Crown (CCK) Q3 2024 earnings summary

Executive summary

• Third quarter 2024 net sales were $3,074 million, nearly flat year-over-year, with higher beverage and food can shipments in North America offset by lower volumes elsewhere and $9 million in unfavorable currency translation.

• Global beverage segment income rose 23% on 5% global volume growth, with notable performance in Americas and Europe.

• Net loss attributable to Crown Holdings was $175 million, reflecting $517 million in pension settlement charges, compared to net income of $159 million last year.

• Adjusted for pension settlements, operating income improved year-over-year, driven by higher beverage can shipments and improved manufacturing performance in Americas and Europe.

• Company continues to focus on sustainability, cost management, and capital discipline amid ongoing macroeconomic and geopolitical uncertainties.

Financial highlights

• Net sales were flat year-over-year at $3.1 billion, with beverage can and North American food can volume gains offset by declines elsewhere.

• Segment income increased to $472 million from $430 million year-over-year.

• GAAP loss per share was $1.47 due to a non-cash pension settlement charge; adjusted EPS was $1.99, up 15% sequentially.

• Free cash flow reached $668 million through nine months, $450 million ahead of the prior year period.

• Operating cash flow for nine months was $897 million, up from $832 million in 2023.

Outlook and guidance

• Full-year adjusted EPS guidance raised to $6.25–$6.35 from $6–$6.25.

• Fourth quarter adjusted EPS projected at $1.45–$1.55.

• 2024 full-year adjusted free cash flow expected to be at least $750 million, with net leverage below 3x by year-end.

• Capital spending for 2024 expected to be no more than $450 million.

• Company expects to meet current and future demand growth with existing capital base.