Third Quarter Highlights
- GAAP: Net sales of $3.2 billion; Operating income of $303
million; Earnings per share of $1.65
- Non-GAAP: Operating EBITDA of $546 million; Adjusted earnings
per share of $2.18 (up 16% vs PY)
- Third quarter volume and earning results in-line with
expectations; +2% organic volume growth
- Continued progress in portfolio optimization; HHNF spin/merger
on track
- Fiscal 2024 outlook: Adjusted EPS of $7.60 and free cash flow
of $800-$900 million
Kevin Kwilinski, Berry’s CEO said, “Our strong financial results
in the quarter were consistent with our expectations and our teams
executed very well. Notably, we achieved a 2% increase in overall
organic volumes, with each four operating segments delivering
low-single digit volume growth. At the same time, we delivered a
solid increase in our operating EBITDA margins, which were 110
basis points higher than the previous year. We place a high value
on honoring our commitments and excellence in execution. This
quarter, I’d like to emphasize our team’s outstanding performance
in achieving volume and earnings growth, as well as our progression
in reducing our leverage and optimizing our portfolio.
We are confident in the strength of our underlying businesses,
our customer value proposition, and our execution capabilities. We
expect business momentum to continue as we demonstrated in the June
quarter, including delivering, low-single digit volume growth in
the fiscal fourth quarter and exiting fiscal 2024 at or below our
3.5x leverage target.
I am excited by the attainable growth and operational excellence
opportunities ahead. We’re focusing on three key efforts:
optimizing our portfolio to accelerate growth and deleveraging,
implementing our lean transformation, and driving growth by
enhancing our commercial excellence.”
Key Financials (1)
June Quarter
Reported
GAAP results
2024
2023
Δ%
Net sales
$3,161
$3,229
(2%)
Operating income
303
267
13%
EPS (diluted)
1.65
1.18
40%
Adj. non-GAAP results
Comparable Δ%
Operating EBITDA
$ 546
$ 522
5%
6%
Adjusted EPS (diluted)
2.18
1.90
15%
16%
(1)
Adjusted non-GAAP results exclude items
not considered to be ongoing operations. In addition, comparable
change % excludes the impacts of foreign currency, acquisitions,
and recent divestitures. Further details related to non-GAAP
measures and reconciliations can be found under our “Non-GAAP
Financial Measures and Estimates” section and in reconciliation
tables in this release. In millions of USD, except per share
data.
Financial Results – Third Quarter
2024
Consolidated Overview
Net sales decreased 2% to $3.2 billion as the pass-through of
lower resin prices had a 3% negative impact which was partially
offset by organic volume growth of 2%, which was in line with our
expectations, as all four operating segments delivered low-single
digit volume growth.
Operating income increased by 13% compared to the prior year
quarter, reaching $303 million. The increase was primarily
attributable to organic volume growth and positive price-cost
spread largely generated by our cost reduction initiatives.
Consumer Packaging – International
Net sales decreased 7% to $959 million due to a negative impact
from the pass-through of lower resin prices and the impact of
completed divestitures. These headwinds were partially offset by
organic volume growth of 1%, primarily driven by improvement in our
industrial and personal care markets.
Operating income increased 16% to $79 million, primarily due to
the positive impact from volume growth and positive price-cost
spread driven by our cost reduction efforts.
Consumer Packaging – North America
Net sales increased 4% to $831 million primarily driven by 2%
organic volume growth and higher selling prices as a result of
improved product mix. The volume growth was led by our food,
beverage, personal care, home care and industrial markets while
foodservice markets saw modest declines.
Operating income increased 16% to $103 million, mainly
attributable to the 2% volume growth and favorable price-cost
spread primarily driven by timing of resin pass-throughs.
Flexibles
Net sales decreased by 2%, reaching $724 million, primarily
resulting from a 4% negative impact from lower selling prices. This
negative impact was partially offset by organic volume growth of 2%
led by volume recovery in our consumer categories and European film
products.
Operating income remained similar to the prior year quarter,
coming in at $87 million. Volume growth of 2% was offset by higher
depreciation and amortization expense.
