ATR

MKT CAP $8.1BP/E 23.1DIV YIELD 1.48%FCF YIELD 3.81%REV TTM $3.9B +8.9%NET INCOME $362.5M −7.4%NET DEBT $928M52W 111.94 – 145.72SEC XBRL · TTM TO Invalid Date

How ATR rewrote its risk factors

10-K ITEM 1A · FY2024 → FY2025

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Item 1A - Risk Factors included in this Form 10-K for additional risk factors affecting the Company.
The table below provides information as of December 31, 2025 about our forward currency exchange contracts.
The majority of the contracts expire before the end of the first quarter of 2026.
Year Ended December 31, 2025 Buy/Sell Contract Amount (in thousands) Average Contractual Exchange Rate Min / Max Notional Volumes CZK / EUR $ 22,045 0.0411 16,198 - 22,045 USD / MXN 21,500 18.8004 17,000 - 21,500 EUR / USD 17,546 1.1661 17,546 - 22,503 EUR / BRL 9,111 6.4140 9,111 - 9,343 EUR / MXN 6,814 22.0089 6,130 - 7,885 USD / EUR 5,523 0.8597 5,114 - 7,066 EUR / THB 2,702 38.0791 2,636 - 2,702 CHF / EUR 1,897 1.0750 758 - 1,897 GBP / EUR 1,432 1.1391 1,229 - 1,615 EUR / CNY 1,175 8.3274 1,175 - 4,626 CZK / USD 674 0.0479 117 - 674 CHF / USD 353 1.2513 353 - 993 EUR / CHF 348 0.9255 348 - 1,,799 EUR / GBP 309 0.8774 0 - 362 USD / GBP 171 0.7564 158 - 199 GBP / USD 108 1.3449 0 - 294 USD / CZK 102 20.7060 0 - 102 Total $ 91,810 As of December 31, 2025, we have recorded the fair value of foreign currency forward exchange contracts of $0.3 million in prepaid and other and $0.6 million in accounts payable, accrued and other liabilities in the Consolidated Balance Sheets.
On July 6, 2022, we entered into a seven year USD/EUR fixed-to-fixed cross currency interest rate swap to effectively hedge the interest rate exposure relating to $ 203.0 million of the $ 400.0 million 3.60 % Senior Notes due March 2032, which were issued by AptarGroup, Inc. on March 7, 2022.
This USD/EUR swap agreement exchanged $ 203.0 million of fixed-rate 3.60 % USD debt to € 200.0 million of fixed-rate 2.5224 % EUR debt.
The fair value of this net investment hedge is $32.5 million and is reported in accounts payable, accrued and other liabilities in the Consolidated Balance Sheets. 37/ATR ITEM 8.
CONSOLIDATED STATEMENTS OF INCOME In thousands, except per share amounts Year Ended December 31, 2025 2024 2023 Net Sales $ 3,777,181 $ 3,582,890 $ 3,487,450 Operating Expenses: Cost of sales (exclusive of depreciation and amortization shown below) 2,372,446 2,227,381 2,224,051 Selling, research & development and administrative 606,497 582,226 565,783 Depreciation and amortization 287,363 263,784 248,593 Restructuring initiatives 9,837 13,002 45,004 Total Operating Expenses 3,276,143 3,086,393 3,083,431 Operating Income 501,038 496,497 404,019 Other (Expense) Income: Interest expense ( 52,737 ) ( 43,898 ) ( 40,418 ) Interest income 11,676 12,101 4,373 Net investment (loss) gain ( 483 ) 1,713 1,413 Equity in results of affiliates 7,393 87 2,226 Gain from remeasurement of equity method investment 26,518 — — Miscellaneous (expense) income, net ( 2,027 ) 3,265 3,212 Total Other Expense ( 9,660 ) ( 26,732 ) ( 29,194 ) Income before Income Taxes 491,378 469,765 374,825 Provision for Income Taxes 98,881 95,587 90,649 Net Income $ 392,497 $ 374,178 $ 284,176 Net Loss Attributable to Noncontrolling Interests 206 363 311 Net Loss Attributable to Redeemable Noncontrolling Interests 86 — — Net Income Attributable to AptarGroup, Inc. $ 392,789 $ 374,541 $ 284,487 Net Income Attributable to AptarGroup, Inc. per Common Share: Basic $ 5.97 $ 5.65 $ 4.34 Diluted $ 5.89 $ 5.53 $ 4.25 Dividends per Common Share $ 1.83 $ 1.72 $ 1.58 See accompanying notes to consolidated financial statements. 38/ATR AptarGroup, Inc.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME In thousands Year Ended December 31, 2025 2024 2023 Net Income Attributable to AptarGroup, Inc. and Noncontrolling Interests $ 392,583 $ 374,178 $ 284,176 Other Comprehensive Income (Loss): Foreign currency translation adjustments 246,710 ( 145,807 ) 48,946 Changes in derivative (losses) gains, net of tax ( 15,621 ) 7,813 ( 10,086 ) Defined benefit pension plan, net of tax Actuarial gain (loss), net of tax 11,960 17,043 ( 6,711 ) Amortization of prior service cost included in net income, net of tax 73 258 130 Amortization of net loss included in net income, net of tax 523 112 641 Total defined benefit pension plan, net of tax 12,556 17,413 ( 5,940 ) Total other comprehensive income (loss) 243,645 ( 120,581 ) 32,920 Comprehensive Income 636,228 253,597 317,096 Comprehensive (Income) Loss Attributable to Noncontrolling Interests ( 336 ) 438 ( 205 ) Comprehensive Income Attributable to AptarGroup, Inc. $ 635,892 $ 254,035 $ 316,891 See accompanying notes to consolidated financial statements. 39/ATR AptarGroup, Inc.
