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By the numbers: Q3 FY2026
Global flexibles net sales: $3.25B
Up 35% year over year
Global rigid packaging net sales: $2.66B
Up 187.4% year over year
Net income attributable to Amcor: $278M
Compared with $196M in Q3 FY2025
- Results: Volumes were down approximately 1.5% across both flexibles and rigids during the fiscal third quarter, which ended March 31, Amcor reported Wednesday. That figure is based on the combined volumes of Amcor and Berry Global during the same quarter last year, although the businesses did not officially combine until April 30, 2025.
- Flexibles and rigids trends: Amcor reported that quarterly volumes were higher in pet food and protein, but offset by lower volumes in healthcare and other nutrition. Volumes fell year over year in North America and Europe, but were up across Asia.
- Rigids: The company said volumes were higher in the liquids, foodservice and beauty and wellness categories. As with flexibles, volumes were weaker in healthcare and other nutrition. Amcor called out a $25 million hit from storm-related disruptions in the U.S. that contributed to a year-over-year volume decline in North America. Conversely, volumes were up in Europe and across emerging markets, particularly Latin America.
- Corporate changes coming: Amcor plans to open a new headquarters. “Beginning in 2027, we will initiate the migration and consolidation of select corporate functions to a new U.S. headquarters in Miami, Florida, aligning resources more closely with our operating footprint,” said CFO Stephen Scherger. Amcor’s head office is currently in Zurich. “Switzerland and Australia will remain important parts of our corporate footprint.” Amcor is also planning to adapt its fiscal calendar to align with the calendar year. Amcor’s current fiscal year will end June 30, then there will be a transition “stub period” from July 1 to Dec. 31, 2026; Amcor will provide an outlook for that period come August. The new calendar will begin in 2027; Amcor expects to share an outlook for the year in February.
- Berry integration synergies: Amcor has now lapped the one-year mark since it completed its acquisition of Berry Global. Synergies totaled approximately $77 million in the most recent quarter, nearly 75% of which were related to procurement and growth. In the fiscal year to date, synergies total approximately $170 million. Amcor projects about $100 million more to come in the fiscal fourth quarter, bringing the total for the year to $270 million, which would be about $10 million ahead of schedule. Amcor still expects $650 million in total synergies during the first three years.
- Divestitures: Amcor said it completed four divestitures of non-core businesses during the quarter, bringing the total to six during the fiscal year to date. The $500 million in combined proceeds will be used to pay down debt. Amcor has had “encouraging discussions” related to alternatives for its North America beverage business, but has not yet reached an agreement.
- Middle East exposure: Amcor has no operations in the Middle East, and less than 5% of Amcor’s sourced resin comes from the region, CEO Peter Konieczny said on the company’s earnings call. Additionally, Amcor is able to relatively quickly raise prices for the roughly 30% of its business that is non-contracted, and has pass-through clauses for the 70% of its business that is contracted, executives said.
- Managing supply chain impacts: “With input cost inflation significantly exceeding historical norms, our teams have acted fast, implementing responsible price and cost actions,” Konieczny said. “In this environment, continuity of supply is a critical priority for our customers. And to meet that need, we have made choices about working capital management, primarily inventory, through the fourth quarter.”
- Outlook: “We're not expecting the Middle East conflict to have any material impact on our Q4 earnings,” Konieczny said. Still, Amcor lowered its free cash flow estimate for fiscal year 2026 to $1.5 billion to $1.6 billion. The previously projected $1.8 billion to $1.9 billion that “assumed ~$200 million of inventory reduction by year end, now reflects higher inventory levels at higher cost to secure customer service levels given the impact of the Middle East conflict,” Amcor reported.
