SEE Reports Q2 2022 Results
SEE reported Q2 2022 net sales of $1.4 billion, reflecting a 7% increase year-over-year, and an 11% increase on a constant currency basis. Net earnings rose 5% to $114 million, while Adjusted EBITDA grew 12% to $293 million. The company experienced a 20.7% Adjusted EBITDA margin. Challenges included inflation and supply chain disruptions. SEE expects full-year 2022 net sales between $5.85 billion and $6.05 billion, with Adjusted EPS projected at $4.05 to $4.20.
- Net sales increased by $141 million or 11% on a constant dollar basis.
- Adjusted EBITDA rose to $293 million, marking a 12% increase year-over-year.
- Adjusted EPS increased to $1.01, up 28% from the previous year.
- Pre-tax losses included a $16 million impairment of an equity investment.
- Loss on debt redemption amounted to $11 million.
- Total debt remained at $3.7 billion, with net debt rising to $3.4 billion.
Leading in Automation, Digital, and Sustainable Packaging Solutions
Net sales of
Net earnings of
Adjusted EBITDA of
EPS of
Adjusted EPS of
Cash flow from operations (year to date) of
Accelerating growth investments - CapEx of
“We delivered strong second quarter earnings, overcoming sustained inflationary pressures, widespread supply chain challenges and unfavorable foreign currency impacts.
Our results are a testament to the resiliency of our people and the strength of our business as we continue our journey towards a world-class, digitally driven company automating sustainable packaging solutions.
Our SEE Operating Engine is performing. We have made significant progress on our strategy leading with Automation, Digital, and Sustainable Packaging Solutions," said
Unless otherwise stated, all results compare second quarter 2022 to second quarter 2021 results from continuing operations. Year-over-year financial discussions present operating results from continuing operations as reported. Year-over-year comparisons are also made on an organic basis and constant dollar basis, which are non-
Business Segment Highlights
Second quarter net sales in Food were
Second quarter net sales in Protective were
Second Quarter 2022 U.S. GAAP Summary
Net sales of
Net earnings were
Income tax expense was
Second Quarter 2022 Non-
Net sales increased
Adjusted EBITDA was
The Adjusted Tax Rate was
Adjusted earnings per diluted share increased to
Cash Flow and Net Debt
Cash flow provided by operating activities in the first six months of 2022 was a source of
Capital expenditures in the first six months of 2022 were
During the first six months of 2022, the Company repurchased 3.9 million shares, valued at approximately
Total debt was
Updated 2022 Full Year Outlook
For the full year 2022, SEE continues to expect net sales in the range of
The Company continues to forecast full year Adjusted EPS to be in the range of
The Company continues to expect full year Free Cash Flow in 2022 to be in the range of
Conference Call Information
SEE will host a conference call and webcast on
About SEE
Our globally recognized brands include CRYOVAC® brand food packaging,
SEE’s Operating Model, together with our industry-leading expertise in materials, engineering and technology, create value through more sustainable, automated, and digitally connected packaging solutions.
We are leading the packaging industry in creating a more environmentally, socially, and economically sustainable future and have pledged to design or advance
SEE generated
Website Information
We routinely post important information for investors on our website, sealedair.com, in the Investors section. We use this website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should monitor the Investors section of our website, in addition to following our press releases,
Non-
In this press release and supplement, we have included several non-
We have not provided guidance for the most directly comparable
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 concerning our business, consolidated financial condition and results of operations. Forward-looking statements are subject to risks and uncertainties, many of which are outside our control, which could cause actual results to differ materially from these statements. Therefore, you should not rely on any of these forward-looking statements. Forward-looking statements can be identified by such words as “anticipate,” “believe,” “plan,” “assume,” “could,” “should,” “estimate,” “expect,” “intend,” “potential,” “seek,” “predict,” “may,” “will” and similar references to future periods. All statements other than statements of historical facts included in this press release regarding our strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Examples of forward-looking statements include, among others, statements we make regarding expected future operating results, expectations regarding the results of restructuring and other programs, anticipated levels of capital expenditures and expectations of the effect on our financial condition of claims, litigation, environmental costs, contingent liabilities and governmental and regulatory investigations and proceedings.