CONSOLIDATED BALANCE SHEETS In thousands December 31, 2025 2024 Assets Cash and equivalents $ 402,424 $ 223,844 Short-term investments 7,109 2,337 Accounts and notes receivable, less current expected credit loss ("CECL") of $ 17,732 in 2025 and $ 15,785 in 2024 803,830 658,057 Inventories 537,845 461,807 Prepaid and other 142,354 132,338 Total Current Assets 1,893,562 1,478,383 Land 31,503 28,172 Buildings and improvements 885,936 751,813 Machinery and equipment 3,658,289 3,143,236 Property, Plant and Equipment, Gross 4,575,728 3,923,221 Less: Accumulated depreciation ( 2,899,249 ) ( 2,476,071 ) Property, Plant and Equipment, Net 1,676,479 1,447,150 Investments in equity securities 131,030 146,269 Goodwill 1,077,898 936,256 Intangible assets, net 255,339 254,769 Operating lease right-of-use assets 65,698 64,213 Miscellaneous 152,713 105,238 Total Other Assets 1,682,678 1,506,745 Total Assets $ 5,252,719 $ 4,432,278 See accompanying notes to consolidated financial statements. 40/ATR AptarGroup, Inc.
CONSOLIDATED BALANCE SHEETS In thousands, except share and per share amounts December 31, 2025 2024 Liabilities, Mezzanine Equity and Stockholders’ Equity Short-term obligations $ 183,947 $ 176,035 Current maturities of long-term obligations, net of unamortized debt issuance costs 159,584 162,250 Accounts payable, accrued and other liabilities 822,913 729,996 Total Current Liabilities 1,166,444 1,068,281 Long-Term Obligations, net of unamortized debt issuance costs 1,139,433 688,066 Deferred income taxes 19,649 14,259 Retirement and deferred compensation plans 67,596 62,210 Operating lease liabilities 47,940 49,716 Deferred and other non-current liabilities 99,432 63,822 Commitments and contingencies - (See Note 13) — — Total Deferred Liabilities and Other 234,617 190,007 Mezzanine Equity: Redeemable noncontrolling interests 26,244 — Total Mezzanine Equity 26,244 — AptarGroup, Inc. stockholders’ equity Common stock, $ .01 par value, 199 million shares authorized, 72.8 and 72.5 million shares issued as of December 31, 2025 and 2024, respectively 728 725 Capital in excess of par value 1,165,518 1,125,882 Retained earnings 2,642,552 2,370,537 Accumulated other comprehensive loss ( 186,382 ) ( 429,475 ) Less: Treasury stock at cost, 8.6 and 6.0 million shares as of December 31, 2025 and 2024, respectively ( 954,320 ) ( 595,781 ) Total AptarGroup, Inc.
Stockholders’ Equity 2,668,096 2,471,888 Noncontrolling interests in subsidiaries 17,885 14,036 Total Stockholders’ Equity 2,685,981 2,485,924 Total Liabilities, Mezzanine Equity and Stockholders’ Equity $ 5,252,719 $ 4,432,278 See accompanying notes to consolidated financial statements. 41/ATR AptarGroup, Inc.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY Years Ended December 31, 2025, 2024 and 2023 In thousands AptarGroup, Inc.
