AMBP - Earnings call transcript Q1 2024 | Ardagh Metal Packaging S.A.

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Welcome to the Ardagh Metal Packaging S.A.

First Quarter 2024 Results Call. Today's conference is being recorded. At this time, I would like to turn the conference over to Mr. Stephen Lyons with Investor Relations. Please go ahead.

Stephen Lyons

welcome, and operator, you, everybody. Thank the joining Thank First of Ardagh for Packaging's for XXXX you AMP's Earnings release publication for Quarter earlier Call, Metal the today which quarter. first earnings follows David today by AMP's Officer; Financial I am Bourne, Oliver Chief joined AMP's Chief Graham, Executive and Officer.

materially today introductory be at and to for non-IFRS related of financial your some the will over to include measures. found performance now website AMP's from and will measures first Actual such first statements in Graham. we forward-looking Oliver financial Please moving around statements results reconciliation details Remarks will AMP's use can could on forward-looking materials www.ardmetalpackaging.com. AMP's the IFRS AMP's Before the of non-IFRS release. I provide financial vary quarter to and turn review questions, remarks certain call disclaimer of earnings statements. AMP's measures release include earnings

Oliver Graham

Stephen. you, Thank

in across the quarter performance quarter with our of mix. adjusted in encouraging, prior shipments by versus to was beverage EBITDA of the the marginally due volume year, Global favorable X% each Our our ahead was grew and and volume growth first growth good guidance markets.

increased to and will for absorption. of EBITDA improve remaining EBITDA activity growth expectation manufacturing full reaffirm continued is a permanent to growth with our addition with Americas, for the expectation also confidence volume year gives along signs our customer capacity recovery taking destocking. shipment adjusted continued are Europe In higher the fixed the us guidance actions showing in cost post This strong quarters. of welcome The effect and adjusted

an in continues aluminum strong base over new earnings We customer aluminum growth packaging recovery light heightened the of relationships, that secular disciplined which global to innovation. would medium and in of benefit are appropriate. Russia market to that expect further the well no we actions continue can to and its ongoing can demand, outperform, growth share we beverage drive benefit With from this term. The of our choice remain a to longer-term a also beverage manufacturing to the we operations as placed global we manner beverage a through believe mix a manage diverse the story from curtailment We increasing placed mix geopolitical capacity our for as well-invested as package of either and mix in have tensions, investors remind Middle or pure-play of also East. we manufacturer. In well in

and sourced well our are year from We are materials for current on our predominantly hedged local the input markets. energy needs

our the improvement sustainability strong pipeline continue change. in the We score to progress to quarter, renewable agenda climate to CDP our energy A- are we progressing an parallel, with our In highlights mix. a improve in including

for in in relative pass-through first managed we results decline growth of we're revenue a the $X.XX of grew and expectations quarter, reflected AMP's metal tightly XX% up growth. If mix effects, and an for forecast our ahead this if a for activity low look and promotional improvement America, percentage in high In to estimate QX. million, recorded with soft Brazil, customers was including X%, outlook, reflecting the year results. pipeline industry activity, our shipments encouraging into to an of reflected $XXX the growth which on EBITDA by domestic of now million uptick by which shipments $XXX America strength quarter X%, sustained growth business attractive the We mid-teens which in percentage the of to a single-digit to by customer grew pass-through a of first our the Europe, partly effects a the shipments of line billion, currency are XXXX. portfolio in first single-digit the Americas we and reflects largely our a offset in partly expectations further prior supports with industry. And reflected for mix by lower our year, North by in of overall, costs. lower to grow look to shipments quarter steady of very quarter shipments shipments first in segment, market potential increase we by particularly input the Turning by beverage at by our for costs. Adjusted the increased growth, lower the X% offset versus production growth by growth drink in come. In quarter increased in our which encouraged the shipments favorable as contracted level seeing can strong percentage. to AMP's volume North This was revenue mid X% after AMP's strong Americas industry, by at offset growth, with mix the the in

industry of improved the which supported our we're an and curtailment macroeconomic through capacity encouraged our balance by to network, continue trends environment. improving are We by

