{"id":13056,"date":"2026-04-29T10:13:39","date_gmt":"2026-04-29T14:13:39","guid":{"rendered":"https:\/\/www.packagingindustrynews.com\/?p=13056"},"modified":"2026-04-29T10:13:39","modified_gmt":"2026-04-29T14:13:39","slug":"sig-group-first-quarter-profit-climbs-despite-revenue-headwinds","status":"publish","type":"post","link":"https:\/\/www.packagingindustrynews.com\/?p=13056","title":{"rendered":"SIG Group first-quarter profit climbs despite revenue headwinds"},"content":{"rendered":"


\n<\/p>\n

\n
\n
\n \n <\/picture>
For the first quarter, adjusted net income increased to \u20ac48.1m from \u20ac44.4m in the previous year. Credit: Nichcha \/ Shutterstock.com.<\/figcaption><\/figure>\n<\/p><\/div>\n

SIG Group has reported a growth in net income for the first quarter of 2026, reaching \u20ac67.m ($78.7m) compared to the \u20ac15.6m recorded during the same period in 2025.<\/p>\n

This rise was largely fuelled by unrealised gains from polymer derivatives and aluminium, alongside a reduction in depreciation and amortisation following the conclusion of the Onex PPA in 2025.<\/p>\n

\n
\n
\"\"\/<\/figure>\n

Discover B2B Marketing That Performs <\/h4>\n

\n\t\t\t\t\t\tCombine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.\n\t\t\t\t\t<\/p>\n


\n\t\t\t\t\t\t\tFind out more <\/svg><\/span><\/a><\/p>\n<\/section>\n<\/div>\n

Despite the bottom-line growth, group-level revenue fell 4.2% on a reported basis to \u20ac714.3m while remaining flat at constant currency.<\/p>\n

This decline was primarily attributed to revenue contractions in Europe and the Americas, with the performance of the bag-in-box and spouted pouch segment acting as a notable drag on volumes.\u00a0<\/p>\n

For the first quarter, adjusted net income increased to \u20ac48.1m from \u20ac44.4m in the previous year.<\/p>\n

Adjusted earnings before interest and taxes (EBIT) remained steady at \u20ac95.7m while the adjusted EBIT margin improved to 13.4% from 12.8%.<\/p>\n

The packaging company noted that while foreign exchange trends were unfavourable, they were offset by efficient raw material sourcing, production gains, lower depreciation, and reduced selling, general, and administrative (SG&A) expenses.<\/p>\n

Regarding geopolitical tensions, it said that impacts from the Middle East conflict were \u201climited\u201d.<\/p>\n

Additionally, free cash flow showed a year-on-year improvement of \u20ac25.5m.\u00a0<\/p>\n

Looking ahead, SIG has maintained its full-year 2026 guidance, projecting total revenue growth at constant currency and constant resin within a 0-2% range.<\/p>\n

The annual adjusted EBIT margin is forecasted to land between 15.7% and 16.2%, with the company anticipating stronger revenue and margin performance in the second half of the year due to seasonal trends.<\/p>\n

Net capital expenditure is expected to remain within the target range of 6%-8% of revenue.\u00a0<\/p>\n

SIG CEO Mikko Keto said: \u201cDespite a difficult market environment, we are pleased to report a solid start to the year, characterised by stable revenue performance and an improvement in our adjusted EBIT margin. <\/p>\n

\u201cWhile the first quarter reflected only a limited impact from higher raw material costs, we have initiated pricing actions to mitigate cost effects and maintain our full-year guidance.\u201d<\/p>\n

Last month, SIG and Oobli partnered to develop<\/a> shelf-stable low-sugar beverage solutions.<\/p>\n

<\/p>\n

<\/p>\n

\n