Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Jun. 30, 2023 | Aug. 15, 2023 | Dec. 31, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Jun. 30, 2023 | ||
Current Fiscal Year End Date | --06-30 | ||
Document Transition Report | false | ||
Entity File Number | 001-38932 | ||
Entity Registrant Name | AMCOR PLC | ||
Entity Incorporation, State or Country Code | Y9 | ||
Entity Tax Identification Number | 98-1455367 | ||
Entity Address, Address Line One | 83 Tower Road North | ||
Entity Address, City or Town | Warmley, Bristol | ||
Entity Address, Country | GB | ||
Entity Address, Postal Zip Code | BS30 8XP | ||
Country Region | 44 | ||
City Area Code | 117 | ||
Local Phone Number | 9753200 | ||
Entity Information [Line Items] | |||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 17.3 | ||
Entity Common Stock, Shares Outstanding | 1,448,493,870 | ||
Documents Incorporated by Reference | Certain information required for Part III of this Annual Report on Form 10-K is incorporated by reference to the Amcor plc definitive Proxy Statement for its 2023 Annual Shareholder Meeting, which will be filed with the Securities and Exchange Commission pursuant to Regulation 14A of the Securities Exchange Act of 1934, as amended, within 120 days of Amcor plc’s fiscal year end. | ||
Entity Central Index Key | 0001748790 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Ordinary Shares, par value $0.01 per share | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Ordinary Shares, par value $0.01 per share | ||
Trading Symbol | AMCR | ||
Security Exchange Name | NYSE | ||
1.125% Guaranteed Senior Notes Due 2027 | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.125% Guaranteed Senior Notes Due 2027 | ||
Trading Symbol | AUKF/27 | ||
Security Exchange Name | NYSE |
Audit Information
Audit Information | 12 Months Ended |
Jun. 30, 2023 | |
Auditor Information [Abstract] | |
Auditor Firm ID | 1358 |
Auditor Name | PricewaterhouseCoopers AG |
Auditor Location | Zurich, Switzerland |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | |||
Net sales | $ 14,694 | $ 14,544 | $ 12,861 |
Cost of sales | (11,969) | (11,724) | (10,129) |
Gross profit | 2,725 | 2,820 | 2,732 |
Operating Expenses [Abstract] | |||
Selling, general, and administrative expenses | (1,246) | (1,284) | (1,292) |
Research and development expenses | (101) | (96) | (100) |
Restructuring, impairment, and other related activities, net | 104 | (234) | (94) |
Other income, net | 26 | 33 | 75 |
Operating income | 1,508 | 1,239 | 1,321 |
Interest income | 31 | 24 | 14 |
Interest expense | (290) | (159) | (153) |
Other non-operating income, net | 2 | 11 | 11 |
Income before income taxes and equity in income of affiliated companies | 1,251 | 1,115 | 1,193 |
Income tax expense | (193) | (300) | (261) |
Equity in income of affiliated companies, net of tax | 0 | 0 | 19 |
Net income | 1,058 | 815 | 951 |
Net income attributable to non-controlling interests | (10) | (10) | (12) |
Net income attributable to Amcor plc | $ 1,048 | $ 805 | $ 939 |
Basic earnings per share: | |||
Basic earnings per share | $ 0.709 | $ 0.532 | $ 0.604 |
Diluted earnings per share | $ 0.705 | $ 0.529 | $ 0.602 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 1,058 | $ 815 | $ 951 |
Other comprehensive income/(loss): | |||
Net gains/(losses) on cash flow hedges, net of tax (a) | (1) | (7) | 26 |
Foreign currency translation adjustments, net of tax | 69 | (201) | 205 |
Pension, net of tax (c) | (50) | 94 | 52 |
Other comprehensive income | 18 | (114) | 283 |
Total comprehensive income | 1,076 | 701 | 1,234 |
Comprehensive income/(loss) attributable to non-controlling interests | (10) | (10) | (12) |
Comprehensive income attributable to Amcor plc | $ 1,066 | $ 691 | $ 1,222 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
(a) Tax benefit related to cash flow hedges | $ 1 | $ 2 | $ 0 |
(b) Tax benefit/(expense) related to foreign currency translation adjustments | (1) | (5) | 7 |
(c) Tax benefit/(expense) related to pension adjustments | $ 11 | $ (21) | $ (14) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 689 | $ 775 |
Trade receivables, net of allowance for credit losses of $21 and $25, respectively | 1,875 | 1,935 |
Raw materials and supplies | 992 | 1,114 |
Work in process and finished goods | 1,221 | 1,325 |
Prepaid expenses and other current assets | 531 | 512 |
Assets held for sale, net | 0 | 192 |
Total current assets | 5,308 | 5,853 |
Non-current assets: | ||
Property, plant, and equipment, net | 3,762 | 3,646 |
Operating lease assets | 533 | 560 |
Deferred tax assets | 134 | 130 |
Other intangible assets, net | 1,524 | 1,657 |
Goodwill | 5,366 | 5,285 |
Employee benefit assets | 67 | 89 |
Other non-current assets | 309 | 206 |
Total non-current assets | 11,695 | 11,573 |
Total assets | 17,003 | 17,426 |
Current liabilities: | ||
Current portion of long-term debt | 13 | 14 |
Short-term debt | 80 | 136 |
Trade payables | 2,690 | 3,073 |
Accrued employee costs | 396 | 471 |
