Crown Holdings Reduces 2018 Earnings Estimate – Quick Facts
Crown Holdings, Inc. (CCK) announced the company currently expects third quarter and full year 2018 adjusted earnings to be in the ranges of $1.60 to $1.70 and $5.15 to $5.30 per share, respectively. Compared to its prior guidance, the company is reducing its full year earnings estimate primarily due, in equal parts, to continued elevated freight costs in North America and the impact of foreign currency translation from the strength of the U.S. dollar.
Second-quarter adjusted diluted earnings per share increased to $1.55 over the $1.17 in 2017. Net sales in the second quarter were $3.05 billion compared to $2.16 billion in the second quarter of 2017 reflecting the impact of the Signode acquisition, an increase in beverage can volumes, the pass through of higher material costs to customers and $77 million of favorable currency translation.
Timothy Donahue, CEO, said: “We performed well in the second quarter. We saw solid gains in global beverage can shipments and excellent operating results in our European Food and newly-acquired Transit Packaging businesses. Global beverage can volume growth of over 4% was propelled by strong demand in Brazil, North America and Southeast Asia. This strong operational performance was somewhat offset by macroeconomic headwinds from elevated freight costs in North America and foreign currency losses in Brazil due to the strength of the U.S. dollar. We have revised our full year outlook with the expectation that elevated freight costs and the strength of the dollar will continue for the remainder of the year.”
by RTTNews Staff Writer
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