O-I Glass, a US-based glass container manufacturer, has reported earnings before income taxes (EBIT) of $67m in financial year 2023 (FY23), compared with $805m in FY22.

This substantial decline was largely due to non-recurring items that the company's management considers not indicative of ongoing operations.  

Notably, a $445m charge for impairment of goodwill in O-I's North America reporting unit in 2023, and a $334m one-time gain from sales-leaseback transactions in 2022, which did not repeat, impacted the results. 

Loss attributable to O-I Glass was $0.67 per share (diluted) in FY23, a stark contrast to the earnings of $3.67 per share (diluted) in 2022.  

Despite the decrease in EBIT and earnings per share, net sales saw an increase to $7.1bn in 2023, up approximately 4% from $6.9bn in the prior year.  

In the fourth quarter (Q4) of FY23, O-I Glass reported a loss before income taxes of $439m, compared to earnings before income tax of $29m in the corresponding quarter in FY22.  

The fourth quarter also saw a loss attributable to the company of $3.05 per share, against earnings of $0.08 per share (diluted) in Q4 FY22. 

Net sales in Q4 were $1.6bn, down from $1.7bn in the prior year's same period. 

As of 31 December 2023, O-I's total debt stood at $4.9bn, an increase from $4.7bn at the end of the previous year.  

Its net debt also expanded to $4.0bn, from $3.9bn in 2022. 

O-I CEO Andres Lopez said: “I’m pleased to report strong 2023 performance as we successfully navigated softer macro conditions that developed over the course of the year including significant inventory destocking across the value chain.  

“O-I continued to execute well through the fourth quarter and business performance moderately exceeded our expectations. As we concluded the year, strong net price and the benefit from our margin expansion initiatives helped mitigate the impact of softer demand and elevated production curtailment to balance supply with lower shipments.”