Crown posts strong US$241M net income for first half of fiscal year 2024

USA – Packaging company Crown Holdings has reported a net income attributable to the company of US$241 million for the first half (H1) of the financial year 2024 (FY24), compared to US$259 million in H1 FY23.

The company’s reported diluted earnings per share (EPS) for the period were US$2.01, down from US$2.16 in H1 FY23.

Crown’s net sales during the period ending 30 June 2024 were US$5.82 billion, a decrease from US$6.08 billion in the same period a year ago.

This decline was primarily due to lower material costs and reduced volumes in several businesses, despite increasing global beverage can shipments.

Operating income slightly dipped to US$624 million in H1 FY24 compared to US$636 million in H1 FY23. However, segment income slightly improved, rising from US$734 million to US$745 million.

In the second quarter (Q2) of FY24, Crown’s net sales decreased to US$3.04 billion from US$3.11 billion in the corresponding quarter of the previous year.

Net income attributable to Crown increased to US$174 million in Q2 FY24, up from US$157 million in Q2 FY23.

The company posted a reported diluted EPS of US$1.45 in Q2 FY24 compared to US$1.31 in Q2 FY23. Income from operations also increased to US$379 million over the quarter, compared to US$367 million in the same period a year ago.

Crown Holdings chair, president, and CEO Timothy Donahue said, “The company performed well during the quarter, led by strong results in each global beverage business.

“Benefitting from our broad geographic presence and strategic customer alliances, beverage segment income improved by 21% in the second quarter on a combined global basis.

“Beverage can shipments improved 6% globally in the second quarter, including 9% in North America. Beverage can shipments in Europe and Latin America also exceeded longer-term expectations of low-to mid-single-digit volume growth.”

Looking ahead, Crown has revised its full-year diluted EPS projection to US$6.00 to US$6.25, up from the previous estimate of US$5.80 to US$6.20.

The company also anticipates a minimum free cash flow of at least US$750 million for the year. For the third quarter, adjusted earnings per share are forecasted to be between US$1.75 and US$1.85.

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