Manufacturing

Ball Corp outperforms profit expectations in Q3 despite North American revenue decline

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Aluminum packaging giant Ball Corporation (NYSE:BALL) surpassed analysts' profit expectations for the third quarter on Thursday, driven by increased pricing on its beverage containers as consumer and bottler interest in sustainable packaging options continues to grow.

While rising prices were a key factor, Ball also benefited from recent drops in aluminum costs and enhanced efficiencies in logistics and supply chain management, which together bolstered profit margins.

This success aligns with a larger trend favoring sustainable options, as environmentally conscious consumers increasingly prefer aluminum packaging over plastic or tin-coated steel, especially for ready-to-eat and ready-to-cook products.

However, Ball faced some setbacks, particularly in its North and Central American beverage packaging sector, which saw a 5% decline in revenue, reaching $1.46 billion compared to the $1.57 billion forecast by LSEG.

The company attributed a 3.1% drop in volumes as a factor in the revenue miss.

Overall, Ball Corp’s total net sales slipped by about 1% to $3.08 billion, slightly below the $3.13 billion projection.

Excluding one-time items, Ball reported earnings per share (EPS) of 91 cents, outperforming the consensus estimate of 85 cents.

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