The following are important factors that we believe could cause actual results to differ materially from those in our forward-looking statements: global economic and political conditions, currency translation and devaluation effects, changes in raw material pricing and availability, competitive conditions, the success of new product offerings, consumer preferences, the effects of animal and food-related health issues, the effects of epidemics or pandemics, including the Coronavirus Disease 2019, negative impacts related to the ongoing conflicts between
The supplementary information included for 2022 in this press release on the current and subsequent pages is preliminary and subject to change prior to the filing of our upcoming Quarterly Report on Form 10-Q with the
|
||||||||||||||||
Condensed Consolidated Statements of Operations |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
Three Months Ended |
|
Six Months Ended |
||||||||||||
(In USD millions, except per share data) |
|
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
Net sales |
|
$ |
1,418.0 |
|
|
$ |
1,328.5 |
|
|
$ |
2,835.6 |
|
|
$ |
2,595.6 |
|
Cost of sales |
|
|
979.7 |
|
|
|
927.8 |
|
|
|
1,920.3 |
|
|
|
1,793.8 |
|
Gross profit |
|
|
438.3 |
|
|
|
400.7 |
|
|
|
915.3 |
|
|
|
801.8 |
|
Selling, general and administrative expenses |
|
|
199.2 |
|
|
|
192.0 |
|
|
|
404.2 |
|
|
|
380.9 |
|
Amortization expense of intangible assets |
|
|
8.9 |
|
|
|
9.7 |
|
|
|
18.3 |
|
|
|
19.4 |
|
Restructuring charges |
|
|
3.5 |
|
|
|
2.1 |
|
|
|
4.0 |
|
|
|
2.1 |
|
Operating profit |
|
|
226.7 |
|
|
|
196.9 |
|
|
|
488.8 |
|
|
|
399.4 |
|
Interest expense, net |
|
|
(39.5 |
) |
|
|
(42.1 |
) |
|
|
(78.4 |
) |
|
|
(85.2 |
) |
Other (expense) income, net |
|
|
(30.1 |
) |
|
|
(0.4 |
) |
|
|
(44.3 |
) |
|
|
0.6 |
|
Earnings before income tax provision |
|
|
157.1 |
|
|
|
154.4 |
|
|
|
366.1 |
|
|
|
314.8 |
|
Income tax provision |
|
|
42.7 |
|
|
|
45.8 |
|
|
|
102.1 |
|
|
|
100.4 |
|
Net earnings from continuing operations |
|
|
114.4 |
|
|
|
108.6 |
|
|
|
264.0 |
|
|
|
214.4 |
|
(Loss) Gain on sale of discontinued operations, net of tax |
|
|
(0.5 |
) |
|
|
(0.5 |
) |
|
|
(0.9 |
) |
|
|
3.8 |
|
Net earnings |
|
$ |
113.9 |
|
|
$ |
108.1 |
|
|
$ |
263.1 |
|
|
$ |
218.2 |
|
Basic: |
|
|
|
|
|
|
|
|
||||||||
Continuing operations |
|
$ |
0.78 |
|
|
$ |
0.71 |
|
|
$ |
1.80 |
|
|
$ |
1.40 |
|
Discontinued operations |
|
|
— |
|
|
|
— |
|
|
|
(0.01 |
) |
|
|
0.03 |
|
Net earnings per common share - basic |
|
$ |
0.78 |
|
|
$ |
0.71 |
|
|
$ |
1.79 |
|
|
$ |
1.43 |
|
Weighted average common shares outstanding - basic |
|
|
146.0 |
|
|
|
151.4 |
|
|
|
146.8 |
|
|
|
152.8 |
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted: |
|
|
|
|
|
|
|
|
||||||||
Continuing operations |
|
$ |
0.77 |
|
|
$ |
0.71 |
|
|
$ |
1.78 |
|
|
$ |
1.39 |
|
Discontinued operations |
|
|
— |
|
|
|
— |
|
|
|
(0.01 |
) |
|
|
0.03 |
|
Net earnings per common share - diluted |
|
$ |
0.77 |
|
|
$ |
0.71 |
|
|
$ |
1.77 |
|
|
$ |
1.42 |
|
