Financial Results

Huhtamaki India Q2 2026 Results: Net Sales Rise 23%, Profit Surges 75%

NSE

huhtamaki

BSE

509820

Huhtamaki India Limited reported a strong Q2 2026 performance with net sales increasing 23.1% YoY to ₹728.6 crore, supported by a healthy mix of volume and pricing.
Profit after tax rose 75.3% YoY, while EBITDA and EBIT improved significantly, reflecting operational efficiencies despite a one-time impairment charge.

PRICE-SENSITIVE TRIGGER

Event: Huhtamaki India announced its Q2 2026 financial results and investor presentation.

Type: Financial Results

Impact: Positive

Immediate Effect: The company delivered strong revenue growth and margin expansion, driven by higher volumes, pricing actions and improved operating efficiencies.

Metrics:

Key Financial Metrics:

Net Sales: ₹728.6 crore (+23.1% YoY)
EBITDA: ₹76.4 crore (+55.1% YoY)
EBITDA Margin: 10.5% (vs 8.3%)
EBIT: ₹62.2 crore (+71.8% YoY)
EBIT Margin: 8.5% (vs 6.1%)
Profit Before Tax: ₹58.8 crore (+76.0% YoY)
Profit After Tax: ₹43.7 crore (+75.3% YoY)
EPS: ₹5.79 (+75.3% YoY)
Net Debt: Nil
Cash & Bank Balances: ₹270.6 crore
Liquid Mutual Fund Investments: ₹125.3 crore

Highlight:

Net sales increased 23.1% YoY to ₹728.6 crore.

What Happened ?

Huhtamaki India delivered a strong second quarter with double-digit growth across revenue and profitability. Sales were supported by a balanced mix of volume growth and pricing actions, while operational efficiencies contributed to higher margins.

The company noted that commodity cost pressures arising from the Middle East crisis were offset through pricing, although profitability was partially impacted by a one-time impairment charge.

key details

Operational & Business Highlights:

Revenue growth was driven by a healthy combination of higher sales volumes and pricing actions implemented to offset commodity inflation.
The company remained focused on profitable growth through disciplined capital allocation, stronger operational execution and improved accountability.
Huhtamaki India maintained a net debt-free balance sheet while holding ₹270.6 crore in cash and bank balances and ₹125.3 crore in liquid mutual fund investments.
Working capital increased mainly because of higher inventory levels and trade receivables, while the overall financial position remained stable.
The company continued its sustainability initiatives, including expanded recycled content usage, packaging lightweighting, Zero Liquid Discharge operations across multiple facilities and preparations for solar captive power generation at Khopoli.

Note:

Management indicated that H1 2026 included a non-recurring depreciation adjustment of ₹8.8 crore, partly offset by a deferred tax benefit of ₹2.2 crore.

Risk Analysis

Summary:

While the company reported strong operating performance, future results remain exposed to raw material prices, working capital movements and broader economic conditions.

Key Risks:

Commodity inflation and raw material price volatility could affect future margins.
Higher inventories and receivables increased operating working capital during the quarter.
Forward-looking performance remains subject to market demand, competitive pricing and macroeconomic conditions.
Profitability during the quarter was partially affected by a one-time impairment charge.

Worst Case:

Sustained commodity inflation or weaker demand could pressure margins and slow earnings growth despite the company’s strong balance sheet.

Risk Level: Medium

Company Commentary

Management stated that revenue growth was driven by a healthy mix of volume expansion and pricing actions that offset commodity inflation.
The company said operational efficiencies supported higher EBITDA and EBIT despite the impact of a one-time impairment charge.
Huhtamaki India reaffirmed its focus on profitable growth, disciplined capital allocation and stronger accountability in line with its global strategy.
Management highlighted continued investments in sustainability through renewable energy, circular packaging and water conservation initiatives.

Official Exchange Filing: Huhtamaki India Limited

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