BALL earnings analysis
What we found in BALL's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Ball delivered strong Q2 top-line growth, with revenue rising 20% year over year to $3.997 billion and GAAP EPS increasing to $0.83 from $0.76. The increase was substantially aluminum-price pass-through, however, as gross margin fell to approximately 17.4% and operating margin to approximately 8.7%; North America profit also declined. EMEA and South America operating-profit gains, continued shareholder-return plans, and adequate facility liquidity are offsets, but negative first-half operating cash flow, working-capital consumption, higher debt, and prospective pension settlement expense temper the setup.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue rose 20% on price/mix and volume
- Q2 net sales rose $659 million year over year to $3.997 billion, versus $3.338 billion. Price/mix added $542 million, primarily higher aluminum prices, while volume added $65 million.
- EPS increased, but margins compressed
- GAAP diluted EPS was $0.83, up from $0.76 in Q2 2025, while revenue increased from $3.60 billion in Q1 2026 to $3.997 billion in Q2. Gross margin was approximately 17.4%, down from 17.9% in Q1 and 19.4% a year ago; operating margin was approximately 8.7%, down from 9.1% in Q1 and 10.3% a year ago.
- EMEA profit and sales advanced
- EMEA sales increased $119 million to $1.242 billion and comparable operating earnings increased $10 million. The segment benefited from $57 million of price/mix, $27 million of volume, and currency translation; Benepack's two facilities were acquired in Q1 2026.
- South America delivered strongest profit gain
- South America sales increased $114 million year over year and comparable operating earnings increased $32 million, driven by higher price/mix of $93 million and higher volume.
- Capital-return capacity remains substantial
- Ball expects 2026 capex of approximately $600 million and plans approximately $600 million of share repurchases. It had $2.823 billion remaining under its authorization at June 30, 2026.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- North America profit declined despite sales growth
- North and Central America sales rose $393 million to $2.006 billion, but comparable operating earnings fell $5 million as $44 million of higher volume, operating and plant-startup costs more than offset $28 million of price/mix benefit.
- Aluminum costs compressed gross margin
- Cost of sales excluding D&A rose $610 million to $3.300 billion and reached 83% of sales, from 81% a year earlier, primarily reflecting $506 million of higher raw-material costs driven by aluminum prices and higher volume.
- Working-capital use and debt increased
- Six-month operating cash flow was negative $169 million, including a $1.01 billion working-capital outflow; investing cash outflow was $437 million, including $302 million of capex. Total debt increased to $7.22 billion from $7.01 billion at December 31, 2025.
- No formal risk updates; tariff exposure persists
- The filing reports no Item 1A risk-factor changes for Q2 2026. However, Ball recorded $22 million of quarterly business-consolidation and other charges, including tariff contingencies for which it seeks recovery and costs of prior facility closures.
- Potential Q3 noncash pension settlement charge
- Management anticipates a U.K. pension-plan buyout in Q3 2026. The settlement is expected to recognize the $454 million of accumulated unrecognized pension losses in other comprehensive income as a noncash expense.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.83
- Gross margin
- 17.4%
- Operating margin
- 8.7%
- Segment
- Beverage Packaging, North and Central America: $2.006 billion revenue, up $393 million year over year.
- Segment
- Beverage Packaging, EMEA: $1.242 billion revenue, up $119 million year over year.
- Segment
- Beverage Packaging, South America: approximately $749 million revenue, up $114 million year over year.
What they said about what is next.
The 10-Q does not provide a numeric EPS or revenue range. Management expects 2026 property, plant and equipment capex to be approximately $600 million, plans approximately $600 million of 2026 share repurchases, and expects liquidity to meet ongoing requirements; the earnings release maintained 2026 comparable EPS growth of 10-plus percent and free cash flow above $900 million.
The filing reads about the same as the one before it.
What came before.
- 10-Q · May 5, 2026
- Ball Corporation reported strong Q1 2026 results, with revenues of $3.60 billion, up 16% year-over-year, and net earnings of $205 million, reflecting a consistent growth trajectory. However, EPS was $0.77, missing the…
- 10-K · February 19, 2026
- Ball Corporation reported total consolidated net sales of $13.16 billion in 2025 and emphasizes a strategy centered on scale + sustainability with four operational pillars (executing every day; staying close to…
- 10-Q · November 4, 2025
- Ball reported a stronger Q3 with net sales of $3,379 million (up $297 million or +9.6% vs $3,082 million in Q3 2024) and expanded profitability: earnings before taxes rose to $391 million (vs $227 million) and diluted…
- 10-Q · August 5, 2025
- Ball reported a strong Q2 top line with net sales of $3,338 million (up $379 million or +12.8% vs $2,959 million in Q2 2024) and expanded operating profitability. Comparable reportable segment operating earnings rose to…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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