by and will by costs. We positioned which EBITDA mix assess and effects, the labor a needs Americas increased the $XX in to our driven winter well volume XX% enter anticipated customers. Adjusted now favorable period represents quieter any to higher we partly service by into demand customer first closely was million, are offset record as higher by quarter demand

pass-through also prior to first in destocking. We're on on XXXX, to encouraged is currency constant quarter, with Shipments with Europe, a input customers. expect X% retail compared growth greater emphasis shown broad-based the There decrease quarter revenue $XXX strategies strong being have the the across the drive period regions for occurring pricing to increased mid-single-digit recovered shipments particularly segment. and due customer and XXXX. In sentiment cost a fourth the EBITDA in improvement. following in adjusted Consumer recovery in categories, fixed but clearly the the growth the absorption a for X% Americas on some improved as trends. by shift same lower sales of to by million the and We a will quarter basis remainder of of order year volume. XXXX. which growth macroeconomic indicators decreased continue for cost The is improvement shipment by percentage in customer included volumes principally Shipment in the

First $XX EBITDA summer exercised the pacing by currency Performance from however, million, as Europe at decreased growing was, level quarter quarter. stronger, adjusted season the by around to inventory we XX% of constant nearly the caution by fourth in XX% of ahead production. sequentially

the the demand supported summer as briefly season. some by expect now cost to XXXX, position David production fixed talk over absorption single-digit with we percent and hand activity remarks. into increase in growth to For we the XXXX. I'll concluding will through patterns remainder drive improved you adjusted an EBITDA continue shipments to our low for financial growth of of finishing growth before monitor Volume

David Bourne

while Thanks, lower We the everyone. expectation, than in $XXX and in our seasonality outflow capital quarter quarter quarter the Oli, outflow in the with ended the a hello, Cash capital working with million. was million. usual position liquidity $XXX reflecting of of working

final approximately We for $XX enhancements in with growth anticipate of of including and focus $XXX growth comprising efficiencies, long-term Maintenance, sustainability some to the year CapEx. in IT working guidance and on We our capital line of expectation working growth unchanged. AMP the $XX mainly a our for inflow flows in order total and to will our growth CapEx run of quarter, million $XXX further CapEx capital reduction incurred remains million including. of continue for our network million, of flexibility rate. in CapEx for a net again XXXX reiterate million, steady cash CapEx projects, modest our We full XXXX.

adjusted to of inventory metric net outpaced the net than summer ahead which Our improved better ended arising as slowed which leverage from season. the at debt expectations capital EBITDA, shipment growth quarter our working build was X.Xx production,

liquidity we near-term deleveraging XXXX on and maintenance maturities position, note addition more basis year to on indicated, in bonds. meaningful modest our previously reduction As we anticipate no have our no full that a bond a covenants thereafter. We and during strong

to in a no structure, There stand-alone structurally paid in capital We our have separate $X.XX with legally XX% shareholder. Group, is our capital Ardagh our allocation share quarterly long-term policy. AMP which of that line ordinary today be announced of June, with guidance. operates to per to change is majority and dividend

on perimeter of hand on Holdings, the equity. separate pledge Ardagh secured interest and that, Investment and a obligations impose including its April, XXXX facility secured to are maturities. The enable announced its facility set its refinancing senior subsidiaries. With does material as The that of group's covenants Packaging of the and any ordinary Ardagh to out but is back with details on XXth sA of not of is Oli. such, facility AMP, or The Apollo, assets Ardagh the Group principally the I'll financing a to preferred or AMP filings. new equity On entirely all credit our subsidiary in

Oliver Graham

Thanks, David.

a day-to-day million, growth for So supported by and growth the of XX% year by to year to AMP's quarter shipments third before the shipments full quarter. XX%, to $XXX allocation recap are of grew X% consecutive grew of Global shipments guidance your $XXX we as take financing just into X% messages how gives Group's double-digit there us percentage. And that moving on performance and a Europe terms in to I'll manage confidence questions, encouraging due AMP's and to by our David to our range America see and a trends favorable or XXXX good recent adjusted and EBITDA rebound operations. policies volume growth of continue to capital reaffirm actions, we Ardagh guidance April. Adjusted confirm growing a start growth mid-single-digit of to said, that approaching can into X%, we modestly for by changes was experienced ahead million global mix, no this key EBITDA

by and more season. EBITDA growth by the sales Our absorption, rationalization through pacing shipments cost summer growth improved with accelerated line guidance in production supported fixed and is footprint

