UFlex Limited, India’s largest integrated flexible packaging and Solutions Company, announced its unaudited consolidated results for the first quarter of fiscal year 2026.

The company reported net revenue of Rs. 3,921.9 crore, marking a 6.4 per cent year-on-year increase. Normalized EBITDA stood at Rs. 469.8 crore with a margin of 12 per cent. Net profit after non-controlling interest was Rs. 58 crore compared to a loss of Rs.98.5 crore in Q1 FY25.

The company continued its growth momentum from the second half of FY25, despite challenges from an unpredictable tariff environment affecting global trade sentiment. With manufacturing facilities in nine countries, UFlex remains well-positioned to navigate these headwinds. Exports from Mexico to the United States continue to benefit from the USMCA trade agreement.

Total sales volume reached 170,504 MT (excluding third-party PET chips sales), reflecting growth of 7.9 per cent year-on-year and 3.2 per cent sequentially. Packaging films accounted for 76.1 per cent of this volume, with the remainder coming from the packaging business. Packaging films sales rose 6.8 per cent year-on-year, while packaging sales increased 11.7 per cent.

The company’s virgin PET chips plant in Egypt, commissioned in Q4 FY25, achieved 74.8 per cent capacity utilization in its first full quarter. In India, the Panipat facility operated at 96.6 per cent utilization.

Regionally, India contributed 49.1 per cent of total revenue, followed by the Americas and Europe at 17.6 per cent each, and the Middle East & Africa at 13.2 per cent. The packaging business, which includes flexible packaging, aseptic liquid packaging, and holography, recorded robust growth despite a subdued summer season. The company noted encouraging trends in Extended Producer Responsibility (EPR) compliance, with brand owners beginning to integrate recycled materials into their packaging.

In the packaging films segment, global production remained stable, with notable growth in India, CIS, and Hungary. The Americas experienced a slight volume decline due to high inventory levels and tariff-related uncertainty, while Europe saw modest growth led by Hungary and CIS markets. In the MEA region, domestic demand in Nigeria and the UAE remained strong, although Nigeria’s exports to the US declined due to tariff effects.

Capital expenditure during the quarter was Rs. 411.7 crore, directed towards major projects including an aseptic packaging facility in Egypt, a WPP bag manufacturing unit in Mexico, expansion of the Sanand aseptic packaging plant, and a PET/MLP recycling unit in Noida. These projects are expected to be operational in FY26, enhancing capacity, revenues, and profitability from FY27 onwards.

Chairman and Managing Director Ashok Chaturvedi highlighted the company’s focus on operational excellence, innovation, and sustainability. He noted that new projects, including PET chips plants in Egypt and India, the aseptic packaging expansions, the WPP bags facility in Mexico, and the Noida recycling plant, will create significant shareholder value.

Group President and CFO Rajesh Bhatia emphasized the company’s resilience, with YoY growth in sales volumes, revenues, and EBITDA despite tariff uncertainties. He pointed to strong performance in aseptic packaging and ongoing efforts to align with India’s EPR mandates through rPET production and sustainable packaging solutions.

UFlex remains committed to sustainability, having recycled 222 million PET bottles and 2,526 MT of MLP waste in Q1 FY26. The company is also introducing an FSSAI-compliant single-pellet rPET chip solution, simplifying compliance for food and beverage brands.

As of June 30, 2025, gross debt stood at Rs. 8,590.6 crore and net debt at Rs.7,305.5 crore, with a net debt-to-normalized annualized EBITDA ratio of 3.89x.

Founded in 1985, UFlex operates across the entire packaging value chain, serving clients in over 150 countries from facilities in India, UAE, Mexico, Egypt, USA, Poland, CIS, Nigeria, and Hungary.