EPL conducted conference call on 12 February 2025 to discuss the financial results and performance of the company for the quarter ended December 2024. Mr. Anand Kripalu – MD & Global CEO and Mr. Deepak Goyal– CFO along with other senior management of the company addressed the call

Highlights of the Concall

• Revenue growth was a modest 4%, driven by strong performance in Europe and Americas, partially offset by AMESA and EAP. Europe and Americas grew by 8.7% and 7.3%, respectively while AMESA grew by 1%, impacted by demand slowdown in India and currency devaluation impact in Egypt. The company believes the market softness in India is short-term in nature. EAP revenue declined by 1% due to the continued effect of macros in China.

• AMESA (Africa, Middle East and South Asia include operations in India and Egypt) revenue rose 1% to Rs 353.5 crore in Q3FY25 compared to Q3FY24 with Ebitda degrowth of 9.5% to Rs 62.7 crore. Ebitda margin fell to 17.7% from 19.8%.

• EAP East Asia Pacific includes operations in China and Philipp(ines) revenue decreased 1% to Rs 250 crore in Q3FY25 compared to Q3FY24 while Ebitda fell 2.9% to Rs 53 crore. Ebitda margin decreased to 21.2% compared to 21.6%.

• AMERICAS (includes operations in United States of America, Mexico, Colombia and Brazil) revenue rose 7.3% to Rs 271.3 crore in Q3FY25 compared to Q3FY24 while Ebitda jumped 30% to Rs 53.2 crore. Ebitda margin improved to 19.6% from 16.2%.

• Europe (includes operations in United Kingdom, Poland, Russia and Germany) revenue rose 8.7% to Rs 225.7 crore in Q3FY25 compared to Q3FY24 while Ebitda increased 120% to Rs 41.5 crore. Ebitda margin rose to 18.4% from 9.1%.

• Amesa growth strategy involves focus on exports in new geography including middle east while wallet share gain in oral continues

• EAP growth strategy involves greenfield expansion build on the already strong customer base built through exports from China and focus on gaining wallet share to counter the slow macros of the country

• The company continues to make strong overall progress in the Beauty and Cosmetics B&C sector, where it experienced double digit growth year-over-year at 10.3% led by robust performance in EAP and the Americas regions. The Non-Oral Care segment now accounts for 48.7% of total revenue.

• Currently 31% of EPL portfolio consists of sustainable tubes, and it is actively collaborating with customers to provide innovative solutions that align with their own sustainability goals.

• EPL has approved a greenfield expansion in Thailand. Southeast Asia is a very promising tubes market, and it cater to parts of this market currently through exports from China and already have an established customer base, along with a strong pipeline. It has committed an initial investment for this beauty and cosmetics focused facility, repeat with tubing, printing, et cetera., and it will start production in H2FY26. Additionally it has aggressively started capturing export opportunities from India and China.

• Brazil continues to perform very well. It see new product orders from its newly acquired customers, especially in Beauty & Cosmetics as well as Neo Seam. The company has initiated capacity expansion in Brazil to cater to better-than-expected Beauty & Cosmetics demand, and this new capacity will go online by Q1FY26.

• On sustainability, EPL continues to see strong conversion towards sustainable tubes, and its YTD mix reached 31% compared to 21% in FY24. The company see sustainable tubes as a way to gain wallet share over the medium-term, and the current momentum in sustainable tubes is strongly taking it in that direction.

• The company has seen continued margin expansion in Europe and Americas, driven by specific restructuring and cost optimization initiatives. It is optimistic about sustaining and improving these margins even further.

• Polymer prices have remained stable in the current quarter, however the prices remain higher than pre‐covid level. Aluminum Prices have increased from last quarter.

• The company expects sustained double digit revenue growth led by aggressive personal care & beyond play, Brazil Scale up and new geographies scale up.