We year. expect of quarters this EBITDA for growth adjusted the higher remaining

with year both of segments we'll opening that with to take compares terms these questions EBITDA guidance the $XXX currency of EBITDA proceed across a any is million for have. constant and may the to both and adjusted anticipated quarter, million adjusted basis. Having remarks, now the $XXX prior be growth order on you reported made second In of in geographic

Operator

question go take first our can with we And Instructions] [Operator Pettinari and Citi. Anthony from ahead

Anthony Pettinari

that's than in the is better -- year-over-year that, would Is it kind and performed more just Europe? quarterly understanding thoughts guidance, that You in second that possible is give EBITDA when we any but Europe don't that of expected in something half? it see expect Or happens that be likely XQ? there? could you Or in up you

Oliver Graham

Yes.

start it through in think QX, see the year. to I expected we would

you expectations say, So as the to shipments I side, as in mentioned volume but growth. relative remarks, did slightly we Europe, back ahead of pace yes, production has think performed the we on

trends, improved the mentioned, side, again, up QX. remainder that can volume give continue the tailwind in of in held so line with we growth back those But pace And as on we the the that and EBITDA trends in those if then should a year. us production

we'd So growth. have expect QX, think, to profit I

David Bourne

then Roughly, will a get LTM and to QX of on line QX progression. onwards kind ball basis

Oliver Graham

Yes.

Anthony Pettinari

or you it. I'm Got to Europe nonalcoholic some about would share, think, category a stable quarter-to-quarter. it's outperforming it. greater you is from, certain volume your geographies understanding maybe then kind are Got talked that? beer emphasis some And to a the just market? losing? of this are like How specific in Do wondering, characterize of measure your gaining hard customers customers. I you Or and on think or you

Oliver Graham

we're where to only very I strong. roughly That's them, I numbers we until at we the their But we'd peers. obviously, rate. mean, has at usually hard was among we all be sure reported on this and not share see where market think think say are. are It's our of we point any quite Yes. one

Northern are categories and positions and strong markets, we particularly European different also very have between We diversified geographies. across

reasonable probably estimate a on market. it's So the

recovering broadly a more as I again to whereas categories the relative on beer other that across there customer think year, much we in their that more certainly we see winners have losers price, last base, on the strength and focus But to we sector last and year, volume strategies. strongly see depending well. compared clear were much pricing

sector. particularly strength in have soft in the strength have U.K., drinks, we We energy the

additional think, area, very also is strong. April in one I shipping only benefit the Easter But days encouraging. remarks, what's, not into March, and certainly mentioned in fell trends that that's encouraging. April. also it's are get we nevertheless, So And means I as which April the Obviously, looking

Operator

next question Roxland Mike with Securities. will take our Truist We from

Michael Roxland

in kind of just Congrats on, comments positive and what you far good to any just on way your on up, overall. thus Wanted the in to April? the Europe Oli, trends Can quarter for volumes quantify volumes is U.S., there and April terms of a have the volume been follow Brazil persist. --

Oliver Graham

have trends the think largely continued. I So

extra So point Europe, you of tick April. X year-to-date Americas similar in by or growth you've actually at mentioned quarter end this you days rates certainly see again, up, the it's sort X then of I in so or up our because, into performance. a of number probably a QX the And April shipping, continuing look got the if on couple

So the had year yes, a poor all HX. summer we the we're had into encouraged experience by some pretty that that. we of Obviously, Europe going decent then months had and last

our any So why that's projections in guidance was area by of of between in guidance. certainly, which trends encouraged point. compared at the not Europe, we're top where been risk main Jan, we moving But the shifting or to this any bottom Feb, we've were and the

Michael Roxland

point can reached And well, it that positive you then on recover it. European to will more maintain any of under-recovered about there million trajectory, input as so quickly able on that just will just I then trend previous confidence that this be that pumping If you Is gives is has Europe recovery -- currently the million? on on you costs. update that you that And inflection the following on? up this mentioned of Got so that your. Europe $XX year continues to $XX energy think anything

