Plastic packaging provider Berry Global Group has posted a net income of $143m for the third quarter (Q3) of 2023, a dip of 30.9% when compared with $207m in last year’s period.

For the quarter that ended on 1 July 2023, net sales were $3.22bn, a drop of 13.3% from $3.72bn in Q3 2022.

This drop in net sales is primarily due to a $250m decrease in selling prices, which is linked to the pass-through of lower resin costs, and a 7% decline in volume.

Under the adjusted non-GAAP results, the company’s operating earnings before interest, taxes, depreciation, and amortisation for the quarter was $522m, a fall of 5% compared with $550m a year earlier.

The company announced adjusted diluted earnings per share (EPS) of $1.90 for the current quarter, a 6% fall from $2.03 in the same quarter last year.

For the three-quarter period put together, Berry reported a net income of $423m as against $533m during the same period last year. This shows net income declined by 20.3%.

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The company posted net sales of $9.57bn for the three-quarter period, reflecting a decrease of 13.5% compared with $11.07bn in the same period last year.

Berry chair and CEO Tom Salmon said: “We continue to prioritise structural cost improvements, enhance operating efficiencies, and successfully shift our portfolio toward high-value growth products across all of our businesses.

“Our cost actions, including site rationalisations, moving business to more cost-efficient facilities, and labour cost reductions, have resulted in significant annualised cost savings of now $140m.

Under the financial year’s guidance, the company expects to have an adjusted EPS of $7.30 and a free cash flow of $800m, and a cash flow from operations of $1.45m.

Additionally, Berry is expecting to give back at least $700m to its shareholders via dividends and share repurchases.