Ball (US:BALL)2019-11-01 17:56Financial Performance - Net sales for Q3 2019 were $2,953 million, a slight increase from $2,946 million in Q3 2018, while year-to-date sales decreased to $8,755 million from $8,832 million[4]. - Net earnings for Q3 2019 were $92 million, up from $59 million in Q3 2018, and year-to-date net earnings increased to $406 million from $304 million[5]. - Earnings per share for Q3 2019 were $0.28, compared to $0.17 in Q3 2018, with year-to-date earnings per share rising to $1.22 from $0.87[4]. - The company reported a total comprehensive earnings of $173 million for Q3 2019, compared to $26 million in Q3 2018[5]. - Ball Corporation reported net earnings attributable to Ball Corporation for the three months ended September 30, 2019, were $92 million, compared to a net loss of $43 million in the same period of the previous year[141]. - Net earnings for the nine months ended September 30, 2019, increased to $406 million from $303 million in 2018, driven by higher beverage can unit volumes and increased sales in the aerospace segment[164]. Assets and Liabilities - Total assets decreased to $16,237 million as of September 30, 2019, from $16,554 million at the end of 2018[8]. - Total liabilities decreased to $12,772 million from $12,992 million at the end of 2018[8]. - The company’s total equity decreased to $3,465 million as of September 30, 2019, from $3,562 million at the end of 2018[8]. - Trade accounts receivable increased to $922 million as of September 30, 2019, compared to $812 million at December 31, 2018, reflecting a growth of 13.5%[62]. - Total current assets amounted to $3,829 million, with cash and cash equivalents at $483 million and receivables at $1,957 million[148]. - Total liabilities reached $12,772 million, with current liabilities at $3,773 million and long-term debt at $6,623 million[148]. Cash Flow and Investments - Cash provided by operating activities for the nine months ended September 30, 2019, was $656 million, down from $1,027 million in the same period of 2018[10]. - The company reported a net change in short-term borrowings of $131 million, indicating a positive cash flow from financing activities of $350 million[150]. - Capital expenditures for property, plant, and equipment are expected to exceed $600 million in 2019, with approximately $430 million contractually committed as of September 30, 2019[200]. - The company has entered into accounts receivable factoring programs with limits of approximately $1.3 billion as of September 30, 2019, with $155 million available for sale under these programs[198]. Segment Performance - The Aerospace segment achieved net sales of $374 million for the three months ended September 30, 2019, up 32% from $283 million in the same period last year[30]. - Comparable operating earnings for the Beverage Packaging, North and Central America segment were $157 million for the three months ended September 30, 2019, compared to $153 million in the same period of 2018, representing a 2.6% increase[30]. - Beverage Packaging segment sales in South America for the three months ended September 30, 2019, were $392 million, slightly higher than $391 million in 2018, while for the nine months, sales decreased to $1,210 million from $1,229 million[182]. - Aerospace segment net sales for the three months ended September 30, 2019, were $374 million, an increase from $283 million in 2018, and for the nine months, sales rose to $1,081 million from $837 million[186]. Shareholder Returns - The company declared dividends of $0.15 per share for the three months ended September 30, 2019, compared to $0.10 per share in the same period of 2018, marking a 50% increase[106]. - The company repurchased 3.8 million shares at an average price of $65.93, totaling $250 million in May 2019[98]. - The Board authorized the repurchase of up to 50 million shares, replacing all previous authorizations[99]. Tax and Pension Obligations - The effective tax rate for the three months ended September 30, 2019, was 26.9%, influenced by various factors including pension plan settlements and share-based compensation[86]. - Contributions to defined benefit pension plans were $154 million for the first nine months of 2019, significantly higher than $53 million for the same period in 2018[93]. - Underfunded defined benefit pension liabilities decreased to $834 million as of September 30, 2019, from $954 million at December 31, 2018[87]. Risk Management - The company’s risk management policies aim to reduce exposure to fluctuations in commodity prices, interest rates, and currency exchange rates, although effectiveness cannot be guaranteed[107]. - The company has estimated potential liabilities for environmental matters at approximately $28 million, included in current and noncurrent liabilities[127]. - The company has not identified any circumstances requiring adjustments to the reported values of its financial instruments as of September 30, 2019[119].