Other current liabilities | 1,297 | 1,344 |
Liabilities held for sale | 0 | 65 |
Total current liabilities | 4,476 | 5,103 |
Non-current liabilities: | ||
Long-term debt, less current portion | 6,653 | 6,340 |
Operating lease liabilities | 463 | 493 |
Deferred tax liabilities | 616 | 677 |
Employee benefit obligations | 224 | 201 |
Other non-current liabilities | 481 | 471 |
Total non-current liabilities | 8,437 | 8,182 |
Total liabilities | 12,913 | 13,285 |
Commitments and contingencies (See Note 20) | ||
Amcor plc shareholders’ equity: | ||
Issued (1,448 and 1,489 million shares, respectively) | 14 | 15 |
Additional paid-in capital | 4,021 | 4,431 |
Retained earnings | 865 | 534 |
Accumulated other comprehensive loss | (862) | (880) |
Treasury shares (1 and 2 million shares, respectively) | (12) | (18) |
Total Amcor plc shareholders' equity | 4,026 | 4,082 |
Non-controlling interests | 64 | 59 |
Total shareholders' equity | 4,090 | 4,141 |
Total liabilities and shareholders' equity | $ 17,003 | $ 17,426 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Millions, $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Accounts Receivable, Allowance for Credit Loss | $ 21 | $ 25 |
Ordinary shares, par value | $ 0.01 | $ 0.01 |
Ordinary shares authorized | 9,000 | 9,000 |
Ordinary shares issued | 1,448 | 1,489 |
Treasury shares | 1 | 2 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities: | |||
Net income | $ 1,058 | $ 815 | $ 951 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation, amortization, and impairment | 586 | 625 | 574 |
Net periodic benefit cost | 11 | 12 | 15 |
Amortization of debt discount and deferred financing costs | 4 | 2 | 10 |
Net gain on disposal of property, plant, and equipment | (5) | (3) | (10) |
Net gain on disposal of businesses | (220) | 0 | (44) |
Equity in income of affiliated companies | 0 | 0 | (19) |
Net foreign exchange (gain)/loss | 28 | (14) | 21 |
Share-based compensation | 54 | 63 | 58 |
Other, net | 5 | 106 | (83) |
Loss from hyperinflationary accounting for Argentine subsidiaries | 62 | 22 | 27 |
Deferred income taxes, net | (57) | (33) | 4 |
Dividends received from affiliated companies | 0 | 0 | 4 |
Changes in operating assets and liabilities, excluding effect of acquisitions, divestitures, and currency: | |||
Trade receivables | 93 | (272) | (189) |
Inventories | 248 | (626) | (112) |
Prepaid expenses and other current assets | (54) | (67) | (90) |
Trade payables | (429) | 711 | 342 |
Other current liabilities | 21 | 123 | 11 |
Accrued employee costs | (84) | (20) | 29 |
Employee benefit obligations | (25) | (35) | (40) |
Other, net | (35) | (21) | 2 |
Net cash provided by operating activities | 1,261 | 1,526 | 1,461 |
Cash flows from investing activities: | |||
Issuance of loans to affiliated companies | (1) | (5) | 0 |
Investments in affiliated companies and other | (56) | (12) | (5) |
Business acquisitions | (121) | 0 | 0 |
Purchase of property, plant, and equipment, and other intangible assets | (526) | (527) | (468) |
(Payments)/proceeds from divestitures | 365 | (1) | 214 |
Proceeds from sales of property, plant, and equipment, and other intangible assets | 30 | 18 | 26 |
Net cash used in investing activities | (309) | (527) | (233) |
Cash flows from financing activities: | |||
Proceeds from issuance of shares | 134 | 114 | 30 |
Purchase of treasury shares | (221) | (143) | (8) |
Purchase of non-controlling interest | 0 | 0 | (8) |
Proceeds from issuance of long-term debt | 522 | 1,066 | 790 |
Repayment of long-term debt | (330) | (1,243) | (530) |
Net borrowing/(repayment) of commercial paper | 94 | 638 | (235) |
Net borrowing/(repayment) of short-term debt | (58) | 15 | (123) |
Repayment of lease liabilities | (11) | (5) | (2) |
Share buyback/cancellations | (432) | (601) | (351) |
Dividends paid | (723) | (732) | (742) |
Net cash used in financing activities | (1,025) | (891) | (1,179) |
Effect of exchange rates on cash and cash equivalents | (88) | (108) | 58 |
Cash and cash equivalents classified as held for sale | 0 | (75) | 0 |
Net increase/(decrease) in cash and cash equivalents | (161) | (75) | 107 |
Cash and cash equivalents balance at beginning of the fiscal year | 850 | 850 | |
Cash and cash equivalents balance at end of the fiscal year | 689 | 775 | 850 |
Russia and Ukraine | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Russia and Ukraine impairment | $ 0 | $ 138 | $ 0 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Millions | Total | Cumulative adjustment related to adoption of ASC 842 and ASC 326 | Ordinary Shares | Additional Paid-In Capital | Retained Earnings | Retained Earnings Cumulative adjustment related to adoption of ASC 842 and ASC 326 | Accumulated Other Comprehensive Loss | Treasury Shares | Non-controlling Interest |
Beginning Balance at Jun. 30, 2020 | $ 4,687 | $ (5) | $ 16 | $ 5,480 | $ 246 | $ (5) | $ (1,049) | $ (67) | $ 61 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 951 | 939 | 12 | ||||||