Health, Hygiene & Specialties
Net sales decreased by 2% totaling $647 million. The decline was
primarily due to lower selling prices partially offset by organic
volume growth of 2%. Notably, the surgical suite, hard-surface
disinfectant wipe, and adult incontinence markets delivered solid
volume growth.
Operating income increased to $34 million, a strong increase
over the prior year quarter. The increase was attributable to a 2%
volume increase, lower restructuring costs and benefits from our
cost reduction efforts.
Cash Returns to
Shareholders
Berry generates significant cash flow and is committed to
returning capital to shareholders. This annual cash flow provides
substantial capacity to simultaneously reinvest in the business for
organic growth, pay down debt, pursue bolt-on acquisitions, and
return cash to shareholders through a compelling dividend as well
as share repurchases. The Company expects to be within its leverage
target of 2.5x – 3.5x by the end of fiscal 2024, while also
returning cash to shareholders during the year, through continued
share repurchases and dividends, subject to market conditions,
available cash on hand and cash needs, overall financial condition,
and other factors considered relevant by our Board of
Directors.
Dividend and Share Repurchases
As previously announced, Berry’s Board of Directors declared a
quarterly cash dividend of $0.275 per share payable on September
17, 2024 to stockholders of record as of September 3, 2024. For the
three quarters ended in fiscal 2024, Berry has repurchased 2.0
million shares for $117 million, leaving $324 million authorized
for share repurchases at the end of the third fiscal quarter. Berry
may repurchase shares through the open market, privately negotiated
transactions or other programs, subject to market conditions. The
Company continues to expect to make repurchases in the future while
primarily focusing on lowering our leverage. Share repurchases are
subject to market conditions, available cash on hand and cash
needs, overall financial condition, and other factors considered
relevant by our Board of Directors.
Announcement of Combination of Berry’s
Health, Hygiene and Specialties Global Nonwovens and Films Business
with Glatfelter Corporation
In February, the Company announced plans for a spin-off of the
majority of its HH&S segment to include its global nonwovens
and films business, which is then to be merged with Glatfelter
Corporation (“GLT”) to create a global leader in specialty
materials. Upon the completion of the transaction, Berry
shareholders are expected to own approximately ninety percent of
the newly combined company. The transaction valued the combined
company at $3.6 billion on an enterprise value basis. In June, the
Company announced that, in addition to previously achieving a
regulatory milestone with the expiration of the required waiting
period under the Hart-Scott-Rodino (HSR) Antitrust Improvements
Act, the parties received all other approvals and clearances under
competition and foreign direct investment laws which were
conditions to the consummation of the transaction. The transaction
is subject to further certain customary closing conditions
including, but not limited to, approval by GLT shareholders and the
effectiveness of related registration statements.
“This announcement is the culmination of a comprehensive review
to determine the highest value alternative for Berry shareholders.
We believe these two businesses can drive significant value for
their respective stakeholders with more focused portfolios,
positioning each for greater success. Berry will now become a
pure-play leading supplier of innovative, sustainable global
packaging solutions and we believe this focus will result in an
even more predictable, stable earnings and growth profile for
Berry. This proposed transaction is a significant step in the
optimization of our portfolio and allows Berry’s management team to
be one hundred percent laser-focused on driving consistent
long-term growth with a more simplified and aligned portfolio,”
stated Kevin Kwilinski, Berry’s CEO.
In July, Berry’s Health, Hygiene and Specialties Global
Nonwovens and Films (“HHNF”) business and Glatfelter Corporation
progressed further with the creation of the Magnera brand, a global
leader in the specialty materials industry. Curt Begle, President
of Berry’s Health Hygiene & Specialties Division, who will lead
Magnera as CEO, said, “Magnera’s purpose is to better the world
with new possibilities made real. By continuously co-creating and
innovating with our partners, we will develop original material
solutions that make a brighter future possible. With a breadth of
technologies and a passion for what we create, Magnera’s solutions
will solve end-users’ problems, every day.”
