Huhtamäki Oyj’s Interim Report January 1–March 31, 2025: Stable performance in a volatile environment

Core Insights - Huhtamaki Oyj reported stable financial performance in Q1 2025 despite a volatile market environment, with net sales remaining at EUR 1,002 million, a slight decrease of 0% compared to Q1 2024 [5][12] - The company achieved adjusted EBITDA of EUR 152 million, reflecting a 2% increase year-over-year, and reported EBIT increased by 21% to EUR 94 million [2][19] - The company is focused on efficiency improvements and has achieved EUR 87 million in cost savings as part of its ongoing efficiency program [7][22] Financial Performance - Net sales for Q1 2025 were EUR 1,001.6 million, compared to EUR 1,003.9 million in Q1 2024, indicating a 0% change [2][5] - Comparable net sales growth was -2% at the Group level, with notable declines in Foodservice Packaging and Flexible Packaging [12][14] - Adjusted EPS increased by 7% to EUR 0.59, while reported EPS rose significantly by 57% to EUR 0.54 [2][19] Segment Performance - Foodservice Packaging saw a 3% decline in sales, while North America remained stable with 0% change [12][14] - Fiber Packaging delivered strong growth with a 13% increase in sales, contributing positively to the overall performance [12][14] - Adjusted EBIT for Fiber Packaging increased by 43%, while Foodservice Packaging and North America experienced declines of 10% and 15%, respectively [15][16] Cost Management and Efficiency - The company has implemented a three-year program aimed at achieving EUR 100 million in cost savings, with EUR 87 million already realized by the end of Q1 2025 [21][22] - Program-related costs accounted for EUR 25 million, including benefits from divesting real estate in China [22] - The company continues to focus on disciplined capital allocation and accountability to enhance operational efficiency [9][10] Market Outlook - The trading conditions for 2025 are expected to remain stable, allowing the company to pursue profitable growth opportunities [23] - Increased market uncertainty due to geopolitical events has led to cautious behavior among customers and consumers [6][11] - The company is actively monitoring market developments and adapting its strategies accordingly [11]