Stockholders’ Equity Retained Earnings Accumulated Other Comprehensive (Loss)Income Common Stock Par Value Treasury Stock Capital in Excess of Par Value Non- Controlling Interest Total Equity Balance - December 31, 2022 $ 1,929,240 $ ( 341,366 ) $ 709 $ ( 503,266 ) $ 968,618 $ 14,269 $ 2,068,204 Net income (loss) 284,487 — — — — ( 311 ) 284,176 Foreign currency translation adjustments ( 228 ) 48,658 — — — 516 48,946 Changes in unrecognized pension gains (losses) and related amortization, net of tax — ( 5,940 ) — — — — ( 5,940 ) Changes in derivative gains (losses), net of tax — ( 10,086 ) — — — — ( 10,086 ) Stock awards and option exercises — — 8 11,414 75,811 — 87,233 Cash dividends declared on common stock ( 103,683 ) — — — — — ( 103,683 ) Treasury stock purchased — — — ( 47,552 ) — — ( 47,552 ) Balance - December 31, 2023 $ 2,109,816 $ ( 308,734 ) $ 717 $ ( 539,404 ) $ 1,044,429 $ 14,474 $ 2,321,298 Net income (loss) 374,541 — — — — ( 363 ) 374,178 Foreign currency translation adjustments 235 ( 145,967 ) — — — ( 75 ) ( 145,807 ) Changes in unrecognized pension gains (losses) and related amortization, net of tax — 17,413 — — — — 17,413 Changes in derivative gains (losses), net of tax — 7,813 — — — — 7,813 Stock awards and option exercises — — 8 12,261 81,453 — 93,722 Cash dividends declared on common stock ( 114,055 ) — — — — — ( 114,055 ) Treasury stock purchased — — — ( 68,638 ) — — ( 68,638 ) Balance - December 31, 2024 $ 2,370,537 $ ( 429,475 ) $ 725 $ ( 595,781 ) $ 1,125,882 $ 14,036 $ 2,485,924 Net income (loss) 392,789 — — — — ( 206 ) 392,583 Acquisitions of non-controlling interest — — — — — 3,513 3,513 Foreign currency translation adjustments 10 246,158 — — — 542 246,710 Changes in unrecognized pension gains (losses) and related amortization, net of tax — 12,556 — — — — 12,556 Changes in derivative gains (losses), net of tax — ( 15,621 ) — — — — ( 15,621 ) Stock awards and option exercises — — 3 9,209 39,636 — 48,848 Cash dividends declared on common stock ( 120,784 ) — — — — — ( 120,784 ) Treasury stock purchased — — — ( 365,005 ) — — ( 365,005 ) Excise tax on treasury shares — — — ( 2,743 ) — — ( 2,743 ) Balance - December 31, 2025 $ 2,642,552 $ ( 186,382 ) $ 728 $ ( 954,320 ) $ 1,165,518 $ 17,885 $ 2,685,981 See accompanying notes to consolidated financial statements. 42/ATR AptarGroup, Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS In thousands, brackets denote cash outflows Year Ended December 31, 2025 2024 2023 Cash Flows from Operating Activities: Net income $ 392,497 $ 374,178 $ 284,176 Adjustments to reconcile net income to net cash provided by operations: Depreciation 242,312 219,667 203,873 Amortization 45,051 44,117 44,720 Stock-based compensation 43,941 47,650 41,293 Provision for CECL 1,301 1,016 8,077 Loss (gain) on disposition of fixed assets 712 ( 52 ) ( 3,584 ) Net loss (gain) on remeasurement of equity securities 483 ( 1,713 ) ( 1,413 ) Deferred income taxes ( 11,689 ) ( 21,406 ) ( 19,883 ) Defined benefit plan expense 12,554 12,049 14,198 Equity in results of affiliates ( 7,393 ) ( 87 ) ( 2,226 ) Gain on remeasurement of equity method investment ( 26,518 ) — — Impairment loss 2,197 254 257 Changes in balance sheet items, excluding effects from foreign currency adjustments and acquisitions: Accounts and other receivables ( 73,888 ) ( 18,079 ) 15,431 Inventories ( 10,646 ) 21,901 ( 10,641 ) Prepaid and other current assets 4,956 ( 2,368 ) ( 3,900 ) Accounts payable, accrued and other liabilities ( 18,274 ) ( 23,705 ) 14,596 Income taxes payable ( 9,073 ) 4,064 ( 8,301 ) Retirement and deferred compensation plan liabilities ( 6,477 ) ( 14,259 ) 2,984 Retirement and deferred compensation plan assets ( 12,582 ) — ( 1,134 ) Other changes, net 535 186 ( 3,284 ) Net Cash Provided by Operations 569,999 643,413 575,239 Cash Flows from Investing Activities: Capital expenditures ( 270,419 ) ( 276,481 ) ( 312,342 ) Proceeds from government grants 3,308 — — Proceeds from sale of property, plant and equipment 3,547 1,506 5,348 Maturities and (purchases) of short-term investments 3,369 ( 2,242 ) — Acquisition of business, net of cash acquired and release of escrow ( 60,204 ) — ( 16,570 ) Acquisition of intangible assets, net ( 5,020 ) ( 17,709 ) ( 6,061 ) Investment in equity securities ( 8,664 ) ( 99,055 ) — Proceeds from sale of investment in equity securities 2,401 — 5,604 Notes receivable, net 256 ( 2,740 ) ( 442 ) Net Cash Used by Investing Activities ( 331,426 ) ( 396,721 ) ( 324,463 ) Cash Flows from Financing Activities: Proceeds from notes payable and overdrafts 31,015 22,302 25,531 Repayments of notes payable and overdrafts ( 28,218 ) ( 23,344 ) ( 28,643 ) (Repayments) and proceeds of short term revolving credit facility, net ( 42,380 ) 108,848 76,966 Proceeds from long-term obligations 600,206 168,581 403 Repayments of long-term obligations ( 166,562 ) ( 373,847 ) ( 125,809 ) Payment of contingent consideration obligation — — ( 22,750 ) Dividends paid ( 120,784 ) ( 114,055 ) ( 103,683 ) Bond issuance costs ( 5,424 ) — — Proceeds from stock option exercises 18,891 54,809 53,983 Purchase of treasury stock ( 365,005 ) ( 68,638 ) ( 47,552 ) Redeemable noncontrolling interest 790 — — Net Cash Used by Financing Activities ( 77,471 ) ( 225,344 ) ( 171,554 ) Effect of Exchange Rate Changes on Cash 19,403 ( 21,147 ) 2,189 Net Increase in Cash and Equivalents and Restricted Cash 180,505 201 81,411 Cash and Equivalents and Restricted Cash at Beginning of Period 224,344 224,143 142,732 Cash and Equivalents and Restricted Cash at End of Period $ 404,849 $ 224,344 $ 224,143 Supplemental Cash Flow Disclosure: Interest paid $ 49,972 $ 43,520 $ 39,599 43/ATR Restricted cash included in the line item prepaid and other and miscellaneous on the Consolidated Balance Sheets as shown below represents amounts held in escrow related to the Sommaplast acquisition in 2025, SipNose asset purchase in 2024 and the Metaphase acquisition in 2023.
