CCL Industries Inc Q1 2020 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst : Thanks for all that incremental color on the COVID-19 impact. I think it's very helpful. I just wanted to circle around very quickly on the CCL segment. Just curious, you saw strength in the Home & Personal Care business. Was that -- has that continued into April? Like -- or was that a pull forward of demand as people were sort of pantry loading and storing up for supplies?

Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst : Okay. I understand. And then maybe just turning to Innovia. Off to -- certainly a solid quarter and also a very good start. Can you talk a little bit about what's driving the demand into Q2? without the prior written consent of Thomson Reuters. 'Thomson Reuters' and the Thomson Reuters logo are registered trademarks of Thomson Reuters and its affiliated companies. MAY 14, 2020 / 11:30AM, CCL.B.TO - Q1 2020 CCL Industries Inc Earnings Call

Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst : Okay. Okay. And then maybe just in terms of Checkpoint. When you think about, obviously, some near term pressure, are you beginning to see order levels improve a little bit as retailers begin to open back up? Or is that not followed through or something?

Question: Stephen MacLeod - BMO Capital Markets Equity Research - Analyst : Okay. Okay. And then maybe just finally for Sean. Could you just give us a little bit of color around what you expect corporate costs to be for the year given some of the cost savings moves that you made?

Question: Mark Neville - Scotiabank Global Banking and Markets, Research Division - Analyst : If I could just start with the Q2 sort of revenue guide. The Q1 was, all things considered, I think, pretty strong. I sort of read through the qualitative outlook. It sounds -- obviously, there's pockets of weakness, but the core business sounds like it's doing fairly well. Maybe I'm just underappreciating the weakness in Checkpoint and Avery. But can you maybe sort of, in loose numbers, maybe talk about what you're expecting out of the core label or...

Question: Mark Neville - Scotiabank Global Banking and Markets, Research Division - Analyst : I cover the space, so I understand. Okay. I guess that as makes a little more sense when I sort of size it up and think about what those businesses are doing. But again... without the prior written consent of Thomson Reuters. 'Thomson Reuters' and the Thomson Reuters logo are registered trademarks of Thomson Reuters and its affiliated companies. MAY 14, 2020 / 11:30AM, CCL.B.TO - Q1 2020 CCL Industries Inc Earnings Call

Question: Mark Neville - Scotiabank Global Banking and Markets, Research Division - Analyst : Okay. Maybe just on the free cash, the $450 million. I'm just curious, first, what exactly is adjusted free cash flow? Is there anything in there that...

Question: Mark Neville - Scotiabank Global Banking and Markets, Research Division - Analyst : Okay. Okay. And I sort of hate to try to put you in a spot here, but if I work backwards from $450 million, probably EBITDA in and around $1 billion, plus or minus. Again, I hate to try to put you on the spot with a number, but would anything be wrong with my math?

Question: Mark Neville - Scotiabank Global Banking and Markets, Research Division - Analyst : Okay. Okay. Yes. No, it still sounds like a pretty robust number.

Question: Mark Neville - Scotiabank Global Banking and Markets, Research Division - Analyst : Okay. And maybe, Geoff, if I can just ask one more for you. I think last time we were together, last time we spoke, you're probably a bit more conservative than I think most people were. But, obviously, rightfully so. Just curious, as we sit here 2 months later, just generally how you're feeling. Obviously, it's been a tough couple of months, but just sort of general idea of how you're thinking about the outlook?