Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
AMCR reported Q2 FY2026 revenue of $5.45B (+68.1% YoY), driven largely by its merger-related expansion, but EPS declined 33.3% to $0.38 as the significantly higher share count and elevated SG&A costs offset profit growth.
Revenue
$5.45B
+68.13% YoY
EPS (Diluted)
$0.38
-32.14% YoY
Gross Margin
19.1%
-0.2 pts YoY
Operating Income
$331M
+11.45% YoY
Source: SEC XBRL
Amcor (AMCR) reported Q2 FY2026 revenue of $5.45B, up 68.1% year over year. Operating margin was 6.1%, down 3.1 points from 9.2% a year earlier. AMCR's fiscal Q2 FY2026 corresponds to calendar Q4 2025.
Last 4 quarters: 2 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 1.23 | 1.22 | Beat +1.2% |
| Mar 2026 | 0.96 | 0.98 | Miss -2.0% |
| Dec 2025This filing | 0.86 | 0.87 | Miss -1.1% |
| Sep 2025 | 0.96 | 0.94 | Beat +2.2% |
Adjusted (non-GAAP) EPS of $0.86 versus the $0.87 analyst consensus — a -1.1% miss for Dec 2025. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $0.38.
Compiled by AI from this SEC filing
Revenue jumped 68.1% YoY to $5.45B in Q2 FY2026, with total assets nearly doubling to $37.05B (+129.2%), strongly suggesting the growth was driven by a major acquisition or merger rather than organic volume gains alone.
Source: 10-Q Income Statement & Balance Sheet
Net income rose 8.6% YoY to $177M, yet basic EPS fell sharply from $0.57 to $0.38 (-33.3%), indicating a substantial increase in shares outstanding — a hallmark of a stock-based acquisition — which diluted per-share earnings significantly.
Source: 10-Q Income Statement
Gross margin held relatively stable at 19.1% (vs. 19.3% prior year), but operating margin contracted meaningfully to 6.1% from 9.2%, as SG&A expenses surged 72.5% YoY to $440M, outpacing revenue growth and reflecting integration and overhead costs.
Source: 10-Q Income Statement & Key Ratios
Year-to-date operating cash flow more than doubled to $370M (+132.7% YoY), supported by $737M in D&A (up 176% YoY), reflecting the larger asset base and improved cash generation capacity of the combined entity.
Source: 10-Q Cash Flow Statement
Total liabilities rose 105.3% to $25.4B, pushing the debt-to-equity ratio to 2.18x, while stockholders' equity expanded 207.5% to $11.64B, suggesting significant equity was issued as part of the transaction but leverage remains elevated.
Source: 10-Q Balance Sheet & Key Ratios
Compiled by AI from this SEC filing · 3 high, 2 medium, 0 low
The dramatic increase in total assets (+129.2% to $37.05B) and liabilities (+105.3% to $25.4B) strongly indicates a major acquisition was completed. Integrating large businesses carries execution risk including cost overruns, cultural misalignment, and potential goodwill impairment if synergies are not realized.
Source: 10-Q Balance Sheet
Basic EPS fell 33.3% to $0.38 despite net income growing 8.6%, implying a very large increase in shares outstanding. Sustained dilution can weigh on shareholder returns and stock valuation if earnings growth does not catch up to the expanded share base.
Source: 10-Q Income Statement
The debt-to-equity ratio stands at 2.18x with total liabilities of $25.4B, leaving the company exposed to interest rate risk and refinancing risk. In a rising rate environment or economic downturn, servicing this debt load could pressure free cash flow and financial flexibility.
Source: 10-Q Balance Sheet & Key Ratios
Operating margin declined from 9.2% to 6.1% YoY, driven by SG&A costs rising 72.5% to $440M — faster than revenue growth of 68.1%. If cost efficiencies from the expanded scale are not achieved, margin pressure could persist and weigh on profitability.
Source: 10-Q Income Statement & Key Ratios
Year-to-date investing cash outflows widened to -$441M from -$134M in the prior year period (-229.1%), reflecting significant capital deployment. Continued heavy investment spending could strain liquidity if operating cash flows do not scale proportionally.
Source: 10-Q Cash Flow Statement
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 5.45 $B | 3.24 $B | +68.13% |
Cost of Revenue $B | 4.41 $B | 2.62 $B | +68.64% |
Gross Profit $B | 1.04 $B | 0.63 $B | +65.97% |
Operating Income $M | 331.00 $M | 297.00 $M | +11.45% |
Net Income $M | 177.00 $M | 163.00 $M | +8.59% |
EPS (Basic) $ | 0.38 $ | 0.57 $ | -33.33% |
EPS (Diluted) $ | 0.38 $ | 0.56 $ | -32.14% |
R&D Expense $M | 38.00 $M | 27.00 $M | +40.74% |
SG&A Expense $M | 440.00 $M | 255.00 $M | +72.55% |
Answers draw on this SEC filing and the data on this page
AMCR delivered strong Q3 FY2026 revenue growth of 77.4% YoY to $5.91B, largely driven by its merger with Berry Global, though EPS declined 11.8% to $0.60 due to a significantly higher share count from the deal.
Amcor's FY2026 results were driven by the Berry merger, which significantly boosted revenue and profit, but organic sales declined 2% amid challenging demand.
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