Berry Global has released its first-quarter 2025 results, showcasing a successful spin-off of its health, hygiene, and specialties global nonwovens and films business (HHNF) and a merger with Glatfelter Corporation in November, as well as the announcement of the sale of its tapes business. The company reported a 2% increase in organic volume growth, with operating EBITDA growing by 4% and adjusted earnings per share increasing by 5% compared to the prior year.
In the December quarter of 2024, Berry Global's net sales increased by 2% to $2.4 billion, while operating income decreased by 8% to $152 million. On a non-GAAP basis, the operating EBITDA grew by 4% to $378 million, and adjusted earnings per share increased by 5% to $1.09.
The company's consolidated overview for the first quarter of 2025 showed a 2% increase in net sales to $2.4 billion, driven by organic volume growth of 2% and increased selling prices. Consumer packaging * North America experienced a 10% increase in net sales to $769 million, primarily driven by 4% organic volume growth. On the other hand, Consumer Packaging * International saw a 3% decrease in net sales to $885 million, while Flexibles reported a 2% increase in net sales to $731 million.
Berry Global reaffirmed its fiscal year 2025 guidance, including an adjusted earnings per share range of $6.10 to $6.60, cash flow from operations of $1.125 billion to $1.225 billion, and free cash flow of $600 million to $700 million. The company also declared a quarterly cash dividend of $0.31 per share, payable on March 17, 2025, to stockholders of record as of March 3, 2025.
Despite the pending transaction with Amcor plc, Berry Global expressed confidence in its strategic investments and operational excellence, aiming to deliver enhanced value to its shareholders by accelerating organic growth, increasing margins through improved operations, and deleveraging.
These results reflect Berry Global's commitment to transitioning into a more streamlined and focused provider of consumer packaging solutions, positioning the company for sustainable long-term growth. Following these announcements, the company's shares moved 5.3%, and are now trading at a price of $70.4. For the full picture, make sure to review Berry Global's 8-K report.