Other comprehensive income | 283 | 283 | 0 | ||||||
Share buyback/cancellations | (351) | (1) | (350) | ||||||
Dividends declared | (742) | (728) | |||||||
Distributions to noncontrolling interest | (14) | ||||||||
Options exercised and shares vested | 30 | (16) | 46 | ||||||
Net settlement of forward contracts to purchase own equity for share-based incentive plans, net of tax | (72) | (72) | |||||||
Purchase of treasury shares | (8) | (8) | |||||||
Share-based compensation expense | 58 | 58 | |||||||
Change in non-controlling interest | (10) | (8) | 0 | (2) | |||||
Ending Balance at Jun. 30, 2021 | $ 4,821 | 15 | 5,092 | 452 | (766) | (29) | 57 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Cumulative effect adjustment related to adoption of ASC 842 and ASC 326 | Accounting Standards Update 2016-02 [Member] | ||||||||
Net income | $ 815 | 805 | 10 | ||||||
Other comprehensive income | (114) | (114) | 0 | ||||||
Share buyback/cancellations | (601) | 0 | (601) | ||||||
Dividends declared | (732) | (723) | |||||||
Distributions to noncontrolling interest | (9) | ||||||||
Options exercised and shares vested | 114 | (40) | 154 | ||||||
Net settlement of forward contracts to purchase own equity for share-based incentive plans, net of tax | (83) | (83) | |||||||
Purchase of treasury shares | (143) | (143) | |||||||
Share-based compensation expense | 63 | 63 | |||||||
Change in non-controlling interest | 1 | 0 | 1 | ||||||
Ending Balance at Jun. 30, 2022 | 4,141 | 15 | 4,431 | 534 | (880) | (18) | 59 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 1,058 | 1,048 | 10 | ||||||
Other comprehensive income | 18 | 18 | 0 | ||||||
Share buyback/cancellations | (432) | (1) | (431) | ||||||
Dividends declared | (723) | (717) | |||||||
Distributions to noncontrolling interest | (6) | ||||||||
Options exercised and shares vested | 134 | (93) | 227 | ||||||
Net settlement of forward contracts to purchase own equity for share-based incentive plans, net of tax | 60 | 60 | |||||||
Purchase of treasury shares | (221) | (221) | |||||||
Share-based compensation expense | 54 | 54 | |||||||
Change in non-controlling interest | 1 | 1 | |||||||
Ending Balance at Jun. 30, 2023 | $ 4,090 | $ 14 | $ 4,021 | $ 865 | $ (862) | $ (12) | $ 64 |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends declared (in USD per share) | $ 0.4875 | $ 0.4775 | $ 0.4675 |
Business Description
Business Description | 12 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Business Description | Business Description Amcor plc ("Amcor" or the "Company") is a public limited company incorporated under the Laws of the Bailiwick of Jersey. The Company's history dates back more than 150 years, with origins in both Australia and the United States of America. Today, Amcor is a global leader in developing and producing responsible packaging for food, beverage, pharmaceutical, medical, home and personal-care, and other consumer goods end markets. The Company's innovation excellence and global packaging expertise enables the Company to solve packaging challenges around the world every day, producing packaging that is more functional, appealing, and cost effective for its customers and their consumers and importantly, more sustainable for the environment. The Company's business activities are organized around two reportable segments, Flexibles and Rigid Packaging. The Company has a globally diverse operating footprint, selling to customers in Europe, North America, Latin America, and the Asia Pacific regions. The Company develops and produces a broad range of packaging products including flexible packaging, rigid packaging containers, specialty cartons, and closures. The Company's sales are widely diversified, with the majority of sales made to the food, beverage, pharmaceutical, medical device, home and personal care, and other consumer goods end markets. All markets are considered to be highly competitive as to price, innovation, quality, and service. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Basis of Presentation and Principles of Consolidation: The consolidated financial statements include the accounts of the Company and its subsidiaries, for which the Company has a controlling financial interest. All significant intercompany transactions and balances have been eliminated. The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The Company reclassified prior year inventory comparatives in the condensed consolidated balance sheets to conform to the current year's presentation which provides the breakdown of inventory. This change in presentation did not have an impact on the Company’s financial condition or operating results. Certain amounts in the Company's notes to consolidated financial statements may not add up or recalculate due to rounding. Business Combinations: The Company uses the acquisition method of accounting, which requires separate recognition of assets acquired and liabilities assumed from goodwill, at the acquisition date fair values. Goodwill as of the