Financial Data and Key Metrics Changes - The company reported full-year adjusted earnings of $1.60 per share, nearly doubling compared to 2024, with free cash flow rebounding to $168 million [3][4] - Adjusted EBITDA increased by 11%, with margins expanding by 220 basis points, driven by Fit to Win benefits [7] - Economic spread expanded by 200 basis points, supported by stronger earnings and disciplined capital allocation [5] Business Line Data and Key Metrics Changes - In the Americas, segment operating profit rose by 40%, despite a 10% decline in volumes, primarily in beer and spirits [12] - In Europe, segment operating profit increased by 8%, with volumes declining by 3.5% [14] - The company shifted its mix towards higher value categories, resulting in a 1% increase in the quality of its business portfolio [6] Market Data and Key Metrics Changes - Shipments in tons were down 2.5%, reflecting a 3% decline in consumer consumption [5] - The company maintained a stable top line, with average selling prices remaining flat while favorable foreign exchange largely offset volume declines [11] - The company noted that the U.S. market is experiencing high inventory levels, particularly in spirits, affecting consumption [23] Company Strategy and Development Direction - The company is focused on executing its Fit to Win initiative, which delivered $300 million in savings in 2025 and aims for at least $275 million in 2026 [8][9] - The company is committed to exiting unprofitable business segments to improve economic profit while maintaining or growing market share [15] - The company is reorienting its portfolio towards higher growth segments such as non-alcoholic beverages and premium spirits [58] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing macroeconomic pressures but expressed confidence in achieving 2027 financial targets [4][18] - The company expects continued progress in 2026, with adjusted EBITDA projected between $1.25 billion and $1.3 billion, representing up to 7% growth versus 2025 [15] - Management highlighted the importance of disciplined execution and cost management in navigating the challenging environment [8][18] Other Important Information - The company is working to improve supply chain efficiency, with forecasting success rates increasing from 50% to approximately 68%-69% [50] - The company anticipates a challenging first quarter in 2026 due to tough year-over-year comparisons but expects improvement as the year progresses [16][70] Q&A Session Summary Question: Volume decline in the Americas and inventory adjustments - Management indicated that up to half of the 10% volume decline in the Americas was due to inventory adjustments, particularly in beer and spirits [22][23] Question: Expanded savings target and energy headwind - The increase in the savings target to $750 million was not solely due to lower volumes but rather faster-than-expected savings execution [25][27] - The $150 million energy cost increase is expected to be a one-time adjustment due to expiring favorable contracts [26] Question: Volume outlook and exiting unprofitable business - The 2026 volume outlook includes efforts to exit unprofitable business, with an expected additional 1% movement in that direction [32][34] Question: Changes in go-to-market strategy - The company is revamping its go-to-market model to better leverage insights and improve sales performance [60][61] Question: European market dynamics and pricing - Management noted that while there is still some overcapacity in Europe, pricing has firmed up compared to the previous year [88][90] Question: Impact of the World Cup on volumes - The World Cup is seen as a potential upside, but current guidance does not fully account for event-specific impacts [102]

