With a combined revenue of $21 trillion and $2.1 trillion in profits, the 2026 Fortune 500 is the definitive list of America's largest companies.

Fortune 500

Almost $20 trillion in revenue—and a record-breaking $1.87 trillion in profits. Introducing the 2025 Fortune 500, the definitive list of the biggest companies in America.

Leaders in all industries rely more than ever on Big Tech—and appreciate the giants that deliver, at scale, without drama.

World's Most Admired Companies

Industries included in the sector are building materials, forest products, metals, and packaging.

Fortune Sector Leaders: Materials

The Fortune 500, in its 70th year in 2024, ranks the biggest U.S. companies by revenue.

The 26th edition of the list shows how much esteem Big Tech giants command among other business leaders.

The 25th Fortune World’s Most Admired Companies list suggests that tech giants’ peers respect them as much as ever.

The Fortune 500, in its 69th year in 2023, ranks the biggest U.S. companies by revenue.

Just as it dominates our economy, Big Tech now dominates Fortune’s annual ranking of corporate reputation.

This year’s Fortune 500 marks the 68th running of the list.

After a year in which humanity leaned more heavily than ever on tech giants, see which companies topped Fortune's ranking of corporate reputation.

This year’s Fortune 500 marks the 67th running of the list.

F500-2021-260-Ball

With its name seen on mason jars everywhere, the company has now become the world's leader in recyclable food containers and has even branched into aerospace technology.

This year's Fortune 500 marks the 66th running of the list.

F500-2020-279-Ball

Known for its signature glass jars—which it actually doesn't produce itself, but licenses out—this Broomfield, Colo. company makes metal cans and packaging for the world's biggest food and beverage companies.

This year's Fortune 500 marks the 65th running of the list.

This year's Fortune 500 marks the 64th running of the list.

Here are the World's Most Admired Companies for 2017 as ranked in their industries. See who made the list.

This year's Fortune 500 marks the 63rd running of the list.

Here are the World's Most Admired Companies for 2016 as ranked in their industries. See who made the list.

This year's Fortune 500 marks the 62nd running of the list.

Business insiders have spoken: Asked which companies they most admire, more than 4,100 executives, directors, and analysts chose these top 50 All-Stars.

This year's Fortune 500 marks the 61st running of the list. Wal-Mart claims the top spot again. See who made the list.

Wal-Mart stayed on top as its sales crept closer to half-a-trillion dollars. Apple moved into the top five. And UnitedHealth Group continued its steady climb. 

Sector

Industry

Current All-Star Rank

Previous All-Star Rank

Industry Rank

Previous Industry Rank

Overall Score

Innovation

People Management

Use of Corporate Assets

Social Responsibility

Quality of Management

Financial Soundness

Long-Term Investment Value

Quality of Products/Services

Global Competitiveness

Key Financials (last Fiscal Year)

Revenues ($M)

Profits ($M)

Assets ($M)

Total Stockholder Equity ($M)

Profit Ratios

Profit as % of Revenues

Profits as % of Assets

Profits as % of Stockholder Equity

Earnings Per Share (last Fiscal Year)

Earnings Per Share ($)

EPS % Change (from prior fiscal year)

EPS % Change (5 year annual rate)

EPS % Change (10 year annual rate)

Total Return

Total Return to Investors (last year)

Total Return to Investors (5 year, annualized)

Total Return to Investors (10 year, annualized)

Ball Corporation is a supplier of aluminum packaging products such as extruded aluminum aerosol containers, reclosable aluminum bottles, aluminum cups, and aluminum slugs for the beverage, personal care, and household products industries in the United States, Brazil, and internationally. Ball is the world’s largest producer of aluminum beverage cans.

Q2 2026

Q1 2026

Q4 2025

Q3 2025

Q2 2025

Q1 2025

Q4 2024

Ball (BALL): Company Profile, Stock Price, News, Rankings

legacy

Ball

ball

And welcome to the Ball Corporation Third Quarter 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Brandon Potthoff, Head of Investor Relations. Thank you, sir. You may begin.

Thank you, Christine. Good morning, everyone. This is Ball Corporation's Conference Call regarding the Company's Third Quarter 2025 Results. The information provided during this call will contain forward-looking statements. Actual results or outcomes may differ materially from those that may be expressed or implied. We assume no obligation to update any forward-looking statements made today. Some factors that could cause the results or outcomes to differ are described in the company's latest Form 10-K, our most recent earnings release, and Form 8-K and in other company SEC filings, as well as company news releases. If you do not already have our earnings release, it is available on our website at ball.com. Information regarding the use of non-GAAP financial measures may also be found in the notes section of today's earnings release.