Oliver Graham

No, question. good

think very bucket. more than we articulated think are that on of customers across we as And I is see said, last and reported that clear, So I is volume pushing bear price big just players year. the this than that that and clearly, one time what

there that moderating, is last on I 'XX focus clearly a but this year, largely, or had market largely. price this additional So costs big on year, not and rise the going they into put shelf. been input into just into controlling the inflation there promotional cost the And is think activity everybody,

macroeconomic reason. in core in in the do Europe that's indicators last think some I and weeks. see consumer the recovery So We sentiment

So there some is encouragement there.

highly everything with I think the substrate also on trends. in and Europe sustainability the with competitive mix, energy still TAM is in going that's the

have So position. we think I the that from tailwinds

it a that. yes, around We labels the add activity Obviously, you for have if see year. is the football lot think all I up of championships. So together, and well shaping we quite

tailwind. that's so And providing a also a bit of

energy starting offsetting be we that to think encouraging it's not but direct with second and see price we pass-through, some on I to that the QX question, a actions, and to update increased volumes from are dealing able read-through your issues to certainly the find at cost signs cost the we'll may results.

Operator

from Our Staphos next George with question Bank will come America. of

George Staphos

you on quick for David, Oli, aluminum. question

on had What the issue, should And through Ardagh I Hopefully, supply follow-on. We have these are on trade new it Why sanctions it's What you not not an managing are risks? should aluminum. we then doing think an be issue? the a this? quick about chain? but how

Oliver Graham

'XX very the timing we material had raw high materials point. and we much Sure, place A, have hedging George. when through. Obviously, but, raw B, in any risks this inventories are our is front we're No, some when not some that. lower spiked, the passed now; procedures did We and additional sales at seeing material effects that inventory have slowed costs for in on

we a to So our way will of And there. in is don't supply risk I terms that that, market. assessment getting work particular see its think the through situation

front. concerns never, at so say yes, I this that no never particular but on So point,

George Staphos

quick a just Oli, one on that.

saying some are Just of up because if this but your can't be have the what used. -- suppliers piling about warehouses, inventory necessarily in you

for to of in their it right? suppliers all of your what elsewhere, sort -- suppliers you to some about of your a specific some are other sort would of you just or was mentioned And then that Ardagh, demand you're sort sudden, I second cost What of demand? higher there's there's the issue how some some you have outage and this maybe my production question, going talked what's and ability one question is on to are this that But us but labor headwinds -- meet managing if more saying inability And the isn't a if remind know then about so meet there, occurs outage this of before, be if you've some industry quarter. you can there's offsets? the meet arises? And

Oliver Graham

honest, mean, or are this supply in Sure. about to point raising I not continuity any be No, supply suppliers at and particularly our concerns of Europe.

We in through managed have North But extremely of some think team the well. again, with supply America because I has issues more mill outages. those

in sorry, particular with the mine second So -- nothing continuity then question. supply aluminum. And raised us yes, forgot of on Yes. on issues being I the any

bit we and was into the wages So and coming that did a energy on real America North in other up our Obviously, South but quite as that well, issue labor faced get caught that very was in normal. dealt particularly with PPI the have side. Europe, pass-through mechanisms inflation inflation, the America year with and of the we just mechanisms effectively given

because yes, as So bridging called the item, noticeable it but of we we actions. not anticipate most pricing it our out in cover or it didn't think I

Operator

will Morgan Pamela next Stanley. Kaufman from question with come Our

Unknown Analyst

Stefan is in How Pam. continue much you of This improve you And you how De visibility the do have? it XXXX? actually the levels balance earlier scanner. in into to like sitting for progressing call. do see promotions promotional customer this And mentioned on Looks through

Oliver Graham

can there promo as is definitely category. I the of sense that remarks, think by historic in and closer in them quite are get drinks And good that activity, the in improving in getting North and what we more America, is, data levels. soft certainly are see that we disaggregate on you mentioned promotions to

be relative Bud that Light year. of sluggish prior by definitely are last some can the years, incident dynamics You the see that to their explained following promotions and

the we've that drink therefore, to drinks and exposed obviously So encouraged I promotions. of think are been soft side we house progression in soft the more by

Unknown Analyst

a in substrate what of glass? can then seeing the shift potential And in maybe maybe consumer back you terms from into cans dig And bit returnable dynamic you're Brazil? to

Oliver Graham

Yes.

