O-I Glass Slashes Profit Targets as European Energy Costs Bite

Chief Executive Gordan Hardie attributed the realignment to a slower-than-anticipated recovery in European operations, citing sustained commercial pressures and elevated utility expenses. The company has consequently abandoned its adjusted earnings per share guidance, citing extreme uncertainty regarding regional operating performance. These revisions extend to the long-term, with the 2027 Ebitda target downgraded to a range of $1.2 billion to $1.3 billion.

Financial strain was evident in the quarter ending June 30, where the company reported a $972 million loss. This figure included an $873 million impairment charge and a $96 million tax adjustment, both linked to the firm’s declining market valuation and weakened outlook. Investors reacted sharply to the news, sending shares down 9.7% in after-hours trading following a 39% decline in the stock price year-to-date. Net sales also missed consensus estimates, slipping to $1.67 billion compared to $1.71 billion in the same period last year.