Fiscal Year 2024
Guidance
- Adjusted earnings per share of $7.60
- Cash flow from operations of $1.4-$1.5 billion; free cash flow
of $800-$900 million
- Committed to being 3.5x leverage or lower and within our
long-term targeted range
Investor Conference Call
The Company will host a conference call today, August 2, 2024,
at 10 a.m. U.S. Eastern Time to discuss our third fiscal quarter
2024 results. We expect the call to last approximately one hour.
This call will be webcast live on Berry’s website at
https://ir.berryglobal.com/financials. A new, simplified event
registration and access provides two ways to access the call. A
replay of the webcast will be available via the same link on our
website approximately two hours after the completion of the
call.
By Telephone
Participants may register for the call here now or any time up
to and during the time of the call, and will immediately receive
the dial-in number and a unique pin to access the call. While you
may register at any time up to and during the time of the call, you
are encouraged to join the call 10 minutes prior to the start of
the event.
Via the Internet
The conference call and accompanying webcast slides will also be
broadcast live over the internet. To access the event, click on the
following link: https://ir.berryglobal.com/financials. A replay of
the webcast will be available via the same link on our website
approximately two hours after the completion of the call.
About Berry
At Berry Global Group, Inc. (NYSE: BERY), we create innovative
packaging solutions that we believe make life better for people and
the planet. We do this every day by leveraging our unmatched global
capabilities, sustainability leadership, and deep innovation
expertise to serve customers of all sizes around the world.
Harnessing the strength in our diversity and industry-leading
talent of over 40,000 global employees across more than 250
locations, we partner with customers to develop, design, and
manufacture innovative products with an eye toward the circular
economy. The challenges we solve and the innovations we pioneer
benefit our customers at every stage of their journey. For more
information, visit our website, or connect with us on LinkedIn or
X.
Non-GAAP Financial Measures and
Estimates
This press release includes non-GAAP financial measures such as
operating EBITDA, Adjusted operating income, Adjusted earnings per
share (or adjusted EPS), free cash flow, and comparable basis net
sales, comparable adjusted EPS and comparable operating EBITDA. A
reconciliation of these non-GAAP financial measures to comparable
measures determined in accordance with accounting principles
generally accepted in the United States of America (GAAP) is set
forth at the end of this press release. Information reconciling
forward-looking adjusted EPS and free cash flow is not provided
because such information is not available without unreasonable
effort due to the high variability, complexity, and low visibility
with respect to certain items, including debt refinancing activity
or other non-comparable items. These items are uncertain, depend on
various factors, and could be material to our results computed in
accordance with U.S. GAAP.
Forward Looking Statements
Statements in this release that are not historical, including
statements relating to the expected future performance of the
Company as well as estimates and statements as to the expected
timing, completion and effects of the proposed transaction between
Berry and Glatfelter, are considered “forward looking” within the
meaning of the federal securities laws and are presented pursuant
to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. You can identify forward-looking statements
because they contain words such as “believes,” “expects,” “may,”
“will,” “should,” “would,” “could,” “seeks,” “approximately,”
“intends,” “plans,” “estimates,” “projects,” “outlook,”
“anticipates” or “looking forward,” or similar expressions that
relate to our strategy, plans, intentions, or expectations. All
statements we make relating to estimates and statements about the
expected timing and structure of the proposed transaction, the
ability of the parties to complete the proposed transaction,
benefits of the Glatfelter transaction, including future financial
and operating results, executive and Board transition
considerations, the combined company’s plans, objectives,
expectations and intentions, and other statements that are not
historical facts, as well as statements we make relating to our
estimated and projected earnings, margins, costs, expenditures,
cash flows, growth rates, and financial results or to our
expectations regarding future industry trends are forward-looking
statements. In addition, we, through our senior management, from
time to time make forward-looking public statements concerning our
expected future operations and performance and other
developments.