I glass industry, grew main over the So the the mean the XX% QX. and which QX grew is leader in returnable industry in player in in XX%

you there's happening. cans and trend glass the So into I no expected into is that think can safely say reversion returnable

-- so into of not that it's think I trend a think returnable And out I one-way packaging. long-term surprising,

the have I into costs, back packaging, move packaging has of price costs one-way the conversion the LME we metal, terms therefore, one-way cost that reduced, of we think dollar in now see in which the and stabilized, and count inflation anticipated.

encouraged price we're very The yes, consumer So obviously by still that. is sensitive.

So in X we certainly swings with see industry, think and customers there, in depending down strategies, volume. I that early actually. big in reducing a on But yes, or saw we you've otherwise, healthy X got big brewers them you volumes -- our going certainly of one QX between pricing therefore, mix see their the our with price retail and very and quite place,

Operator

Thank Curt will you. question UBS. from Woodworth come And our next with

Curtis Woodworth

that you're fixed better you takeout and frame at it some in know the some for Yes. net this hurt of then past, was maybe price talked side, Europe cost for the out the the seems then I I hoping But your increased cycle, in some of seeing year. headwinds like small EBITDA you could leverage operating some German think, I to about closures. you the expectations expecting short have in brewers you. steel from you German are flip model

frame see what out do this think some you on Europe could could you you a those So EBITDA basis? moving look And of like for just year how year-on-year pieces?

Oliver Graham

gain. X/X guide, end was Look, the top of the at about the Yes. of Europe

actions But there you operating the year and say, the you've fixed come a pass-through think was, Europe X/X gain. driven called we of growing XX, So have of growth, of which there taken results some obviously. around the was our offsets to to competitiveness increased seen market, beginning was that terms as in of costs. due And said, position were or then market. cost I that heavily that cost our And volume out and the was guide at other in the price some into that give from take, I roughly energy

Mike's do where we could. per call, the at see So of that top the improvement in question we any

could think I think point not and improvement a of derisked some the actions end bit, got leakage certainly, the we've But we going until the it we're And can the see this well. could that offset feel have also changing but guide are cost I there. summer. QX cost around some we trends with side some that we into April, through we come at possible take the positive lower that price as we of way that

anything in out the think that not this terms on in much some into are having whether trends guidance, play read to we'll at out year. the changing moment these we're positive but and we're QX, the see season therefore, played of we So have point, summer a seeing full I at better going whether of well,

Curtis Woodworth

of was I see get in I cheaper the cost aluminum headwind continuing a could of Okay. drag to basis a a reversal mechanisms And then wondering, called you're on think given month. would that inventories? metal pass-through relative revenue to allow that your question, assume to, roughly what with metal you past for very units today? to has sharply And back million. out And I respect up prices unit the XXXX, $XX over spiked have you

Oliver Graham

works what sell inventory whatever winning. for bought going we actually Yes, don't other is way which it No, think the is for right, I be. to around, that's we an

David Bourne

Yes.

the evens time capital we I last price it had much So sync think mean always around more relative time that of purchase, to about out. X contractually the the our elements sale, time the has be the are working with which X between in to make between of we those of weeks sure cycle shortening

on going you'll at see balance we've forward. of the cycle is lot risk look more capital if you'll having working a see normal now $XXX 'XX, almost less by and QX inventory down back it's year, whether our and there we're sheet last comparative got from destocked that So a you million

Operator

Capital come from RBC Arun Viswanathan will question with Markets. next Our

Arun Viswanathan

results. Congrats the on solid Great.

you're the few Just what of that you quarter volume over in growth curious the some expecting and saw of kind quarters. the about next

to America, in remain is or a last say, some Europe, do XX% is, mainly, this double-digit in increased recovery do consumer it being so, expect growth? promotional comp think driven? And if by think weaker pretty kind or again, elevated decent in really just level guess, results is And year, volume from do So driven then growth of I this level, is an North that some now activity you seeing you are you secondly, that relatively trends that driving that given What demand is it and muted we still sustainable? over there. pretty

