Q2 2024 Silgan Holdings Inc Earnings Call Transcript
Key Points
- Silgan Holdings Inc (SLGN) delivered second quarter adjusted EPS above the midpoint of their estimate range.
- The company observed improving volume trends across all segments and strong operational and cost performance.
- Silgan Holdings Inc (SLGN) announced an agreement to acquire Werner Packaging, a differentiated dispensing business with attractive margins and strong organic growth.
- The Dispensing and Specialty Closures segment showed double-digit volume growth driven by market-leading innovation and manufacturing capabilities.
- The Custom Containers segment delivered strong results with 7% volume growth due to improving market demand and successful commercialization of new business.
- Net sales declined by 3% from the prior year period due to the pass-through of lower raw material costs.
- The Metal Container segment experienced an 8% decline in sales, primarily due to lower raw material costs and unfavorable price-cost mix.
- The impact of lower production and less inventory build led to under-absorbed fixed costs in the Metal Container segment, affecting financial performance.
- The company faced challenges with capacity constraints in the Dispensing and Specialty Closures segment, impacting their ability to meet certain market demands.
- Higher legal and corporate development costs increased corporate expenses, affecting overall financial performance.
Please stand by for streaming text.
Welcome to the Silgan Holdings Second Quarter 2024 earnings call. Today's conference is being recorded. At this time, I'd like to turn the conference over to Mr. Alex Hutter. Please go ahead.
Thank you and good morning. Joining me on the call today are Adam Greenlee, President and CEO, Bob Lewis, EVP, Corporate Development and administratio, and Kim Ulmer, SVP and CFO. Before we begin the call today, we would like to make it clear that certain statements made on this conference call may be forward-looking statements.
Statements are made based upon management's expectations and beliefs concerning future events impacting the Company and therefore involve a number of uncertainties and risks, including but not limited to, those described company's annual report on Form 10 K for 2023 and other filings with the Securities and Exchange Commission.
Therefore, the actual results of operations or
Access to All Earning Calls and Stock Analysis | |
30-Year Financial on one screen | |
All-in-one Stock Screener with unlimited filters | |
Customizable Stock Dashboard | |
Real Time Insider Trading Transactions | |
8,000+ Institutional investors’ 13F holdings | |
Powerful Excel Add-in and Google sheets Add-on | |
All data downloadable | |
Quick customer support | |
And much more... |