Weighted average common shares outstanding - diluted |
|
|
147.5 |
|
|
|
152.7 |
|
|
|
148.5 |
|
|
|
154.0 |
|
|
||||||||
Condensed Consolidated Balance Sheets |
||||||||
(Unaudited) |
||||||||
(In USD millions) |
|
|
|
|
||||
Assets |
|
|
|
|
||||
Current assets: |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
281.2 |
|
|
$ |
561.0 |
|
Trade receivables, net |
|
|
639.9 |
|
|
|
620.3 |
|
Income tax receivables |
|
|
14.7 |
|
|
|
28.8 |
|
Other receivables |
|
|
78.2 |
|
|
|
83.7 |
|
Inventories, net |
|
|
932.7 |
|
|
|
725.7 |
|
Prepaid expenses and other current assets |
|
|
64.4 |
|
|
|
50.1 |
|
Total current assets |
|
|
2,011.1 |
|
|
|
2,069.6 |
|
Property and equipment, net |
|
|
1,245.9 |
|
|
|
1,232.0 |
|
|
|
|
2,173.9 |
|
|
|
2,189.4 |
|
Identifiable intangible assets, net |
|
|
147.1 |
|
|
|
152.6 |
|
Deferred taxes |
|
|
126.1 |
|
|
|
138.4 |
|
Non-current assets held for sale |
|
|
— |
|
|
|
1.5 |
|
Operating lease right-of-use-assets |
|
|
61.2 |
|
|
|
63.8 |
|
Other non-current assets |
|
|
340.1 |
|
|
|
382.0 |
|
Total assets |
|
$ |
6,105.4 |
|
|
$ |
6,229.3 |
|
Liabilities and Stockholders' Equity |
|
|
|
|
||||
Current liabilities: |
|
|
|
|
||||
Short-term borrowings |
|
$ |
1.8 |
|
|
$ |
1.3 |
|
Current portion of long-term debt |
|
|
8.9 |
|
|
|
487.2 |
|
Current portion of operating lease liabilities |
|
|
21.3 |
|
|
|
21.2 |
|
Accounts payable |
|
|
987.8 |
|
|
|
959.9 |
|
Accrued restructuring costs |
|
|
9.9 |
|
|
|
10.2 |
|
Income tax payable |
|
|
32.2 |
|
|
|
22.7 |
|
Other current liabilities |
|
|
443.5 |
|
|
|
504.8 |
|
Total current liabilities |
|
|
1,505.4 |
|
|
|
2,007.3 |
|
Long-term debt, less current portion |
|
|
3,655.4 |
|
|
|
3,219.6 |
|
Long-term operating lease liabilities, less current portion |
|
|
44.1 |
|
|
|
44.5 |
|
Deferred taxes |
|
|
46.8 |
|
|
|
46.7 |
|
Non-current liabilities held for sale |
|
|
— |
|
|
|
0.9 |
|
Other non-current liabilities |
|
|
654.0 |
|
|
|
661.6 |
|
Total liabilities |
|
|
5,905.7 |
|
|
|
5,980.6 |
|
|
|
|
|
|
||||
Stockholders’ equity: |
|
|
|
|
||||
Preferred stock |
|
|
— |
|
|
|
— |
|
Common stock |
|
|
23.3 |
|
|
|
23.2 |
|
Additional paid-in capital |
|
|
2,134.2 |
|
|
|
2,123.4 |
|
Retained earnings |
|
|
2,993.6 |
|
|
|
2,790.7 |
|
Common stock in treasury |
|
|
(3,989.1 |
) |
|
|
(3,754.7 |
) |
Accumulated other comprehensive loss, net of taxes |
|
|
(962.3 |
) |
|
|
(933.9 |
) |
Total stockholders’ equity |
|
|
199.7 |
|
|
|
248.7 |
|
Total liabilities and stockholders’ equity |
|
$ |
6,105.4 |
|
|
$ |
6,229.3 |
|
Calculation of Net Debt |
||||||||
(Unaudited) |
||||||||
(In USD millions) |
|
|
|
|
||||
Short-term borrowings |
|
$ |
1.8 |
|
|
$ |
1.3 |
|
Current portion of long-term debt |
|
|
8.9 |
|
|
|
487.2 |
|
Long-term debt, less current portion |
|
|
3,655.4 |
|
|
|
3,219.6 |
|
Total debt |
|
|
3,666.1 |
|
|
|
3,708.1 |
|
Less: cash and cash equivalents |
|
|
(281.2 |
) |
|
|
(561.0 |
) |
Non- |
|
$ |
3,384.9 |
|
|
$ |
3,147.1 |
|
|
||||||||
Condensed Consolidated Statements of Cash Flows |
