Ardagh Metal Packaging S.A. (NYSE:AMBP) Q2 2023 Earnings Conference Call July 27, 2023 9:00 AM ET

Company Participants

Stephen Lyons – Investor Relations

Oliver Graham – Chief Executive Officer

David Bourne – Chief Financial Officer

Conference Call Participants

George Staphos – Bank of America

Arun Viswanathan – RBC Capital Markets

Kyle White – Deutsche Bank

Gabe Hajde – Wells Fargo Securities

Mike Roxland – Truist Securities

Ning Yang - Jupiter Asset Management

Operator

Good day, everyone, and welcome to the Ardagh Metal Packaging S.A. Second Quarter 2023 Results Call. As a reminder, today's conference is being recorded and all phone participants are in a listen-only mode. But later, you will have the opportunity to ask questions.

And now to get us started with opening remarks and introductions, I am pleased to turn the floor over to Mr. Stephen Lyons with Investor Relations. Please go ahead, sir.

Stephen Lyons

Thank you, operator, and welcome, everybody. Thank you for joining today for Ardagh Metal Packaging's second quarter 2023 earnings call, which follows the earlier publication of AMP's earnings release for the second quarter. We have also added an earnings presentation on to our investor website for your reference.

I'm joined today by Oliver Graham, AMP's Chief Executive Officer; and David Bourne, AMP's Chief Financial Officer. Before moving to your questions, we will first provide some introductory remarks around AMP's performance and outlook. AMP's earnings release and related materials for the second quarter can be found on AMP's website at www.ardaghmetalpackaging.com. Remarks today will include certain forward-looking statements and include use of non-IFRS financial measures.

Actual results could vary materially from such statements. Please review the details of AMP's forward-looking statements disclaimer and reconciliation of non-IFRS financial measures to IFRS financial measures in AMP's earnings release.

I will now turn the call over to Oliver Graham.

Oliver Graham

Thanks, Stephen. We experienced a challenging quarter against a global backdrop of sustained inflationary and household financial pressures, which was impacting on consumer demand. While we recorded global shipments growth of 5%, which included strong growth of 18% in North America and a solid 2% growth in Europe, we faced difficult conditions in the Brazil market where shipments declined by a double-digit percentage relative to a strong prior year comparative impacting profitability.

Our performance in Europe proved resilient and was modestly ahead of expectations supported by the anticipated stronger recovery of pass-throughs on energy costs following the contractual actions taken last year. Shipments growth reflected our broad European presence and diverse customer mix.