Ball Corporation reports 50% growth in net earnings to $878 million for 2021; sales record 2 billion hike

On Thursday, January 27, Ball Corporation announced its full-year 2021 net earnings attributable to the corporation of $878 million or $2.65 per diluted share. That was an increase of 50 per cent from $585 million net earnings or $1.76 per diluted share in 2020. Sales recorded in 2021 were $13.8 billion compared to $11.8 billion a year ago.

Ball’s full-year 2021 comparable net earnings were $1.16 billion or $3.49 per diluted share, in contrast to $987 million or $2.97 per diluted share in 2020.

In Q4 2021, Ball’s net earnings attributable to the corporation were $297 million or 90 cents per diluted share on sales of $3.7 billion. Comparable earnings per diluted share were 97 cents versus 81 cents in Q4 2020.

John A. Hayes, chairman and chief executive officer, said: "We delivered a strong finish to 2021 and returned approximately $950 million to shareholders after deploying $1.7 billion of capital expenditures to support our growth during the year. Underlying demand for Ball's sustainable aluminum packaging portfolio and innovative aerospace technologies continues to outpace supply. Our teams executed at a high level to complete significant capital projects on time and on budget to serve accelerating customer demand in 2022 and beyond. During the fourth quarter, the company increased comparable earnings per diluted share by 20 percent compared to fourth quarter 2020, initiated additional cost recovery mechanisms and continued to hire talent and build back finished goods inventory to position the company for long-term growth despite challenges associated with the pandemic, natural disasters and global supply chain disruptions."

Daniel W. Fisher, president of Ball Corporation, said: "Our focus remains on our employees' safety, mental well-being, training and development, generating EVA-enhancing returns on capital and delivering sustainable innovative products and technologies to our customers. Driven by our Drive for 10 vision, EVA discipline, ownership mindset and incredible workforce, we are well positioned to meaningfully grow our long-term diluted earnings per share, EVA dollars, cash from operations and return significant value to our shareholders in the form of dividends and share repurchases in 2022 and beyond."

From beverage packaging sector in North and Central America, Ball generated $681 million of comparable segment operating earnings for full-year 2021 on sales of $5.9 billion compared to $683 million on sales of $5.1 billion in 2020. In Q4, comparable segment operating earnings were $162 million on sales of $1.5 billion versus $139 million earnings on sales of $1.3 billion during the same period last year.

Ball reported that demand for aluminium beverage packaging continued to outstrip supply across North America. Besides its beverage can manufacturing facilities becoming operational in 2021, it will initiate construction of new beverage can manufacturing facilities in North Las Vegas, Nevada, and Concord, North Carolina, in 2022 and 2023, respectively, to serve long-term committed volume with global and regional strategic customers serving all beverage categories.

From Beverage packaging sector in South America, Ball generated $348 million of comparable segment operating earnings for full-year 2021 on $2.0 billion sales. In Q4, comparable segment operating earnings were $103 million on sales of $615 million compared to $107 million on sales of $529 million during the same period in 2020.

From the aerospace sector, Ball’s comparable segment operating earnings for full-year 2021 were $169 million on sales of $1.9 billion. In Q4, comparable segment operating earnings were $54 million on sales of $530 million compared to $39 million on sales of $420 million during the same period in 2020.