Huhtamäki Oyj’s Interim Report January 1–March 31, 2024: Improved operational profitability


Q1 2024 in brief

  • Net sales decreased 4% to EUR 1,004 million (EUR 1,047 million)
  • Comparable net sales growth was -2% at Group level
  • Reported EBIT was EUR 78 million (EUR 87 million); adjusted EBIT was EUR 99 million (EUR 92 million)
  • Reported EPS was EUR 0.35 (EUR 0.47); adjusted EPS was EUR 0.55 (EUR 0.51)
  • The impact of currency movements was EUR -17 million on the Group's net sales and EUR -2 million on EBIT

Key figures

EUR million Q1 2024 Q1 2023 Change 2023
Net sales 1,003.9 1,047.1 -4% 4,168.9
Comparable net sales growth -2% 2%   -2%
Adjusted EBITDA1 149.0 140.5 6% 590.1
Margin1 14.8% 13.4%   14.2%
EBITDA 137.7 138.1 -0% 621.2
Adjusted EBIT2 98.8 92.1 7% 392.6
Margin2 9.8% 8.8%   9.4%
EBIT 77.6 87.4 -11% 380.9
Adjusted EPS, EUR3 0.55 0.51 7% 2.32
EPS, EUR 0.35 0.47 -27% 1.97
Adjusted ROI2 11.5% 10.7%   11.2%
Adjusted ROE3 13.3% 13.7%   13.2%
ROI 10.7% 11.0%   10.9%
ROE 11.0% 14.3%   11.8%
Capital expenditure 36.6 65.2 -44% 318.7
Free Cash Flow 38.2 42.6 -10% 321.4
1 Excluding IAC of -11.3 -2.4   31.1
2 Excluding IAC of -21.2 -4.7   -11.7
3 Excluding IAC of -20.9 -3.9   -35.9

Unless otherwise stated, all comparisons in this report are compared to the corresponding period in 2023. Figures of return on investment (ROI), return on equity (ROE) and return on net assets (RONA) as well as net debt to EBITDA presented in this report are calculated on a 12 month rolling basis.

IAC includes, but is not limited to, material restructuring costs and acquisition related costs (gains and losses on business combinations, professional and legal fees, material purchase price accounting adjustments for inventory, material purchase price amortization of intangible assets and changes in contingent considerations) as well as material impairment losses and reversals, gains and losses relating to sale of intangible and tangible assets, implementation costs concerning large projects with SaaS cloud computing technology, fines and penalties imposed by authorities and extraordinary taxes.

The figures in the tables are exact figures and consequently the sum of individual figures may deviate from the sum presented. Key figures have been calculated using exact figures.

President and CEO’s review

During the first quarter of 2024, consumption remained sensitive to unchanged interest rates and slow easing of inflation. While we saw signs of increasing demand, with differences between geographies and categories, the pricing pressure in the value chain increased. Raw materials and energy costs remained favorable while labor costs continued to increase.

First quarter sales volumes remained at the previous year's level, and improved from the second half of 2023. Though consumption is still sensitive to inflation, the demand trend is encouraging, further reflecting the benefits of our continued investments in new innovative products and capacity. Volumes were affected by the Israel-Hamas war and Red Sea crisis, impacting both the Foodservice E-A-O and Flexible Packaging segments. Net sales decreased by 4%, due to the negative currency development and pricing pressure. Adjusted EBIT increased from the previous year by 7%, and the adjusted EBIT margin improved to 9.8% compared to 8.8% in Q1 2023.

We have made progress on the efficiency program launched in 2023. The announced 100 MEUR cost savings over three years will accelerate reaching our profitability ambition. We are completing the closure of our flexible packaging site in Prague, Czech Republic, announced in 2023. In March, we announced the consolidation of our footprint in China, closing two manufacturing sites while maintaining our capability to serve our customers from our two remaining Chinese factories. In April, we announced the project to close our factory in Klang, Malaysia, to optimize our foodservice production footprint in Asia. We have also accelerated process improvements to reduce input costs, including sourcing, material usage and labor efficiency. All activities executed thus far generated a positive impact on our profit in Q1 2024.

We are encouraged by the improving operational profitability in Q1 and signs of increasing demand. Trading conditions are expected to improve compared to 2023, despite continued volatility. Our deployment of innovation and capacity, our competitiveness improvement and our solid financial position support the execution of our growth strategy.

