Value creation

Last updated: March 1, 2024

Huhtamaki’s ambition is to be the first choice in sustainable packaging solutions. With our strategy focused on four pillars we aim to deliver sustainable profitable growth. As a publicly listed company, Huhtamaki is committed to earning profit for its shareholders. Huhtamaki has several financial long-term ambitions. The most important of these are our growth ambition of 5-6% annual comparable growth, 10-12% adjusted EBIT margin and adjusted return on investment (ROI) of 13-15%. In addition, our ambition is to have net debt/adjusted EBITDA of 2–3 and pay 40–50% of our profit as dividend.

Huhtamaki’s economic responsibility in 2023

In 2023, the economic value generated by the Group was EUR 1,539 million (EUR 1,511 million) of which EUR 1,107 million (EUR 1,038 million) was distributed to stakeholders and EUR 432 million (EUR 473 million) was retained in the Group for operational development and further growth. The Group achieved -2% organic and no acquisitive growth. Adjusted EBIT margin, excluding items affecting comparability (IAC) of EUR -11.7 million, was 9.4%. Dividends paid to shareholders correspond to a 40% payout ratio (of 2022 profits).

Huhtamaki as a tax payer

Huhtamaki wants to make a positive contribution to the world and is committed to paying all taxes and complying with other related obligations according to local laws and regulations. Moreover, the Huhtamaki values, the requirements of our Code of Conduct and the Code of Conduct for Huhtamaki Suppliers transcend national boundaries and complement the framework for our business operations. Huhtamaki’s Public Tax Strategy is available on our website.

One of our operating principles is to ensure the predictability and optimization of taxation. In addition to ensuring that taxes are paid correctly in all locations, we also seek to ensure that we do not pay excess taxes and that we capitalize on the tax deductions enabled by local tax regulations. The Group’s tax expenses in 2023 increased to 87 EUR million (EUR 67 million) and paid taxes amounted to EUR 84 million (EUR 71 million). The corresponding tax rate was 28% (19%).

In intercompany business transactions, we comply with OECD guidelines on transfer pricing. Intersegment net sales were EUR 10 million (EUR 21 million), corresponding to 0.2% of the Group’s net sales. Our business decisions are made with our strategy, financial ambitions, sustainability and commercial environment in mind, all while striving to better serve our customers. While taxation is one factor to be considered, it is not a dominant factor.


 Direct economic value generated and distributed

EUR million 2023 2022 2021
Customers Net sales 4,169 4,479 3,575
Suppliers Purchases 2,630  2,968 2,305
Economic value generated 1,539  1,511 1,270
Personnel Personnel expenses 846 820 719
Shareholders Dividends 105 98 96
Debt investors Net financial expenses 69 53 33
Public sector Taxes 87 67 60
Economic value distributed 1,107 1,038 899
Economic value retained in the Group 432 473 371