Oliver Graham

leaning compared therefore, a Our on see a heavy promotions to increased increased relative went year, significant that reversal lost lot on beer price volumes the and customers clearly into volume particularly last big side therefore, volume, very shelf. price, of the of we customers, on a to at so pricing number -- better from and strategy lower where or

substrates also moment competitive as substrate in think Europe substrate sustainability the very cost and on in the other are mix, the sales. other at the can impacts I we on issues

I clearly than the it's winning think doing we're anticipated. a economies not particularly are well, agree the mix. they I bit better although that And in but are doing

X in money think getting back you've pushing been certainly, propositions on have value Europe. And their I factors. for all So hard got retailers to

QX, rest last I for guidance will full in comps be on the if different at in QX, us QX gives and anything we're year had gained. trends not think, these encouragement because than continue some on little America, tick a these X all So of up the this that see strong a just very a QX QX tick down year We trends up then predicting could year. in bit can be or Europe our -- that point. North we

So our we I year. anticipate the X. through mid- QX, for big think singles And to don't these levels is guide high

I guide, think the The not retail see very Brazil U.S. will not in and are the QX. like encouraging very in of pretty still sparkling house of energy And CSD so And on then things year hard in strong and growth We growth still to at depending the whole which in quarter, with going be that rest side such of pretty volatile, are have I the in call up encouraging. we've a the quite still. But is Americas the as solid pricing well -- in maybe in QX And cans, Brazil because to good in necessarily as level of our industry markets, strong we're sort to environment. particularly trends comfortable in as pretty through So also think given FMB the QX. actually, we've XX%. on sell is been I I mentioned. Brazil, water both had America, good good the have mentioned, but

shift clearly got back into So we've coming cans. pack mix

trends, positive So support of think, year lots yes, I full to our guide.

Arun Viswanathan

and pricing. contracts price across rates for through 'XX through utilization Great. environment kind coming 'XX, and I negotiations? renewal regions continued the it the did in And if sure just are both guess, up you how in utilization rate as for not characterize implications characterize a of I'm for follow-up, sounds you like potential regions can those or good maybe maybe those

Oliver Graham

weighted North we're America. particularly in at than XX%, mean more XX% XX%, I Yes.

But we we strongly QX the think Obviously, was we XXs the right peers nothing think where change understand to now. are to So is I our to that happening and low picture. and see we industry Nothing said North in particular America. need where yet. Europe overall

see into year market. pricing anything to regional with seeing concern half on definitely roughly anything of us which we're on assume in the reiterate did in the back some in seeing particular, And in last us. take not in February, message in either we'd the increased softness the to level, with we're gave sort that market we're think pricing. customers, So of we some macro is activity scale at I season if we We big But space. Europe in and not terms we we budget planning in it when went concern the of

contract XXXX on go terms XXXX. of going and to -- the recontracting, In between that's the

Operator

Management. Asset come next our Ning from Jupiter question with And will Yang

Ning Yang

some for will of cost roughly line? rough is guidance provide for would would And interest, want dividend kind CapEx said of that to the kind like also, than lower on policy the next extraordinary year even confirm that 'XX, just be cash quantitative estimate? you XXXX growth cash adjusted your unchanged. I Could did be of be You half below EBITDA confirm, tax, your 'XX your you of CapEx expectation

dividend do this respect expect for So dividend the in medium next Or term, X to i.e. to -- 'XX. that you in to policy years? the of X help policy for is long mainly

David Bourne

your questions. let terms. I'll Thanks rolling capture for the

So backwards. perhaps work I'll

no strategy. to change So capital allocation our

So as been. any of our will announced anticipation of but dividend change per going no perspective. forward the it is just has quarter, from the determine there policy our Board policy And we XX% The quarter. course, every exactly

I'm flat on not guidance. out years X proceeding. at in going to this stage cut So obviously

CapEx, of terms a In I think directionally.