acquisition date is measured as the excess of consideration transferred and the fair value of any non-controlling interests in the acquiree over the net of the acquisition date fair values of the assets acquired and liabilities assumed. During the measurement period, which may be up to one year from the acquisition date, the Company has the ability to record adjustments to the assets acquired and liabilities assumed with the corresponding offset to goodwill. After the measurement period or final determination of the values of assets acquired or liabilities assumed, whichever comes first, any subsequent adjustments are recorded in the consolidated statements of income. Held for Sale and Discontinued Operations: The Company classifies assets and liabilities (the "disposal group") as held for sale in the period when all of the relevant criteria to be classified as held for sale are met. These criteria include management's commitment to sell the disposal group in its present condition and the sale being deemed probable of being completed within one year. Assets held for sale are reported at the lower of their carrying value or fair value less cost to sell. Fair value is determined based on management’s assessment of indicative bids, a market multiples model in which a market multiple is applied to forecasted earnings before interest, taxes, depreciation, and amortization (“EBITDA”), discounted cash flows, appraised values, or management's estimates, depending on the specific situation. Any loss resulting from the measurement is recognized in the period when the held for sale criteria are met. If the disposal group meets the definition of a business, the goodwill within the reporting unit is allocated to the disposal group based on its relative fair value. The Company assesses the fair value of a disposal group, less any costs to sell, each reporting period it remains classified as held for sale and reports any subsequent changes as an adjustment to the carrying value of the disposal group, as long as the new carrying value does not exceed the initial carrying value of the disposal group. Assets held for sale are not amortized or depreciated. The Company recorded an impairment charge on assets held for sale of $90 million for the fiscal year ended June 30, 2022. See Note 6, "Held for Sale," for more information on assets held for sale. A disposal group that represents a strategic shift to the Company or is acquired with the intention to sell is reflected as a discontinued operation on the consolidated statements of income and prior periods are recast to reflect the earnings or losses as income from discontinued operations. Estimates and Assumptions Required: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. These estimates are based on historical experience and various assumptions believed to be reasonable under the circumstances. Management evaluates these estimates on an ongoing basis and adjusts or revises them as circumstances change. As future events and their impacts cannot be determined with precision, actual results may differ from these estimates. In the opinion of management, the consolidated financial statements reflect all adjustments necessary to fairly present the results of the periods presented. Translation of Foreign Currencies: The reporting currency of the Company is the U.S. dollar. The functional currency of the Company’s subsidiaries is generally the local currency of each entity. Transactions in currencies other than the functional currency of the entity are recorded at the exchange rates prevailing at the transaction date. Monetary assets and liabilities in currencies other than the entity’s functional currency are remeasured at the exchange rates as of the balance sheet date to the entity’s functional currency. Foreign currency transaction gains and losses related to short-term and long-term debt are recorded in other non-operating income, net, in the consolidated statements of income and the net gains or net losses are not material in any of the periods presented. All other foreign currency transaction gains and losses are recorded in other income, net in the consolidated statements of income. These foreign currency transaction net gains or net losses amounted to a net loss of $17 million, a net gain of $19 million, and a net loss of $4 million during the fiscal years ended June 30, 2023, 2022, and 2021, respectively. Upon consolidation, the results of operations of subsidiaries with functional currencies other than the reporting currency of the Company are translated using average exchange rates during each year. Assets and liabilities of operations with a functional currency other than the U.S. dollar are translated at the exchange rates as of the balance sheet date, while equity balances are translated at historical rates. Translation gains and losses are reported in accumulated other comprehensive loss as a component of shareholders’ equity. Highly Inflationary Accounting: A highly inflationary