Ardagh Group (ARD) Q2 2024 earnings summary

Executive summary

• Revenue for Q2 2024 was $2,350 million, down from $2,446 million in Q2 2023; six-month revenue was $4,521 million, down from $4,702 million year-over-year.

• Group Adjusted EBITDA for Q2 2024 was $383 million, flat year-over-year; six-month Adjusted EBITDA was $637 million, down 12% from $722 million year-over-year.

• Net loss for Q2 2024 was $205 million, compared to a net loss of $97 million in Q2 2023; six-month net loss was $341 million, compared to $144 million year-over-year.

• Exceptional items of $207 million were recognized in the first half, mainly due to restructuring and impairment charges in North America.

Financial highlights

• Adjusted EBITDA margin for Q2 2024 was 16.3%, up from 15.7% in Q2 2023; six-month margin was 14.1%, down from 15.4% year-over-year.

• Net finance expense for Q2 2024 was $151 million, up from $100 million in Q2 2023; six-month net finance expense was $289 million, up from $243 million year-over-year.

• Maintenance capex for the first half was $192 million, down from $258 million year-over-year; growth investment capex was $76 million, down from $233 million.

• Cash and cash equivalents at June 30, 2024 were $791 million, up from $730 million at year-end 2023.

Outlook and guidance

• Management expects sufficient liquidity to fund operations, capex, and dividends for at least the next twelve months.

• A new $300 million senior secured term loan facility was committed in July 2024, with funding expected in Q3 2024.