will a I from walk the think So in comprehensive the point we're guidance next we in flow not in time. being growth lastly, of unchanged be And cash CapEx I in largely did is flow February. that's half I right. And it have order Yes, that far definitely then year? year. reduction of Could we've of said we for terms what cash this I flow guidance, gave guidance at relatively that think our cash a think from projecting the

in a order I've XX tax of $XXX as So maintenance order around million. be and $XXX $XX remarks, outflow, CapEx million ] cash [ we $XX about of modest that the repayments, my outflow, million lease to outflow something cash $XX million of maybe million then said said paid XX XX-ish operating to working would exceptionals interest mark, capital approximately inflow

and think $XXX think cash got is the parts I the are rest around about So the below million moving BGI free flow the line. those you

Operator

question we Federated. with will Chris from next our take And Lin

Unknown Analyst

question. quick one Just

down Could your drawn the You've quarter. just a And rate as you've ABL more elaborate done little us ABL this what you bit why could is? you that? interest tell then the on to

David Bourne

Chris. Sure,

our purpose this low the our normal aimed loan the of at help to capital in quite to is it's seasonality year, it draw facility for down yes, business. That's the And point of there. So therefore, facility asset-backed the us working point. being the

down on last on you'll of draw if think, is to rate this. time The see X.X%, it that you about year, quarter. the traditional at And something same. our is QX look I interest the So comparative

Operator

am Our come open. hard Paul, BNP I you Paul, your apologize, you. may is I question Simenauer from next with having do Instructions] still hearing Paul will And time Paribas. a line [Operator begin

We add take are you Lang ahead Chris you may hear me question. Paul, we to you begin. can Hermes. Federated and Chris, going to and your hopefully, from may But go another resignal, if question with

Unknown Analyst

assets we aware Or loan to backed Could that there group? that on, think give AMP of a So and The color just mean there exactly are you more XXX% be some it AMP. all quoting is assets I'm should what restricted here here actually bit us question. that as small little mean? material of another Apollo carve-outs I material Does of?

David Bourne

it. Ardagh Chris, Group hold entire I the the in simple. think relatively business, is It's holds equity, that the that a equity the ordinary on stake pledge-only it's both AHS and preferred the which

carve be any clear, equity. on know to don't it's I out from just the that, So but

So AMP directly assets. not it's on

Operator

are hear going Simenauer to with We BNP Mr. from to Pariba. again attempt

Unknown Analyst

the to to just going in Ardagh-restricted indeed the that the Can reconfirm ask dividend. on preferreds part are prevent And pledge at Apollo the just equity wanted that AMPEV from the group? that of financing dividend then want AIH I transaction. First, to

Oliver Graham

Yes.

in dividend, think is sort dividend we we're it decide an think just policy as can. And matter. then pay. the said, current of of I reaffirming happens what what on will call. dividend The AMP obviously, I dividend So any questions policy. we to Board then, our Board moment, the at terms we But second AMP And one,

Operator

can And from Hajde Securities. our Wells question take next Fargo Gabriel with we

Gabe Hajde

One one. quick

overhead about million about with trapped so of out million or or auction. XXXX talked maybe you Oli, $XX $XX of coming fixed think under I

hitting other, in this non-volume-related if are 'XX. Just us that growth could can abnormal are that thinking the what you should into and And pattern, organic look mid-single-digit will? any that 'XX, be for confirm at guess, you or that hit of that then and number kind of here pace the we I year like we if cost going out number continue about price items blended

Oliver Graham

pretty that cost Thanks, effects yet, anything, guide. the said, might it's found your with in wait drag, first Gabe. think confident those think year offsetting order on we think we'll on closures we already But we're I those we QX. And mentioned the not volume the some to obviously, of effect. taking so the in till have of think I And and then the nothing by the that in our of question results probably improvement Yes. $XX about million Look, as if signal. QX, we on price some I second, I mentioned didn't QX

per guidance. then hopefully, So closures the we'll the by year have effect also, grown have into as capacity full our the of and

Gabe Hajde

relatively Okay. I if starting this curious about customers? out up apologize, Oli, this of the anything and new your came from heard think KJ Perfect. in it here Bevcan plant And but a actually morning, you've Northeast, can mentions one, last I

