Why invest in Huhtamaki?
Our ambition is to be the preferred global food packaging brand.
1. We’re a global specialist in food and drink packaging and have leading positions in our three business areas.
- #1 foodservice packaging company operating globally
- #1 fiber packaging company globally
- #1 flexible packaging company in emerging markets
- Favorable market trends create growth opportunities in consumer food and drink packaging: more people, more middle class, more urban, more sustainable
2. Our long-term ambition is to achieve 5+% annual organic growth, supported by similar growth via acquisitions.
- All together about 70% of our business is in the fast-growing emerging markets, and in North America
- We have major brand owners with high growth agendas as customers: Large global customers account for approx. 30% of our net sales
- We have resources to follow our customers and expand geographically
- We have increased our focus on innovations and invest in expanding our product offering
- Our global manufacturing footprint and local market knowledge support our customers growth agendas
3. We have proven financial and operational track record and resources to continue growing
- In 2012-2016, we have invested approx. €1.1bn in organic growth and acquisitions. This has grown our topline with approx. €1bn with an average CAGR of 9.1%.
- Our EBIT margin has improved from 7.0% in 2012 to 9.4% in 2016 and ROI from 12.6% to 14.7% respectively
- We have a strong financial position: Funds available for acquisitions are approx. €400-500mn while keeping our Net debt / EBITDA between the target range of 2-3 (1.8 at the end of December 2016)
- We target for stable and growing dividend: target payout ratio 40-50% of EPS (40% in 2015 and 2016)