O-I Glass Plunges As Gulf Energy Shock Hits Earnings Outlook

O-I Glass Plunges As Gulf Energy Shock Hits Earnings Outlook Glass bottle and jar company O-I Glass plunged the most in premarket trading in more than six years after it slashed its full-year adjusted EPS outlook, blaming higher energy costs tied to the Gulf-related energy shock. The major glass-container manufacturer, producing bottles and jars for the beer, wine, spirits, beverage, and food-packaging markets, now expects adjusted EPS of $1.00 to $1.50, down sharply from its prior forecast of $1.65 to $1.90 and well below the $1.67 Bloomberg Consensus estimate.  Slide 8 detailed O-I Glass' Full Year 2026 Outlook impacted by the energy shock in the Middle East: The chart on the right is O-I Glass reassuring investors that it has hedged or mitigated a large portion of its European natural gas exposure. It says 75% to 80% of its 2026 year-to-go EU natural gas exposure is covered at rates better than current index prices, and more than 50% is already mitigated for 2027. First-quarter results were also weak (courtesy of Bloomberg): Adjusted EPS 5c vs. 40c y/y, estimate 11c Net sales $1.54 billion, -1.7% y/y, estimate $1.47 billion Americas net sales $871 million, -0.2% y/y, estimate $826.3 million Europe net sales $655 million, -1.8% y/y Americas oper. profit $142 million, +0.7% y/y Europe operating profit $0 vs. $68 million y/y From early February through Tuesday’s close, O-I Glass shares had already fallen roughly 40% as investors priced in the Gulf energy shock now working its way through the company’s cost structure. Shares are down another roughly 18% in premarket trading. If losses hold, it would mark the stock’s largest one-day drop since March 9, 2020.  O-I Glass' deteriorating outlook highlights how quickly the energy shock spread worldwide (read Goldman).  Tyler Durden Wed, 04/29/2026 - 09:35