Ex-Pack Corrugated Cartons PLC (PACK) posted an EPS of LKR 0.20 for 4Q FY25, reflecting a YoY and QoQ decline of 55.2% and 47.4%, respectively, due to a 188% increase in tax expenses to LKR 102.6mn. Group revenue grew 0.3% YoY to LKR 2.6bn, supported by modest volume growth, higher export sales, and LKR depreciation. Gross margins improved by 3.5pp YoY (1pp QoQ) to 24%, benefiting from easing raw material costs, particularly paper, in a deflationary environment. EBIT stood at LKR 243mn (+4% YoY, +7% QoQ), with EBIT margins expanding by 0.3pp YoY to 9.5%. Operational performance strengthened with gradual volume recovery. We believe the installation of new state-of-the-art machinery and advanced technology will improve energy efficiency, while favorable market conditions, supported by economic recovery, will drive growth for PACK in the medium term. We maintain a BUY recommendation.