Crown Holdings Reports 3Q 2020 Results

Crown Holdings, Inc. announced its financial results for the third quarter ended Sept. 30, 2020.

Net sales in the third quarter were $3,167 million compared to $3,084 million in the third quarter of 2019, primarily reflecting increased beverage can and food can volumes partially offset by the pass through of lower material costs.

Income from operations was $406 million in the quarter compared to $352 million in the third quarter of 2019.

“The company performed very well during the quarter, with strong results across our global operations,” said Timothy J. Donahue, president and CEO. “Global beverage can shipments expanded 8% during the quarter, propelled by double-digit gains across the Western Hemisphere. We believe this accelerating growth demonstrates the increasing preference of both brand owners and consumers for beverage cans, the world’s most sustainable and recycled beverage container.

“Global food can volumes advanced 9%, with notable increases in both Europe, where the harvest conditions and resulting crop yields, while below forecast, were considerably improved compared to the prior year, and North America, where demand has benefitted from more at-home meal preparation during the pandemic,” Donahue added.

Nine Month Results

Net sales for the first nine months of 2020 were $8,613 million compared to $8,874 million in the first nine months of 2019, primarily due to the pass through of lower material costs and $105 million of unfavorable currency translation, partially offset by increased sales unit volumes.

Income from operations was $927 million in the first nine months of 2020 compared to $997 million in the first nine months of 2019. Segment income in the first nine months of 2020 was $1,081 million versus $1,096 million in the prior year period.

Adjusted free cash flow, as defined below, is currently expected to be approximately $550 million for 2020 with approximately $600 million of capital spending.