Ball Swings to Q3 Loss on $475 Million Pension Charge as Comparable EPS Rises 6.8% to $1.10
Ball posted a third-quarter GAAP loss after a $475 million pension charge, but comparable earnings per share rose 6.8% to $1.10 as global aluminum can shipments grew 4.7%.
The beverage can maker reported a net loss attributable to the company of $94 million, or 36 cents per diluted share, compared with net earnings of $321 million, or $1.18 per share, a year earlier, according to the earnings release Ball filed with an 8-K on Tuesday. Net sales climbed 23.9% to $4.19 billion from $3.38 billion.
The loss came from $482 million of business consolidation and other charges, mainly a $475 million noncash settlement charge recognized when Ball completed a buy-out of its U.K. defined benefit pension plan, plus costs for previously announced facility closures. The release said a favorable final ruling from the U.S. Department of Commerce, which reversed previously accrued tariff contingencies, partly offset those charges.
Comparable net earnings rose to $293 million from $280 million, and comparable operating earnings increased 2.5% to $451 million.
"Ball delivered another quarter of strong results, reflecting the power of our customer-focused strategy, disciplined execution and the ownership mindset embedded throughout our organization," CEO Ron Lewis said in the release.
Regional results
North and Central America, Ball's largest segment, grew sales to $2.06 billion from $1.64 billion on higher volume and favorable price/mix, mostly from higher aluminum prices. Comparable operating earnings slipped 2.3% to $210 million, which the company attributed to higher operating costs and plant start-up costs.
EMEA comparable operating earnings rose 3.7% to $170 million on sales of $1.33 billion, up from $1.13 billion, helped by higher shipments and favorable price/mix. South America was the fastest grower: comparable operating earnings jumped 19.5% to $92 million as sales increased 28.5% to $653 million, with segment volume up by a low-double-digit percentage.
New plants and capital returns
Ball said it is investing in a new beverage can plant in Baruth, Germany, and announced a new can plant in India, both to support long-term customer growth.
The company returned $431 million to shareholders through buybacks and dividends in the first nine months of 2026 and said it is on track to return at least $800 million by year-end. Net debt stood at $6.87 billion at the end of September, or 3.21 times trailing comparable EBITDA.
2026 outlook
Ball still expects comparable diluted EPS growth of 10-plus percent in 2026 and free cash flow of an estimated $900 million, the company said. CFO Dan Rabbitt said Ball remains on track for its long-term goal of 4 to 6 percent operating earnings growth.
By the numbers
- Net sales: $4.19 billion, up 23.9%
- GAAP diluted EPS: loss of 36 cents, versus earnings of $1.18
- Comparable diluted EPS: $1.10, up 6.8%
- Global aluminum packaging shipments: up 4.7%
- U.K. pension settlement charge: $475 million, noncash
- Year-to-date shareholder returns: $431 million
Sources
- Ball Corporation Form 8-K with third-quarter 2026 earnings release, filed Nov. 3, 2026 (accession 0001104659-26-121661)
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