Elopak ASA: Refocusing priorities to accelerate profitable growth

04 Sep 2024 07:00 CEST

Elopak ASA (“Elopak”, ticker: ELO) will present its strategy “Repackaging
tomorrow” including priorities and new mid-term targets during today’s capital
markets day. The company aims to outgrow the market and strengthen its
profitability, with a long-term ambition of becoming a 2 EURbn company by 2030.


“Elopak will deliver above-market growth by realizing global growth
opportunities, strengthening leadership in our core markets, and leveraging the
plastic replacement shift, towards becoming a 2 EURbn company by 2030”, says
Thomas Körmendi, CEO of Elopak ASA.

Since the IPO in June 2021, Elopak has delivered on its financial targets and
strategic priorities ahead of plan. During the same period, the company has
developed from being the world’s largest fresh liquid carton packaging company
to a leader in fiber-based packaging. Now, it is time to refocus priorities and
set new targets.

For the coming 3-5-year period, Elopak aims to deliver:

 4-6 per cent annual organic revenue growth
 15-17 per cent adjusted EBITDA margin
 Dividend distributions of 50-60 per cent of normalized net profit
 Leverage ratio of ~2.0x net debt / adjusted EBITDA

The company has defined three strategic priorities to outgrow the market, while
strengthening its profitability:

1) Realize global growth:
In the US, Elopak has a new state-of-the-art production plant under construction
with the potential to double revenues in the margin accretive North American
market. In MENA, the company aims to leverage its #1 position in the fresh
market to become the leading full system supplier in multiple segments. In
India, the world’s largest dairy market, Elopak aims to broaden its offering by
expanding local production to offer Pure-Pak® solutions.

2) Strengthen leadership in core
The company will continue to strengthen its leading position in European markets
as customers continue their shift towards more sustainable packaging solutions.
By leveraging its innovation capabilities and strong sustainability track
record, the company seeks net advantages from upcoming regulations and take a
sustainability frontrunner position.

3) Leverage plastic replacement shift
Elopak will develop the current and next generations of its D-PAK™ carton
solutions to strengthen and build on its first mover position in home and
personal care products. In addition, the company will explore opportunities for
partnerships and acquisitions to further accelerate profitable growth in
adjacent categories.


Introducing new people and planet targets
Elopak has defined new people and planet targets, which reaffirms the company’s
strong safety and sustainability commitments. By 2030, 100 per cent of Elopak’s
cartons will be designed for recycling. In parallel, Elopak will work to reduce
its Scope 3 emissions by 25 per cent while doubling revenues, on its way to
become a net zero company by 2050.

“As a market leader in fiber-based packaging, Elopak is well-positioned to
benefit from increased regulations and growing sustainability awareness among
customers and consumers. With our strong track record and innovation pipeline,
our total product portfolio will be designed for recycling by 2030”, says
Körmendi.

Today’s event will take place at Haakon VIIs gate 2, Oslo, Norway. Registration
and light breakfast will start at 08:15am CEST with the opportunity to learn
more about the company. The presentation will last from 09:00 am to 12:00 noon
CEST, followed by lunch.

The full presentation for today's event is attached to this stock exchange
release and is webcasted live at:
https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20240904_1

Investor contact:
Christian Gjerde, Head of Treasury and Investor Relations
E-mail: christian.gjerde@elopak.com
Tel: +47 980 60 909

Media contact:
Ingrid Lille Thorsen, Senior Communication Manager
E-mail: ingrid.thorsen@elopak.com
Tel: +47 958 92 402

Elopak ASA
Oslo, September 4, 2024

This information is subject to the disclosure requirements pursuant to Section
5-12 the Norwegian Securities Trading Act.

About Elopak
Elopak is a leading global supplier of carton packaging and filling equipment.
The company’s iconic Pure-Pak® cartons are made using renewable, recyclable and
sustainably sourced materials, providing a natural and convenient alternative to
plastic bottles that fits within a low carbon circular economy.

Founded in Norway in 1957, Elopak was listed on the Oslo Stock Exchange in 2021.
Today it employs 2,700 people and sells in excess of 14 billion cartons annually
across more than 70 countries.

Elopak is a UN Global Compact participant member. We have set Science Based
Targets to reduce emissions in line with the 1.5 degree trajectory, and aim to
be Net-Zero by 2050. In 2023, we achieved a gold rating by EcoVadis and were
rated top 2% sustainable companies in the world.

For more information, go to www.elopak.com or follow us @Elopak on LinkedIn.

More information:
Access the news on Oslo Bors NewsWeb site

626963_Elopak-ASA-Capital Markets Day 2024-Stock Market Announcement.pdf
626963_Elopak-ASA-Capital Markets Day 2024-Presentation.pdf