Financial Data and Key Metrics Changes - Full-year adjusted earnings reached $1.60 per share, nearly doubling compared to 2024, with free cash flow rebounding to $168 million [3][4] - Adjusted EBITDA increased by 11%, with margins expanding by 220 basis points, while adjusted EPS nearly doubled due to stronger operating performance and a lower effective tax rate [6][11] - Economic spread expanded by 200 basis points, driven by stronger earnings and disciplined capital allocation [5][6] Business Line Data and Key Metrics Changes - In the Americas, segment operating profit rose by 40%, despite a 10% decline in volumes, primarily in beer and spirits [12] - European segment operating profit increased by 8%, with a 3.5% decline in volumes, reflecting contributions from strategic initiatives [13] - Overall, shipments in tons were down 2.5%, with a shift towards lighter weight and smaller format bottles contributing to a 1.5% decline on a unit basis [5][6] Market Data and Key Metrics Changes - Shipments in the Americas were impacted by inventory adjustments, with about half of the 10% volume decline attributed to this factor [21][24] - In Europe, consumption was down low single digits, with stable or slightly higher shipments in wine and food, while beer and spirits remained soft [13][85] - The company maintained a modestly improved market share while upgrading its business portfolio [5][6] Company Strategy and Development Direction - The company is focused on executing the Fit to Win initiative, which delivered $300 million in savings in 2025, with an increased target of at least $750 million for the next three years [8][9] - The strategy includes exiting unprofitable business segments to improve economic profit while maintaining or growing market share [15][33] - The company aims to optimize its portfolio and enhance its competitive position as markets recover [7][18] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing macroeconomic pressures but expressed confidence in achieving 2027 financial targets [4][18] - The company expects continued progress in 2026, with adjusted EBITDA projected between $1.25 billion and $1.3 billion, representing up to 7% growth versus 2025 [15][16] - Management highlighted the importance of disciplined execution and cost reduction in navigating the challenging environment [6][18] Other Important Information - Free cash flow is expected to approximate $200 million in 2026, reflecting higher earnings partially offset by slightly higher capital expenditures [16][70] - The company is working on improving supply chain efficiency, with demand forecasting success rates increasing from 50% to about 68%-69% [48][49] Q&A Session Summary Question: Volume decline in the Americas and inventory adjustments - Management indicated that up to half of the 10% volume decline was due to inventory adjustments, particularly in beer and spirits [21][22] Question: Expanded savings target and energy headwind - The increase in savings target to $750 million was not solely due to lower volumes but rather faster-than-expected savings execution [25][27] Question: Volume outlook and exiting unprofitable business - The 2026 volume outlook includes efforts to exit unprofitable business, with an expected additional 1% movement in that area [31][34] Question: Volume trajectory through 2026 - Management expects a tough first quarter but anticipates a transition to flat volumes in the second quarter and low to mid-single-digit growth in the back half of the year [66][67] Question: European market supply and demand dynamics - In Europe, there is still significant overcapacity in certain categories, but pricing has firmed up compared to the previous year [84][86]

FULL YEAR AND FOURTH QUARTER 2025 EARNINGS February 11, 2026 SAFE HARBOR COMMENTS AND FORWARD 2 -LOOKING STATEMENTS This presentation contains "forward-looking" statements related to O-I Glass, Inc. ("O-I Glass" or the "Company") within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and Section 27A of the Securities Act of 1933, as amended. Forward-looking statements reflect the Company's current expectations and projections about future events at the tim ...

Core Viewpoint - O-I Glass, Inc. reported strong financial results for 2025, with adjusted earnings nearly doubling compared to 2024, despite a net loss attributable to the company. The company emphasized the effectiveness of its "Fit to Win" strategy, which delivered significant benefits and improved operational performance [3][7]. Full Year 2025 Results - Net sales for 2025 were $6.426 billion, a slight decrease from $6.531 billion in 2024, attributed to stable average selling prices and favorable foreign currency translation offsetting lower sales volume [2][4]. - The company reported a net loss attributable to the company of $0.84 per share in 2025, compared to a loss of $0.69 per share in 2024 [8]. - Adjusted earnings per share (diluted) were $1.60 in 2025, up from $0.81 in 2024, aligning with the company's guidance of $1.55 to $1.65 [9]. - Cash provided by operating activities was $600 million in 2025, an increase from $489 million in 2024 [9]. - Free cash flow improved to $168 million in 2025, compared to a cash use of $128 million in the prior year, despite $90 million in incremental restructuring spending [10]. - Segment operating profit rose to $846 million in 2025, a 13% increase from $748 million in 2024, with a 170 basis point improvement in segment margins [6]. Fourth Quarter 2025 Results - Net sales for Q4 2025 were $1.5 billion, stable compared to $1.529 billion in Q4 2024, reflecting flat average selling prices [11][13]. - The company reported a loss before income taxes of $133 million in Q4 2025, compared to a loss of $125 million in the prior year [14]. - Segment operating profit for Q4 2025 was $177 million, up 30% from $136 million in Q4 2024, with a 280 basis point improvement in segment margins [15]. - Adjusted earnings per share (diluted) for Q4 2025 were $0.20, compared to an adjusted net loss of $0.05 in the prior year [18]. 2026 Outlook - O-I anticipates adjusted EBITDA for 2026 to be between $1.25 billion and $1.30 billion, representing up to a 7% increase over 2025 levels [19]. - The company forecasts adjusted earnings per share in the range of $1.65 to $1.90, indicating up to a 19% improvement over 2025 [21]. - Free cash flow is expected to approximate $200 million in 2026, a nearly 20% increase compared to 2025 [22]. - The company plans to benefit from at least $275 million of incremental "Fit to Win" initiatives in 2026, despite lower net price trends and flat to slightly declining sales volumes [20].

