ESPOO, Finland – Huhtamäki Oyj reported today fourth quarter and full-year results for 2024 reflecting a solid year in a gradually improved market. The Group’s net sales increased by 2% to EUR 1,059 million (EUR 1,033 million) during the quarter. Comparable net sales growth was 3%, as sales volumes increased. Demand improved, supported by customers’ promotional activities. The impact of inflation on demand was still negative, but gradually eased as wages increased.
At the same time, the boycotts of global brands in certain markets continued to have a negative impact. Comparable sales growth in emerging markets was -0%. Foreign currency translation impact on the Group’s net sales was EUR -2 million (EUR -44 million) compared to 2023 exchange rates.
The Group’s adjusted EBIT increased to EUR 110 million (EUR 108 million in 2023) and reported EBIT was EUR 95 million (EUR 146 million) in the quarter. Adjusted EBIT increased, supported by the company’s actions to improve profitability and higher sales volumes.
On the other hand, the increases in labor, transportation and energy costs had a negative impact. The Group’s adjusted EBIT margin remained the same and was 10.4% (10.4%). Foreign currency translation impact on the Group’s earnings was EUR -0 million (EUR -5 million).
Adjusted EBIT excludes EUR -15.3 million (EUR 38.5 million) of items affecting comparability (IAC), including costs of implementing operational efficiency measures.
Huhtamäki Oy: Full-year results
Full-year net sales decreased by 1% to EUR 4,126 million (EUR 4,169 million) during the reporting period, and comparable net sales growth was -0%. Demand improved during the second half of the year, after a muted first half.
The impact of inflation and boycotts of global brands in certain markets had a negative impact on demand. Net sales were weighed on by changes in currencies and lower pricing, while sales volumes increased slightly. Comparable sales growth in emerging markets was -2%. Foreign currency translation impact on the Group’s net sales was EUR -37 million (EUR -153 million) compared to 2023 exchange rates.
The Group’s adjusted EBIT increased to EUR 417 million (EUR 393 million) and reported EBIT was EUR 372 million (EUR 381 million). Adjusted EBIT increased by 6% supported by the company’s actions to improve profitability as well as lower raw material and energy costs. 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 10.1% (9.4%). Foreign currency translation impact on the Group’s earnings was EUR -4 million (EUR -15 million).
Adjusted EBIT excludes EUR -44.7 million (EUR -11.7 million) of items affecting comparability (IAC), including costs of implementing operational efficiency measures and positive impacts from divestment of real estate in China and India.
Huhtamäki Oyj: Outlook for 2025
The Group’s trading conditions are expected to remain relatively stable during 2025. The good financial position will enable the Group to address profitable growth opportunities.
Dividend proposal
On December 31, 2024, Huhtamäki Oyj’s distributable funds were EUR 1,496 million (EUR 836 million). The Board of Directors will propose to the Annual General Meeting that a dividend of EUR 1.10 (EUR 1.05) per share be paid.