Year Ended December 31, 2025 2024 2023 Cash and equivalents $ 402,424 $ 223,844 $ 223,643 Restricted cash included in prepaid and other 606 500 500 Restricted cash included in miscellaneous 1,819 — — Total Cash and Equivalents and Restricted Cash shown in the Statement of Cash Flows $ 404,849 $ 224,344 $ 224,143 See accompanying notes to consolidated financial statements. 44/ATR AptarGroup, Inc.
AptarGroup’s organizational structure consists of three market-focused business segments which are Pharma, Beauty and Closures.
Our Argentinian operations contributed less than 0.4 % and 1.1 % of consolidated net assets and revenues, respectively, at and for the year ended December 31, 2025.
ACCOUNTS RECEIVABLE AND CURRENT EXPECTED CREDIT LOSSES At December 31, 2025, we reported $ 803.8 million of accounts receivable, net of CECL of $ 17.7 million.
Changes in CECL were not material for the year ended December 31, 2025.
The allocation of the purchase price utilizes estimates and significant assumptions in determining the fair values of identifiable assets acquired and liabilities assumed, especially with respect to intangible assets.
The purchase price allocation for business acquisitions contains uncertainties because it requires management's judgment.
INVESTMENTS IN EQUITY SECURITIES We account for our 20% to 50% owned investments using the equity method.
There were no dividends received from affiliated companies in 2025, 2024 or 2023. 45/ATR REDEEMABLE NONCONTROLLING INTEREST During the third quarter of 2025, we entered into an agreement with the shareholder of three related companies: Suzhou Hsing Kwang, Suqian Hsing Kwang and Suzhou BTY (collectively referred to as “BTY”), which provides them with redemption rights (i.e., a put option) that could require Aptar to purchase the shareholder's remaining 20 % noncontrolling interests in BTY upon the passage of time.
As these redemption rights are not solely within the control of Aptar, such interests are classified as redeemable noncontrolling interest outside of permanent equity, in mezzanine equity, on the Consolidated Balance Sheets.
At initial recognition, redeemable noncontrolling interests are recorded at their issuance-date or acquisition date, fair value.
The fair value is estimated by applying an income approach and is based on significant inputs that are not observable in the market and is therefore a Level 3 model.
Key assumptions in the valuation of the redeemable noncontrolling interest include a discount rate, a terminal value based on a range of long-term sustainable growth rates and adjustments because of the lack of control that market participants would consider when measuring the fair value of the noncontrolling interests.
Subsequently, redeemable noncontrolling interests that are currently redeemable, or probable of becoming redeemable, are adjusted to the greater of (i) current redemption value or (ii) carrying amount.
Adjustments to redemption value are recorded through retained earnings.
Upward adjustments are considered a deemed dividend, and would result in a reduction to earnings available to common shareholders for the calculation of earnings per common share.
For additional information, see Note 22 - Redeemable Noncontrolling Interests.
Any impairment loss is calculated as the excess of the asset group’s carrying value over its estimated fair value.
Fair value is estimated based on the discounted cash flows for the asset group over the remaining useful life or based on the expected cash proceeds for the asset group less costs of disposal.
GOODWILL The Company evaluates the excess of purchase price over the fair value of the net assets acquired (“goodwill”) for impairment annually as of October 1 or more frequently if impairment indicators arise in accordance with Accounting Standards Codification (“ASC”) Topic 350, “Intangibles - Goodwill and Other.” We believe that the accounting estimates related to determining the fair value of our reporting units is a critical accounting estimate because: (1) it is highly susceptible to change from period to period because it requires management to make assumptions about the future cash flows for each reporting unit over several years, and (2) the impact that recognizing an impairment would have on the assets reported on our balance sheet as well as our results of operations could be material.
Management’s determination of the fair value of our reporting units, based on future cash flows for the reporting units, requires judgment and the use of estimates and significant assumptions related to projected revenue growth rates, projected EBITDA margins, as well as the discount rate.
Management performed this qualitative assessment as of October 1, 2025 over all reporting units with the exception of Beauty and October 1, 2024 over all reporting units with the exception of Injectables and Other Pharma.
As we performed our annual goodwill impairment assessment, due to events or circumstances that were unfavorable for the Beauty segment, management determined it appropriate to calculate the Step 1 fair value of the Beauty reporting unit and compare with its associated carrying amount as of October 1, 2025.
