Berry Global has reported net sales of $3.6 billion in the first fiscal quarter of 2022, a 14% increase. The net sales growth is primarily attributed to increased selling prices of $706 million due to the pass through of inflation, partially offset by a $112 million decrease from extra shipping days in the prior year quarter, a 3% volume decline, prior year quarter divestiture sales of $48 million, and a $17 million unfavorable impact from foreign currency changes. The volume decline (-3%) is primarily attributed to supply chain disruptions and the moderation of advantaged products demand related to the moderation of Covid-19 pandemic response.

Net sales in the Health, Hygiene, & Specialties division reached $818 million, up from $740 million in the first fiscal quarter of 2021. Net sales growth is primarily attributed to increased selling prices of $143 million due to the pass through of inflation, partially offset by a $36 million decrease from extra shipping days in the prior year quarter, and a 4% volume decline. The volume decline (-4%) is primarily attributed to supply chain disruptions and the moderation of advantaged products demand related to the moderation of Covid-19 pandemic response.

Berry’s chairman and CEO Tom Salmon says, “For the first fiscal quarter, we reported revenue of $3.6 billion, an increase of 14% compared to the prior year, as underlying demand for our products remained resilient. We delivered two-year organic volume growth of 4% compared to pre-pandemic levels of the 2020 first fiscal quarter led by our Health, Hygiene & Specialties and Consumer Packaging segments primarily driven by market growth supported by our organic investments. Organic volume and cash flow both finished in line with our expectation, but could have been stronger had we seen improvements in supply chains. On a two-year basis, adjusted earnings per share increased by 33%. These strong results over the past two years are driven by our focused strategy to invest organically in each of our businesses despite significant cost increases in resin, our primary raw material, as well as inflation in other raw materials, freight, and labor, compounded by supply chain-related challenges. This strategy has delivered 2% organic volume growth in fiscal 2020, 4% in fiscal 2021 and we expect another 2% in fiscal 2022. My deepest thanks go to our 47,000 employees who delivered these results in what was a challenging and unpredictable last few years.”