Amcor shares have jumped to a six-month high after the global consumer packaging group rode a spike in revenue driven by a new US acquisition and revealed a new deal in the weight-loss space.
The Australian-founded, Switzerland-based company delivered $US11.1 billion ($15.8 billion) in net sales for the six months to December, up 70 per cent from a year ago, Amcor announced on Wednesday.
Amcor's underlying earnings - before interest, tax, depreciation, amortisation - grew 80 per cent to $US 1.7 billion ($2.4 billion), feeding into higher net income of $US439 million ($A627 million) for the half.
Amcor chief executive Peter Konieczny said the benefits of its April 2025 acquisition of Indiana-based rigid plastic packaging company Berry Global had been at the top end of expectations.
"This is a transformative and exciting time for Amcor," he said.
Investors apparently agreed, with Amcor shares changing hands at $65.47 close to Wednesday's close, up 3.8 per cent from Tuesday and their highest level since August.
The company once known as Australian Paper Manufacturers had been working on ways to optimise its portfolio, including a potential $US2.5 billion sale of its North American beverage business, Mr Konieczny said.
A sale would allow Amcor to focus on creating packaging in six core categories: health, beauty and wellness, protein, liquids, food service and pet care.
"This is where we hold leadership positions, where innovation drives differentiation and value, and where long-term consumer demand is most durable," Mr Konieczny said.
Amcor produces packaging for products like baby wipes, bakery bags, shrink overwrap which is often used for items like paper towels, blister packs for medicines, and pouches for food and liquids like yoghurt, among others.
The company recently won a contract to produce blister packs for a major pharmaceutical company's GLP-1 products, Mr Konieczny told analysts on Wednesday, referring to the Ozempic-style drugs used to regulate blood sugar and appetite.
He didn't name the company, but Novo Nordisk in December won US approval to formulate a pill version of Wegovy, the weight-loss drug that has the same active ingredient as Ozempic, which is officially just a diabetes treatment.
"GLP-1 was an example where we've made a great win, which also speaks to the ability of a combined company to win in the (pharmaceutical) space," he said.
Amcor, which is listed in the US and Australia, reaffirmed its guidance of $US4 to $4.15 in earnings per share in 2025/26, and $US1.8 billion to $US1.9 billion (about $2.6 billion) in free cash flow.
Amcor will pay investors a second-quarter dividend of US 65 cents per share, up from 63.75 cents a year ago. Holders of its Australian-listed securities will receive an unfranked dividend of 93 cents per share.
Goldman Sachs analyst Niraj Shah said Amcor's earnings were four per cent below consensus estimates, but the mid-point of its full year guidance was 1.8 per cent ahead of expectations.
This means all eyes will be on its performance in the second half of 2025/26, he added.
Goldman Sachs reiterated its buy rating and 12-month price target of $86.55 on the company's Australian securities.
Jefferies analyst Ramoun Lazar also rated Amcor a buy, with a $63.48 price target.