Based on our qualitative and quantitative analysis performed over the reporting units, we determined that it was more likely than not that the fair value of these reporting units was greater than their carrying amounts and therefore no impairment of goodwill is required. 46/ATR DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative financial instruments are recorded in the Consolidated Balance Sheets at fair value as either assets or liabilities.
Changes in the fair value of derivatives are recorded in each period in earnings or other comprehensive income, depending on whether a derivative is designated and effective as part of a hedge transaction.

and 306 more.

Gone since FY2024

Item 1A - Risk Factors included in this Form 10-K for additional risk factors affecting the Company. 34/ATR ITEM 7A.
The table below provides information as of December 31, 2024 about our forward currency exchange contracts.
The majority of the contracts expire before the end of the first quarter of 2025.
Year Ended December 31, 2024 Buy/Sell Contract Amount (in thousands) Average Contractual Exchange Rate Min / Max Notional Volumes EUR / USD $ 14,407 1.0734 14,407 - 17,118 EUR / BRL 9,530 6.2435 9,530 - 10,217 USD / EUR 8,135 0.9386 7.225 - 10,148 EUR / CNY 5,978 7.7354 4,297 - 5,978 MXN / USD 5,500 0.0498 5,500 - 12,000 USD / CNY 4,710 7.1177 2,000 - 4,710 EUR / MXN 4,159 21.8187 4,159 - 4,236 EUR / THB 3,950 37.0481 3,950 - 5,377 EUR / CHF 3,880 0.9328 0 - 3,880 CZK / EUR 3,069 0.0396 3,069 - 13,247 EUR / CZK 2,650 25.1446 0 - 2,650 THB / EUR 1,463 0.0277 0 - 1,463 USD / MXN 1,000 20.1828 1,000 - 2,000 GBP / EUR 752 1.2002 752 - 829 CHF / USD 293 1.1453 0 - 1,409 EUR / GBP 179 0.8339 179 - 636 USD / GBP 148 0.7805 148 - 430 CZK / USD 119 0.0420 0 - 119 Total $ 69,922 As of December 31, 2024, we have recorded the fair value of foreign currency forward exchange contracts of $0.6 million in prepaid and other and $0.6 million in accounts payable, accrued and other liabilities in the Consolidated Balance Sheets.
On July 6, 2022, we entered into a seven year USD/EUR fixed-to-fixed cross currency interest rate swap to effectively hedge the interest rate exposure relating to $ 203 million of the $ 400 million 3.60 % Senior Notes due March 2032, which were issued by AptarGroup, Inc. on March 7, 2022.
This USD/EUR swap agreement exchanged $ 203 million of fixed-rate 3.60 % USD debt to € 200 million of fixed-rate 2.5224 % EUR debt.
The fair value of this net investment hedge is $11.9 million and is reported in accounts payable, accrued and other liabilities in the Consolidated Balance Sheets. 35/ATR ITEM 8.
CONSOLIDATED STATEMENTS OF INCOME In thousands, except per share amounts Year Ended December 31, 2024 2023 2022 Net Sales $ 3,582,890 $ 3,487,450 $ 3,322,249 Operating Expenses: Cost of sales (exclusive of depreciation and amortization shown below) 2,227,381 2,224,051 2,158,411 Selling, research & development and administrative 582,226 565,783 544,262 Depreciation and amortization 263,784 248,593 233,706 Restructuring initiatives 13,002 45,004 6,597 Total Operating Expenses 3,086,393 3,083,431 2,942,976 Operating Income 496,497 404,019 379,273 Other (Expense) Income: Interest expense ( 43,898 ) ( 40,418 ) ( 40,827 ) Interest income 12,101 4,373 2,700 Net investment gain (loss) 1,713 1,413 ( 2,110 ) Equity in results of affiliates 87 2,226 467 Miscellaneous income (expense), net 3,265 3,212 ( 4,799 ) Total Other Expense ( 26,732 ) ( 29,194 ) ( 44,569 ) Income before Income Taxes 469,765 374,825 334,704 Provision for Income Taxes 95,587 90,649 95,149 Net Income $ 374,178 $ 284,176 $ 239,555 Net Loss (Income) Attributable to Noncontrolling Interests 363 311 ( 267 ) Net Income Attributable to AptarGroup, Inc. $ 374,541 $ 284,487 $ 239,288 Net Income Attributable to AptarGroup, Inc. per Common Share: Basic $ 5.65 $ 4.34 $ 3.66 Diluted $ 5.53 $ 4.25 $ 3.59 Dividends per Common Share $ 1.72 $ 1.58 $ 1.52 See accompanying notes to consolidated financial statements. 36/ATR AptarGroup, Inc.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME In thousands Year Ended December 31, 2024 2023 2022 Net Income $ 374,178 $ 284,176 $ 239,555 Other Comprehensive Income (Loss): Foreign currency translation adjustments ( 145,807 ) 48,946 ( 80,431 ) Changes in derivative gains (losses), net of tax 7,813 ( 10,086 ) ( 6,620 ) Defined benefit pension plan, net of tax Actuarial gain (loss), net of tax 17,043 ( 6,711 ) 54,149 Amortization of prior service cost included in net income, net of tax 258 130 130 Amortization of net loss included in net income, net of tax 112 641 6,256 Total defined benefit pension plan, net of tax 17,413 ( 5,940 ) 60,535 Total other comprehensive (loss) income ( 120,581 ) 32,920 ( 26,516 ) Comprehensive Income 253,597 317,096 213,039 Comprehensive Loss (Income) Attributable to Noncontrolling Interests 438 ( 205 ) 924 Comprehensive Income Attributable to AptarGroup, Inc. $ 254,035 $ 316,891 $ 213,963 See accompanying notes to consolidated financial statements. 37/ATR AptarGroup, Inc.
