NYSE$BALL

Ball Corp · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Reported strong results driven by operational efficiencies and strategic actions.

Ball Corporation reported strong fourth quarter and full-year comparable operating earnings and free cash flow. The company's performance was driven by the resiliency of its team amid a major brand disruption in North America, challenging year-over-year comparisons in EMEA, hyperinflationary effects in Argentina, and activities associated with the ongoing aerospace sale process.

  • Full-year and fourth quarter U.S. GAAP diluted earnings per share of $2.23 and 49 cents, respectively.
  • Full-year and fourth quarter comparable diluted earnings per share of $2.90 and 78 cents, respectively
  • Full-year and fourth quarter global beverage can shipments down 7.4% and 3.2%, respectively, including Russia
  • Announced sale of aerospace business projected to close in the first half of 2024

Headline financials

Total Revenue

$3.4B

Previous: $3.55B-4.1%
EPS (adj)

$0.78

Previous: $0.44+77.3%
Capital Expenditures

-$215M

Previous: $389M-155.3%
Net Income

$154M

Previous: $55M+180.0%
Operating Income

$300M

Previous: $188M+59.6%
Gross Profit

$699M

Previous: $518M+34.9%

Revenue & EPS history

Ball · Revenue · Quarterly

$3.4B

Q4 2023-4.1%vs Q4 2022
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Ball · $3.11B total across 4 segments · Q3 2023

  • Beverage Pkg NCA
    $1.54B-14.4%
  • Beverage Pkg EMEA
    $902M-12.5%
  • Beverage Pkg South Am
    $489M+4.9%
  • Other
    $179M

Forward guidance

In 2024, Ball is positioned to grow diluted earnings per share, generate strong free cash flow and accelerate return of value to shareholders. The company is focused on executing its enterprise-wide strategy with purpose and pace to advance sustainable aluminum packaging solutions at scale, win commercially through partnership and breakthrough innovation and unlock value within the organization by driving continuous process improvement and operational excellence.

Tailwinds

  • Incremental volume recovery
  • Continuous improvement on cost management will drive comparable operating earnings
  • Strong free cash flow generation
  • Approximately $4.5 billion of after-tax proceeds from the projected aerospace sale will be used to immediately reduce debt by approximately $2 billion driving leverage to in the range of 2.7x net debt to comparable EBITDA
  • Approximately $2 billion of proceeds will be used to increase return of value to shareholders via share buybacks and pay dividends moving forward

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

+0.2%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+0.8%

Avg return

30 days after

56%

38 / 68 earnings

Positive

+12.1%

Q1 2023

Best reaction

-22.6%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.1%-3.9%-14.3%
Q4 2025+8.0%+17.3%+11.5%
Q3 2025+1.6%+4.0%+3.7%
Q1 2025-0.4%+0.5%+3.2%
Q4 2024-6.9%-9.4%-6.3%
Q3 2024-8.1%-6.6%-3.2%
Q2 2024+1.5%-0.8%-0.0%
Q1 2024+8.1%+4.3%+5.2%
Q4 2023+7.3%+3.2%+15.9%
Q3 2023+7.7%+5.4%+18.5%
Q2 2023+1.3%-1.4%-3.8%
Q1 2023+12.1%+9.1%+4.2%
Q4 2022+0.9%-1.4%-2.3%
Q3 2022+6.3%+5.6%+16.6%
Q2 2022-22.6%-24.6%-23.3%
Q1 2022-13.6%-17.0%-11.6%
Q4 2021-1.0%-1.3%+1.3%
Q3 2021-3.9%-3.0%-0.9%
Q2 2021+7.9%+12.4%+23.2%
Q1 2021+2.1%+2.8%+10.8%
Q4 2020+0.2%-2.3%-9.9%
Q3 2020+3.6%+0.9%+0.1%
Q2 2020+0.7%-1.5%+9.9%
Q1 2020-2.8%-5.8%-0.6%
Q4 2019-1.8%-2.1%-29.7%
Q3 2019-4.9%-4.7%-5.6%
Q2 2019-2.0%+0.7%+7.6%
Q1 2019+0.9%+0.4%+3.6%
Q4 2018+0.7%+1.9%+6.4%
Q3 2018-0.4%+2.6%+3.1%
Q2 2018+2.3%+2.3%+3.3%
Q1 2018-2.1%+1.4%+1.0%
Q4 2017-1.4%+1.5%-0.6%
Q3 2017-1.7%-4.2%-2.3%
Q2 2017-2.5%-1.1%-2.0%
Q1 2017-0.4%-1.3%+4.4%
Q4 2016-1.6%-3.6%-1.0%
Q3 2016-0.0%-3.4%-3.2%
Q2 2016+0.2%-0.4%-3.4%
Q1 2016+1.0%
Q4 2015+3.0%
Q3 2015+4.3%
Q2 2015-3.2%
Q1 2015-0.8%
Q4 2014-0.1%
Q3 2014-0.8%
Q2 2014+0.9%
Q1 2014+2.0%
Q4 2013-0.4%
Q3 2013+0.1%
Q2 2013-3.4%
Q1 2013-0.6%
Q4 2012-1.4%
Q3 2012+0.4%
Q2 2012+4.2%
Q1 2012+0.5%
Q4 2011-0.9%
Q3 2011+1.8%
Q1 2010+1.8%
Q2 2011+3.9%
Q1 2011+0.9%
Q4 2010-1.3%
Q4 2008-1.3%
Q3 2010+2.5%
Q3 2009+2.5%
Q2 2009+0.2%
Q2 2010+0.2%
Q4 2009+0.2%

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