Silgan (SLGN) Q2 2026 earnings summary

Executive summary

• Delivered solid Q2 2026 results with net sales of $1.64 billion, up 7% year-over-year, overcoming cost inflation, volatile order patterns, and mixed market conditions.

• Outperformed end-market trends, especially in Dispensing and Specialty Closures and wet pet food Metal Containers, with high single digit volume growth in these segments.

• Successfully executed a new long-term supply agreement in the vegetable market, resolving multi-year disruption.

• H1 2026 performance slightly ahead of original expectations.

• Net income for Q2 2026 was $75.8 million ($0.72 per diluted share), down from $89.0 million ($0.83 per diluted share) in Q2 2025; adjusted net income per diluted share was $0.98 versus $1.01 last year.

Financial highlights

• Net sales reached $1.64 billion, up 7% year-over-year, mainly from higher raw material cost pass-throughs and strong volume growth.

• Adjusted EBIT was $185 million, down 4% year-over-year, with Custom Containers up but Metal Containers down; EBIT for Q2 2026 was $151.0 million, a decrease from $167.5 million in Q2 2025.

• Adjusted EPS was $0.98, down $0.03 from prior year, due to lower EBIT partially offset by lower interest expense.

• Dispensing and Specialty Closures sales up 2% to $713.9 million, Metal Containers sales up 13% to $763.9 million, Custom Containers sales up 3% to $165.5 million.

• Gross profit for Q2 2026 was $294.9 million, slightly down from $299.1 million in Q2 2025; gross margin was 17.9%, down from 19.4%.

Outlook and guidance

• Confirmed 2026 adjusted EPS guidance of $3.73–$3.93 (vs. $3.72 in 2025), a 3% increase at midpoint.

• Q3 2026 adjusted EPS expected at $1.21–$1.31 (vs. $1.22 prior year), with higher EBIT and volumes in all segments.

• Free cash flow for 2026 estimated at ~$450 million, including CapEx of ~$310 million.

• Volume growth expectations: low to mid-single digit for Dispensing and Specialty Closures, low single digit for Metal Containers and Custom Containers.

• Adjusted EBIT in 2026 expected to be higher than 2025 in all segments.