MONTRÉAL, June 23, 2025 (GLOBE NEWSWIRE) -- TC Transcontinental (TSX: TCL.A TCL.B) announced today the acquisition of Middleton Group, a provider of retail services and point-of-purchase display solutions to leading North American retailers and brands. This strategic acquisition supports TC Transcontinental’s growth of its in-store marketing (ISM) activities, a market with attractive growth potential where the company already holds a leadership position in Canada. Founded in 1952 and based in Markham, Ontar ...

Core Insights - Amcor reported $3.33 billion in revenue for the quarter ended March 2025, reflecting a year-over-year decline of 2.3% [1] - The EPS for the same period was $0.18, unchanged from a year ago, with no EPS surprise against the consensus estimate [1] - The reported revenue was a surprise of -4.37% compared to the Zacks Consensus Estimate of $3.49 billion [1] Financial Performance Metrics - Rigid Packaging net sales were $728 million, falling short of the $795.13 million average estimate, representing a year-over-year decline of 10.5% [4] - Flexible net sales reached $2.61 billion, slightly below the $2.67 billion estimate, with a year-over-year increase of 0.3% [4] - Adjusted EBIT for Flexibles was $357 million, compared to the average estimate of $372.48 million [4] - Adjusted EBIT for Corporate expenses was -$28 million, better than the average estimate of -$31.37 million [4] - Adjusted EBIT for Rigid Packaging was $55 million, below the average estimate of $69.01 million [4] Stock Performance - Amcor shares have returned -4.9% over the past month, contrasting with the Zacks S&P 500 composite's -0.2% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Financial Data and Key Metrics Changes - Amcor reported net sales of CHF 3.3 billion and EBIT of CHF 384 million, both marginally higher than the previous year [13] - Adjusted EPS grew by 5% on a comparable basis, benefiting from cost management and improved healthcare volumes [14] - The company expects adjusted EPS for fiscal 2025 to be in the range of $0.72 to $0.74 per share [24] Business Line Data and Key Metrics Changes - In the Flexibles segment, volumes increased by 1%, with modest share gains in healthcare and protein, but offset by weaker consumer demand in North America [15] - The Rigid Packaging segment faced challenges, with net sales approximately 3% lower than last year due to a 2% decline in volumes and unfavorable price mix [19] - Adjusted EBIT for the Rigid Packaging segment was £55 million, impacted by lower volumes and price mix headwinds [20] Market Data and Key Metrics Changes - North American volumes declined by low single digits, particularly in the Beverage sector, while Europe, Asia Pacific, and Latin America saw low to mid single-digit growth [16] - Healthcare volumes improved, with medical volumes up in the high single digits, indicating a recovery in pharmaceutical packaging demand [17] - The overall demand environment in North America became more variable and uncertain, affecting consumer demand [23] Company Strategy and Development Direction - The merger with Berry Global is expected to deliver significant synergies, with an identified total of €650 million over three years, leading to an estimated EPS accretion of over 35% [11] - The company aims to refine its portfolio mix to focus on higher value, faster-growing end markets, enhancing growth rates and margins [10] - Amcor is committed to maintaining a strong investment-grade balance sheet while increasing long-term EPS growth and shareholder value [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving synergies despite a challenging macroeconomic environment, with a clear visibility to significant EPS growth driven by synergies alone [25] - The company anticipates muted overall demand in Q4, aligning with the current macroeconomic conditions and uncertainty around tariff impacts [23] - Management highlighted the importance of understanding consumer behavior changes, particularly in response to inflation and economic uncertainty [70] Other Important Information - The company has returned £550 million in cash to shareholders through a growing dividend, with a declared dividend of $12.75 per share, a 2% increase from the previous year [22] - Amcor's R&D investment is approximately €180 million annually, with over 1,500 R&D professionals dedicated to addressing complex challenges in functionality and sustainability [10] Q&A Session Summary Question: Insights on North American volume decline - Management noted that North American Beverage business saw high single-digit volume declines, primarily due to weak consumer demand and inflationary pressures [31][32] Question: Synergy-driven EPS growth assumptions - Management confirmed that the €260 million in synergies expected for fiscal 2026 is achievable even in a challenging macro environment, with confidence in delivering these synergies [41][42] Question: Breakdown of procurement synergies - Management indicated that procurement synergies will be a major contributor, with initial focus on SG&A, followed by procurement and operations [47][50] Question: Impact of consumer behavior on growth outlook - Management acknowledged that consumer demand has weakened, leading to changes in purchasing behavior, which affects customer forecasts [70][72] Question: Structural issues in North American Beverage business - Management clarified that the current volume decline is not deemed structural, and improvements are expected as volumes recover [80][82]

Amcor Plc (AMCR) is scheduled to report third-quarter fiscal 2025 results on April 30, after the closing bell.The Zacks Consensus Estimate for AMCR’s fiscal third-quarter revenues is pegged at $3.51 billion, indicating 2.9% growth from the year-ago reported figure.The consensus estimate for earnings is pegged at 18 cents per share. The consensus estimate indicates in-line results with the year-ago quarter. The estimate has moved down 5.3% in the past 60 days.  Image Source: Zacks Investment Research AMCR’s ...