Amcor plc reported QQ3 2024 results that exhibit a notable top-line slowdown but a continued focus on margin discipline and cash-flow generation. Revenue for the quarter was $3.41 billion, down 7.0% year over year, while cost-of-revenue discipline and pricing/mix contributed to a gross profit of $691 million and a gross margin of approximately 20.3%. EBITDA stood at $472 million with an EBITDA margin of about 13.8%, and operating income reached $307 million (operating margin ~9.0%). Net income was $187 million, translating to $0.13 per share, up 8.3% year over year and 40.7% quarter over quarter, aided by cost controls and favorable product mix shifts. On a QoQ basis, activity improved modestly with revenue up about 4.9%, and gross profit up roughly 11.3%, signaling seasonality and ongoing efficiency initiatives beginning to take hold in the period.
From a cash-flow perspective, Amcor generated $150 million of operating cash flow in the quarter and reported free cash flow of $37 million after capital expenditures of $113 million. Cash and cash equivalents stood at $457 million at period end, while total debt was $7.19 billion and net debt approximately $6.73 billion, implying a leverage profile that remains elevated by historical standards. The company maintains a high dividend payout (around 95% of earnings) with a current yield near 1.3%, underscoring a capital-allocation preference that prioritizes returns to shareholders alongside a measured investment in capacity and efficiency.
Overall, the QQ3 2024 results underscore a blended setup: clear earnings resilience in a challenging revenue environment, improving margins through pricing and efficiency, and a capital structure that warrants close attention to deleveraging progress and cash-flow generation going forward. The outlook remains sensitive to macro demand, input costs, and FX movements, with additional clarity from management forthcoming in forward guidance and commentary in subsequent communications.