In addition, the release includes a summary of non-comparable items, as well as reconciliation of comparable net earnings and diluted earnings per share calculations. References to net sales and comparable operating earnings in today's release and call do not include the company's former aerospace business. Prior year-to-date net earnings attributable to the corporation and comparable net earnings do include the performance of the company's former aerospace business through the sale date of February 16, 2024. I would now like to turn the call over to our CEO, Dan Fisher.

Thank you, Brandon. Today, I'm joined on our call by Dan Rabbitt, SVP and Interim CFO. I will provide some brief introductory remarks and discuss Third Quarter Financial Performance. Dan will then touch on key metrics for 2025. And we will finish up with closing comments and Q&A. First, I want to take a minute to highlight the amazing work our employees and teams have done to give back to their communities. During the Third Quarter, I'm proud to share that Ball employees donated over 7,000 hours of their time across 19 countries in support of 116 charities. This past September was also our annual Who We Are Month, where we celebrated our unmatched culture and talented people that help us and our customers navigate complexity and provide innovative solutions that enable us to win.

I want to thank all of our employees for devoting time to uplift our communities and participating in Who We Are Month. I also want to thank all of our employees for our great Third Quarter Business Performance. Beverage can volumes grew 4.2%, comparable operating earnings increased 5.1%, and comparable diluted earnings per share rose 12.1%. In addition, we have now returned $1.35 billion to shareholders through share repurchases and dividends as of today's call. This strong performance reinforces our opportunity to deliver record-comparable diluted earnings per share, record EVA, and approach record-adjusted free cash flow in 2025, a testament to the strength of our portfolio and discipline execution. Aluminum packaging continues to outperform other substrates globally, underscoring the resilient and defensive nature of our business.

While we remain attentive to uncertainties related to tariffs and consumer pressures, particularly in the U.S., we are confident in our ability to proactively manage these dynamics and sustain our momentum towards delivering 12%-15% comparable diluted EPS growth. Third Quarter comparable net earnings of $277 million were driven by higher volume and cost management initiatives, partially offset by higher interest expense and lower interest income. In North and Central America, segment comparable operating earnings increased 3.5%, driven by stronger-than-expected volume performance. Though partially offset by product mix headwinds. Mid-single-digit percent volume growth was led by continued strength in energy drinks and non-alcoholic beverages. Our team continues to execute at a high level, successfully meeting elevated demand, navigating the complexities of Section 232 tariffs, and mitigating risks in a volatile environment.

We remain vigilant in monitoring the evolving geopolitical landscape and tariff developments, and we are actively managing these dynamics to protect our business and support long-term growth. In EMEA, Third Quarter segment volume growth of mid-single-digit percent remained robust, contributing to a 14.8% increase in segment comparable operating earnings. Favorable demand trends continue to reinforce our confidence in delivering meaningful year-over-year growth in 2025. This outlook is supported by sustained volume momentum and ongoing operational efficiency, which positions us well to capitalize on market opportunities and drive continued performance improvement. In South America, segment comparable operating earnings increased 2.6%, as mid-single-digit percent volume growth was supported by strong performance in Argentina. While the Brazilian market came in slightly below our initial expectations due to weather-related softness, we anticipate a recovery in the Fourth Quarter as conditions normalize.

Our teams across the region continue to execute well, positioning us for sustained momentum. We delivered a strong first nine months of 2025, positioning us well to achieve our full-year objectives. While important work remains in the Fourth Quarter, our teams are fully engaged, navigating ongoing uncertainties with discipline and leveraging the strength and resilience of our global portfolio. We remain laser-focused on our goal of delivering 12%-15% comparable diluted EPS growth for the year. Despite external challenges, we are confident in our team's proven ability to execute effectively and deliver meaningful value to shareholders. We anticipate 2025 global volume growth to end above the long-term 2%-3% range and expect all of our reportable segment businesses to perform in line with or ahead of our long-term targets in 2025.