economy is defined as an economy with a cumulative inflation rate of approximately 100 percent or more over a three-year period. As of July 1, 2018, the Argentine economy was designated as highly inflationary for accounting purposes. Accordingly, the U.S. dollar replaced the Argentine peso as the functional currency for the Company's subsidiaries in Argentina. The impact of highly inflationary accounting on monetary balances was a loss of $24 million, $16 million, and $19 million for the fiscal years ended June 30, 2023, 2022, and 2021, respectively, in the consolidated statements of income. Revenue Recognition: The Company generates revenue by providing its customers with flexible and rigid packaging, serving a variety of markets including food, consumer products, and healthcare end markets. The Company enters into a variety of agreements with customers, including quality agreements, pricing agreements, and master supply agreements, which outline the terms under which the Company does business with a specific customer. The Company also sells to some customers solely based on purchase orders. The Company has concluded for the vast majority of its revenues, that its contracts with customers are either a purchase order or the combination of a purchase order with a master supply agreement. All revenue recognized in the consolidated statements of income is considered to be revenue from contracts with customers. The Company typically satisfies the obligation to provide packaging to customers at a point in time upon shipment when control is transferred to customers. Revenue is recognized net of allowances for returns and customer claims and any taxes collected from customers, which are subsequently remitted to governmental authorities. The Company does not have any material contract assets or contract liabilities. The Company disaggregates revenue based on geography. Disaggregation of revenue is presented in Note 21, "Segments." Significant Judgments Determining whether products and services should be accounted for as distinct performance obligations or as combined performance obligations may require significant judgment. The Company has identified potential performance obligations in its customer master supply agreements and determined that none of them are capable of being distinct as the customer can only benefit from the supplied packaging. Therefore, the Company has concluded that it has one performance obligation, which is to supply packaging to customers. The Company may provide variable consideration in several forms, which are determined through its agreements with customers. The Company can offer prompt payment discounts, sales rebates, or other incentive payments to customers. Sales rebates and other incentive payments are typically awarded upon achievement of certain performance metrics, including volume. The Company accounts for variable consideration using the most likely amount method. The Company utilizes forecasted sales data and rebate percentages specific to each customer agreement and updates its judgment of the amounts to which the customer is entitled each period. The Company enters into long-term agreements with certain customers, under which it is obligated to make various up-front payments for which it expects to receive a benefit in excess of the cost over the term of the contract. These up-front payments are deferred and reflected in prepaid expenses and other current assets or other non-current assets on its consolidated balance sheets. Contract incentives are typically recognized as a reduction to revenue over the term of the customer agreement. Practical Expedients The Company sells primarily through its direct sales force. Any external sales commissions are expensed when incurred because the amortization period would be one year or less. External sales commission expense is included in selling, general, and administrative expenses in the consolidated statements of income. The Company accounts for shipping and handling activities as fulfillment costs. Accordingly, shipping and handling costs are classified as a component of cost of sales while amounts billed to customers are classified as a component of net sales. The Company excludes from the measurement of the transaction price all taxes assessed by a government authority that are both imposed on and concurrent with a specific revenue producing transaction and collected from the customer, including sales taxes, value added taxes, excise taxes, and use taxes. Accordingly, the tax amounts are not included in net sales. The Company does not adjust the promised consideration for the time value of money for contracts where the difference between the time of payment and performance is one year or less. Research and Development: Research and development expenses are expensed as incurred. Restructuring Costs: Restructuring costs are recognized when the liability is incurred. The Company calculates severance obligations based on its standard customary