Amcor plc reported QQ1 2025 results with revenue of USD 3.353 billion, reflecting a modest year-over-year decline of 2.6% and a sequential drop of 5.15%. Gross profit of USD 659 million yielded a margin of 19.65%, modestly higher year-over-year but down on a quarter-to-quarter basis due to mix and ongoing input-cost pressure. Operating income reached USD 312 million (margin 9.31%), while EBITDA stood at USD 463 million (margin ~13.8%). Net income was USD 191 million, with basic/diluted EPS of USD 0.13, up 30% year-over-year but down 28% quarter-over-quarter. The quarter also featured meaningful cash-flow headwinds: operating cash flow was negative USD 269 million and free cash flow was negative USD 414 million, driven by a substantial working capital outflow of USD 631 million and ongoing capital expenditure of USD 145 million.
From a balance-sheet perspective, Amcor carries a high leverage profile. Total debt stood at USD 7.783 billion with net debt of USD 7.351 billion, and a debt-to-capitalization ratio near 66%. Interest coverage was approximately 3.6x, and liquidity remains modest with USD 432 million of cash on hand and a current ratio of about 1.29. The company maintained a dividend payout (USD 180 million) and modest share repurchases (USD 47 million) in the period, signaling disciplined capital allocation even as near-term FCF generation remains a priority. Overall, QQ1 2025 demonstrates resilient earnings power despite macro headwinds and cash-generation challenges, underscoring the need to monitor deleveraging dynamics, working-capital discipline, and raw-material discipline going forward.