Amcor reports strong first quarter results and reaffirms outlook for fiscal 2020November 9, 2019
Amcor reported results for the quarter ended 30 September 2019.
Q1 Fiscal 2020 Highlights*
- GAAP net income of $66 million and GAAP Earnings Per Share (EPS) of 4.1 US cents per share;
- Adjusted EBIT of $335 million, up 9.5% in constant currency terms;
- Adjusted net income of $218 million and adjusted EPS of 13.4 US cents per share, both up 14.9% in constant currency terms;
- Quarterly dividend of 11.5 US cents per share declared today (annualised yield of 4.7% as of 1 November 2019);
- Repurchased 5.8 million shares in the quarter as the company commenced a $500 million buy-back;
- Integration of the Bemis business progressing well; on track to deliver $180 million of pre-tax cost synergies over three years; and
- Reaffirmed fiscal 2020 expectations for adjusted EPS growth of 5% to 10% in constant currency terms.
|Amcor’s CEO Mr. Ron Delia said: “Amcor’s fiscal 2020 is off to a solid start with strong financial results in the first quarter in line with our expectations. We are encouraged by the momentum in the base business, the initial synergy contribution from the Bemis acquisition, and continued progress on our sustainability agenda. Amcor is on track to deliver on the expectations we set for fiscal 2020 of 5 to 10% EPS growth.” “We continue to execute on the range of opportunities within our control to grow earnings and cash flow. During the quarter, the underlying business performed well, with volume and sales growth in North America and Western Europe, strong operating cost performance and synergy benefits driving 15% earnings growth. The integration of the Bemis business has proceeded in line with expectations and keeps us on track to deliver $65 million of pre-tax cost synergies in fiscal 2020 and $180 million by the end of fiscal 2022.” “We are making strong progress against our priorities to deliver organic growth in the underlying business, maximise the benefits from the Bemis acquisition and capitalise on the increasing need to develop packaging that best protects the environment. With over $1 billion of annual cash flow to deploy across dividends, acquisitions, strategic investments and share buy-backs, Amcor is well positioned to continue generating strong returns for shareholders.”|