||||||||
(Unaudited) |
||||||||
|
|
Six Months Ended |
||||||
(In USD millions) |
|
|
2022 |
|
|
|
2021 |
|
Net earnings |
|
$ |
263.1 |
|
|
$ |
218.2 |
|
Adjustments to reconcile net earnings to net cash provided by operating activities(1) |
|
|
186.7 |
|
|
|
139.5 |
|
Changes in operating assets and liabilities: |
|
|
|
|
||||
Trade receivables, net |
|
|
(44.1 |
) |
|
|
(92.9 |
) |
Inventories, net |
|
|
(223.7 |
) |
|
|
(144.8 |
) |
Accounts payable |
|
|
51.1 |
|
|
|
130.5 |
|
Customer advance payments |
|
|
(8.3 |
) |
|
|
4.9 |
|
Income tax receivable/payable |
|
|
24.6 |
|
|
|
44.3 |
|
Other assets and liabilities |
|
|
(36.5 |
) |
|
|
(100.2 |
) |
Net cash provided by operating activities |
|
$ |
212.9 |
|
|
$ |
199.5 |
|
Cash flows from investing activities: |
|
|
|
|
||||
Capital expenditures |
|
|
(118.9 |
) |
|
|
(97.1 |
) |
Proceeds related to sale of business and property and equipment, net |
|
|
7.1 |
|
|
|
1.1 |
|
Business acquired in purchase transactions, net of cash acquired |
|
|
(9.7 |
) |
|
|
(0.1 |
) |
Payments associated with debt, equity and equity method investments |
|
|
(2.2 |
) |
|
|
(15.0 |
) |
Settlement of foreign currency forward contracts |
|
|
1.5 |
|
|
|
8.0 |
|
Proceeds of corporate owned life insurance |
|
|
— |
|
|
|
7.7 |
|
Net cash used in investing activities |
|
$ |
(122.2 |
) |
|
$ |
(95.4 |
) |
Cash flows from financing activities: |
|
|
|
|
||||
Net proceeds (payments) of short-term borrowings |
|
|
0.7 |
|
|
|
(6.8 |
) |
Proceeds from long-term debt |
|
|
422.8 |
|
|
|
1.3 |
|
Payments of long-term debt |
|
|
(425.0 |
) |
|
|
(5.7 |
) |
Payments of debt modification/extinguishment costs |
|
|
(14.7 |
) |
|
|
— |
|
Dividends paid on common stock |
|
|
(60.3 |
) |
|
|
(56.1 |
) |
Impact of tax withholding on share-based compensation |
|
|
(24.9 |
) |
|
|
(14.0 |
) |
Repurchases of common stock |
|
|
(250.2 |
) |
|
|
(299.5 |
) |
Principal payments related to financing leases |
|
|
(5.7 |
) |
|
|
(5.1 |
) |
Net cash used in financing activities |
|
$ |
(357.3 |
) |
|
$ |
(385.9 |
) |
Effect of foreign currency exchange rate changes on cash and cash equivalents |
|
$ |
(13.2 |
) |
|
$ |
6.2 |
|
Cash and cash equivalents |
|
|
561.0 |
|
|
|
548.7 |
|
Restricted cash and cash equivalents |
|
|
— |
|
|
|
— |
|
Balance, beginning of period |
|
$ |
561.0 |
|
|
$ |
548.7 |
|
Net change during the period |
|
$ |
(279.8 |
) |
|
$ |
(275.6 |
) |
Cash and cash equivalents |
|
|
281.2 |
|
|
|
273.1 |
|
Restricted cash and cash equivalents |
|
|
— |
|
|
|
— |
|
Balance, end of period |
|
$ |
281.2 |
|
|
$ |
273.1 |
|
|
|
|
|
|
||||
Non- |
|
|
|
|
||||
Cash flow from operating activities |
|
$ |
212.9 |
|
|
$ |
199.5 |
|
Capital expenditures for property and equipment |
|
|
(118.9 |
) |
|
|
(97.1 |
) |
Non- |
|
$ |
94.0 |
|
|
$ |
102.4 |
|
|
|
|
|
|
||||
|
|
Six Months Ended |
||||||
(In USD millions) |
|
|
2022 |
|
|
|
2021 |
|
Supplemental Cash Flow Information: |
|
|
|
|
||||
Interest payments, net of amounts capitalized |
|
$ |
84.4 |
|
|
$ |
