Silgan Holdings Inc. (NYSE:SLGN) Q1 2023 Earnings Call Transcript

Adam Greenlee: Sure. Thanks, George. So on the guide for DSC, look, it’s a pretty stable growing business that we have in DSC. So I just – as we sit here today, we’ve got pretty good line of sight of of the consumer staples portions of that business. Again, we’ll talk about food and beverage being a more normal year, we feel really good about that. As far as Dispensing, again, it’s the continued strong demand we see in those premium segments of fragrance and beauty. And importantly, the strong rebound that we’re seeing in our lawn care and our home care products and trigger sprayers and other dispensers. So I don’t think there’s a whole lot of sensitivity around that, George. The inventory, the supply chain was really depleted in those segments of lawn care and home care product line.

So our order books look really good right now for really, we’ll call it, the next 2 quarters as we sit here. And we’ll figure out fourth quarter order books when lead times allow us to do that. On the Custom Container front, the green shoots, we’re seeing more commercial activity that’s driven in part by distribution, which is a good sign for us. That’s kind of the first point. You can see immediate recovery in a market as when distribution activity picks up, and we are seeing a lot of activity through distribution right now. We’re fairly represented a distribution too. So we feel like that is a good sign for the other core products in our Custom Container segment. So really, it’s a broad base in the distribution market that we’re talking about.

So that’s the green shoot I mentioned earlier.

Operator: That does conclude the question-and-answer session. I’d like to turn the call back over to Adam Greenlee, President and CEO, for closing comments.

Adam Greenlee : Great. Thank you, Lisa, and thank you, everyone. We appreciate your interest in the company and look forward to reviewing our second quarter earnings in July.

Operator: Thank you. That does conclude today’s presentation. Thank you for your participation, and you may now disconnect.