Orora Reports A$2.09 Billion Revenue and A$262 Million EBIT in FY25

Strong Financial Performance Amid Strategic Shift

Orora Limited has delivered a robust financial performance for the year ended 30 June 2025, with revenue climbing 24.4% to A$2.09 billion and earnings before interest and tax (EBIT) increasing 9.5% to A$262.1 million. This growth reflects the company’s successful transformation into a focused beverage packaging provider, underscored by the completion of key divestments.

During FY25, Orora finalized the sale of its North American packaging solutions business (OPS) to Veritiv Corporation for A$1.79 billion and divested its aluminium closures operations in Adelaide. These transactions mark the culmination of a multi-year portfolio realignment, positioning Orora squarely in the premium glass and aluminium cans markets.

Segment Performance and Operational Highlights

The Group’s Global Glass segment, which includes the recently acquired Saverglass business, reported revenue growth of 33.1% to A$1.31 billion. While Saverglass integration continues amid challenging global market conditions and tariff uncertainties, the segment showed resilience with a 16.6% increase in EBIT. Conversely, the Gawler glass operations faced headwinds from furnace rebuilds and structural declines in commercial wine volumes, prompting capacity optimizations including the closure of an older furnace.

Orora Cans maintained steady momentum with a 12.1% revenue increase to A$776.9 million, driven by volume growth and strategic capacity expansions at sites including Revesby and Rocklea. The commissioning of advanced digital printing technology further enhances the segment’s market-leading position, promising sustainable organic growth with limited capital expenditure required through 2030.

Sustainability and Governance Progress

Orora’s sustainability agenda advanced significantly in FY25, highlighted by a 30% reduction in energy consumption and greenhouse gas emissions at the Gawler site following the commissioning of the G3 oxyfuel furnace. The Group set ambitious new targets for recycled content; 68% for colour glass and 80% for aluminium cans; and committed to net zero emissions by 2050. Safety performance improved with a 35% reduction in Lost Time Injury Frequency Rate, reflecting a strong safety culture across the expanded Global Glass operations.

The Board welcomed Jackie McArthur, bringing expertise in consumer marketing and fast-moving consumer goods, while bidding farewell to long-serving director Abi Cleland. With no further acquisitions or portfolio changes planned in the near to medium term, Orora is focused on disciplined capital management, organic growth, and shareholder returns.

Capital Management and Shareholder Returns

Orora’s balance sheet strengthened markedly post-divestments, with net debt reduced to A$228 million and liquidity supported by undrawn committed facilities of over A$1.1 billion. The company initiated an on-market share buyback program targeting up to 10% of issued shares, having repurchased 4.6% by year-end. Dividends remain steady at 10 cents per share annually, reflecting an 86% payout ratio, with the final FY25 dividend declared at 5 cents per share, unfranked.

Looking ahead, Orora enters FY26 with cautious optimism, leveraging its well-invested asset base and market-leading positions in cans and premium glass packaging to navigate ongoing market challenges and capitalize on growth opportunities.