Silgan Holdings Inc.

Second-quarter 2026 net sales were approximately $1.6 billion, up 7% year over year. Adjusted EBIT was $185 million, down 4% year over year, and adjusted EPS was $0.98, down $0.03 from the prior year. By segment, Dispensing and Specialty Closures sales rose 2% and adjusted EBIT was about flat; Metal Containers sales rose 13% while adjusted EBIT declined; Custom Containers sales rose 3% and adjusted EBIT increased. For third quarter 2026, Silgan guided to adjusted EPS of $1.21 to $1.31 versus $1.22 a year ago, with adjusted EBIT up about $10 million at the midpoint, interest expense of $50 million to $55 million, and a tax rate of 25% to 26%. For full-year 2026, the company reaffirmed adjusted EPS of $3.73 to $3.93 versus $3.72 in 2025, low to mid-single-digit total adjusted EBIT growth, about $50 million of corporate expense, about $200 million of interest expense, a 25% to 26% tax rate, and free cash flow of about $450 million including about $310 million of CapEx.

Adam Greenlee emphasized that Silgan delivered another solid quarter despite a dynamic geopolitical and operating backdrop, cost inflation, and softer-than-expected conditions in Brazil. He highlighted strength in fine fragrance, wet pet food, and the company’s ability to recover inflation through commercial actions. His tone was confident and constructive, saying the company is positioned to deliver organic growth in the second half and remains on track for its 2026 plan and longer-term strategic growth initiatives.

Shawn Fabry said the quarter benefited from strong operational EBIT performance and favorable interest expense, partly offset by higher corporate expense. He quantified the quarter with about $1.6 billion of sales, $185 million of adjusted EBIT, and $0.98 of adjusted EPS, and noted that adjusted EPS was down $0.03 year over year. He also reaffirmed 2026 free cash flow of about $450 million with about $310 million of CapEx, and said corporate expense is expected to be about $50 million for the full year, with interest expense around $200 million and leverage expected to end below the midpoint of the target range.

Analysts focused on Brazil, asking whether weakness there was market-driven or share-driven and how much it affects second-half volume assumptions. Management said the decline was market-driven, not share loss, and that Brazil volumes were down about 15% in the region, with recovery expected to start in late Q3 and continue through Q4, fully normalizing into 2027. Questions also covered metal-container timing and healthcare/fragrance growth; management said Q3 metal volumes should benefit from timing shifts and that healthcare and fine-fragrance are largely contractualized or in long development cycles with strong visibility.