Crown Holdings Reports Strong 4Q, Full Year 2020 Results

Driven by sizable increases in food cans and beverage cans sales, Crown Holdings, Inc. announced solid sales and free cash flow for the fourth quarter and full year ended Dec. 31, 2020.

Beverage can volumes were up 4% for the year, while food can volumes are up 7% for the year. As a result, net sales in the fourth quarter were $2,962 million compared to $2,791 million in the fourth quarter of 2019.

These gains also showed in earnings per share. Earnings per share were $1.12 for the quarter compared to $0.64 in the prior year, and $4.30 full year compared to $3.78 in 2019.

Crown Holdings recorded more than $1.3 billion in cash from operations, as well as record adjusted free cash flow of $756 million.

“The company’s performance for both the fourth quarter and the full year was exceptional,” said Timothy J. Donahue, president and CEO. “Segment income during the quarter advanced 39% over the prior year. Driving the strong results were robust global beverage can volumes, particularly in North America, and food can volumes combined with excellent manufacturing performance throughout the organization, including meaningful cost reduction initiatives within Transit Packaging.

“For the full year, we achieved record segment income in 2020, with a gain of 7% from the prior year,” added Donahue. “Operating cash flow exceeded $1.3 billion, reflecting a 13% increase over 2019. The company generated a record $756 million in free cash flow allowing us to reduce our year-end 2020 net leverage ratio to 3.9x.”

Full Year Results

Net sales for the full year of 2020 were $11,575 million compared to $11,665 million in 2019, primarily due to the pass through of lower material costs and $59 million of unfavorable currency translation, partially offset by increased sales unit volumes.

Income from operations was $1,264 million in 2020 compared to $1,196 million in 2019.