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Silgan Beats Q3 Earnings Estimates, Trims '25 Outlook on Low Volumes

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Key Takeaways

  • Silgan posted Q3 adjusted EPS of $1.22, beating estimates and rising 1% y/y.
  • Revenues climbed 15% to $2.01B, led by gains in the Dispensing and Metal Containers segments.
  • The company cut the 2025 EPS guidance to $3.66-$3.76, citing softer expected volumes ahead.

Silgan Holdings Inc. ((SLGN - Free Report) ) reported adjusted earnings of $1.22 per share in third-quarter 2025, beating the Zacks Consensus Estimate of $1.21. The bottom line increased 1% year over year and was within the company’s guidance of $1.18-$1.28.

Including one-time items, earnings were $1.06 per share compared with 93 cents in the prior-year quarter.

Total revenues increased year over year to $2.01 billion from the prior-year quarter’s $1.75 billion. The top line beat the Zacks Consensus Estimate of $1.93 billion.

Silgan Holdings Inc. Price, Consensus and EPS Surprise

 

Silgan Holdings Inc. Price, Consensus and EPS Surprise

Silgan Holdings Inc. price-consensus-eps-surprise-chart | Silgan Holdings Inc. Quote

SLGN’s Q3 Costs & Margins

In third-quarter 2025, the cost of goods sold increased 15.8% year over year to $1.68 billion. The gross profit increased 11.6% to $327 million. The gross margin was 16.3% compared with the prior-year quarter’s 16.8%.

Selling, general and administrative expenses were $122 million, up 14.8% year over year. The company reported an adjusted operating income of $221 million compared with $206 million in the prior-year quarter. The operating margin was 11% compared with the prior-year quarter’s 11.8%.

Silgan Holdings’ Q3 Segmental Performance

Revenues in the Dispensing and Specialty Closures segment rose 22.5% year over year to $690 million. Results were driven by strong performance from the Weener acquisition but partially offset by a decline in volumes for the North American beverage markets. The adjusted EBITDA for the segment was $152 million compared with $121 million in third-quarter 2024.

The Metal Containers segment’s revenues improved 13.3% year over year to $1.16 billion due to higher volumes. The segment’s adjusted EBITDA was $116 million, a 1% decrease from the prior-year quarter.

In the Custom Containers segment, revenues were $160 million compared with the year-ago quarter’s $159 million. Improved price/mix aided revenues. The segment reported an adjusted EBITDA of $32 million, up from the previous-year quarter’s $29 million.

SLGN’s Cash Flow & Cash Position

The company had cash and cash equivalents of $389 million at the end of the third quarter of 2025 compared with $823 million at the end of 2024. SLGN used $564 million of cash in operating activities compared with an outflow of $214 million in the first nine months of 2024.

Silgan Holdings’ 4Q & 2025 Outlook

To reflect lower volumes, the company lowered its 2025 adjusted earnings per share guidance to $3.66-$3.76 from the prior stated $3.85-$4.05.

For fourth-quarter 2025, SLGN anticipates adjusted EPS between 62 cents and 72 cents. It posted an EPS of 85 cents in the year-ago quarter.

SLGN Stock’s Price Performance

The company’s shares have lost 24.9% in the past year compared with the industry’s decline of 11.9%.

 

Zacks Investment Research Image Source: Zacks Investment Research

 

Silgan Holdings’ Zacks Rank

SLGN currently has a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Performance of Other Packaging Stocks in Q3

Avery Dennison Corporation ((AVY - Free Report) ) reported third-quarter 2025 adjusted earnings of $2.37 per share, beating the Zacks Consensus Estimate of $2.32. The bottom line increased 1.7% year over year, driven by productivity gains.

Avery Dennison’s total revenues grew 1.5% year over year to $2.22 billion and beat the consensus estimate of $2.21 billion. Avery Dennison expects adjusted EPS between $2.35 and $2.45 for fourth-quarter 2025.

Packaging Corporation of America ((PKG - Free Report) ) posted adjusted earnings per share of $2.73 in the third quarter of 2025, missing the Zacks Consensus Estimate of $2.83 by 4%.

The bottom line, however, increased 3% year over year, supported by higher prices and mix in both the segments, along with lower fiber costs and maintenance outage expense. Packaging Corp’s revenues in the third quarter grew 6% year over year to $2.3 billion. The top line beat the Zacks Consensus Estimate of $2.26 billion.

Sonoco Products Co. ((SON - Free Report) ) Sonoco reported adjusted earnings per share of $1.92 in the third quarter of 2025, beating the Zacks Consensus Estimate of $1.91. The bottom line improved 29% from the prior-year quarter.

Sonoco’s net revenues were $2.131 billion, surpassing the Zacks Consensus Estimate of $2.128 billion. The top line improved 57.3% year over year on gains from the Eviosys acquisition and the implementation of price increases. The figure excludes the results of discontinued operations.

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