- Crown Holdings forecasts 1Q adjusted EPS between $1.20 and $1.30, exceeding the previous estimate of $1.14.
- Fourth quarter adjusted EPS was $1.59, higher than last year’s $1.24 and above the estimate of $1.50.
- Net sales for the fourth quarter reached $2.90 billion, a 1.6% increase year-over-year, beating the estimate of $2.88 billion.
- Americas beverage revenue grew by 2% year-over-year to $1.33 billion, slightly above the $1.3 billion estimate.
- Europe beverage revenue increased by 16% to $456 million, surpassing the $427.3 million estimate.
- Asia Pacific revenue decreased by 3.8% year-over-year to $308 million, but still exceeded the estimate of $299.6 million.
- Transit packaging revenue dropped by 5.5% to $511 million, below the estimate of $521.7 million.
- Other revenue fell by 1% to $303 million, exceeding the $296.3 million estimate.
- Operating income rose by 36% to $351 million, below the estimate of $384.4 million.
- Americas beverage operating income increased by 7.8% to $275 million, outperforming the $243.8 million estimate.
- Europe beverage operating income jumped to $51 million from $18 million, above the $43.8 million estimate.
- Asia Pacific operating income grew by 2.1% to $48 million, exceeding the estimate of $44.9 million.
- Transit packaging operating income decreased by 21% to $59 million, below the $70.1 million estimate.
- Other income surged by 94% to $33 million, well above the $17.8 million estimate.
- Adjusted free cash flow was $146 million, a 67% decline year-over-year.
- Crown Holdings expects full-year 2025 adjusted free cash flow to be approximately $800 million.
- The company attributed the strong fourth quarter results to a 12% segment income increase and 17% improvement in global beverage can income.
- North American food can business showed increased income due to volume growth, while transit packaging faced sluggish industrial activity.
- The company’s global beverage can expansion program, begun in 2019, is now largely complete, reducing capital expenditure needs.
- Market recommendations include 14 buys, 3 holds, and 0 sells.
Crown Holdings on Smartkarma
Analyst coverage of Crown Holdings on Smartkarma has been positive, with Baptista Research releasing a report titled “Crown Holdings Inc.: Why Its Adaptation to Market Dynamics Is Driving Our Optimism! – Major Drivers.” The report highlighted the company’s third-quarter 2024 results, showing a mixed performance across its operations. While Crown Holdings reported flat net sales of $3.1 billion year-over-year, there were strengths in specific sectors such as global beverage can and North American food can volumes. However, challenges were noted in other business segments.
Baptista Research‘s analysis indicates an overall optimistic outlook for Crown Holdings, emphasizing the company’s ability to adapt to market dynamics. This coverage provides valuable insights for investors looking to understand the performance and potential growth drivers of Crown Holdings, a key player in the packaging industry.
A look at Crown Holdings Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 2 | |
| Growth | 2 | |
| Resilience | 2 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
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Based on the Smartkarma Smart Scores, Crown Holdings is positioned with an average outlook for value, showing promise but with room for improvement. The company’s dividend, growth, resilience, and momentum scores all fall within the mid-range, indicating steady performance in these areas. With its primary focus on packaging products for consumer goods and a global presence, Crown Holdings demonstrates stability and a diverse product range.
Crown Holdings, Inc. is known for designing, manufacturing, and selling packaging products worldwide, with a specialization in steel and aluminum cans for various consumer goods. The company also offers metal caps, closures, and dispensing systems. Although the Smart Scores suggest room for growth and enhancement in certain aspects, Crown Holdings‘s established presence in the consumer packaging industry provides a strong foundation for potential long-term success.
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Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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