Key Highlights

  • Net sales were $1,668 million, against $1,706 million a year earlier.
  • Adjusted Earnings were $0.09 per share, against $0.53 a year earlier.
  • Loss before income taxes was $827 million, against earnings of $7 million.
  • Shares closed at $5.90, down $0.02, or flat, at Tuesday's close.

O-I Glass, Inc. (NYSE:OI)'s second quarter combined higher Americas segment profit with a sharp decline in Europe performance and a large loss before income taxes tied to a Goodwill impairment. Chief Executive Gordon Hardie said the quarter's results fell short of expectations, driven primarily by commercial pressures, higher energy-related costs and operational challenges in Europe.

OI is one of the world's producers of glass bottles and jars, serving food and beverage brands with approximately 19,000 employees across 61 plants in 18 countries. The company achieved revenues of $6.4 billion in 2025.

The company operates through Americas and Europe reportable segments. Management said its cost reduction program generated approximately $65 million of gross benefits in the quarter, or approximately $50 million of savings net of operational disruptions.

Second quarter 2026 compared with the prior-year quarter

Net sales were $1,668 million, against $1,706 million, a decrease the company attributed mainly to lower volumes, partly offset by higher average selling prices. Americas net sales were $949 million, against $943 million, with segment operating profit of $165 million, against $135 million. Europe net sales were $704 million, against $741 million, which the company attributed to lower average selling prices and a decline in glass container shipments of approximately 2%.

Segment operating profit of reportable segments was $171 million, against $225 million, a decrease of 24%. Loss before income taxes was $827 million, against earnings before income taxes of $7 million a year earlier. Adjusted earnings were $0.09 per share, against $0.53 per share, which the company said included a negative $0.18 per share impact from a much higher adjusted tax rate tied to lower European earnings.

Interest expense was $86 million, against $85 million a year earlier.

Management outlook and stated risks

Management said it has removed guidance for adjusted earnings, stating that the effective tax rate is highly sensitive to changes in operating earnings given the low level of expected results in Europe, which it said could Yield a wide adjusted Earnings Per Share range given an expected 2026 effective tax rate of 40% to 70%.

Hardie said the company remains confident in its strategy and its actions to address the challenges in Europe, and in its ability to create long-term value.

Investment Takeaway

Management said Demand trends improved sequentially through the second quarter, with June 2026 sales volumes flat compared with June 2025. The company said it will review its 2027 targets alongside its updated 2026 outlook as European market conditions evolve.