Ashok Chaturvedi’s vision
In a bid to further up its presence in India and abroad, Mr. Ashok Chaturvedi, has chalked out aggressive business and investment plans of more than US $250 million for the next two – three years, which include the setting up of various green/brown field projects globally.
Uflex has strong manufacturing base in India (Jammu, Noida and Gwalior), Mexico, Dubai and Egypt catering to global markets spanning USA, Canada, South America, UK, Europe, Russia, CIS countries, South Africa and other African countries, the Middle East and the South Asian Countries. The investment is intended to cope with the growing demand for flexible packaging in national and international market.
The Rs 15,000-crore domestic industry is growing at around 15 -18 per cent annually owing to the increased demand for flexible packaging products, especially in FMCG and Food segments. In order to become a preferred supplier of packaging materials not only in India but across the globe and reach $1-billion turnover by the financial year 2013, it is imperative to increase presence and capacities in India and abroad, says Mr. Chaturvedi.
The company has this year announced to set up plants in US and Poland. With the operation of its facilities in USA and Poland, Uflex, India’s largest flexible packaging company, expects a Rs 4,500-crore revenue by end-this fiscal. Uflex, plans to invest Rs 380-crore to set up a polyester films plant in the US with an annual capacity of 30,000 metric tonnes. The US facility will have a manufacturing capacity of 30,000 MTPA and will start production by December 2011.
Uflex is also setting up another plant in Wrzesnia in Poland with an investment of around Rs 360-crore. The Poland facility capacity will be around 30,000 MTPA and is expected to be operationalised in June 2012.
With plans of new manufacturing lines and corresponding investments UFLEX is all set to achieve the next milestone of touching the $1 billion revenue mark by FY 2012 – the first company in the flexible packaging sector in India to achieve this milestone. Uflex had registered an exponential growth of 423% increase in its consolidated net profit for the quarter ended December 31, 2010 at Rs. 251 crore as against Rs. 48 crore for the same period last year, maintaining a consistent record of highest growth by any company in the sector so far. The firm’s consolidated revenue for the December quarter of 2010 stood at Rs. 1022 crore as against Rs. 595 crore for the same quarter last year, up 72%. For the nine months period ended December 31, 2010, UFlex recorded net profit of Rs. 515 crore against Rs. 144 crore in the corresponding period last year, a growth of 258%. Net revenue of the company for the nine months ended Dec.. 31, 2010 stood at Rs. 2573 crore compared Rs. 1713 crore in the same period in previous fiscal, up by 50%.