) reported second quarter 2013 (ended Apr 30, 2013) results with
adjusted earnings of 70 cents per share, decreasing 13.5% from 81
cents earned in the year-ago quarter. The results, however,
outperformed the Zacks Consensus Estimate by a penny.
Including special items, earnings per share in the quarter remain
the same at 70 cents compared with 67 cents in the year-ago
Revenues in the reported quarter declined to $1,088.9 million
from $1,098.2 million in the year-ago quarter. The results fell
short of the Zacks Consensus Estimate of $1, 114 mllion.
Sales volumes increased 0.5% but were offset by a 0.5% setback
from lower selling prices and the negative impact of foreign
currency translation. Benefit from higher containerboard prices
were mitigated by decrease in selling prices of rigid industrial
packaging products and polywoven products.
BALL CORP (BLL): Free Stock Analysis Report
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SILGAN HOLDINGS (SLGN): Free Stock Analysis
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Cost of sales decreased slightly to $886 million in the reported
quarter compared with $892.7 million in the prior-year quarter.
Gross profit decreased 1.4% year over year to $202.6 million in
the second quarter.
Selling, general and administrative expenses increased 2.3% to
$121.9 million. Adjusted operating profit has declined 6.3% year
over year to $83.9 million in the reported quarter. Adjusted
EBITDA (earnings before interest, taxes, depreciation and
amortization) was $122 million compared with $126.6 million in
the year-ago quarter.
Rigid Industrial Packaging & Services:
Sales decreased 3.7% year over year to $773.4 million in the
quarter hurt by a negative impact of 0.3% from lower selling
prices and unfavorable foreign currency translation. Adjusted
operating income decreased 15% to $53 million.
Flexible Products & Services:
The segment reported sales of $112.4 million, down 1.3% year over
year, hurt by lower polywoven volumes in Asia and Australia and
lower multiwall volumes in the United States, partly offset by
higher polywoven volumes in Western Europe. Adjusted operating
income plunged 68% to $1 million.
Sales increased 12% year over year to $194.5 million in the
quarter, helped by a 3.5% increase in volumes and a benefit of
8.6% from higher selling prices. The segment reported an adjusted
operating profit of $25.7 million, up 50% from $17.1 million in
the prior-year quarter. The increase was driven by higher selling
prices, higher volumes and lower raw material costs.
Sales increased 9% year over year to $8.6 million in the quarter,
driven by increased timber sales and weather conditions favoring
the ability to access the company's timberlands. Operating income
decreased 40% to $4.2 million due to fewer special use property
As of Apr 30, 2013, Greif had cash and cash equivalents of $85.6
million, down compared with $91.7 million as of Oct 31, 2012.
Cash flow from operating activities during the quarter was $107.7
million compared with $165.4 million in the prior quarter.
Long-term debt increased to $1.3 billion as of Apr 30, 2013 from
$1.1 billion as of Oct 31, 2012. Debt-to-capitalization ratio
increased to 48.9% as of Apr 30, 2013 from 47.6% as of Oct 31,
The company revised its previous expectation of EBITDA to the
range of $450 million - $500 million to the new band of $475
million - $500 million in fiscal 2013. For the second half of
2013, Greif expects modest sales growth benefiting from the
agricultural sector and stable raw material costs across the
business portfolio. The company also anticipates continuation of
favorable market conditions in its Paper Packaging business.
Delaware, Ohio-based Greif manufactures and sells industrial
packaging products, bulk containers, and containerboard and
corrugated products worldwide. The company provides services such
as blending, filling, packaging and recycling of industrial
containers for a wide range of industries. Greif also manages
timber properties in North America and provides land management
Greif currently retains a short-term Zacks Rank #3 (Hold).
) reported first-quarter 2013 adjusted earnings of 58 cents per
share; an 8% decline from the year-ago adjusted earnings of 63
cents per share. The results also fell short of the Zacks
Consensus Estimate of 64 cents.
Silgan Holdings Inc.
) posted adjusted earnings of 46 cents per share in the
first-quarter of 2013; down 10% from 51 cents earned in the
year-ago quarter, affected by higher resin costs and
macroeconomic conditions in Europe. Earnings were within the
company's guided range of 40 to 50 cents per share but a penny
short of the Zacks Consensus Estimate.
Crown Holdings Inc.
) reported first quarter 2013 results, with adjusted earnings of
50 cents per share, up 8.7% from 46 cents earned in the year-ago
quarter. However, earnings per share surpassed the Zacks
Consensus Estimate of 48 cents.