UFlex Limited reported a strong improvement in profitability in the first half of FY26, even as revenue and EBITDA remained largely flat. The company’s profit after tax grew 150% year-on-year, supported by lower finance costs, reduced currency losses, and stronger margins in key product categories.
Revenue for H1 FY26 rose 3% year-on-year, while EBITDA increased 4%, reflecting stable demand for packaging films and flexible packaging solutions. However, the company noted that overall market conditions remained challenging due to soft pricing, global supply pressures, and cheaper imports in some markets.
The Aseptic packaging division emerged as a standout performer, delivering its highest-ever sales volume of 1.15 billion packs in H1 FY26. UFlex is now expanding this capacity to 12 billion packs, expecting the business to scale significantly in FY27 as customer additions grow.
The company is also accelerating its global expansion with several large projects nearing completion. These include a PET recycling facility in Mexico, a woven polypropylene bags line in Mexico, and new capacity additions in Egypt. UFlex expects these projects to contribute meaningfully to revenue and EBITDA from next year.
In India, UFlex announced a new 54,000 TPA BOPP film line at Dharwad, which is expected to see strong market acceptance thanks to stable margins and demand from FMCG and food packaging customers.
Management shared that the company now expects around 5% revenue growth in FY26, with full-year EBITDA likely to be ₹1,800-1,850 crore. UFlex also plans to reduce net debt by approximately ₹500 crore by FY27, supported by cash accruals and better working capital management.
Despite ongoing pricing pressure in Europe and tariff-related challenges in the U.S., UFlex remains optimistic about long-term demand for packaging materials. The company believes that India’s growing focus on sustainability and recyclable materials will support stronger demand in the future.
Founded in 1985, UFlex is one of India’s largest flexible packaging companies, serving global markets across films, packaging, chemicals, and engineering. Its products are used in major industries including food and beverage, pharmaceuticals, agriculture, and fast-moving consumer goods.
With major new projects coming online, healthy Aseptic packaging growth, and improved profitability, UFlex expects performance to strengthen further in FY27 and FY28.
