Overview Key strengths Key risks Strong niche positions in deodorant and food packaging. Limited scale in a competitive and a fragmented industry and relatively high customer concentration. High barriers to entry and customer loyalty thanks to the customers' co-investment in and co-ownership of customized molds. Exposure to volatile raw material and energy costs. Strong profitability, due to value-added nature of its products. Capital-intensive industry. The group will benefit from lower resin and energy costs (as movements in costs are only passed on to customers with a delay of several months) and pass-through of historic cost increases. Profitability will also be supported by volume growth, following capacity additions (for deodorant packaging) in Hungary, U.K., and Brazil. We also expect lower exceptional
