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Ball Corp raises profit forecast on resilient aluminum packaging demand, cost controls
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Ball Corp raises profit forecast on resilient aluminum packaging demand, cost controls
May 26, 2025 1:49 AM

May 6 (Reuters) - Aluminum can maker Ball Corp ( BALL )

on Tuesday raised its annual profit forecast after beating

analysts' estimates for first-quarter results, betting on

resilient demand and a tight leash on costs.

The company expects full-year comparable profit growth to be

between 11% and 14%, compared to its previous forecast of a

growth of more than 10%.

Ball said on Tuesday the direct impact from U.S. President

Donald Trump's 25% tariff on aluminum was manageable, and it was

working to mitigate the effects of volatility in the metal's

premium prices.

The company also emphasized on local sourcing and

manufacturing to reduce exposure to international trade

fluctuations.

Weak forecasts from the company's customer Constellation

Brands ( STZ ) and other packaged foods companies including

Kraft Heinz ( KHC ) and PepsiCo ( PEP ) had stoked concerns over

sluggish demand for packaging material.

Ball Corp's ( BALL ) aluminum cups and bottles are in demand among

environmentally conscious consumers, given their sustainable

nature and recycling-heavy sourcing, compared to plastic and

processing-intensive tin-coated steel.

The company's first-quarter revenue rose 7.8% to $3.10

billion, compared with estimates of $2.89 billion, according to

data compiled by LSEG.

Global aluminum packaging shipments increased 2.6%, while

its selling, general and administrative costs declined about

37%.

Excluding items, the company earned a profit of 76 cents per

share, beating expectations of 70 cents.

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