Huhtamaki in brief
With 100 years of history and a solid Nordic heritage, Huhtamaki is today a key global player in food-on-the-go and food-on-the-shelf packaging solutions. Huhtamaki operates in 36 countries and 81 sites around the world. Our 18,600 employees are working to deliver smart next generation packaging. Mastering three distinctive technologies, that we split into three business segments, we develop and make packaging that helps great products reach more people.
We are committed to making packaging more circular and we embed sustainability in everything we do. We are focused on achieving carbon neutral production and having all our products designed to be recyclable, compostable or reusable by 2030.
We have delivered strong growth in recent years, building strong foundations for the future. The packaging industry offers good opportunities for growth and we operate both in the established and in the emerging markets. Our 2019 net sales totaled EUR 3.4 billion. Huhtamaki Group has its head office in Espoo, Finland and the parent company Huhtamäki Oyj is listed on Nasdaq Helsinki Ltd.
Our ambition is to be the first choice in sustainable food packaging.
Why invest in Huhtamaki?
1. Leveraging our unique value proposition
- Customer centricity: We have long-standing relationships with many of our customers who value us as a trusted and reliable partner, and appreciate our high quality product standards and strong product innovation.
- Global footprint: In addition to our solid base of assets in North America and Europe, we have an increasing presence in the fast-growing emerging markets. Our global manufacturing footprint and local market knowledge and service support our customers’ needs and growth agendas
- Multiple technologies: Our expertise in three core technologies provide us with the means to respond to our customers needs, whatever they might be
- Sustainability: Approximately 70% of our raw materials comes from a renewable source. Our fiber packaging portfolio is built on recycled content and we regularly launch new, sustainable solutions.
2. Our long-term ambition is to achieve 5+% annual organic growth
- 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
3. We have proven financial and operational track record and resources to continue growing
- Net sales growth from EUR 2,236 million in 2014 to EUR 3,399 million in 2019 - EUR 1,653 million in M&A and capital expenditure for growth initiatives in 2014-2019
- EBIT growth from EUR 175 million in 2014 to EUR 293 million in 2019 – EBIT margin 7.8% in 2014, 8.6% in 2019.
- We have a strong financial position: Funds available for acquisitions are approx. EUR 400–500 million while keeping our Net debt / Adjusted EBITDA in the ambition level of 2-3 (2.0 at the end of December 2019)
- Stable and growing dividend: our ambition is a payout ratio of 40–50% of EPS (49% in 2018 and 47% in 2019)