This reflects the durability of our underlying global demand, the strength of our customer relationships, in addition to the operational consistency of our teams across markets. In EMEA, we continue to expect mid-single-digit percent volume growth in 2025, as the competitive advantages of aluminum packaging and low can penetration rates continue to drive share gains across the region. In South America, recovery in both Argentina and Chile has progressed in line with our expectations. While Brazil experienced some softness earlier in the year, we anticipate a recovery in the Fourth Quarter. As a result, we now expect full-year 2025 volume growth across the region to fall within our long-term range of 4%-6%. Our teams remain focused on execution and are well-positioned to capture growth as market conditions stabilize.

In our North American business, stronger-than-expected volume growth across non-alcoholic categories, particularly energy drinks, gives us confidence that we will exceed the top end of our long-term 1%-3% volume growth range in 2025. We remain confident in our ability to grow volume slightly ahead of the market. The defensive nature of our portfolio, combined with strong customer alignment, positions us well to navigate potential economic uncertainty and continue delivering consistent performance. With that, I'll turn it over to Dan to talk about key metrics for 2025.

Good morning, and thank you, Dan. We anticipate year-end 2025 net debt to comparable EBITDA to be slightly above 2.75 times, and we will repurchase at least $1.3 billion of shares in 2025. Through today's call, we have already purchased $1.2 billion of shares year-to-date. CapEx is expected to be below D&A in 2025. We anticipate being able to deliver on our target of adjusted free cash flow in the range of comparable net earnings in 2025. Relative to the estimated tax payments due on the aerospace sale, we expect the remaining portion to be paid in the Fourth Quarter of 2025. Our 2025 full-year effective tax rate on comparable earnings is expected to be slightly above 22%, largely driven by lower year-over-year tax credits. Full-year 2025 interest expense is now expected to be in the range of $320 million.

Full-year 2025 reported adjustable corporate undistributed costs, recorded in other non-reportable, are expected to be in the range of $150 million, and last week, Ball's board declared its quarterly cash dividend. We remain focused on driving operational excellence, sharpening cost discipline, and unlocking productivity across our global footprint. Our teams are actively adapting to shifting conditions in emerging markets and broader geopolitical developments, maintaining agility and responsiveness in an increasingly dynamic environment. This proactive approach continues to support our ability to deliver consistent performance and long-term value. Our business model remains resilient and well-positioned to weather external volatility, supported by the proactive steps we've taken to strengthen our balance sheet and enhance financial flexibility. With a solid foundation and clear visibility into our path forward, we are executing on initiatives designed to deliver sustainable, high-quality results.

We remain focused on driving long-term creation for shareholders through consistent performance and disciplined decision-making. With that, I'll turn it back to Dan.

Thanks, Dan. Our business continues to perform well, fueled by strong demand across our global network. Tight capacity conditions highlight the importance of operational precision and reliability in meeting customer expectations. Thanks to the agility and dedication of our teams, we remain on track to achieve our financial goals for the year, including 12%-15% comparable diluted EPS growth, record EVA dollar generation, adjusted free cash flow aligned with comparable net earnings, and significant capital returns through robust share repurchases and dividends. While external volatility persists, particularly around geopolitical developments and market dynamics, our resilient business model and proactive footprint optimization continue to position us well. Long-term contracts and disciplined financial management further strengthen our ability to deliver consistent, high-quality results. This year has been a testament to the grit, talent, and relentless focus of our team.

We put in the work, and now we're seeing that effort translate into real momentum across the business. We're not just competing, we're winning, and we're just getting started. Our commitment to delivering longer-term shareholder value remains unwavering, driven by volume, operating earnings, free cash flow, and EVA growth. The foundation is strong, the strategy is working, and the future is ours to shape. Thank you. And with that, Christine, we are ready for questions.

Thank you. We will now be conducting a question-and-answer session. If you would like to ask a question, please press Star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press Star two if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the Star keys. One moment, please, while we poll for questions. Thank you. Our first question comes from a line of Ghansham Panjabi with Baird. Please proceed with your question.

Yeah. So I guess starting off with, you know, Beverage NCA segment. You know, obviously, 2Q, you called out some operational inefficiencies just given the nature of which categories grew that quarter, et cetera. Dan, how did that dynamic play out for 3Q? Because it looks like operating profit's a little bit better on basically comparable volume growth, but the operating profit is. The operating leverage is still quite a bit below historical norms. So just your thoughts there would be helpful.

