Berry Global Raises 2021 Guidance on Strong First Quarter Results
All segments in the company saw strong volume growth, and operating EBITDA increased 20% for the quarter.
Berry Global Group, Inc. recently reported its first fiscal quarter 2021 results, including net sales of $3.1 billion, primarily attributed to organic volume growth of 7%. Additional growth drivers include a $50 million favorable impact from foreign currency changes and a $112 million benefit from extra shipping days in the quarter, partially offset by prior quarter divestiture sales of $15 million. The organic volume growth was reportedly due to growth investments, modest recovery of certain markets that had previously been facing pandemic headwinds, and higher demand in the company's advantaged health and hygiene products as the result of COVID-19.
"Berry’s fiscal 2021 is off to an exceptional start with record first quarter financial results exceeding our expectations," said Tom Salmon, chairman and CEO. "Consumer demand for our products remains consistent and certain markets which previously experienced COVID-19 headwinds are rebounding quicker than we expected. All segments delivered strong volume growth, collectively finishing the quarter with 7 percent organic volume growth, while operating EBITDA increased 20 percent in the quarter. The organically driven outperformance in this first fiscal quarter gives us confidence to raise our fiscal year 2021 outlooks for both operating EBITDA and organic volume growth.