Our actual results may differ materially from those that we
expected due to a variety of factors, including without limitation:
(1) risks associated with our substantial indebtedness and debt
service; (2) changes in prices and availability of resin and other
raw materials and our ability to pass on changes in raw material
prices to our customers on a timely basis; (3) risks related to
acquisitions or divestitures and integration of acquired businesses
and their operations, and realization of anticipated cost savings
and synergies; (4) risks related to international business,
including transactional and translational foreign currency exchange
rate risk and the risks of compliance with applicable export
controls, sanctions, anti-corruption laws and regulations; (5)
increases in the cost of compliance with laws and regulations,
including environmental, safety, and climate change laws and
regulations; (6) labor issues, including the potential labor
shortages, shutdowns or strikes, or the failure to renew effective
bargaining agreements; (7) risks related to disruptions in the
overall global economy, persistent inflation, supply chain
disruptions, and the financial markets that may adversely impact
our business; (8) risk of catastrophic loss of one of our key
manufacturing facilities, natural disasters, and other unplanned
business interruptions; (9) risks related to weather-related events
and longer-term climate change patterns; (10) risks related to the
failure of, inadequacy of, or attacks on our information technology
systems and infrastructure; (11) risks that our restructuring
programs may entail greater implementation costs or result in lower
cost savings than anticipated; (12) risks related to future
write-offs of substantial goodwill; (13) risks of competition,
including foreign competition, in our existing and future markets;
(14) risks related to market conditions associated with our share
repurchase program; (15) risks related to market disruptions and
increased market volatility; (16) the occurrence of any event,
change or other circumstances that could give rise to the
termination of the proposed transaction; (17) the risk that
Glatfelter shareholders may not approve the transaction proposals;
(18) the risk that the necessary regulatory approvals may not be
obtained or may be obtained subject to conditions that are not
anticipated or may be delayed; (19) risks that any of the other
closing conditions to the proposed transaction may not be satisfied
in a timely manner; (20) risks that the anticipated tax treatment
of the proposed transaction is not obtained; (21) risks related to
potential litigation brought in connection with the proposed
transaction; (22) uncertainties as to the timing of the
consummation of the proposed transaction; (23) risks and costs
related to the implementation of the separation of the Berry Spinco
from Berry., including timing anticipated to complete the
separation, any changes to the configuration of the businesses
included in the separation if implemented, as well as unexpected
costs, charges or expenses resulting from the proposed transaction;
(24) the risk that the integration of the combined companies is
more difficult, time consuming or costly than expected; (25) risks
related to financial community and rating agency perceptions of
each of Berry and Glatfelter and its business, operations,
financial condition and the industry in which they operate; (26)
risks related to disruption of management time from ongoing
business operations due to the proposed transaction; (27) failure
to realize the benefits expected from the proposed transaction;
(28) the effects of the announcement, pendency or completion of the
proposed transaction on the ability of the parties to retain
customers and retain and hire key personnel and maintain
relationships with their counterparties, and on their operating
results and businesses generally; and (29) the other factors and
uncertainties discussed in the section titled “Risk Factors” in our
Annual Report on Form 10-K and subsequent filings with the
Securities and Exchange Commission (“SEC”). These risks, as well as
other risks associated with the proposed transaction, will be more
fully discussed in the registration statements, proxy
statement/prospectus and other documents that will be included in
the registration statements that will be filed with the SEC in
connection with the proposed transaction. We caution you that the
foregoing list of important factors may not contain all of the
material factors that are important to you. New factors may emerge
from time to time, and it is not possible for us to predict new
factors, nor can we assess the potential effect of any new factors
on us. Accordingly, readers should not place undue reliance on
those statements. All forward-looking statements are based upon
information available to us on the date hereof. All forward-looking
statements are made only as of the date hereof and we undertake no
obligation to update or revise any forward-looking statement as a
result of new information, future events or otherwise, except as
otherwise required by law.
Additional Information and Where to Find
It
This communication may be deemed to be solicitation material in
respect of the proposed transaction between Berry and Glatfelter.
