Aptar, a global leader in consumer dispensing, active packaging and drug delivery solutions, has reported its financial results for the second quarter of 2019.
The company reported that its sales increased by 5%, with core sales, excluding currency and acquisition effects, growing by 4%. For the second quarter, which ended on 30 June 2019, Aptar reported that sales increased to $743 million (€669.6 million) compared to $711 million (€640.8 million) in 2018.
Aptar reported that strong broad-based demand for its industry-leading drug delivery and food dispensing solutions drove top-line core growth in the second quarter. However, the beauty and home segment faced ‘headwinds’ from lower custom tooling sales and decreased sales to the personal care market compared to 2018.
Stephan Tanda, president and CEO of Aptar, said: “We performed well overall despite some headwinds that affected our beauty and home segment. Our pharma segment grew across a variety of therapies and applications, especially nasally-delivered allergic rhinitis and central nervous system treatments.
“In addition, we previously announced two strategic acquisitions that will broaden our services platform and bring additional value to our pharmaceutical and biotech customers.”
The firm had a strong quarter for its food and beverage segment, thanks to increased demand for its innovative dispensing closures across a range of food-related categories, according to Tanda. However, while Aptar’s beauty and home sector continued to make progress in terms of transformation initiatives, sales declined.
Aptar reported earnings per share of $1.12 (€1.009) compared to $0.86 (€0.77) in 2018.
First six months of 2019
For the six months to 30 June 2019, Aptar reported that sales increased approximately 5% to $1.49 billion (€1.34 billion), from $1.41 billion (€1.27 billion) in the previous year. Core sales, excluding the impacts from changes in currency exchange rates and acquisitions, also increased by roughly 5%.
“It was a solid first half overall for Aptar with good top-line core growth of 5% and double-digit growth in adjusted earnings per share,” said Tanda.
“The diversity of our business and our broad portfolio of innovative solutions allows us to deliver growth even when there is softness with certain customers or markets.”
For the first six months of 2019, Aptar’s reported earnings per share were $2.08 (€1.87), up 17% on the previous year when it stood at $1.78 (€1.60).
Commenting on the company’s future, Tanda said: “We anticipate core product sales growth across each segment. Our Pharma segment is expected to continue the positive momentum seen in the first half of the year.
“While we expect product growth in our beauty and home segment, some personal care customers are anticipating weaker volumes in the near-term and we expect lower custom tooling sales compared to a year ago.
“In addition, our expected effective tax rate will be higher than what we reported a year ago, in part due to a recently enacted corporate tax rate increase in France that is retroactive to the beginning of 2019.”
Aptar offers a broad range of aerosol technologies, including covering valve, bag-on-valve, metered valve with specific actuators, and caps for gel, foam and spray applications.