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Sep 30, 2023

AptarGroup Q3 2023 Earnings Report

Aptar delivered strong operational performance driven by growth in proprietary drug delivery systems and prestige and mass fragrance dispensing devices.

Key Takeaways

AptarGroup reported a 7% increase in reported sales and a 2% increase in core sales. Net income increased by 55% to $84 million. Earnings per share increased by 56% to $1.26, and adjusted earnings per share increased by 39% to $1.39.

Reported sales increased 7% and net income increased 55% to $84 million

Core sales increased 2% and adjusted EBITDA of $193 million increased 26% from the prior year

Pharma proprietary drug delivery systems had double-digit growth across multiple therapeutic applications

Beauty’s prestige and mass fragrance dispensing technologies had double-digit sales growth

Total Revenue
$893M
Previous year: $837M
+6.7%
EPS
$1.39
Previous year: $0.95
+46.3%
Total Core Sales Growth
2%
Previous year: 9%
-77.8%
Beauty + Home Core Sales Growth
2%
Previous year: 4%
-50.0%
Pharma Core Sales Growth
8%
Previous year: 20%
-60.0%
Gross Profit
$326M
Previous year: $290M
+12.3%
Cash and Equivalents
$152M
Previous year: $125M
+21.4%
Free Cash Flow
$97.2M
Previous year: $50.8M
+91.3%
Total Assets
$4.3B
Previous year: $4.03B
+6.7%

AptarGroup

AptarGroup

AptarGroup Revenue by Segment

Forward Guidance

Aptar expects continued growth in proprietary pharma drug delivery systems and improvement in the injectables division. Fragrance dispensing solutions are anticipated to finish strong in 2023. The Beauty and Closures segments will be aided by the improving environment in North America.

Positive Outlook

  • Continued growth in proprietary pharma drug delivery systems
  • Continued improvement in injectables division’s performance
  • Fragrance dispensing solutions expected to finish strong in 2023
  • Beauty and Closures segments aided by improving environment in North America
  • Focus on reducing costs and driving profitable growth

Challenges Ahead

  • Guidance excludes restructuring expenses
  • Guidance excludes changes in the fair value of equity investments
  • Guidance excludes acquisition costs
  • Guidance is based on an effective tax rate range of 24% to 26%
  • Currency exchange rate assumptions equate to an approximately $0.02 per share tailwind when compared to the prior year fourth quarter earnings.

Revenue & Expenses

Visualization of income flow from segment revenue to net income