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Mar 31, 2023

Ball Q1 2023 Earnings Report

Ball reported first quarter results amid tough year-over-year comparisons driven largely by 2022 business divestments.

Key Takeaways

Ball Corporation reported first quarter 2023 net earnings attributable to the corporation of $177 million, or diluted earnings per share of 56 cents, on sales of $3.49 billion. Comparable net earnings were $217 million, or 69 cents per diluted share.

U.S. GAAP diluted earnings per share of 56 cents vs. $1.37 in 2022; results include impact of 2022 business divestments

Comparable diluted earnings per share of 69 cents vs. 77 cents in 2022; results include impact of 2022 business divestments

Global beverage can shipments down 6.7%, including impact of 2022 Russian business divestment

Aerospace backlog $2.8 billion; contracts won-not-booked $5.0 billion

Total Revenue
$3.49B
Previous year: $3.72B
-6.1%
EPS
$0.69
Previous year: $1.37
-49.6%
Gross Profit
$644M
Previous year: $700M
-8.0%
Cash and Equivalents
$572M
Previous year: $437M
+30.9%
Free Cash Flow
-$618M
Previous year: -$1.17B
-47.0%
Total Assets
$20.1B
Previous year: $20.9B
-3.9%

Ball

Ball

Ball Revenue by Segment

Forward Guidance

Company remains well-positioned in 2023 to deliver long-term diluted earnings per share goal and free cash flow in the range of $750 million in addition to returning value to shareholders.

Positive Outlook

  • Leveraging second half 2022 cost-out actions
  • Contractual inflationary cost recovery
  • Reduced capital expenditures
  • Achieve long-term diluted earnings per share growth goal of 10 to 15 percent
  • Improve EVA generation

Challenges Ahead

  • Typical seasonal working capital build
  • Russian business divestment headwind
  • Year-to-date demand trends
  • Higher interest expense
  • Tepid first-half volume trends driven by varying global macroeconomic conditions impacting consumer demand

Revenue & Expenses

Visualization of income flow from segment revenue to net income