89.4 |
|
Income tax payments, net of cash refunds |
|
$ |
70.9 |
|
|
$ |
35.3 |
|
Restructuring payments including associated costs |
|
$ |
15.4 |
|
|
$ |
10.6 |
|
Non-cash items: |
|
|
|
|
||||
Transfers of shares of common stock from treasury for profit-sharing contributions |
|
$ |
22.7 |
|
|
$ |
28.0 |
|
_____________ | ||
(1) |
2022 adjustments primarily consist of depreciation and amortization of |
|
||||||||||||||||
Reconciliation of Net Earnings and Net Earnings Per Common Share to Non- |
||||||||||||||||
Net Earnings and Non- |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
Three Months Ended |
|
Six Months Ended |
||||||||||||
|
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||||||
(In USD millions, except per share data) |
|
Net
|
|
Diluted
|
|
Net
|
|
Diluted
|
|
Net
|
|
Diluted
|
|
Net
|
|
Diluted
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special Items(1) |
|
34.3 |
|
0.23 |
|
12.6 |
|
0.08 |
|
52.9 |
|
0.36 |
|
28.6 |
|
0.19 |
Non- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of common shares outstanding - Diluted |
|
|
|
147.5 |
|
|
|
152.7 |
|
|
|
148.5 |
|
|
|
154.0 |
_____________ | ||
(1) |
Special Items include items in the table below. |
|
(2) |
Adjusted earnings per share for the three and six months ended |
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
(In USD millions, except per share data) |
|
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
Special Items: |
|
|
|
|
|
|
|
|
||||||||
Restructuring charges |
|
$ |
3.5 |
|
|
$ |
2.1 |
|
|
$ |
4.0 |
|
|
$ |
2.1 |
|
Other restructuring associated costs(i) |
|
|
3.8 |
|
|
|
4.8 |
|
|
|
6.9 |
|
|
|
10.1 |
|
Foreign currency exchange loss due to highly inflationary economies |
|
|
2.7 |
|
|
|
0.6 |
|
|
|
3.7 |
|
|
|
2.0 |
|
Loss on debt redemption and refinancing activities |
|
|
10.5 |
|
|
|
— |
|
|
|
11.2 |
|
|
|
— |
|
Impairment of equity investment |
|
|
16.1 |
|
|
|
— |
|
|
|
31.6 |
|
|
|
— |
|
Charges related to acquisition and divestiture activity |
|
|
(0.2 |
) |
|
|
0.8 |
|
|
|
(1.1 |
) |
|
|
1.1 |
|
Other Special Items(ii) |
|
|
4.0 |
|
|
|
0.1 |
|
|
|
— |
|
|
|
0.9 |
|
Pre-tax impact of Special Items |
|
|
40.4 |
|
|
|
8.4 |
|
|
|
56.3 |
|
|
|
16.2 |
|
Tax impact of Special Items and Tax Special Items |
|
|
(6.1 |
) |
|
|
4.2 |
|
|
|
(3.4 |
) |
|
|
12.4 |
|
Net impact of Special Items |
|
$ |
34.3 |
|
|
$ |
12.6 |
|
|
$ |
52.9 |
|
|
$ |
28.6 |
|
Weighted average number of common shares outstanding - Diluted |
|
|
147.5 |
|
|
|
152.7 |
|
|
|
148.5 |
|
|
|
154.0 |
|
Loss per share impact from Special Items |
|
$ |
(0.23 |
) |
|
$ |
(0.08 |
) |
|
$ |
(0.36 |
) |
|
$ |
(0.19 |
) |
_____________ | ||
(i) |
Restructuring associated costs for the three and six months ended |
|
(ii) |
Other Special Items for the three and six months ended |
The calculation of the non-
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
(In USD millions) |
|
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
$ |
157.1 |
|
|
$ |
154.4 |
|
|
$ |
366.1 |
|
|
$ |
314.8 |
|
