AptarGroup, Inc. (NYSE:ATR) today announced record quarterly earnings per share on both a reported basis and also after excluding the effect of a change in inventory valuation methods.
Second Quarter 2015 Summary
* Improved operating margins across each segment drove record earnings per share
* Reported earnings per share rose to a record $0.90 compared to $0.79 reported in the prior year
* Second quarter pre-tax earnings included a positive impact of approximately $7.4 million (approximately $0.08 per share after-tax) related to a change in accounting for certain inventories from the last in, first out (LIFO) method to the first in, first out (FIFO) method
* Excluding the effects of the change to the FIFO inventory valuation method, earnings per share were $0.82 compared to prior year currency-adjusted earnings per share of $0.68
* Excluding currency translation effects, core sales increased approximately 2% (reported sales decreased 11%)
For the quarter ended June 30, 2015, reported sales decreased 11% to $594 million from $671 million a year ago. Excluding the negative impact from changes in currency exchange rates, core sales increased by approximately 2%.
Commenting on the quarter, Stephen Hagge, President and CEO, said, “This was a strong quarter that once again reflected our ability to successfully execute our strategy. We offer a broad portfolio of dispensing solutions to a variety of end markets. Increases in demand across multiple markets drove volumes higher in our Pharma and Food + Beverage segments. This offset some weakness in certain markets served by our Beauty + Home segment. In addition, currency headwinds affected each business segment.”
Hagge continued, “I’m pleased that each of our segments reported improved operating margins compared to the prior year and that we achieved our highest level of quarterly earnings per share. We continue to successfully implement new customer projects while we maintain our focus on cost containment across all three of our business segments. This focus along with volume increases drove the strong operating margins in our Pharma and Food + Beverage segments. Our Beauty + Home segment did a terrific job of remaining responsive to our customers’ needs as we navigated through soft market conditions while pulling the right levers to improve the operating margin.”