Avintiv Acquisition Continues to Boost Berry’s Sales

Berry Plastics reported record net sales of $1.614 billion for the March 2016 quarter compared to $1.224 billion in the March 2015 quarter. The year-over-year increase was primarily attributed to net sales from the acquisition of Avintiv along with a 1% increase in base volumes partially offset by a $90 million decline in selling prices due to the pass-through of lower raw material costs and a $16 million negative impact from foreign currency changes. Berry’s operating income of $165 million in the quarter was an increase of 47% compared to the prior year quarter.

“During the quarter we achieved record net sales and operating EBITDA and continued our work integrating the Avintiv acquisition. This quarter marked one of the best we have ever had. Our results during the quarter were driven by improved volumes in many of our businesses, our initiatives to reduce material and overhead costs within operations, and a strong focus on execution of synergies. We continue to be very pleased with the Avintiv acquisition that has accelerated our growth while leading to new business opportunities with global consumer packaged goods companies,” says Jon Rich, Chairman and CEO of Berry Plastics.

Avintiv is contained within Berry’s health, hygiene and specialties division, which posted net sales of $568 million in the quarter.