Charles Héaulmé,
President and CEO

Financial review Q1 2024 

Net sales by business segment

EUR million Q1 2024 Q1 2023 Change  
Foodservice Europe-Asia-Oceania 241.1 256.2 -6%  
North America 344.1 358.1 -4%  
Flexible Packaging 335.2 349.1 -4%  
Fiber Packaging 85.0 86.9 -2%  
Elimination of internal sales -1.6 -3.1    
Group 1,003.9 1,047.1 -4%  


Comparable net sales growth by business segment

  Q1 2024 Q4 2023 Q3 2023 Q2 2023 Q1 2023
Foodservice Europe-Asia-Oceania -5% -5% -3% 5% 11%
North America -3% 4% 1% 1% 2%
Flexible Packaging -1% -9% -11% -11% -5%
Fiber Packaging 1% 2% 4% 7% 17%
Group -2% -3% -4% -2% 2%

The Group’s net sales decreased 4% to EUR 1,004 million (EUR 1,047 million) during the quarter. Sales prices decreased as a result of lower raw material costs while sales volumes remained at the previous year’s level. Comparable net sales growth was -2%. Demand continued to be muted by the impact of inflation, but improved slightly in certain categories and geographies, particularly in the Fiber Packaging segment. Comparable sales growth in emerging markets was -3%. Foreign currency translation impact on the Group’s net sales was EUR -17 million (EUR -0 million) compared to 2023 exchange rates.

Adjusted EBIT by business segment

        Items affecting comparability
EUR million Q1 2024 Q1 2023 Change Q1 2024 Q1 2023
Foodservice Europe-Asia-Oceania 22.0 21.2 4% -16.3 -1.5
North America 47.9 42.5 13% -1.0 -
Flexible Packaging 21.6 21.4 1% -2.4 -2.8
Fiber Packaging 8.6 10.5 -18% -1.2 -0.3
Other activities -1.3 -3.5   -0.3 -0.1
Group 98.8 92.1 7% -21.2 -4.7

Adjusted EBIT margin by business segment

  Q1 2024 Q4 2023 Q3 2023 Q2 2023 Q1 2023
Foodservice Europe-Asia-Oceania 9.1% 10.0% 10.3% 9.2% 8.3%
North America 13.9% 14.3% 13.2% 12.2% 11.9%
Flexible Packaging 6.4% 8.1% 7.2% 4.9% 6.1%
Fiber Packaging 10.1% 10.9% 12.5% 10.8% 12.1%
Group 9.8% 10.4% 9.7% 8.8% 8.8%

The Group’s adjusted EBIT increased to EUR 99 million (EUR 92 million) and reported EBIT was EUR 78 million (EUR 87 million). Adjusted EBIT increased supported by lower raw material, transportation and energy costs and the company’s actions to improve profitability. On the other hand, lower sales prices and the increase in labor costs had a negative impact on profitability. The Group’s adjusted EBIT margin increased and was 9.8% (8.8%). Foreign currency translation impact on the Group’s earnings was EUR -2 million (EUR 1 million).

Adjusted EBIT excludes EUR -21.2 million (EUR -4.7 million) of items affecting comparability (IAC), including costs of implementing operational efficiency measures.

Adjusted EBIT and IAC

EUR million Q1 2024 Q1 2023
Adjusted EBIT 98.8 92.1
Acquisition related costs -0.0 -0.1
Restructuring gains and losses, including writedowns of related assets -17.2 -2.3
PPA amortization -2.2 -2.2
Settlement and legal fees of disputes -0.1 -0.1
Property damage incidents -0.5 -
Implementation costs concerning large projects with SaaS cloud computing technology -1.2 -
EBIT 77.6 87.4

Net financial expenses were EUR 21 million (EUR 19 million). The increase was due to higher interest rates and other financing costs, partly related to the devaluation of the Egyptian pound. Tax expense was EUR 18 million (EUR 16 million). The corresponding tax rate was 32% (24%). The increase was due to certain non-deductible costs related to the restructuring program. Profit for the first quarter was EUR 39 million (EUR 52 million). Adjusted earnings per share (EPS) was EUR 0.55 (EUR 0.51) and reported EPS EUR 0.35 (EUR 0.47). Adjusted EPS is calculated based on adjusted profit for the period, which excludes EUR -20.9 million (EUR -3.9 million) of IAC.