In connection with the proposed transaction, Berry and Glatfelter
intend to file relevant materials with the SEC, including a
registration statement for Spinco in connection with the separation
and spin-off as well as a registration statement on Form S-4 by
Glatfelter that will contain a proxy statement/prospectus of
Glatfelter relating to the proposed transaction. This communication
is not a substitute for the registration statements, proxy
statement/prospectus or any other document which Berry and/or
Glatfelter may file with the SEC. STOCKHOLDERS OF BERRY AND
GLATFELTER ARE URGED TO READ ALL RELEVANT DOCUMENTS FILED WITH THE
SEC, INCLUDING THE REGISTRATION STATEMENTS AND PROXY
STATEMENT/PROSPECTUS BECAUSE THEY WILL CONTAIN IMPORTANT
INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors and security
holders will be able to obtain copies of the registration
statements and proxy statement/prospectus (when available) as well
as other filings containing information about Berry and Glatfelter,
as well as Spinco, without charge, at the SEC’s website,
http://www.sec.gov. Copies of documents filed with the SEC by Berry
or Spinco will be made available free of charge on Berry’s investor
relations website at https://ir.berryglobal.com. Copies of
documents filed with the SEC by Glatfelter will be made available
free of charge on Glatfelter's investor relations website at
https://www.glatfelter.com/investors.
No Offer or Solicitation
This communication is for informational purposes only and is not
intended to and does not constitute an offer to sell, or the
solicitation of an offer to sell, subscribe for or buy, or a
solicitation of any vote or approval in any jurisdiction, nor shall
there be any sale, issuance or transfer of securities in any
jurisdiction in which such offer, sale or solicitation would be
unlawful, prior to registration or qualification under the
securities laws of any such jurisdiction. No offer or sale of
securities shall be made except by means of a prospectus meeting
the requirements of Section 10 of the Securities Act of 1933, as
amended, and otherwise in accordance with applicable law.
Participants in Solicitation
Berry and its directors and executive officers, and Glatfelter
and its directors and executive officers, may be deemed to be
participants in the solicitation of proxies from the holders of
Glatfelter capital stock and/or the offering of securities in
respect of the proposed transaction. Information about the
directors and executive officers of Berry, including a description
of their direct or indirect interests, by security holdings or
otherwise, is set forth under the caption “Security Ownership of
Beneficial Owners and Management” in the definitive proxy statement
for Berry’s 2024 Annual Meeting of Stockholders, which was filed
with the SEC on January 4, 2024
(https://www.sec.gov/ixviewer/ix.html?doc=/Archives/edgar/data/0001378992/000110465924001073/tm2325571d6_def14a.htm).
Information about the directors and executive officers of
Glatfelter, including a description of their direct or indirect
interests, by security holdings or otherwise, is set forth under
the caption “Ownership of Company Stock” in the proxy statement for
Glatfelter's 2024 Annual Meeting of Shareholders, which was filed
with the SEC on March 26, 2024
(https://www.sec.gov/ix?doc=/Archives/edgar/data/0000041719/000004171924000013/glt-20240322.htm).
In addition, Curt Begle, the current President of Berry’s Health,
Hygiene & Specialties Division, will be appointed as Chief
Executive Officer, James M. Till, the current Executive Vice
President and Controller of Berry, will be appointed as Executive
Vice President, Chief Financial Officer & Treasurer, and Tarun
Manroa, the current Executive Vice President and Chief Strategy
Officer of Berry, will be appointed as Executive Vice President,
Chief Operating Officer, of the combined company. Investors may
obtain additional information regarding the interest of such
participants by reading the proxy statement/prospectus regarding
the proposed transaction when it becomes available.
Berry Global Group,
Inc.
