On this page of StockholderLetter.com we present the latest annual shareholder letter from APTARGROUP, INC. — ticker symbol ATR. Reading current and past ATR letters to shareholders can bring important insights into the investment thesis.

 •  3/28/2025 Letter Continued (Full PDF)
 •  3/24/2023 ATR Stockholder Letter
 •  3/22/2024 ATR Stockholder Letter
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 •  ATR Benford's Law Stock Score = 99

ATR Shareholder/Stockholder Letter Transcript:

Shaping Markets,
Driving Pro   table Growth
2024 Annual Report | Form 10-K

   Our customers appreciate our
innovations and the value we bring to their
brands and drug development processes.
The resiliency of our portfolio positions us
for continued success.   
Stephan Tanda
Aptar President & CEO
Financial Highlights
Net Sales by Shipping Destination
Sales (In Billions)
$3.6B
4.0
NA
3.5
EMEA
32%
49%
3.0
ASIA
2.5
11%
2.0
LATAM
1.5
8%
1.0
0.5
0.0
2020
Total Shareholder Returns1
2021
2022
2023
2024
Long-Term Financial Targets*
Comparison of cumulative    ve-year total returns
250
4-7% Sales Growth 2
AptarGroup
S&P 500 Index
Peer Group
S&P Midcap 400
200
21-23% Adj. EBITDA Margin3
150
11-13% ROIC 4
100
30-40% Dividend Payout Ratio 5
50
1
2
3
4
1-3x Leverage Ratio6
2019
2020
2021
2022
2023
2024
The above graph assumes an investment of $100 as of Dec. 31, 2019 in AptarGroup
common stock (at prices quoted on the New York Stock Exchange) and each of the
indices as of the market close and the reinvestment of dividends on a quarterly basis.
Excludes acquisitions and currency effects.*
Adjusted EBITDA (earnings before net interest, taxes, depreciation and amortization)
excludes restructuring initiatives, net realized investment gain/loss, accounting
adjustments.* Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by
Reported Net Sales.
ROIC (Return on Invested Capital) is adjusted earnings before net interest and taxes,
less tax effect / average capital (average of beginning of year and end of year capital,
and capital is equity plus debt less cash).*
Divided Payout Ratio is cash dividends paid / adjusted earnings per share.
Leverage Ratio is calculated as Total Debt / EBITDA.
* AptarGroup is not able to reconcile forward-looking non-GAAP    nancial measures
because certain reconciling items are dependent on future events that either cannot be
controlled, such as exchange rates and changes in the fair value of equity investments,
or reliably predicted without unreasonable effort because they are not part of the
company   s routine activities, such as restructuring and acquisition costs. The variability
of these items could have a signi   cant impact on our future GAAP    nancial results.
5
6

Shaping Markets, Driving Pro   table Growth
DEAR SHAREHOLDERS,
I am pleased to share our highlights from 2024 - a strong year marked by much success as we continue to live
up to our purpose of    Transforming ideas into solutions that improve everyday life.   
In 2024, Aptar achieved another year of double-digit earnings per share growth. Reported net sales and core
sales increased 3% with annual sales of $3.6 billion compared to $3.5 billion a year ago. We are proud of our
long record of returning capital to shareholders and, over the last    ve years, we have returned nearly $800 million
to shareholders through dividends and share repurchases. This past year was also our 31st consecutive year of
paying an increasing annual dividend and con   dence in the future underpinned our decision for the almost 10%
dividend increase, which we announced in July 2024.
Net income for the full year grew 32% over the prior year and we ended 2024 solidly in the middle of our longterm adjusted EBITDA margin range, with signi   cant margin expansion in our Pharma and Closures segments
and a slight margin expansion for our Beauty segment.
Zooming out, over the past few years we have reignited innovation, strengthened our new product pipelines and
sharpened our commercial approach. Our customers have taken notice, recognizing our innovations and the
value we bring to their brands and drug development processes. The resiliency of our portfolio positions us well
for continued success.
SEGMENT RESULTS
For the full year, our Pharma franchise grew reported net sales and core sales by 8%. Reported net sales grew
to $1.64 billion compared to $1.52 billion in 2023, propelled by brisk demand for our proprietary drug delivery
systems, which grew 9% in 2024. Pharma performance in 2024 was driven by continued growth in emergency
medicines, allergic rhinitis and central nervous system therapeutics.
Our proprietary drug delivery business is the core pro   t engine of our Pharma segment     developing and
manufacturing more innovative, safer and highly reliable technologies that support our customers and improve
the lives of patients around the world. We anticipate continued strength for this important franchise.
For our injectables business, we saw growth in antithrombotics, GLP-1 drugs, small molecules and vaccines.
Injectable component sales grew 10% in 2024, but the growth was offset by lower tooling and service revenue.
The team has done a tremendous job of completing a large capacity expansion project and industrializing our
higher value offerings, boding well for the future.
Active material science sales were up 13% for the full year 2024 due to increased demand for diabetes
diagnostics, probiotics and oral solid dose solutions. Since we acquired CSP in 2018, its sales have grown at a
compound annual growth rate of almost 10%.
Looking at our Beauty segment for the year, reported net sales and core sales decreased approximately 3%
compared to the prior year. In 2024, reported net sales were $1.23 billion compared to $1.27 billion in 2023.
Approximately half of the core sales decrease came from lower tooling sales in 2024. We had good growth
across several end markets, including personal care, masstige beauty and home care. However, growth in these
end markets could not offset the decline in prestige beauty. The Beauty segment saw volume growth in 2024,
and sales of our personal care technologies grew nicely.
Regionally, rebounding sales in North America and Latin America could not compensate for lower European
demand. Core sales of our products to the fragrance, skincare and color cosmetic markets decreased 8% during
2024 mainly due to the lower tooling sales and dif   cult European comparisons to strong growth reported during
the prior year. Personal care core sales increased 2% as higher sales of our body and skin care products more
than compensated for lower sales of our sun care applications. Core sales to the home care market increased
11% over 2023 on higher demand from our customers selling air care and automotive products. Beauty was able