Adjusted profit and IAC

EUR million Q1 2024 Q1 2023
Adjusted profit for the period attributable to equity holders of the parent company 57.2 53.4
IAC in EBIT -21.2 -4.7
IAC in Financial items -0.5 -0.4
IAC Tax 0.8 1.2
IAC attributable to non-controlling interest 0.1 -
Profit for the period attributable to equity holders of the parent company 36.3 49.5

Three-year program to accelerate strategy implementation and to bring MEUR 100 cost savings

On November 30, 2023, Huhtamaki announced that the company is accelerating the strategy implementation by starting a program which is expected to materially support the profitability with efficiency improvements leading to savings of approximately EUR 100 million over the next three years. All cost levers will be addressed including potential restructuring to a more optimal manufacturing footprint, reducing input costs at an accelerated pace, and improving productivity globally. The costs of the program are expected to be approximately EUR 80 million, which upon materialization will be treated as items affecting comparability.

Savings initiatives have been launched in all four areas of focus; sourcing, waste reduction, labor productivity and manufacturing footprint. The savings are expected to accumulate gradually over 3 years. All activities executed thus far have generated a positive impact on the company’s profit in Q1 2024, above the linear savings trajectory of the program. The savings contributed to the Group’s adjusted EBIT expansion of EUR 7 million, including compensating for inflation and adverse currency impacts. Program-related costs accounted for EUR 16 million in Q1 2024.

Outlook for 202
4 (unchanged)

The Group’s trading conditions are expected to improve compared to 2023. Volatility in the operating environment is expected to continue, while Huhtamaki's diversified product portfolio provides resilience. The company’s initiatives, which include the ongoing savings and efficiency program are expected to support the company’s performance. The Group’s good financial position enables addressing profitable growth opportunities.

Annual General Meeting 202

The Annual General Meeting of Shareholders (AGM) will be held on Thursday, April 24, 2024 at 11:00 (EEST) at Scandic Marina Congress Center, Katajanokanlaituri 6, Helsinki, Finland.


Huhtamaki will arrange a combined audiocast and teleconference on April 25, 2024 at 9:00 (please note the exceptional time). Huhtamaki’s CEO & President Charles Héaulmé and CFO Thomas Geust will present the results, followed by a Q&A session. The event will be held in English and it can be followed in real-time.

A link to the audiocast is available at:

A link to the teleconference is available at: Registration is required for the teleconference. After the registration you will be provided with phone numbers and a conference ID to access the conference.

An on-demand replay of the audiocast will be available shortly after the end of the call at

Financial reporting in 202

In 2024, Huhtamaki will publish financial information as follows:

Half-yearly Report, January 1 - June 30, 2024                       July 25

Interim Report, January 1 - September 30, 2024                  October 24

This is a summary of Huhtamäki Oyj's Interim Report January 1 - March 31, 2024. The complete report is attached to this release and is also available at the company website at

For further information, please contact:
Kristian Tammela, VP, Investor Relations, tel. +358 10 686 7058

Global Communications

About Huhtamaki

Huhtamaki is a leading global provider of sustainable packaging solutions for consumers around the world. Our innovative products protect on-the-go and on-the-shelf food and beverages, and personal care products, ensuring hygiene and safety, driving accessibility and affordability, and helping prevent food waste. We embed sustainability in everything we do. We are committed to achieving carbon neutral production and designing all our products to be recyclable, compostable or reusable by 2030. Our blueloopTM sustainable packaging solutions are world-leading and designed for circularity.

We are a participant in the UN Global Compact, Huhtamaki is rated ‘A’ on the MSCI ESG Ratings assessment and EcoVadis has awarded Huhtamaki with the Gold medal for performance in sustainability. To play our part in managing climate change, we have set science-based targets that have been approved and validated by the Science-Based Targets initiative.

With 100 years of history and a strong Nordic heritage we operate in 37 countries and 107 operating locations around the world. Our values Care Dare Deliver guide our decisions and help our team of around 18 000 employees make a difference where it matters. Our 2023 net sales totalled EUR 4.2 billion. Huhtamaki Group is headquartered in Espoo, Finland and our parent company, Huhtamäki Oyj, is listed on Nasdaq Helsinki Ltd. Find out more about how we are protecting food, people and the planet at


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