AptarGroup Earnings Surpass Estimates in Q4, Increase 27% Y/Y

Core Viewpoint - AptarGroup, Inc. reported strong fourth-quarter 2024 adjusted earnings per share (EPS) of $1.52, exceeding expectations and reflecting a 27% year-over-year increase from $1.20 per share [1][2] Financial Performance - Total revenues for Q4 2024 increased by 1.1% year over year to $848 million, but fell short of the Zacks Consensus Estimate of $858 million [3] - Adjusted operating income rose 10.8% year over year to $127.5 million, with an adjusted operating margin of 15%, up from 13.7% in the prior year [4] - Adjusted EBITDA increased by 8.6% year over year to $194.9 million, with an adjusted EBITDA margin of 23% compared to 21.4% in Q4 2023 [5] Segment Performance - Pharma segment revenues grew by 4.1% year over year to $400.7 million, although it missed the estimate of $412 million [6] - Beauty segment revenues decreased by 4.8% year over year to $274 million, impacted by lower tooling sales [8] - Closures segment revenues rose by 4.6% year over year to $173 million, with core sales increasing by 7% [10] Cash Position and Shareholder Returns - As of December 31, 2024, cash and cash equivalents stood at $223.8 million, with cash flow from operations reaching $643 million for the year [12] - The board authorized a $500 million common stock repurchase and declared a quarterly cash dividend of 45 cents per share [12][13] Annual Performance - For the full year 2024, adjusted EPS increased by 17.7% year over year to $5.65, surpassing the Zacks Consensus Estimate of $5.38 [14] - Total revenues for 2024 rose by 2.7% year over year to $3.58 billion, missing the consensus estimate of $3.6 billion [14] Outlook - The company anticipates first-quarter 2025 adjusted EPS to be in the range of $1.11-$1.19 [15] Stock Performance - ATR shares have gained 4% over the past year, compared to the industry's growth of 9.5% [16]