| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 1.7K | 8.3% | 2.2% |
| Total Income | 1.7K | 8.3% | 2.2% |
| Expenditure | 2.5K | 56.6% | 46.9% |
| PBT | 171.00 | 20.4% | 24.0% |
| Net Profit | -972.00 | 1231.5% | 19340.0% |
| OPM | -49.58% | 46.14pp | 49.99pp |
| NPM | -58.27% | 53.53pp | 57.98pp |
| EPS | -6.33 | 1218.8% | 21000.0% |
O-I Glass Reports Q2 2026 Results
29 Jul 2026 · 29 Jul, 2:07 am
Summary
O-I Glass reported second quarter 2026 net sales of nearly $1.7 billion, down 2 percent year-over-year, primarily due to a 4.5 percent decline in sales volumes. The company posted a reported loss of $6.33 per share, heavily influenced by a significant goodwill impairment charge and tax valuation allowances in Europe. Adjusted earnings per share were $0.09, down from $0.53 in the prior year, as challenges in Europe offset strength in the Americas. Management has revised its 2026 outlook and 2027 targets to account for persistent market challenges in Europe, including competitive pricing and higher energy costs.
Key Highlights
- 1
Net sales for the second quarter of 2026 were nearly $1.7 billion, a decrease of 2 percent from the prior year.
- 2
Reported earnings for the quarter were a loss of $6.33 per share, impacted by a $873 million non-cash goodwill impairment charge and a $96 million increase to deferred tax valuation allowances related to Europe.
- 3
Adjusted earnings per share were $0.09, down from $0.53 in the prior year, with strong Americas performance partially offsetting significantly lower Europe performance.
- 4
The Americas segment operating profit increased by 22 percent to $165 million, with margins expanding to 17.4 percent.
- 5
Europe segment operating profit was $6 million, a significant decrease from the prior year, reflecting competitive pricing pressure, elevated energy costs, and operational disruptions.
- 6
The company revised its 2026 guidance and realigned its 2027 targets to reflect current business headwinds and a more gradual rate of improvement.
- 7
Fit to Win delivered $65 million of gross benefits in the second quarter, with $50 million in net savings after accounting for operational disruptions.
Management Comments
Gordon Hardie
Our second quarter results fell short of expectations, driven primarily by competitive and operational challenges in Europe. We are acting decisively to address these issues. Encouragingly, we believe the continued strength of our Americas business highlights the effectiveness of our Fit to Win program and our disciplined approach to execution. Achieving our objectives in Europe is taking longer than expected due to persistent market challenges, including commercial pressures and higher energy related costs. While we believe these challenges are temporary, we have adjusted our 2026 outlook and realigned our 2027 targets to reflect a more gradual rate of improvement. We remain confident in our strategy, the actions we are taking, and our ability to create long-term value. Our second quarter results fell short of expectations, driven primarily by commercial pressures, higher energy-related costs and operational challenges in Europe. At the same time, we believe the continued strength of our Americas business underscores the effectiveness of our Fit to Win program and disciplined execution. Achieving our objectives in Europe is taking longer than expected, and we are acting decisively to address the issues affecting performance. While we believe these headwinds are temporary, we have adjusted our 2026 outlook and realigned our 2027 targets to reflect a more gradual pace of improvement. We believe our strategy is the right one, the necessary actions are underway, and disciplined execution will position O-I to unlock long-term value.
John Haudrich
We have adjusted our 2026 outlook primarily to reflect temporary elevated operating costs related to recent furnace events and major restructuring actions, as well as ongoing commercial pressure and higher energy costs in Europe. We now expect 2026 adjusted EBITDA of $1.0–$1.1 billion. While these headwinds are expected to gradually improve over the balance of the year, we believe the revised guidance appropriately reflects the current operating environment. We have also realigned our 2027 adjusted EBITDA target to $1.2–$1.3 billion to reflect a more gradual rate of improvement in Europe. We remain focused on disciplined cost execution, improving cash generation and strengthening the earnings trajectory as headwinds moderate.
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