Yeah. I appreciate the question. Ghansham, we remain encouraged by the underlying market momentum. As cans are continuing to win on a multi-pack value in at-home consumption, similar to last quarter, as you've already indicated. In the third quarter, we saw continued customer and pack-size mix shift toward lower margin categories. And that was driven by market trends as well as our deliberate choices to align with the fastest-growing brands and continue to future-proof our North America business. So to your point, we grew NCA volume mid-single digits, operating earnings 4% year-over-year. We continue to see strength in terms of volume growth, and we'll be able to navigate a more efficient future as our Millersburg, Oregon facility comes online in the second half of next year. But all total, you know, the profit per can since 2019 on our North America business has grown 32%.

So we like the profitability levels. We'd wish operating leverage was just a bit higher. But we're still on a journey to continue to improve that. And the business is in a really good spot. And you want to have the volume so you can step into a more efficient footprint and supply chain pattern moving forward.

Okay. Thanks for that. And then, you know, I know it's difficult to predict volumes in this operating environment, three months out, let alone a year out, but, you know, comparisons are going to get more difficult for that segment in 2026 relative to the industry. Volumes for 2026, would you be at least in line with the industry, or how should we think about that dynamic for next year?

I would say yes to that. Right now, our current focus, as you can imagine, is finishing out a really strong 2025 and continuing the earnings momentum we were able to report in Q3. As it relates to 2026, it's early in our strategic planning process. Probably to provide real granular guidance. The next four weeks to six weeks will be indicative of what the more detailed prognostication will be for us. We're confident in our ability to continue to grow our global volumes in line with long-term expectations. We'll grow earnings. We'll grow EPS. You can expect us to continue to our robust share buyback program. So those are kind of the highlights for 2026 and more to come here in the next probably four weeks to six weeks. North America. We're keeping an eye on that.

We'll be in line with the market, if not ahead of it, and certainly ahead in 2027 and potentially 2028 as we look here today.

Our next question comes from a line of George Staphos with Bank of America. Please proceed with your question.

Thanks. Hi, everyone. Good morning. Thanks for this.

How are you doing? Congratulations on the progress. You know, question for you, recognizing, you know, we're ultimately not going to be able to hold you to any of this per se, but, you know, how do you think, you know, tariff situations right now and aluminum strategies are affecting volume patterns and what it can mean for next year? And then we can cover World Peace if you'd like after that. But, you know, all things aside, do you think there's been any, you know, sort of loading of volume into the market ahead of tariffs? or what else are your customers doing into next year? Relatedly, I don't think there's been any move on 232, but if there was a reversal on tariffs, if any of these are challenged, does that make life better or just complicates things? And that a couple of follow-ons.

Yeah. I think movement on tariffs. Kind of tying your second question to the first question, we'll make it easier on demand, I would say. We're passing through about a 25%-30% price increase to our customers right now. It's negligible in terms of per can price, but that's what's being passed through now. In North America in particular, when you talk about October and then subsequently January price increases, we'll have that impact in it. So a reversal of that will be a healthy COGS move for our customers. Difficult to see the demand impact as we're still running. Our mix has something to do with it. Our favorable customer portfolio has something to do with that. We're winning disproportionately in the market on the backs of some very, very good strategic partners. They're navigating it well. We're helping them navigate it.

I do think when you hear demand challenges, you'll hear them specifically from our customers, and they will be tied to probably an economic backdrop, these impacts, and so I don't see that specifically in our can volume, which is a positive because cans are up, but it has to be impacting elements of the substrate and the ability for that end consumer to consume products via the same channels that they had historically. I think we're winning to some extent in that. Now, whether that continues, to your point, I've got a better answer on World Peace, but yeah, it's still, there's still some question marks, but I just am really pleased with our team, our performance, and we'll continue to grow despite these challenges, and in some instances, they're helpful to us.

Thanks, Dan. Related to pack mix. A couple of questions that'll turn it over. Are you seeing, and the broader question is, are you seeing any signs—it doesn't sound like it—that your customers are maybe contemplating moves to non-aluminum packaging because of costs? You know, we hear that from other substrates. Might we see a little bit more of it perhaps in South America with a move to refillable glass? What are your thoughts on that, whether that's a real threat or really not at all? Any move at all? I don't think so from the scanner data, but anything in terms of 2-L in North America? And related, and last, and I'll stop, you know, one of your larger customers is promoting, it sounds like, mini cans in convenience store. Any pickup, anything you could share there in terms of what it means for you next year?

