Silgan Holdings, a leading provider of sustainable rigid packaging solutions, recorded a 7% increase in second quarter net sales to $1.64 billion, with its metal containers business delivering strong growth in pet food packaging despite softer demand in some traditional food categories.

The company said net income fell to $75.8 million, or $0.72 per diluted share, from $89.0 million, or $0.83 per diluted share, a year earlier. Adjusted earnings per diluted share were $0.98, slightly below the $1.01 reported in the second quarter of 2025.

Metal Containers generated net sales of $763.9 million, up 13% year-on-year from $676.1 million, largely reflecting contractual pass-through of higher raw material and manufacturing costs. Overall shipment volumes were broadly unchanged, with high single-digit growth in pet food cans offset by more typical seasonal demand from fruit and vegetable processors and lower soup can volumes.

Adjusted earnings before interest and taxes (EBIT) for the Metal Containers segment declined to $65.9 million from $70.8 million in the prior-year period. Silgan attributed the decrease primarily to a less favourable product mix, including higher volumes of smaller pet food containers and lower volumes in the fruit and vegetable markets.

During the quarter, the company also secured a new long-term supply agreement with a major vegetable pack customer, which president and CEO Adam Greenlee described as part of Silgan’s strategy to drive long-term organic growth. “Silgan reported another quarter of strong financial results in the second quarter that were above the midpoint of our expected range and highlighted our focused operational execution, as we continue to deliver on our plan for 2026. 

“Our Metal Containers business delivered another quarter of strong volume growth in products for pet food markets and successfully executed a new long-term supply agreement with a large customer in the vegetable market,” Greenlee said.

The company said volume in Metal Containers was comparable to the previous year “with a high single digit increase in volumes for pet food markets offset by the anticipated impact of more normal seasonal order patterns for products for the fruit and vegetable pack and lower volumes for soup markets”.

In Dispensing and Specialty Closures, sales rose 2% to $713.9 million. In Custom Containers, sales reached $165.5 million, up 3%.

Silgan reaffirmed its full-year guidance for adjusted earnings per diluted share of $3.73-$3.93 and said adjusted EBIT is expected to increase across all business segments in 2026. The company also maintained its forecast for approximately $450 million in free cash flow and around $310 million in capital expenditure.