Consolidated Statements of
Income (Unaudited)
Quarterly Period Ended
Three Quarterly Periods
Ended
June 29, 2024
July 1, 2023
June 29, 2024
July 1, 2023
Net sales
$
3,161
$
3,229
$
9,090
$
9,577
Costs and expenses:
Cost of goods sold
2,560
2,649
7,448
7,873
Selling, general and administrative
216
215
664
671
Amortization of intangibles
58
61
177
181
Restructuring and transaction
activities
24
37
133
74
Operating income
303
267
668
778
Other expense (income)
(5
)
11
8
13
Interest expense, net
77
78
225
228
Income before income taxes
231
178
435
537
Income tax expense
38
35
67
114
Net income
$
193
$
143
$
368
$
423
Basic net income per share
$
1.69
$
1.20
$
3.19
$
3.50
Diluted net income per share
1.65
1.18
3.11
3.47
Outstanding weighted average shares
(in millions)
Basic
114.5
118.7
115.2
121.0
Diluted
116.7
121.1
118.2
121.9
Condensed Consolidated Balance
Sheets (Unaudited)
(in millions of USD)
June 29, 2024
September 30, 2023
Cash and cash equivalents
$
509
$
1,203
Accounts receivable
1,630
1,568
Inventories
1,679
1,557
Other current assets
318
205
Property, plant, and equipment
4,558
4,576
Goodwill, intangible assets, and other
long-term assets
7,294
7,478
Total assets
$
15,988
$
16,587
Current liabilities, excluding current
debt
2,245
2,703
Current and long-term debt
8,699
8,980
Other long-term liabilities
1,673
1,688
Stockholders’ equity
3,371
3,216
Total liabilities and stockholders'
equity
$
15,988
$
16,587
Condensed Consolidated
Statements of Cash Flows (Unaudited)
Three Quarterly Periods
Ended
(in millions of USD)
June 29, 2024
July 1, 2023
Cash flows from operating
activities:
Net income
$
368
$
423
Depreciation
463
425
Amortization of intangibles
177
181
Non-cash interest, net
(61
)
(45
)
Settlement of derivatives
27
36
Deferred income tax
(78
)
(94
)
Share-based compensation expense
38
36
Loss on divestitures
57
-
Other non-cash operating activities,
net
14
18
Changes in working capital
(708
)
(490
)
Net cash from operating
activities
297
490
Cash flows from investing
activities:
Additions to property, plant, and
equipment, net
(473
)
(560
)
Divestitures, acquisitions and other
activities
(21
)
(88
)
Net cash from investing
activities
(494
)
(648
)
Cash flows from financing
activities:
Repayments on long-term borrowings
(3,441
)
(687
)
Proceeds from long-term borrowings
3,150
500
Repurchase of common stock
(117
)
(415
)
Proceeds from issuance of common stock
33
26
Dividends paid
(104
)
(97
)
Other, net
(22
)
7
Net cash from financing
activities
(501
)
(666
)
Effect of currency translation on cash
4
47
Net change in cash and cash
equivalents
(694
)
(777
)
Cash and cash equivalents at beginning of
period
1,203
1,410
Cash and cash equivalents at end of
period
$
509
$
633
Non-U.S. GAAP Free Cash Flow:
Cash flow from operating activities
$
297
$
490
Additions to property, plant, and
equipment (net)
(473
)
(560
)
Non-U.S. GAAP Free Cash Flow
$
(176
)
$
(70
)
Segment and Supplemental
Comparable Basis Information (Unaudited)
Quarterly Period Ended June
29, 2024
(in millions of USD)
Consumer Packaging -
International
Consumer Packaging- North
America
Health, Hygiene &
Specialties
Flexibles
Total
Net sales
$
959
$
831
$
647
$
724
$
3,161
Operating income
$
79
$
103
$
34
$
87
$
303
Depreciation and amortization
79
57
45
32
213
Restructuring and transaction
activities
11
6
5
2
24
Other non-cash charges
2
2
1
1
6
Operating EBITDA
$
171
$
168
$
85
$
122
$
546
Quarterly Period Ended July 1,
2023
Reported net sales
$
1,036
$
798
$
657
$
738
$
3,229
Foreign currency, acquisitions &
divestitures
(26
)
5
(6
)
(1
)
(28
)
Comparable net sales (1)
$
1,010
$
803
$
651
$
737
$
3,201
Operating income
$
68
$
89
$
22
$
88
$
267
Depreciation and amortization
79
54
45
29
207
Restructuring and transaction
activities
17
6
12
2
37
Other non-cash charges
6
2
2
1
11
Foreign currency, acquisitions &
divestitures
(7
)
2
-
-
(5
)
Comparable operating EBITDA (1)
$
163
$
153
$
81
$
120
$
517
(1)
The prior year comparable basis change
excludes the impacts of foreign currency, acquisitions, and
divestitures. Further details related to non-GAAP measures and
reconciliations can be found under our “Non-GAAP Financial Measures
and Estimates” section or in reconciliation tables in this
release.