Pre-tax impact of Special Items |
|
|
40.4 |
|
|
|
8.4 |
|
|
|
56.3 |
|
|
|
16.2 |
|
Non- |
|
$ |
197.5 |
|
|
$ |
162.8 |
|
|
$ |
422.4 |
|
|
$ |
331.0 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
$ |
42.7 |
|
|
$ |
45.8 |
|
|
$ |
102.1 |
|
|
$ |
100.4 |
|
Tax Special Items(1) |
|
|
(3.1 |
) |
|
|
(6.4 |
) |
|
|
(9.8 |
) |
|
|
(15.5 |
) |
Tax impact of Special Items |
|
|
9.2 |
|
|
|
2.2 |
|
|
|
13.2 |
|
|
|
3.1 |
|
Non- |
|
$ |
48.8 |
|
|
$ |
41.6 |
|
|
$ |
105.5 |
|
|
$ |
88.0 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
27.2 |
% |
|
|
29.7 |
% |
|
|
27.9 |
% |
|
|
31.9 |
% |
Non- |
|
|
24.7 |
% |
|
|
25.6 |
% |
|
|
25.0 |
% |
|
|
26.6 |
% |
_____________ | ||
(1) |
For the three months ended |
|
|||||||||||||||||||||
Components of Change in |
|||||||||||||||||||||
(Unaudited) |
|||||||||||||||||||||
|
|
Three Months Ended |
|||||||||||||||||||
(In USD millions) |
|
Food |
|
Protective |
|
|
|||||||||||||||
2021 |
|
$ |
736.7 |
|
|
55.5 |
% |
|
$ |
591.8 |
|
|
44.5 |
% |
|
$ |
1,328.5 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Price |
|
|
114.1 |
|
|
15.5 |
% |
|
|
100.4 |
|
|
17.0 |
% |
|
|
214.5 |
|
|
16.1 |
% |
Volume(1) |
|
|
(17.0 |
) |
|
(2.3 |
) % |
|
|
(44.9 |
) |
|
(7.6 |
) % |
|
|
(61.9 |
) |
|
(4.6 |
) % |
Total organic change (non- |
|
|
97.1 |
|
|
13.2 |
% |
|
|
55.5 |
|
|
9.4 |
% |
|
|
152.6 |
|
|
11.5 |
% |
Acquisition (Divestiture) |
|
|
1.2 |
|
|
0.1 |
% |
|
|
(12.5 |
) |
|
(2.1 |
) % |
|
|
(11.3 |
) |
|
(0.9 |
) % |
Total constant dollar change (non- |
|
|
98.3 |
|
|
13.3 |
% |
|
|
43.0 |
|
|
7.3 |
% |
|
|
141.3 |
|
|
10.6 |
% |
Foreign currency translation |
|
|
(29.2 |
) |
|
(3.9 |
) % |
|
|
(22.6 |
) |
|
(3.9 |
) % |
|
|
(51.8 |
) |
|
(3.9 |
) % |
Total change ( |
|
|
69.1 |
|
|
9.4 |
% |
|
|
20.4 |
|
|
3.4 |
% |
|
|
89.5 |
|
|
6.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
2022 |
|
$ |
805.8 |
|
|
56.8 |
% |
|
$ |
612.2 |
|
|
43.2 |
% |
|
$ |
1,418.0 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
Six Months Ended |
|||||||||||||||||||
(In USD millions) |
|
Food |
|
Protective |
|
|
|||||||||||||||
2021 |
|
$ |
1,438.9 |
|
|
55.4 |
% |
|
$ |
1,156.7 |
|
|
44.6 |
% |
|
$ |
2,595.6 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Price |
|
|
230.8 |
|
|
16.0 |
% |
|
|
187.3 |
|
|
16.2 |
% |
|
|
418.1 |
|
|
16.1 |
% |
Volume(1) |
|
|
(6.3 |
) |
|
(0.4 |
) % |
|
|
(63.0 |
) |
|
(5.5 |
) % |
|
|
(69.3 |
) |
|
(2.7 |
) % |
Total organic change (non- |
|
|
224.5 |
|
|
15.6 |
% |
|
|
124.3 |
|
|
10.7 |
% |
|
|
348.8 |
|
|
13.4 |
% |
Acquisition (Divestiture) |
|
|
2.3 |
|
|
0.2 |
% |
|
|
(24.8 |
) |
|
(2.1 |
) % |
|
|
(22.5 |
) |
|
(0.8 |
) % |
Total constant dollar change (non- |
|
|
226.8 |
|
|
15.8 |
% |
|
|
99.5 |
|
|
8.6 |
% |
|
|
326.3 |
|
|
12.6 |
% |
Foreign currency translation |
|
|
(52.2 |
) |
|
(3.7 |
) % |
|
|
(34.1 |
) |
|
(2.9 |
) % |
|
|
(86.3 |
) |
|
(3.4 |
) % |
Total change ( |
|
|
174.6 |
|
|
12.1 |
% |
|
|
65.4 |
|
|
5.7 |
% |
|
|
240.0 |
|
|
9.2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
