O-I Glass Inc. has provided a business update for the third quarter of 2022 in advance of participation in an investor conference.
“O-I continues to perform well and our business outlook has improved,” said John Haudrich, O-I Glass CFO. “Favourable third quarter performance primarily reflects stronger net price realization and solid operating performance while quarter-to-date shipment levels have been consistent with our expectations of flat to slight volume growth in the third quarter. In addition to an improved business outlook, the company continues to deliver on key transformation initiatives. Following the fair and final resolution of legacy asbestos liabilities in July, the company completed its USD 1.5 billion portfolio optimization program in August with proceeds used to reduce debt and pre-fund upcoming expansion initiatives. Reflecting a healthier balance sheet, both Moody’s and S&P have upgraded O-I’s credit rating over the past few weeks. O-I is performing well, advancing its strategy and is a much more resilient and agile company as we continue to navigate elevated market volatility.
“The company now expects third quarter 2022 results will be at the high-end or slightly exceed its adjusted earnings guidance of USD 0.55 – USD 0.60 per share. Reflecting continued momentum into the fourth quarter, the company has improved its full-year 2022 outlook and now expects adjusted earnings of USD 2.10 – USD 2.25 per share compared to prior guidance of USD 2.05 – USD 2.20 per share. Likewise, O-I is raising its full year outlook for Free Cash Flow to at least USD 200 million (previously at least USD 175 million) and maintaining Adjusted Free Cash Flow of at least USD 400 million.”