to improve its margin even with a challenged top line, driven by increased productivity and cost management
efforts. Our largest region, EMEA, was well within the long-term adjusted EBITDA margins for the full year
2024. Looking ahead, new project activity is encouraging across most regions, and we anticipate progressive
improvement for the segment in 2025.
Our Closures segment also    nished the year strong with solid performance and good momentum, with reported
net sales increasing approximately 2% and core sales increasing 3% in 2024 compared to the prior year.
Reported net sales increased to $714.0 million compared to $698.8 million in 2023. Core sales of products
to the food market increased 5% compared to the prior year on strong sales of our closures for sauces and
condiments and dairy products. Core sales of our products to the beverage market increased 3% during 2024
on improving bottled water and functional drink sales. Personal care core sales decreased 2% on lower sales of
our hair care solutions, while core sales in miscellaneous markets such as homecare and beauty improved 3%
over the prior year due to strong sales of our products for laundry care applications.
In the second half of the year our Closures segment returned to its core sales long-term target range driven
by increased demand around the world for food and beverage dispensing and food protection technologies. A
focus on converting end markets to higher-value dispensing closures and a re-invigoration of innovation helped
to improve topline sales globally. The segment   s increased margins were also positively affected by the higher
value mix, as well as a consistent focus on reducing costs and a steady improvement in plant utilizations.
CAPITAL ALLOCATION
Throughout the year we continued to invest in our manufacturing operations. The majority of capital has been
allocated to our faster growing, more pro   table Pharma business. In Congers, New York, we celebrated the
30,000-square-foot expansion of our facility, enhancing our capacity for proprietary drug delivery systems
and injectables in North America. We broke ground on a new Pharma plant near Mumbai that will add local
production of pressurized metered-dose inhaler valves, breath-actuated solutions and single-dose nasal sprays.
During the year we also opened our Intelligent Production and R&D Base in Suzhou, China, which serves as a
high-tech hub for advanced manufacturing in the Asia-Paci   c region.
Turning to investments in Europe, our new injectables facility in Granville, France, is equipped with highly
automated manufacturing lines and is poised to meet the growing demand for biologics and higher-value
components like PremiumCoat  . In addition, our R&D building extension in Le Vaudreuil, France, increases our
innovation capacity to accelerate the development of new technologies.
ACQUISITIONS AND PARTNERSHIPS
Our strong balance sheet affords us strategic    exibility. We prefer bolt-on acquisitions and have a solid track
record of delivering value for shareholders. We add capabilities and technologies to grow our innovation and
talent pipelines through acquisitions and partnerships.
During the year, we acquired all technology assets from the proprietary portfolio of SipNose, a company focused
on intranasal delivery platforms for local, systemic and central nervous system indications     all growth areas for
Pharma. Aptar also entered into an agreement with PULMOTREE to lead the development and promotion of its
Kolibri    Non-Propellant Liquid Inhaler platform. We also entered into an exclusive agreement with Cambridge
Healthcare Innovations for its Quattrii Dry Powder Inhaler platform where we see opportunities for this platform in
delivering larger amounts of medication through the lungs.
Our digital health business continued to broaden its portfolio and strengthen its global footprint by acquiring
Healint, a company focused on virtual clinical studies and patient registries platform, as well as the Migraine
Buddy and Clarrio mobile apps. Our agreement with Biogen Inc. supports the development of digital health
solutions for neurological and rare diseases. We also formed a collaboration with SHL Medical, a leading
solutions provider of autoinjectors, pen injectors and innovative specialty delivery systems. Finally, we entered a
partnership with Iona Mind to help support patients with chronic diseases to manage their psychological stress
and emotional wellbeing.

