Benzinga | Aug 3, 2021 04:04PM EDT

Sealed Air Shares Gain On Raised FY21 Outlook, New $1B Share Repurchase Program

* Sealed Air Corp (NYSE:SEE) reported second-quarter FY21 sales growth of 15% year-on-year, to $1.33 billion, beating the analyst consensus of $1.28 billion.

* Gross profit rose 2.8% Y/Y to $400.7 million.

* The operating margin was 14.8%, and operating income for the quarter rose 5.8% to $196.9 million.

* The company held $273.1 million in cash and equivalents as of June 30, 2021.

* Cash flow from operations year to date totaled $200 million, down 6%.

* Adjusted EBITDA of $263 million rose 1% Y/Y.

* Adjusted EPS of $0.79 beat the analyst consensus of $0.78.

* "Demand for our automated and sustainable packaging solutions drove a net sales increase of 15%, supported by a 9% volume growth," said CEO Ted Doheny.

* On August 2, 2021, the company's Board authorized a new share repurchase program of $1 billion, replacing the prior authorization, which had approximately $375 million remaining.

* Outlook: Sealed Air raised FY21 sales guidance to $5.4 billion - $5.5 billion from $5.25 - $5.35 billion, versus the consensus of $5.31 billion.

* The company also raised the FY21 EPS outlook to $3.45 - $3.60 from $3.40 - $3.55, versus the consensus of $3.50.

* It reaffirmed Adjusted EBITDA and Free Cash Flow guidance.

* Price action: SEE shares closed higher by 3.84% at $58.47 on Tuesday.