Amcor plc (AMCR Quick QuoteAMCR - Free Report) has delivered third-quarter fiscal 2026 adjusted earnings of 96 cents per share, up 6% year over year and in line with the Zacks Consensus Estimate. Reported net sales climbed 77% from the year-ago quarter to $5.91 billion and beat the consensus mark of $5.69 billion.

Results reflected the first full year of the Berry combination and continued integration progress, including $77 million of acquisition synergies in the quarter, along with cost and productivity actions that supported profitability.

AMCR’s Margins Improve Despite Integration Costs

Profitability advanced meaningfully in the quarter as adjusted EBITDA rose to $892 million from $477 million in the prior-year quarter, translating to a 15.1% margin, up from 14.3% a year ago. Adjusted EBIT increased to $687 million from the prior-year quarter’s $384 million, with the adjusted EBIT margin increasing to 11.6%, highlighting better mix and execution across the combined platform.

The top line was primarily shaped by acquisition-driven expansion. On a constant-currency basis, net sales grew 70% year over year, including $2.4 billion of acquired sales net of divestments, while raw material pass-through had no material impact on consolidated revenues.

Underlying demand remained pressured. Amcor estimated that volumes were 1.5% lower than estimated combined volumes for the legacy Amcor and legacy Berry businesses in the prior-year quarter (excluding non-core and divested businesses). Price/mix was described as having no material impact on net sales.

Amcor’s Flexibles Segment Gains From Scale Benefits

Global Flexible Packaging Solutions posted net sales of $3.25 billion, up 35% on a reported basis and 29% in constant currency. Our sales projection for the Global Flexible Packaging Solutions segment was $3.4 billion. Adjusted EBIT increased to $452 million from the prior-year quarter’s $343 million, lifting segment profitability.

The company cited higher volumes in pet food and protein, offset by softer demand in healthcare and other nutrition. Regional trends were also mixed, with volumes lower across North America and Europe and higher across Asia. The segment’s profit improvement reflected integration benefits, productivity and cost performance, partly offset by the volume backdrop.

AMCR’s Rigids Segment Absorbs Weather Disruptions

Global Rigid Packaging Solutions generated net sales of $2.66 billion, up 187% year over year on a reported basis and 174% in constant currency, again reflecting the enlarged portfolio following the Berry deal. We expected sales for the quarter to be $2.3 billion. Adjusted EBIT rose to $276 million, marking a significant increase from the prior-year quarter’s $70 million.

However, the company highlighted an estimated $25-million impact of U.S. storms within the segment, which tempered the results even as synergy capture and cost initiatives supported profitability in the combined footprint.

Amcor’s Balance Sheet Updates

As of March 31, 2026, Amcor had $1.59 billion in cash and cash equivalents compared with $0.83 billion as of June 30, 2025. The company generated $556 million of cash in operating activities in the first nine months of fiscal 2026 compared with $276 million in the year-ago comparable period, while net debt stood at $14.27 billion at the quarter-end. The board also declared a quarterly dividend of 65 cents per share.

AMCR Lowers EPS & Free Cash Flow View

AMCR has updated its fiscal 2026 outlook, guiding adjusted earnings of $3.98-$4.03 per share, lower than the prior stated $4.00-$4.15. The company also reduced its free cash flow forecast to $1.5-$1.6 billion from the previously mentioned $1.8-$1.9 billion, citing a shift toward higher inventory levels at higher costs to protect customer service levels amid Middle East conflict-related supply considerations.

Amcor’s Zacks Rank

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

AMCR’s Price Performance

In the past year, AMCR shares have lost 12.5% compared with the industry’s 6.6% fall.

Image Source: Zacks Investment Research

Quarterly Performances of Other Packaging Stocks

Sonoco Products Company (SON Quick QuoteSON - Free Report) delivered adjusted earnings of $1.20 per share in the first quarter of fiscal 2026, topping the Zacks Consensus Estimate of $1.19 by 0.84%. The figure declined 13% from $1.38 in the year-ago quarter.

Sonoco’s net sales were $1.68 billion, declining 1.9% year over year and lagging the Zacks Consensus Estimate of $1.71 billion by 1.95%. Pricing actions and productivity were key offsets to softer volume/mix during the quarter. SON’s top line dipped from the prior-year period due to the absence of sales from the ThermoSafe temperature-assured packaging business, which was divested in November 2025.

Packaging Corporation of America (PKG Quick QuotePKG - Free Report) posted adjusted earnings of $2.40 per share in the first quarter of 2026, up 3.9% from $2.31 a year ago. Packaging Corp’s results beat the Zacks Consensus Estimate of earnings $2.17 by 10.6%.

Net sales rose 10.6% year over year to $2.37 billion but missed the consensus mark of $2.41 billion by 1.9%. Favorable pricing and mix, along with lower fiber costs, supported Packaging Corp’s results, though special items weighed on reported profitability.

Avery Dennison Corporation (AVY Quick QuoteAVY - Free Report) registered adjusted earnings of $2.47 per share for the first quarter of 2026, rising 7.4% from the year-ago period and beating the Zacks Consensus Estimate of $2.41. Avery Dennison’s revenues were $2.298 billion, growing 7% year over year and surpassing the consensus mark of $2.271 billion by 1.2%.

Sales advanced 2.3%, excluding currency, as a 4.7% foreign-currency headwind weighed on reported growth. Organic sales increased 1.1%, while acquisitions were a 1.2% drag on the quarter’s growth bridge.