Oliver Graham

think that's know I we second. did about a Yes, one they're the doing unless

-- is but capacity at in one the experience think of been some bigger moment the one. U.S. independents our market the good for even that's we and those the the is that a market the a obviously, with are I operationally, situations about market. have the So the that at into mean, I also difficult operator bit knew there come and of they're struggling overall of players smaller players some

think So have I don't that. any reaction new we to

last going see the normalizes growth, as growth can growth that that in shocks of got of market I certain We've we what the years. had and the pricing think got I segments. we've couple decent confidence, some in is stop to having we've resume think, good is we and

at not I'm American this too point. parties North the So concerned other in market about

Gabe Hajde

what seeing tend on promo agree to at we you demand, least on activity. with I we're Understood. mean the

Operator

of with will last our George And Bank question Staphos America. from come

George Staphos

cans, there disagree after offerings back couple with of raise can you recycled might in To can mindful say, the but within next of From any extent some the our CapEx, maybe what the X for you X, on years mini some specifically times just years, that, beverage gentlemen, we that on not aluminum X in PET there in you tooling, it cans ultimately want you CapEx, a can comparing vantage in that that of are few with ago, be of view of up of carbon out. to terms us had not year, innovation mean of to the point, year, we should down and versus couple it but for live X, trim presentation, comment road? Second we've a moved versus especially of, terms of sort the years of update changes come but any innovations terms the in Could your sort will hasn't been market, next meaningful It you. mean other ton question. years tooling anything on packaging. calls, footprint, aluminum on to I this a

you or that any thoughts any that data If on had be would great.

Oliver Graham

Thanks, George.

could driving of of industry think that's some we the coming also interesting categories, we recent it's innovation in certainly the closeability different closely. obviously, speed big a and content is innovation we've current the to end. lot declaration the the in that's or in investigating package, of that end. and performance. are We've drinks really say hydration of, of in as a into get There other is innovations that remains the improved of we're around be end and that types big driver other industry the the because to in around the of difficulty innovation fair or categories that therefore, around like need of cost the So I you lot in huge not increased alloy of years. the sports before different of terms a terms and process use that also sizes think in now using and quite improved been sustainability commented had then materials, And has comment a end, functionality lines innovation led of And to recycled most which a CapEx say,

Uni So to for alloy recycled the to and overall try the higher package. percentage so-called get a

could CapEx, is In our of CapEx goal, at The on filler. course, get I big terms involve side reclosability mean, to of the involve not it of the to house. CapEx

innovations to Some of you the on these whether requirements. could and sides CapEx are also could some have change have end depending none major. to both But ticker. upgauge other and Material of very Uniao similarly involve lead

So modeling the few the certainly the wouldn't these. for in requirements capital be back of industry next major years off any I

customers support a can into taking credentials are all plants. growth for all cans in terms spaces their the delivering relative new of at interesting, or the them on where in margin I think I But to sustainability the all also they're lines building to and our and commitments. continue world new think new delivering will

and second takes aluminum. versus your PET -- that So question about

Uni grid recycling to note in ahead the got we've think, there recycled decarbonization journey So rates, I alloy of the thing, content. terms a with the and main things of interesting increased very increased of upstream carbonization us with is the with like therefore,

can in those also, carbon footprint then to of XX match get then package types we've can can see of levels, we XX for when get you and we of in deposit high countries in content studies plus, Germany, and recycled some we we of recycling from in from long room certainly like that way there. that go the today plenty see any a to got that done terms decarbonization. So you are move But rates

the we're think sustainability. to the see standing I very it's years, going XX, on over next a So position material very already and can by XX in progress strong

Operator

Mr. And turn no are questions additional that will for this at remarks. or it there appears to back the I conference further you time. closing any Graham,

Oliver Graham

the and Thank for today. you, call everybody, thanks, joining

of the progressed So to we're taken, higher adjusted of April. And us shipment growth the growth for into the giving We're year. I course to what encouraged see actions think that obviously, ahead the seeing in with way by reaffirm expectations. guidance full was and remaining we've the also as market, QX that's we confidence and that's said, the year

forward So much. very talking to July. in much QX very look results Thanks we our to you at

Operator

This call. participation. concludes Thank your for you today's

You may now disconnect.

Ardagh Metal Packaging (AMBP) 25 Apr 242024 Q1 Earnings call transcript