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CCL Industries Inc
TSX:CCL.B

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CCL Industries Inc
TSX:CCL.B
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Price: 84.79 CAD 0.47% Market Closed
Market Cap: 14.8B CAD

CCL Industries Inc
Investor Relations

CCL Industries Inc. stands as a testament to strategic evolution and diversified growth in the packaging sector. Emerging from humble beginnings, the company was initially rooted in Canada, focused on a narrow range of label and plastic tube manufacturing. Today, it commands a formidable presence on the global stage, with operations sprawling across North America, Europe, Latin America, and Asia Pacific. The secret to CCL’s success lies in its ability to adapt and expand through a meticulous blend of organic growth and strategic acquisitions. By acquiring complementary businesses and investing in innovation, CCL has cemented its status as a leader in providing specialty label and packaging solutions to a variety of industries, including consumer goods, electronics, automotive, and healthcare.

How CCL makes its money is a story of precision and customization in manufacturing. The company's portfolio includes divisions like CCL Label, CCL Container, and CCL Tube, each tailoring products that meet the distinct needs of major global brands. Through its Label division, it produces pressure-sensitive and film materials, utilizing cutting-edge technology to enhance product identification and security features. Meanwhile, CCL Container serves the personal care and home markets with aluminium aerosol cans, while CCL Tube provides specialty plastic tubes, primarily for the personal care and cosmetic sectors. This diversified yet interconnected operational approach enables CCL Industries to cater to an array of customer demands, enhancing brand visibility and protection, ultimately driving its robust financial performance.

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CCL.B
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Last Earnings Call
Fiscal Period
Q2 2023
Call Date
Aug 10, 2023
AI Summary
Q2 2023

Sales: Q2 2023 sales rose 1.8% to $1.64 billion, mainly due to acquisitions and currency tailwinds, despite a 4.5% organic decline.

Profitability: Operating income and EBITDA both declined year-over-year, with operating income down 8% (ex-currency) and EBITDA down 7%.

Earnings: Net earnings fell to $155.9 million from $163.4 million last year; EPS decreased to $0.88 from $0.91.

Cash Flow: Free cash flow improved to $120.1 million, helped by better working capital management.

Segments: CCL Container segment grew strongly with high margins, while CCL Secure and Design faced volume declines; Checkpoint and Innovia saw sequential improvement.

Acquisitions: Completed 8 acquisitions in the last 12 months, including Faubel (clinical trials labeling leader in Europe) and Imprint Energy (battery tech).

Outlook: Management sees early signs of a volume pickup in July but remains cautious, expecting a gradual recovery in coming quarters.

Key Financials
Sales
$1.64 billion
Operating Income
$242 million
Net Earnings
$155.9 million
Earnings Per Share
$0.88
Adjusted Earnings Per Share
$0.90
Free Cash Flow
$120.1 million
Net Debt
$1.56 billion
Balance Sheet Leverage Ratio
1.24x
Effective Tax Rate
24%
Capital Expenditures (YTD)
$252 million
Cash on Hand
$738 million
Undrawn Credit Capacity
USD 0.9 billion
Average Finance Rate
3%
Earnings Call Recording
Other Earnings Calls

Management

Mr. Donald G. Lang B.A. (Hon.), HBA
Executive Chairman
No Bio Available
Mr. Geoffrey T. Martin
President, CEO & Director
No Bio Available
Mr. Nicolangelo Vecchiarelli
Vice President of Corporate Accounting
No Bio Available
Mr. Ben Lilienthal
Group VP of Central America & President of Checkpoint Unit
No Bio Available
Mr. James A. Sellors
Senior Vice President of Business Development
No Bio Available
Mr. Jamie Robinson
VP and MD of Home & Personal Care Europe and Food & Beverage - U.K.
No Bio Available
Mathias Maennel
VP & MD of CCL Design Europe
No Bio Available
Reinhard Streit
VP and MD of Food & Beverage Europe
No Bio Available
Mr. Mark Cooper
President of Avery & METO Worldwide
No Bio Available
Mr. Kittipong Kulratanasinsuk
VP & MD of CCL Label ASEAN
No Bio Available

Contacts

Address
ONTARIO
North York
111 Gordon Baker Rd Suite 801
Contacts
+14167568500.0
www.cclind.com