited reported a substantial surge in profit before tax (PBT) for Q3 2025, reaching INR492 million, a 3.5x increase compared to INR143 million in Q3 2024. This also represents a 50% rise from Q2 2025's PBT of INR331 million. Net profit after exceptional items and income tax for the quarter stood at INR368 million, up from INR117 million in Q3 2024. Earnings per share (EPS) for the quarter was INR4.87. While overall volumes for Q3 2025 declined year-on-year, revenue reached INR6 billion, a modest 2.2% growth over Q2 2025.

The company attributed the improved performance to a favorable sales mix and enhanced operational efficiencies. EBIT percentage for Q3 2025 reached 8.6%, with EBITDA exceeding 10% for the first time in many quarters. Debt levels saw a reduction, with INR1 billion repaid in September 2024, leaving INR1 billion outstanding. The company also noted a "golden quarter" with no lost-time incidents across its sites in the last 90 days.

Looking ahead, management anticipates volume growth and continues to focus on value-added, recyclable products, which currently constitute 27% to 30% of total sales. Upcoming GST reforms are expected to boost growth for FMCG companies, potentially leading to increased consumption and premiumization that could benefit Huhtamaki India.