AptarGroup(US:ATR)2024-10-24 21:01Financial Performance - Reported sales increased by 2% to $909 million in Q3 2024, compared to $893 million in the prior year[4] - Net income for the quarter was $100 million, reflecting a 19% increase year-over-year[1] - Adjusted EBITDA rose by 8% to $208 million, achieving an adjusted EBITDA margin of 23%[3] - For the first nine months of 2024, reported sales increased by 3% to $2.73 billion, with core sales also up by 3%[8] - Earnings per share for the first nine months were $4.05, a 22% increase from $3.32 in the prior year[10] - Net sales for Q3 2024 reached $909.3 million, a 1.5% increase from $893.0 million in Q3 2023[21] - Operating income for Q3 2024 was $138.3 million, up 15.9% from $119.3 million in Q3 2023[21] - Basic earnings per share for Q3 2024 increased to $1.51, up from $1.28 in Q3 2023, reflecting a 17.9% growth[21] - Adjusted EBITDA margin for Q3 2024 was 22.9%, compared to 21.5% in Q3 2023, indicating improved operational efficiency[26] - Net sales for the nine months ended September 30, 2024, were $2.73 billion, a 3.2% increase from $2.65 billion in the same period of 2023[21] Segment Performance - The Pharma segment reported sales growth of 8% and core sales growth of 7%, driven by strong demand for proprietary drug delivery systems[5] - The Closures segment achieved a 3% increase in reported sales and a 4% increase in core sales, primarily due to demand in the food market[7] - The Beauty segment saw a reported sales decline of 7%, with core sales down 6% due to lower tooling sales and challenging comparisons from the prior year[6] Shareholder Returns - Aptar's Board authorized a $500 million share repurchase program and declared a quarterly cash dividend of $0.45 per share[12] Cash Flow and Investments - Free cash flow for the three months ended September 30, 2024, was $162,712,000, compared to $97,214,000 for the same period in 2023, indicating a significant increase of 67.2%[35] - The company reported net cash provided by operations of $229,262,000 for the three months ended September 30, 2024, compared to $173,401,000 for the same period in 2023, an increase of 32.2%[35] Future Outlook - The company expects Q4 2024 earnings per share to be in the range of $1.22 to $1.30, indicating a double-digit increase over full year 2023[11] - The company expects adjusted net income attributable to AptarGroup for the fourth quarter of 2024 to be in the range of $1.22 to $1.30 per diluted share, compared to $1.24 for the fourth quarter of 2023[37] Restructuring and Costs - The company reported a restructuring initiative cost of $3.9 million in Q3 2024, down from $6.2 million in Q3 2023[21] - Restructuring initiatives incurred costs of $9,659, with additional transaction costs related to acquisitions amounting to $140[30] - Restructuring initiatives resulted in costs of $3,864,000 for the three months ended September 30, 2024, down from $6,161,000 in the same period of 2023, indicating a reduction of 37.3%[33] Assets and Liabilities - Total assets as of September 30, 2024, were $4.63 billion, an increase from $4.45 billion at the end of 2023[23] - The company’s total liabilities increased to $2.54 billion as of September 30, 2024, from $2.31 billion at the end of 2023[24] Taxation - The provision for income taxes for the three months ended September 30, 2024, was $31,209,000, compared to $25,751,000 for the same period in 2023, reflecting a year-over-year increase of 21.3%[33]