We closed on our joint venture with China pump manufacturer, Goldrain, acquiring a 40% stake. Through
this partnership, we will have access to cost-effective pump manufacturing in the region, faster go-to-market
agility and a more complete end-to-end local supply chain, all of which we believe could further strengthen our
competitiveness in the region and beyond, primarily for our Beauty segment. Additionally, we will have access
to competitive mold and machine building capabilities that can be used globally and that can provide us with
high-quality, better cost capital investment alternatives. The partnership will also give us access to much-needed
regional anodization manufacturing capabilities. These capabilities could help us meet growing demand of the
middle-class consumer across Asia, a consumer that is driving pro   table growth across each of our segments.
We expect to explore leveraging this partnership for certain regional consumer healthcare dispensing systems as
well.
Lastly, Aptar was granted the North America license to manufacture and distribute the Halopack Tray. This
patented solution is produced with recycled cardboard and a minimal amount of easily removable    lm, allowing
the package to be recycled in existing cardboard streams once the    lm is removed.
KEY INNOVATIONS
Today, we are extracting value by leveraging our technologies and innovations cross-segment. We own and
currently have numerous product applications pending for patents and trademarks in many regions of the world.
New solutions and ideas are discovered through our Open Innovation Network, which includes our innovation
centers and human factors labs, as well as our global network of startups and top universities. In 2024, our
employees demonstrated their ability to combine design, engineering, and science to create groundbreaking
solutions across all segments.
In Pharma, our Unidose liquid nasal spray system is approved by the U.S. FDA and European regulatory
authorities for a range of molecule types and indications including systemic applications. These approved
products are for chronic central nervous system conditions such as migraine, epilepsy and pain relief, as well
as for emergency use medications to treat opioid overdoses, hypoglycemia and severe allergic reactions. Our
Unidose delivery system   s proven required regulatory reliability of 99.999% for emergency medications is backed
by 30 years of    eld data, which is essential when dealing with the dosing and dispensing of emergency use
medications.
We also launched our    rst airless pump solution for Sinomune Pharma   s Li Fu metronidazole gel; this marked our
   rst airless drug delivery system for an approved drug product in China. In consumer healthcare we continue to
increase capacity for our, patented Lateral Control System technology with    one push button    dosage, providing
convenience, ef   cient relief, and ease of use for Haleon   s Otrivin Nasal Mist. In addition, our Activ-Vial    material
science technology is used for Bayer   s IberoBiotics Pro.
In our digital health business, Migraine Buddy is now part of our portfolio of products and is the leading
headache and migraine tracking app to help users report and self-manage their migraine symptoms, with a
community of over three million users. The latest release of the app optimizes how users can share migraine
reports with doctors, including sleep records.
Turning to Beauty highlights from the year, our new prestige fragrance dispensing technology, Inune, featuring a
more lightweight design and gentle actuation, is the dispensing solution for Lanc  me   s re   llable version of Id  le
Eau de Parfum. We also adapted our pump technology to meet the growing demand for alcohol-free fragrances.
Alcohol-free fragrances are typically oil and water based, making the formulation more dif   cult to dispense.
Our prestige airless pumps are highly compatible with these formulations, providing consumers with the same
optimal, gentle mist fragrance experience and they are now featured on Guerlain   s    rst alcohol-free fragrance.
Also in 2024, our custom beauty plant in Oyonnax, France supported the launch of a major beauty customer   s
reformulated facial serum product that features our patented dual-pump technology and locking feature using
post-consumer recycled resin (PCR). We also launched Color Code PCR, the    rst fragrance pump with over
50% post-consumer recycled resin, and Maya, a fully customizable aerosol actuator. FusionPKG, our experts on
beauty turnkey packaging, supported indie brands including Saie and Anastasia, with full pack solutions.



 3/28/2025 Letter Continued (Full PDF)