CONSOLIDATED BALANCE SHEETS In thousands December 31, 2024 2023 Assets Cash and equivalents $ 223,844 $ 223,643 Short-term investments 2,337 — Accounts and notes receivable, less current expected credit loss ("CECL") of $ 15,785 in 2024 and $ 16,217 in 2023 658,057 677,822 Inventories 461,807 513,053 Prepaid and other 132,338 134,761 Total Current Assets 1,478,383 1,549,279 Land 28,172 30,090 Buildings and improvements 751,813 748,897 Machinery and equipment 3,143,236 3,183,097 Property, Plant and Equipment, Gross 3,923,221 3,962,084 Less: Accumulated depreciation ( 2,476,071 ) ( 2,484,021 ) Property, Plant and Equipment, Net 1,447,150 1,478,063 Investments in equity securities 146,269 49,203 Goodwill 936,256 963,418 Intangible assets, net 254,769 283,211 Operating lease right-of-use assets 64,213 59,074 Miscellaneous 105,238 69,642 Total Other Assets 1,506,745 1,424,548 Total Assets $ 4,432,278 $ 4,451,890 See accompanying notes to consolidated financial statements. 38/ATR AptarGroup, Inc.
CONSOLIDATED BALANCE SHEETS In thousands, except share and per share amounts December 31, 2024 2023 Liabilities and Stockholders’ Equity Revolving credit facility and overdrafts $ 176,035 $ 81,794 Current maturities of long-term obligations, net of unamortized debt issuance costs 162,250 376,426 Accounts payable, accrued and other liabilities 729,996 793,089 Total Current Liabilities 1,068,281 1,251,309 Long-Term Obligations, net of unamortized debt issuance costs 688,066 681,188 Deferred income taxes 14,259 19,016 Retirement and deferred compensation plans 62,210 62,795 Operating lease liabilities 49,716 45,267 Deferred and other non-current liabilities 63,822 71,017 Commitments and contingencies - (See Note 13) — — Total Deferred Liabilities and Other 190,007 198,095 AptarGroup, Inc. stockholders’ equity Common stock, $ .01 par value, 199 million shares authorized, 72.5 and 71.7 million shares issued as of December 31, 2024 and 2023, respectively 725 717 Capital in excess of par value 1,125,882 1,044,429 Retained earnings 2,370,537 2,109,816 Accumulated other comprehensive loss ( 429,475 ) ( 308,734 ) Less: Treasury stock at cost, 6.0 and 5.8 million shares as of December 31, 2024 and 2023, respectively ( 595,781 ) ( 539,404 ) Total AptarGroup, Inc.
Stockholders’ Equity 2,471,888 2,306,824 Noncontrolling interests in subsidiaries 14,036 14,474 Total Stockholders’ Equity 2,485,924 2,321,298 Total Liabilities and Stockholders’ Equity $ 4,432,278 $ 4,451,890 See accompanying notes to consolidated financial statements. 39/ATR AptarGroup, Inc.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY Years Ended December 31, 2024, 2023 and 2022 In thousands AptarGroup, Inc.
