Back to top

Image: Bigstock

AptarGroup Earnings Surpass Estimates in Q1, Shares Rise 1%

Read MoreHide Full Article

Shares of AptarGroup, Inc. (ATR - Free Report) gained 1% since it reported improved margins in its first quarter 2025 on May 1. 

The company reported first-quarter 2025 adjusted earnings per share of $1.20, beating the Zacks Consensus Estimate of $1.16. The bottom line decreased 1.6% from $1.22 (including comparable exchange rates) in the year-ago quarter. Excluding the impact of currency effects and change in tax rate, the company’s adjusted earnings per share would have increased 5%. 

On a reported basis, earnings per share were $1.17 compared with the year-ago quarter’s  $1.23.

AptarGroup, Inc. Price, Consensus and EPS Surprise

 

AptarGroup, Inc. Price, Consensus and EPS Surprise

AptarGroup, Inc. price-consensus-eps-surprise-chart | AptarGroup, Inc. Quote

AptarGroup’s Q1 Revenues Dips 3% Y/Y

Total revenues decreased 3.1% year over year to $887 million in the reported quarter. The top line missed the Zacks Consensus Estimate of $900 million. Core sales were flat year over year. We predicted core sales growth of 1.2% in the quarter. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.)

ATR’s Margins Rise Y/Y in Q1

Cost of sales decreased 5.5% year over year to $551 million. Gross profit increased 1.1% year over year to $336 million. The gross margin was 37.9% in the reported quarter compared with the prior-year quarter’s 36.3%.

Selling, research, development and administrative expenses rose 1.6% year over year to $155 million. Adjusted operating income increased 2.8% year over year to $118 million. The adjusted operating margin was 13.3% in the reported quarter, up from the year-ago quarter’s 12.5%. Adjusted EBITDA increased 2.5% year over year to $183 million in the first quarter.

AptarGroup’s Segmental Performances in Q1

Total revenues in the Pharma segment increased 0.5% year over year to $409.5 million. The reported figure beat our estimate of $403 million. Adjusted operating income in the quarter rose 7.7% year over year to $111 million. We predicted a quarterly adjusted operating income of $97 million.

Total revenues in the Beauty segment fell 6.6% year over year to $306 million. Our estimate for the segment’s revenues was $313 million. Operating income fell 14.2% year over year to $17 million in the first quarter. The reported figure beat our operating income prediction of $16 million.

Total revenues in the Closures segment decreased 4.8% year over year to $172 million. We estimated revenues of $179 million for the quarter. Operating income was $13.7 million in first-quarter 2025, slightly up from $13.6 million in the year-ago quarter. Our prediction for the quarter was $12.6 million.

ATR’s Cash Position at Q1 End

AptarGroup reported cash and cash equivalents of $126 million as of March 31, 2025, down from $224 million as of Dec. 31, 2024. The company generated $83 million of cash flow from operations in the first quarter of 2025 compared with $92 million in the last year.

AptarGroup’s Q225 Outlook

AptarGroup estimates second-quarter 2024 adjusted earnings per share of $1.56-$1.64.

ATR Stock’s Price Performance

ATR shares have gained 2.7% in the past year against the industry’s 12% decline.

 

Zacks Investment Research Image Source: Zacks Investment Research

 

AptarGroup’s Zacks Rank

The company currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Performances of ATR’s Peers

Amcor Plc (AMCR - Free Report) reported third-quarter fiscal 2025 (ended March 31, 2025) adjusted earnings per share of 18 cents, in line with the Zacks Consensus Estimate as well as the year-ago quarter’s figure. 

Amcor’s revenues dipped 2.3% year over year to $3.33 billion. The top line missed the Zacks Consensus Estimate of $3.49 billion.

Sonoco (SON - Free Report) came out with quarterly earnings of $1.38 per share, missing the Zacks Consensus Estimate of $1.39 per share. The bottom line was 23% higher than the earnings of $1.12 per share reported in the year-ago quarter.

Sonoco posted revenues of $1.71 billion for the quarter, missing the consensus estimate of $2.11 billion. This compares with year-ago revenues of $1.64 billion.

Packaging Corporation of America (PKG - Free Report) reported adjusted earnings per share of $2.31 in the first quarter of 2025, beating the Zacks Consensus Estimate of $2.21. The bottom line increased 34% year over year. The figure was above the company’s guidance of $2.21.

Packaging Corp.’s revenues in the first quarter rose 8.2% year over year to $2.141 billion. PKG’s top line surpassed the Zacks Consensus Estimate of $2.140 billion.

Published in