Thank you, guys, and good luck in the quarter.

Thank you, George. I think the first part is I have asked that question at the very highest levels of our strategic relationship, and they say, "The only thing I can tell you, Dan, is cans are going to continue to grow." What can size, I can't tell you. What channel, I can't tell you, but they're going to continue to grow. We're going to use cans. We haven't seen the returnable glass shift in South America, but usually that's driven from an inflationary market dynamic. It's been more cold weather, but there certainly is a bit of inflation in Brazil in particular, so we're keeping our eyes on that. But as you transition into 2026, you've also got an election and a World Cup, and usually on both of those instances cans do really well. So, I think we may be protected for a period of time.

And then lastly, yes, we have, we're very aware of what's been said publicly. I think all of the CSD players that are in the seven and a half ounce format are pushing that. That's a value proposition both for the end consumer and for them. And I think this is just another application of using the seven and a half ounce can for price point, which says a lot about where the end consumer is in terms of the size of their grocery basket, et cetera. The can works really well on small sizes, and so we're excited about the opportunity. I don't know how big it will be, but it should be an incremental lift to us, both from them and then the knock-on effect from their competitors.

Our next question comes from a line of Stefan Diaz with Morgan Stanley. Please proceed with your question.

Hi, Dan and Dan. Thanks for taking my questions.

So I guess maybe just to start, there's been some discussion regarding contract movements, you know, potentially impacting next year by your peers in North America. Do you see any potential shifts, you know, impacting your volume performance in 2026 in the region?

Short answer, no. This is as strong a contractual outlook as I've seen for us in the 15 years I've been at Ball. There have been some movements. In many instances, we've benefited from those movements. And 2027 will benefit further. For us, we're a bit hamstrung on growth in 2026 until we get our Millersburg facility up. So it'll be tight for us, but we appear to be full. And that's the plan we're operating against right now.

Okay. Great. That's helpful. And maybe just sticking with the Oregon plant. Can you remind us, you know, what volume impact this will have in 2026 or not really because I believe you were maybe shipping those cans, you know, from elsewhere? And then secondly, how should we think about the potential margin lift when that plant, you know, gets up the learning curve or at least starts to open, I guess, in the second half of 2026? And then balancing that with, you know, a potential Mexico headwind because I know you were, you know, shipping cans from there. I guess how should we think about those puts and takes? Thanks.

Yeah. We're working through a number of plans at the moment. That will—on the Mexico piece, excuse me—that will help to clear kind of direction of flight on any supply chain changes that we need to do that will be a transient movement in between 2026 and 2027. And then for Millersburg, I should say I would contemplate 1.5 billion of improved volume in 2027, somewhere in that range. Which could be as much as 3%. And that's going to be unlocked from really a very tight portfolio in the western half of the U.S. and Texas. In Mexico, in the Southwest, as you know. And so we'll be able to step into some contracted volume into 2027 and then properly supply our customers in the Northwest from the most efficient supply point. So you'll have a little bit of startup costs in 2026.

You'll recover that, and then you'll margin on top of that. So you'll see, I think we'll return to record can profitability and improved can profitability in 2027, even off of what we have today.

Our next question comes from a line of Michael Roxland with Truist. Please proceed with your question.

Hi, guys. Thanks for taking my questions. This is Niccolo Piccini for Mike.

Just wanted to dial in kind of on 4Q and maybe dig deeper into the volume trends you're seeing or expecting by a category in North America and then any commentary on promotional activity, and if you can, give a read on October month or sorry, October and then November month-to-date volumes.

Sure. So in Q3, I think everyone on this call probably receives the scanner data. We do as well. So I won't spend time going through the category-specific data, but what we see in our customers across categories continue to promote and lean on multi-pack value, and the cans are winning against other substrates. In that environment, and I would say for the balance of the year, please refer back to the script, but we expect at a global level to be above the 2%-3% growth rate. And by region, North America will be above the 1%-3%, so you can kind of reverse engineer the fourth quarter. EMEA has the possibility to be at the top end of its 3%-5%, so we're expecting that top end. And then the range in South America will be in that 4%-6% long-term range. So you can reverse engineer in that fourth quarter.