Stockholders’ Equity Retained Earnings Accumulated Other Comprehensive (Loss)Income Common Stock Par Value Treasury Stock Capital in Excess of Par Value Non- Controlling Interest Total Equity Balance - December 31, 2021 $ 1,789,413 $ ( 316,041 ) $ 704 $ ( 421,203 ) $ 916,534 $ 15,193 $ 1,984,600 Net income 239,288 — — — — 267 239,555 Foreign currency translation adjustments — ( 79,240 ) — — — ( 1,191 ) ( 80,431 ) Changes in unrecognized pension gains (losses) and related amortization, net of tax — 60,535 — — — — 60,535 Changes in derivative gains (losses), net of tax — ( 6,620 ) — — — — ( 6,620 ) Stock awards and option exercises — — 5 10,063 52,084 — 62,152 Cash dividends declared on common stock ( 99,461 ) — — — — — ( 99,461 ) Treasury stock purchased — — — ( 92,126 ) — — ( 92,126 ) Balance - December 31, 2022 $ 1,929,240 $ ( 341,366 ) $ 709 $ ( 503,266 ) $ 968,618 $ 14,269 $ 2,068,204 Net income 284,487 — — — — ( 311 ) 284,176 Foreign currency translation adjustments ( 228 ) 48,658 — — — 516 48,946 Changes in unrecognized pension gains (losses) and related amortization, net of tax — ( 5,940 ) — — — — ( 5,940 ) Changes in derivative gains (losses), net of tax — ( 10,086 ) — — — — ( 10,086 ) Stock awards and option exercises — — 8 11,414 75,811 — 87,233 Cash dividends declared on common stock ( 103,683 ) — — — — — ( 103,683 ) Treasury stock purchased — — — ( 47,552 ) — — ( 47,552 ) Balance - December 31, 2023 $ 2,109,816 $ ( 308,734 ) $ 717 $ ( 539,404 ) $ 1,044,429 $ 14,474 $ 2,321,298 Net income 374,541 — — — — ( 363 ) 374,178 Foreign currency translation adjustments 235 ( 145,967 ) — — — ( 75 ) ( 145,807 ) Changes in unrecognized pension gains (losses) and related amortization, net of tax — 17,413 — — — — 17,413 Changes in derivative gains (losses), net of tax — 7,813 — — — — 7,813 Stock awards and option exercises — — 8 12,261 81,453 — 93,722 Cash dividends declared on common stock ( 114,055 ) — — — — — ( 114,055 ) Treasury stock purchased — — — ( 68,638 ) — — ( 68,638 ) Balance - December 31, 2024 $ 2,370,537 $ ( 429,475 ) $ 725 $ ( 595,781 ) $ 1,125,882 $ 14,036 $ 2,485,924 See accompanying notes to consolidated financial statements. 40/ATR AptarGroup, Inc.
CONSOLIDATED STATEMENTS OF CASH FLOWS In thousands, brackets denote cash outflows Year Ended December 31, 2024 2023 2022 Cash Flows from Operating Activities: Net income $ 374,178 $ 284,176 $ 239,555 Adjustments to reconcile net income to net cash provided by operations: Depreciation 219,667 203,873 190,132 Amortization 44,117 44,720 43,574 Stock-based compensation 47,650 41,293 40,937 Provision for CECL 1,016 8,077 3,213 (Gain) loss on disposition of fixed assets ( 52 ) ( 3,584 ) 397 Net (gain) loss on remeasurement of equity securities ( 1,713 ) ( 1,413 ) 2,110 Deferred income taxes ( 21,406 ) ( 19,883 ) ( 12,106 ) Defined benefit plan expense 12,049 14,198 24,560 Equity in results of affiliates ( 87 ) ( 2,226 ) ( 467 ) Impairment loss 254 257 307 Change in fair value of contingent consideration — — ( 8,598 ) Changes in balance sheet items, excluding effects from foreign currency adjustments and acquisitions: Accounts and other receivables ( 18,079 ) 15,431 ( 27,937 ) Inventories 21,901 ( 10,641 ) ( 60,354 ) Prepaid and other current assets ( 2,368 ) ( 3,900 ) ( 6,787 ) Accounts payable, accrued and other liabilities ( 23,705 ) 14,596 55,098 Income taxes payable 4,064 ( 8,301 ) 17,081 Retirement and deferred compensation plan liabilities ( 14,259 ) 2,984 ( 13,093 ) Other changes, net 186 ( 4,418 ) ( 9,005 ) Net Cash Provided by Operations 643,413 575,239 478,617 Cash Flows from Investing Activities: Capital expenditures ( 276,481 ) ( 312,342 ) ( 310,427 ) Proceeds from government grants — — 27,795 Proceeds from sale of property, plant and equipment 1,506 5,348 93 Maturity of short-term investments — — 740 Purchase of short-term investments ( 2,242 ) — — Acquisition of business, net of cash acquired and release of escrow — ( 16,570 ) ( 4,100 ) Acquisition of intangible assets, net ( 17,709 ) ( 6,061 ) ( 5,189 ) Investment in equity securities ( 99,055 ) — — Proceeds from sale of investment in equity securities — 5,604 1,599 Notes receivable, net ( 2,740 ) ( 442 ) ( 6,153 ) Net Cash Used by Investing Activities ( 396,721 ) ( 324,463 ) ( 295,642 ) Cash Flows from Financing Activities: Proceeds from notes payable and overdrafts 22,302 25,531 39,944 Repayments of notes payable and overdrafts ( 23,344 ) ( 28,643 ) ( 38,837 ) Proceeds and (repayments) of short term revolving credit facility, net 108,848 76,966 ( 143,055 ) Proceeds from long-term obligations 168,581 403 412,021 Repayments of long-term obligations ( 373,847 ) ( 125,809 ) ( 265,085 ) Payment of contingent consideration obligation — ( 22,750 ) — Dividends paid ( 114,055 ) ( 103,683 ) ( 99,461 ) Credit facility costs — — ( 4,009 ) Proceeds from stock option exercises 54,809 53,983 28,512 Purchase of treasury stock ( 68,638 ) ( 47,552 ) ( 92,126 ) Net Cash Used by Financing Activities ( 225,344 ) ( 171,554 ) ( 162,096 ) Effect of Exchange Rate Changes on Cash ( 21,147 ) 2,189 ( 1,072 ) Net Increase in Cash and Equivalents and Restricted Cash 201 81,411 19,807 Cash and Equivalents and Restricted Cash at Beginning of Period 224,143 142,732 122,925 Cash and Equivalents and Restricted Cash at End of Period $ 224,344 $ 224,143 $ 142,732 Supplemental Cash Flow Disclosure: Interest paid $ 43,520 $ 39,599 $ 35,509 Income taxes paid 89,374 111,994 87,529 41/ATR Restricted cash included in the line item prepaid and other on the Consolidated Balance Sheets as shown below represents amounts held in escrow related to the SipNose asset purchase in 2024 and the Metaphase acquisition in 2023.