Financial Performance Highlights - The company's adjusted earnings per share (aEPS) for 3Q25 was $0.48, a significant improvement from 3Q24's $(0.04)[6, 9] - Segment operating profit increased by 63% and margins increased by 570 basis points[8] - Net sales remained relatively stable, with a slight decrease from $1.679 billion in 3Q24 to $1.653 billion in 3Q25[11, 14] - The company is raising its 2025 earnings guidance and now expects $1.55 - $1.65 aEPS, approximately a 2x improvement compared to the previous year[8] Fit to Win Program - The Fit to Win program contributed $75 million in benefits during 3Q25, bringing the year-to-date total to $220 million[8] - The company expects to exceed its 2025 Fit to Win savings target, with solid progress towards achieving ≥ $650 million in savings by 2027[12] Segment Performance - Segment operating profit in the Americas increased by 59%, from $88 million in 3Q24 to $140 million in 3Q25[16, 17] - Segment operating profit in Europe increased by 70%, from $56 million in 3Q24 to $95 million in 3Q25[16, 17] Future Outlook - The company expects higher aEPS and free cash flow (FCF) in 2026, with continued progress towards its 2027 Investor Day (I-Day) goals[8] - Capital expenditures (CapEx) are expected to remain stable at approximately $450 million[20]

Core Viewpoint - O-I Glass, Inc. reported a strong performance in Q1 2025 despite a net loss, driven by the implementation of its 'Fit to Win' strategy, which is expected to enhance competitiveness and profitability [2][3][10]. Financial Performance - Net earnings attributable to the company were a loss of $0.10 per share in Q1 2025, compared to earnings of $0.45 per share in Q1 2024 [10]. - Adjusted earnings per share (EPS) were $0.40 in Q1 2025, down from $0.45 in the same period last year [10]. - Earnings before income taxes decreased to $18 million in Q1 2025 from $117 million in Q1 2024, primarily due to restructuring and asset impairment charges of $80 million related to the 'Fit to Win' initiative [5][10]. Sales and Shipments - Net sales for Q1 2025 were $1.6 billion, consistent with the prior year, with a 4.4% increase in sales volume offset by unfavorable foreign currency translation and lower average selling prices [4]. - Year-to-date shipments through April 2025 increased approximately 3%, although recent demand softened amid uncertainty regarding new tariff policies [4]. Segment Performance - Segment operating profit in the Americas rose to $141 million in Q1 2025 from $102 million in the prior year, benefiting from over 4% sales volume growth [8]. - In Europe, segment operating profit fell to $68 million from $133 million, despite nearly 4% sales volume growth, due to lower net prices and higher operating costs [8][9]. - Total segment operating profit for the company was $209 million in Q1 2025, down from $235 million in the same period of 2024 [6]. Future Outlook - The company reaffirmed its 2025 guidance, anticipating adjusted EPS to increase by 50% to 85% from 2024 levels, projecting adjusted EPS in the range of $1.20 to $1.50 [11][12]. - Free cash flow is expected to improve significantly to between $150 million and $200 million in 2025, compared to a cash use of $128 million in 2024 [12].