2022 |
|
$ |
1,613.5 |
|
|
56.9 |
% |
|
$ |
1,222.1 |
|
|
43.1 |
% |
|
$ |
2,835.6 |
|
|
100.0 |
% |
Components of Change in |
||||||||||||||||||||||||||||
(Unaudited) |
||||||||||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||||||||||
(In USD millions) |
|
|
|
EMEA |
|
APAC |
|
Total |
||||||||||||||||||||
2021 |
|
$ |
840.0 |
|
|
63.2 |
% |
|
$ |
302.4 |
|
|
22.8 |
% |
|
$ |
186.1 |
|
|
14.0 |
% |
|
$ |
1,328.5 |
|
|
100.0 |
% |
Price |
|
|
169.0 |
|
|
20.1 |
% |
|
|
35.9 |
|
|
11.9 |
% |
|
|
9.6 |
|
|
5.2 |
% |
|
|
214.5 |
|
|
16.1 |
% |
Volume(1) |
|
|
(43.9 |
) |
|
(5.2 |
) % |
|
|
(17.5 |
) |
|
(5.8 |
) % |
|
|
(0.5 |
) |
|
(0.3 |
) % |
|
|
(61.9 |
) |
|
(4.6 |
) % |
Total organic change (non- |
|
|
125.1 |
|
|
14.9 |
% |
|
|
18.4 |
|
|
6.1 |
% |
|
|
9.1 |
|
|
4.9 |
% |
|
|
152.6 |
|
|
11.5 |
% |
(Divestiture) Acquisition |
|
|
(12.5 |
) |
|
(1.5 |
) % |
|
|
1.2 |
|
|
0.4 |
% |
|
|
— |
|
|
— |
% |
|
|
(11.3 |
) |
|
(0.9 |
) % |
Total constant dollar change (non- |
|
|
112.6 |
|
|
13.4 |
% |
|
|
19.6 |
|
|
6.5 |
% |
|
|
9.1 |
|
|
4.9 |
% |
|
|
141.3 |
|
|
10.6 |
% |
Foreign currency translation |
|
|
(4.5 |
) |
|
(0.5 |
) % |
|
|
(32.5 |
) |
|
(10.8 |
) % |
|
|
(14.8 |
) |
|
(8.0 |
) % |
|
|
(51.8 |
) |
|
(3.9 |
) % |
Total change ( |
|
|
108.1 |
|
|
12.9 |
% |
|
|
(12.9 |
) |
|
(4.3 |
) % |
|
|
(5.7 |
) |
|
(3.1 |
) % |
|
|
89.5 |
|
|
6.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
2022 |
|
$ |
948.1 |
|
|
66.9 |
% |
|
$ |
289.5 |
|
|
20.4 |
% |
|
$ |
180.4 |
|
|
12.7 |
% |
|
$ |
1,418.0 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
Six Months Ended |
||||||||||||||||||||||||||
(In USD millions) |
|
|
|
EMEA |
|
APAC |
|
Total |
||||||||||||||||||||
2021 |
|
$ |
1,627.9 |
|
|
62.7 |
% |
|
$ |
583.7 |
|
|
22.5 |
% |
|
$ |
384.0 |
|
|
14.8 |
% |
|
$ |
2,595.6 |
|
|
100.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Price |
|
|
338.1 |
|
|
20.8 |
% |
|
|
64.1 |
|
|
11.0 |
% |
|
|
15.9 |
|
|
4.2 |
% |
|
|
418.1 |
|
|
16.1 |
% |
Volume(1) |
|
|
(55.1 |
) |
|
(3.4 |
) % |
|
|
(14.7 |
) |
|
(2.5 |
) % |
|
|
0.5 |
|
|
0.1 |
% |
|
|
(69.3 |
) |
|
(2.7 |
) % |
Total organic change (non- |
|
|
283.0 |
|
|
17.4 |
% |
|
|
49.4 |
|
|
8.5 |
% |
|
|
16.4 |
|
|
4.3 |
% |
|
|
348.8 |
|
|
13.4 |
% |
(Divestiture) Acquisition |
|
|
(24.8 |
) |
|
(1.5 |
) % |
|
|
2.3 |
|
|
0.4 |
% |
|
|
— |
|
|
— |
% |
|
|
(22.5 |
) |
|
(0.8 |
) % |
Total constant dollar change (non- |
|
|
258.2 |
|
|
15.9 |
% |
|
|
51.7 |
|
|
8.9 |
% |
|
|
16.4 |
|
|
4.3 |
% |
|
|
326.3 |
|
|
12.6 |
% |
Foreign currency translation |
|
|
(7.8 |
) |
|
(0.5 |
) % |
|
|
(54.7 |
) |
|
(9.4 |
) % |
|
|
(23.8 |
) |
|
(6.2 |
) % |
|
|
(86.3 |
) |
|
(3.4 |
) % |
Total change ( |
|
|
250.4 |
|
|
15.4 |
% |
|
|
(3.0 |
) |
|
(0.5 |
) % |
|
|
(7.4 |
) |
|
(1.9 |
) % |
|
|
240.0 |
|
|
9.2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
2022 |
|
$ |
1,878.3 |
|
|
66.2 |
% |
|
$ |
580.7 |
|
|
20.5 |
% |
|
$ |
376.6 |
|
|
13.3 |
% |
|
$ |
2,835.6 |
|
|
100.0 |
% |
_____________ | ||
(1) |