Year Ended December 31, 2024 2023 2022 Cash and equivalents $ 223,844 $ 223,643 $ 141,732 Restricted cash included in prepaid and other 500 500 1,000 Total Cash and Equivalents and Restricted Cash shown in the Statement of Cash Flows $ 224,344 $ 224,143 $ 142,732 See accompanying notes to consolidated financial statements. 42/ATR AptarGroup, Inc.
AptarGroup’s organizational structure consists of three market-focused business segments which are Aptar Pharma, Aptar Beauty and Aptar Closures.
During the fourth quarter of 2023, we utilized the Blue Chip Swap and recognized a loss due to devaluation of approximately $ 2.5 million.
Our Argentinian operations contributed less than 2.0 % of consolidated net assets and revenues at and for the year ended December 31, 2024.
ACCOUNTS RECEIVABLE AND CURRENT EXPECTED CREDIT LOSSES At December 31, 2024, we reported $ 658.1 million of accounts receivable, net of CECL of $ 15.8 million.
Changes in CECL were not material for the year ended December 31, 2024.
ASSETS HELD FOR SALE Assets to be disposed of by sale are reported at the lower of their carrying amount or fair value less costs to sell, and are not depreciated while they are held for sale.
During the second quarter of 2023, we recorded $ 0.7 million as assets held for sale within prepaid and other on our Consolidated Balance Sheets related to three buildings located in France.
During the third quarter of 2023, two of the three buildings were sold and we recognized a $ 0.8 million gain on sale .
As of December 31, 2024, one building is held for sale and expected to be sold during 2025.
The allocation of the purchase price utilizes significant estimates and assumptions in determining the fair values of identifiable assets acquired and liabilities assumed, especially with respect to intangible assets.
The purchase price allocation for business acquisitions contains uncertainties because it requires management's judgment. 43/ATR INVESTMENTS IN EQUITY SECURITIES We account for our 20% to 50% owned investments using the equity method.
There were no dividends received from affiliated companies in 2024, 2023 and 2022.
Any impairment loss is calculated as the excess of the asset’s carrying value over its estimated fair value.
Fair value is estimated based on the discounted cash flows for the asset group over the remaining useful life or based on the expected cash proceeds for the asset less costs of disposal.
GOODWILL The Company has evaluated the excess of purchase price over the fair value of the net assets acquired (“goodwill”) for impairment annually as of October 1 or more frequently if impairment indicators arose in accordance with Accounting Standards Codification (“ASC”) Topic 350, “Intangibles - Goodwill and Other.” We believe that the accounting estimates related to determining the fair value of our reporting units is a critical accounting estimate because: (1) it is highly susceptible to change from period to period because it requires management to make assumptions about the future cash flows for each reporting unit over several years, and (2) the impact that recognizing an impairment would have on the assets reported on our balance sheet as well as our results of operations could be material.
Management’s determination of the fair value of our reporting units, based on future cash flows for the reporting units, requires significant judgment and the use of estimates and assumptions related to projected revenue growth rates, projected EBITDA margins, the terminal growth factor, as well as the discount rate.
Management has performed this qualitative assessment as of October 1, 2024 and October 1, 2023 for each of our reporting units.
Due to the realignment of the Beauty and Closures segments, management determined it appropriate to calculate the fair value of both reporting units and compare with their associated carrying amounts as of January 1, 2023.
As we performed our annual goodwill impairment assessment, due to events or circumstances that were unfavorable for injectables, and the passage of time from our prior Step 1 analysis over the other pharma reporting unit, management determined it appropriate to calculate the fair value of both reporting units and compare with their associated carrying amounts as of October 1, 2024.
Based on our qualitative and quantitative analysis performed over the reporting units, we determined that it was more likely than not that the fair value of these reporting units was greater than their carrying amounts and therefore no impairment of goodwill is required.
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative financial instruments are recorded in the Consolidated Balance Sheets at fair value as either assets or liabilities.
Changes in the fair value of derivatives are recorded in each period in earnings or other comprehensive income, depending on whether a derivative is designated and effective as part of a hedge transaction. 44/ATR PURCHASE OF TREASURY STOCK During 2024, 2023 and 2022, we repurchased 433 thousand, 399 thousand and 860 thousand shares, respectively, all of which were returned to treasury stock.
These costs amounted to $ 96.1 million, $ 92.8 million and $ 93.5 million in 2024, 2023 and 2022, respectively.
INCOME TAXES We compute taxes on income in accordance with the tax rules and regulations of the many taxing authorities where income is earned.

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