Ball Corporation Reports Q1 2025 Financial Results with $3.097 Billion in Net Sales

Ball Corporation reported its financial results for the first quarter of 2025, revealing net sales of $3.097 billion, a 7.8% increase from $2.874 billion in the same period of 2024. The growth was primarily driven by a $150 million increase in price/mix, largely attributed to higher aluminum prices, and a $117 million rise in volume. However, net earnings attributable to Ball Corporation decreased significantly to $179 million, down from $3.685 billion in the prior year, primarily due to a substantial decline in earnings from discontinued operations following the divestiture of its aerospace business in February 2024.

The company's cost of sales, excluding depreciation and amortization, rose to $2.493 billion, representing 80% of net sales, compared to 79% in the previous year. This increase was largely due to higher aluminum costs, which accounted for $179 million of the rise. Selling, general, and administrative expenses decreased to $149 million from $237 million, reflecting lower compensation costs associated with the aerospace business sale. Interest expense also declined to $70 million from $93 million, benefiting from lower average interest rates and principal amounts outstanding.

In terms of strategic developments, Ball Corporation completed the acquisition of Florida Can Manufacturing for $160 million in February 2025, enhancing its beverage packaging capabilities in North America. The company also formed a strategic partnership for its aluminum cups business, resulting in a loss of $6 million recorded in business consolidation and other activities. Additionally, Ball is in the process of selling a 41% stake in its United Arab Can Manufacturing Company, which is expected to close in the first half of 2025.

Operationally, Ball's beverage packaging segments showed positive performance, with North and Central America reporting net sales of $1.463 billion, up from $1.403 billion, and comparable operating earnings increasing to $195 million. The EMEA segment also saw growth, with sales rising to $903 million from $810 million, while South America reported sales of $544 million, up from $482 million. The company’s total assets increased to $18.039 billion as of March 31, 2025, from $17.628 billion at the end of 2024, while total liabilities rose to $12.470 billion from $11.698 billion.

Looking ahead, Ball Corporation anticipates continued growth in the aluminum packaging industry, supported by its strategic acquisitions and operational efficiencies. The company plans to return approximately $1.3 billion to shareholders through share repurchases in 2025, with $555 million already repurchased in the first quarter. Despite the challenges posed by inflation and market conditions, Ball remains focused on leveraging its competitive strengths to achieve its financial goals.