Reconciliation of Non-GAAP
Measures
Reconciliation of Net income and
earnings per share (EPS) to adjusted operating income, operating
earnings before interest, tax, depreciation and amortization
(EBITDA), and adjusted earnings per share (adjusted EPS)
(in millions of USD, except per share data
amounts)
Quarterly Period Ended
Three Quarterly Periods
Ended
June 29, 2024
July 1, 2023
June 29, 2024
July 1, 2023
Net income
$
193
$
143
$
368
$
423
Add: other expense
(5
)
11
8
13
Add: interest expense
77
78
225
228
Add: income tax expense
38
35
67
114
Operating income
$
303
$
267
$
668
$
778
Add: restructuring and transaction
activities
24
37
133
74
Add: Impact of hyperinflation
—
—
15
—
Add: other non-cash charges (1)
6
11
42
48
Adjusted operating income (3)
$
333
$
315
$
858
$
900
Add: depreciation
154
146
463
425
Add: amortization of intangibles
59
61
178
181
Operating EBITDA (3)
$
546
$
522
$
1,499
$
1,506
Net income per diluted share
$
1.65
$
1.18
$
3.11
$
3.47
Other expense, net
(0.04
)
0.09
0.07
0.11
Restructuring and transaction
activities
0.21
0.31
1.13
0.61
Impact of hyperinflation
—
—
0.13
—
Amortization of intangibles from
acquisitions (2)
0.50
0.50
1.50
1.48
Income tax impact on items above
(0.14
)
(0.18
)
(0.59
)
(0.44
)
Foreign currency, acquisitions, and
divestitures
(0.02
)
0.04
Adjusted net income per diluted
share (3)
$
2.18
$
1.88
$
5.35
$
5.27
Estimated Fiscal 2024
Cash flow from operating activities
$1,400-$1,500
Net additions to property, plant, and
equipment
(600)
Free cash flow (3)
$800-$900
(1)
Other non-cash charges are primarily stock
compensation expense
(2)
Amortization of intangibles from
acquisition are added back to better align our calculation of
adjusted EPS with peers.
(3)
Supplemental financial measures that are
not required by, or presented in accordance with, accounting
principles generally accepted in the United States (“GAAP”). These
non-GAAP financial measures should not be considered as
alternatives to operating or net income or cash flows from
operating activities, in each case determined in accordance with
GAAP. Organic sales growth and comparable basis measures exclude
the impact of currency translation effects and acquisitions. These
non-GAAP financial measures may be calculated differently by other
companies, including other companies in our industry, limiting
their usefulness as comparative measures. Berry’s management
believes that adjusted net income and other non-GAAP financial
measures are useful to our investors because they allow for a
better period-over-period comparison of operating results by
removing the impact of items that, in management’s view, do not
reflect our core operating performance.
We define “free cash flow” as cash flow
from operating activities, less net additions to property, plant,
and equipment. We believe free cash flow is useful to an investor
in evaluating our liquidity because free cash flow and similar
measures are widely used by investors, securities analysts, and
other interested parties in our industry to measure a company’s
liquidity. We also believe free cash flow is useful to an investor
in evaluating our liquidity as it can assist in assessing a
company’s ability to fund its growth through its generation of
cash.
We also use Adjusted operating income,
Operating EBITDA, adjusted EPS and comparable basis measures, among
other measures, to evaluate management performance and in
determining performance-based compensation. Operating EBITDA is a
measure widely used by investors, securities analysts, and other
interested parties in our industry to measure a company’s
performance. We also believe EBITDA and Adjusted operating income
are useful to an investor in evaluating our performance without
regard to revenue and expense recognition, which can vary depending
upon accounting methods.
(BERY-F)
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240802115890/en/
Dustin Stilwell VP, Investor Relations +1 (812) 306 2964
ir@berryglobal.com
Berry Global (NYSE:BERY)
過去 株価チャート
から 8 2024 まで 9 2024
Berry Global (NYSE:BERY)
過去 株価チャート
から 9 2023 まで 9 2024