But October, it's in line with our expectations at this point. There were some price increases that were taken by our customers in October. They were also offset with some traditional promotional activity in terms of buy two, get one free. So the blended price is not representative of the full price that was taken on the retail shelves. And I think that somewhat insulated us. And then for Europe and for North America historically, December is kind of where the plus and minus is. So we get through football season in North America. We get through football season in Europe before they take a break. And then it's about, as they describe it in the UK, the silly season and then around the holidays and then how the Santa Cans perform and things of that nature.

But what we're hearing from our customers at this point, what we're seeing in October, we're encouraged that we'll land the year in line with our current expectations.

Got it. Thank you. And then just one quick follow-up for me. You know, as you've owned Florida Can and brought that production there up, have you been able to unlock any additional capacity at that plant specifically?

Yes. And we're needing it to manage through some of the tariff supply chain challenges, but that plant is performing in line with our expectations. And next year, we'll be stepping into even more volume and unlocking even more opportunities there. So that's been a really good deal for us thus far.

Got it. Thank you very much. I'll turn it over.

Our next question comes from a line of Anthony Pettinari with Citi. Please proceed with your question.

Hey, looking to 2026, you know, understanding you're not giving precise guidance, but is there any kind of directional about CapEx? And any kind of additional color on the Oregon plant? And I think the North Carolina plant, which I don't know if you broke ground on, but there were some news stories about that maybe in September. Any details there?

Yeah, great. I'll let Dan comment on early indications of CapEx, but for the Oregon plant, still on time to come up in the second half of the year. So we're encouraged about that progress, and that will unlock a much more efficient supply chain. Obviously, you got to hire the people and stand up the facility, and so there's traditional startup costs, but that bridges to a really healthy 2027 for us on a number of fronts. Concord is something that we had a ribbon-cutting ceremony with one of our large strategic customers, but that's a ways out in terms of actually capital in the ground and potential startup. And that will ebb and flow with what's happening in the market. We are not the gating factor for being able to run additional production for them. We've got opportunities to do short-term, smaller investments.

But if they continue to grow at the rate they have, we'll be very excited to put the shovel in the ground and build that facility. So those are our plans right now for that.

Yeah. And this is the other, Dan. A little more about the CapEx. With this year and last year being below CapEx, below the depreciation levels. It's still real early for us to be able to call next year, but we'd be guiding you a little more in line with depreciation or even slightly above, thinking about depreciation as a long-term average for our CapEx. But take it as it's early days on our budget for next year.

Okay. That's very helpful. A follow-up on North America. I think last quarter, you talked about million-dollar operating cost headwind, and I think that was before the can tariffs. Maybe mix was a part of that. Did that repeat or step down in 3Q? or is that kind of over with? I'm just curious how that operating cost sort of headwind maybe to 2Q to 3Q, maybe to 4Q.

Yeah. You should assume that we're continuing to manage through like-for-like inefficiencies from tariffs, but we're past the inefficiencies in terms of the suddenness of the volume. The tariffs are still ongoing, and we're managing through those, and more to come on that as we evaluate long-term supply chain dynamics and what's the best and optimal footprint for us.

Okay. That's very helpful. I'll turn it over.

Our next question comes from a line of Philip Ng with Jefferies. Please proceed with your question.

Hey, guys. Sorry. One more question. One more question on North America.

You know, it's great to see volume's been strong and, you know, mix has been a modest drag just as you optimize that portfolio. When we think about 2026, are you going to be in a pretty good spot, Dan, where mix is more neutral as we think about that going forward? And then some of the cost headwinds and inefficiencies that have weighed on operating leverage in North America, should we expect that to get back to more normal next year or still kind of be kind of a work in progress?

A much smaller work in progress relative to some of the mix shift. We will have the startup of the facility in—in, sorry, Oregon. I was about to say Ohio and didn't have my readers on reading the OH versus the OR. And then, yeah, let's see what we need to do as it relates to managing the underlying inefficiencies from the tariffs that we've been dealing with this year.

2027 will be anything that has to be managed will be transient in 2026, including the startup of the facility and how we deal with ongoing underlying tariff impacts. And so we're really doing all the right things and setting ourselves up for a really nice short- and medium-term outlook.

Yeah. On that note, Dan, I mean, it sounds like you won business in 2027, 2028 in North America, which is great, and you commented on potentially record can.

Profitability per can for 2027, which is exciting. Are most of those levers more on the cost and the efficiency side? or we should, you know, expect perhaps a better pricing environment just given how supply demand and volumes have actually inflected pretty nicely in the last 12 months?