Our volume reported above includes the net impact of changes in unit volume as well as the period-to-period change in the mix of products sold. |
|
(2) |
Total organic change is a non- |
|
||||||||||||||||
Segment Information |
||||||||||||||||
Reconciliation of Net Earnings to Non- |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
(In USD millions) |
|
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
Adjusted EBITDA from continuing operations: |
|
|
|
|
|
|
|
|
||||||||
Food |
|
$ |
167.6 |
|
|
$ |
158.1 |
|
|
$ |
368.1 |
|
|
$ |
315.0 |
|
Adjusted EBITDA Margin |
|
|
20.8 |
% |
|
|
21.5 |
% |
|
|
22.8 |
% |
|
|
21.9 |
% |
Protective |
|
|
126.3 |
|
|
|
107.3 |
|
|
|
253.7 |
|
|
|
217.2 |
|
Adjusted EBITDA Margin |
|
|
20.6 |
% |
|
|
18.1 |
% |
|
|
20.8 |
% |
|
|
18.8 |
% |
Corporate |
|
|
(0.5 |
) |
|
|
(2.3 |
) |
|
|
(1.4 |
) |
|
|
(0.9 |
) |
Non- |
|
$ |
293.4 |
|
|
$ |
263.1 |
|
|
$ |
620.4 |
|
|
$ |
531.3 |
|
Adjusted EBITDA Margin |
|
|
20.7 |
% |
|
|
19.8 |
% |
|
|
21.9 |
% |
|
|
20.5 |
% |
|
|
|
|
|
|
|
|
|
||||||
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||
(In USD millions) |
|
|
2022 |
|
|
|
2021 |
|
|
2022 |
|
|
|
2021 |
|
|
$ |
114.4 |
|
|
$ |
108.6 |
|
$ |
264.0 |
|
|
$ |
214.4 |
Interest expense, net |
|
|
39.5 |
|
|
|
42.1 |
|
|
78.4 |
|
|
|
85.2 |
Income tax provision |
|
|
42.7 |
|
|
|
45.8 |
|
|
102.1 |
|
|
|
100.4 |
Depreciation and amortization(1) |
|
|
56.4 |
|
|
|
58.2 |
|
|
119.6 |
|
|
|
115.1 |
Special Items: |
|
|
|
|
|
|
|
|
||||||
Restructuring charges |
|
|
3.5 |
|
|
|
2.1 |
|
|
4.0 |
|
|
|
2.1 |
Other restructuring associated costs |
|
|
3.8 |
|
|
|
4.8 |
|
|
6.9 |
|
|
|
10.1 |
Foreign currency exchange loss due to highly inflationary economies |
|
|
2.7 |
|
|
|
0.6 |
|
|
3.7 |
|
|
|
2.0 |
Loss on debt redemption and refinancing activities |
|
|
10.5 |
|
|
|
— |
|
|
11.2 |
|
|
|
— |
Impairment of equity investment |
|
|
16.1 |
|
|
|
— |
|
|
31.6 |
|
|
|
— |
Charges related to acquisition and divestiture activity |
|
|
(0.2 |
) |
|
|
0.8 |
|
|
(1.1 |
) |
|
|
1.1 |
Other Special Items |
|
|
4.0 |
|
|
|
0.1 |
|
|
— |
|
|
|
0.9 |
Pre-tax impact of Special items |
|
|
40.4 |
|
|
|
8.4 |
|
|
56.3 |
|
|
|
16.2 |
Non- |
|
$ |
293.4 |
|
|
$ |
263.1 |
|
$ |
620.4 |
|
|
$ |
531.3 |
_____________ | ||
(1) |
Depreciation and amortization by segment are as follows: |
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||
(In USD millions) |
|
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
Food |
|
$ |
32.8 |
|
$ |
32.7 |
|
$ |
69.3 |
|
$ |
64.4 |
Protective |
|
|
23.6 |
|
|
25.5 |
|
|
50.3 |
|
|
50.7 |
Consolidated depreciation and amortization(i) |
|
$ |
56.4 |
|
$ |
58.2 |
|
$ |
119.6 |
|
$ |
115.1 |
_____________ | ||
(i) |
Includes share-based incentive compensation of |
View source version on businesswire.com: https://www.businesswire.com/news/home/20220802005261/en/
Company
Investor Relations
Brian.c.sullivan@sealedair.com
704.503.8841
Media
christina.griffin@sealedair.com
704.430.5742
Source:
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