Yeah. The market's tight, Phil. I think you're right. You should see an elongated improvement in underlying economics of the business that I think the industry will benefit from. And for us in particular, the things that we've been able to manage via the operating model changes, the operating earnings, construction, the inefficiencies of just a better performing manufacturing environment. And we're kind of early days even with AI technology deploying, and there's a number of applications both commercially with AI and secondarily within supply chain and in our plants and operating our plants more efficiently through technology. So there's room for margin improvement, and it doesn't have to come on the backs of our customers. It can just come through improved performance. And I'm encouraged about that. Yeah.

Just to sneak one in for the other, Dan. How should we think about CapEx when we think about 2026? Obviously, you guys have done a phenomenal job in returning cash back to shareholders. Is that going to be the focus, Phil? or could that maybe be an opportunity? At least there's some chatter about Europe. Was the market you guys at least taken a look at? So kind of help us think through. Medium-long term, how you're going to deploy that excess cash.

Yeah. I think notably you're going to see on the share repurchase not to be at the same levels because through this year, we will have bought back over $3 billion worth of shares. That's a path to being private if you think about it. So we'll moderate back into probably some of our historical averages, which you might have seen in the past. That's still being worked out on exact numbers. But we're going to continue to carry a conservative balance sheet. And we're going to be wise on how we spend the capital. So really, this is really how we've always managed the business, looking at those three levers and trying to do the right thing to get the right return for our shareholders.

And Phil, I would say it's a yes and on those two questions. So stay tuned.

Our next question comes from a line of Jeffrey Zekauskas with J.P. Morgan. Please proceed with your question.

Hi. Your inventories year over year are up around $500 million. I take it that's higher aluminum costs. Should your inventories continue to rise into the fourth quarter as aluminum values have lifted?

It's a combination of both. Great question. As you know, we didn't have the right inventory mix in the third quarter last year, specifically in South America. In terms of unit volume and days, I think we've added a few days to make sure that we're fit for purpose of what our customers need. We've got a couple of customers even within our portfolio that are really outpacing what they expected at the beginning of the year. We've had some really good market trends. So we want to make sure we're ready for that and managing that more appropriately. I say the two days to three days is a better reflection of a healthy level of inventory. And then your other question is probably 50%, 60% is the increased aluminum value and aluminum costs. So I'd say two-thirds, one-third. But that's how I would construct it.

And I think we might add that this is some terrific volume growth too that we've come into, especially here in the United States too, that has a role in this too.

Also, in your financials, it said that you purchased an investment linked to the common stock of ORG Technology. You have a $47 million investment. What is ORG Technology? and why do you own it? and what exactly do you own?

Yeah. You're referring to one of the notes in the release. And ORG Technology is the party who just acquired the controlling stake from our Saudi Arabian Joint Beverage Can Venture. And we have a long history and a good strategic relationship with them that dates back to the year 2018 when they bought our beverage can business. And probably not too many people were at that earnings call, but we had at that time announced that we would be putting some investment into their company. They are the largest beverage can producer in China, and they are traded publicly. So it's a small stake in their public company for an important strategic relationship for us.

Jeff, I think you would anticipate that there's a number of strategic elements to that investment. More to come on that.

Our next question comes from a line of Chris Parkinson with Wolfe Research. Please proceed with your question.

Great. Thank you so much for taking my question. You've mentioned the last two calls. Good afternoon or I should say good morning, still. You mentioned a few times in the last two earnings calls. Just about mix. And I understand there are a lot of moving parts. I mean, there's Big Beer versus Craft Beer. There's new CSD contracts. There's obviously some logistical things in terms of a large energy customer. But approximately what quarter in 2026 do you think that's roughly going to normalize in terms of improving the street's ability to better project volume versus operating leverage in your NCA business? Thank you.

It'll be much cleaner in 2027 when we have a little bit more capacity. So capacity is one component of the difficulty to predict leverage flow-through. The second one is just the shift into higher growth customers, higher growth categories. And we're through 80% of that at this point for the next three years. So not a great deal of additional change in terms of our mix. But navigating an incredibly tight, I think, will be a 99% asset utilization next year. So how you're delivering on spikes and declines of volume line by line, by SKU, that's going to be difficult for us to manage the traditional flow-through.

Ball (BALL) Q3 2025 Earnings Call Transcript

Company Participants