practices. Accordingly, the Company records provisions for severance when payments are probable and estimable and when the Company has committed to the restructuring plan. In the absence of a standard customary practice or established local practice, liabilities for severance are recognized when incurred. If fixed assets become impaired as a result of the Company’s restructuring efforts, these assets are written down to their fair value less costs to sell, as the Company commits to dispose of them, and they are no longer in use. Depreciation is accelerated on fixed assets for the period of time the asset continues to be used until the asset ceases to be used. Other restructuring costs, including costs to relocate equipment, are generally recorded as the cost is incurred or the service is provided. See Note 7, "Restructuring," for more information on the Company’s restructuring plans. Cash, Cash Equivalents, and Restricted Cash: The Company considers all highly liquid investments, with a maturity of three months or less when purchased, to be cash equivalents. Cash equivalents include demand deposits that can be readily liquidated without penalty at the Company’s option. Cash equivalents are carried at cost which approximates fair market value. The Company had restricted cash of $8 million as of June 30, 2022, which was held in a share trust associated with Company share-based payment obligations. The Company had an immaterial amount of restricted cash as of June 30, 2023. Trade Receivables, net of allowance for credit losses ("Trade accounts receivable, net"): Trade accounts receivable, net, are stated at the amount the Company expects to collect, which is net of an allowance for sales returns and the estimated losses resulting from the inability of its customers to make required payments. The allowance for doubtful accounts is estimated based on the current expected credit loss model ("CECL") and it incorporates information about past events, current conditions, and reasonable and supportable forecasts of future economic conditions. When determining the collectability of specific customer accounts, several factors are evaluated, including customer creditworthiness, past transaction history with the customer, and changes in customer payment terms or practices. In addition, overall historical collection experience, current economic industry trends, and a review of the current status of trade accounts receivable are considered when determining the required allowance for credit losses. Changes in allowance for doubtful accounts were not material for fiscal years ended June 30, 2023, 2022, and 2021. The Company enters into customer-based supply-chain financing programs from time to time to sell trade receivables to third-party financial institutions. Agreements which result in true sales of the transferred receivables, which occur when receivables are transferred without recourse to the Company, are reflected as a reduction of trade receivables, net on the consolidated balance sheets and the proceeds are included in the cash flows from operating activities in the consolidated statements of cash flows. Agreements that allow the Company to maintain effective control over the transferred receivables and which do not qualify as a true sale are accounted for as secured borrowings and recorded on the consolidated balance sheets within trade receivables, net and short-term debt. The expenses associated with receivables factoring are recorded in the consolidated statements of income primarily as a reduction of net sales. The Company did not factor any trade receivables in fiscal years 2023 and 2022 which did not qualify as true sales of the receivables. Inventories, net: Inventories are stated at the lower of cost and net realizable value. The cost of inventories is based upon the first-in, first-out ("FIFO") method or average cost method. Costs related to inventories include raw materials, direct labor, and manufacturing overhead. Inventory reserves were $130 million and $111 million as of June 30, 2023, and 2022, respectively. Property, Plant, and Equipment, Net ("PP&E"): PP&E is carried at cost less accumulated depreciation and impairment and includes expenditures for new facilities and equipment, as well as costs that substantially increase the useful lives or capacity of existing PP&E. Cost of constructed assets includes capitalized interest incurred during the construction period. Maintenance and repairs that do not improve efficiency or extend economic life are expensed as incurred. PP&E, including assets held under finance leases, is depreciated using the straight-line method over the estimated useful lives of the assets or, in the case of leasehold improvements and finance leases, over the period of the lease or useful life of the asset as described below. The Company periodically reviews these estimated useful lives and, when appropriate, changes are made prospectively. Leasehold land Over lease term Land improvements Up to 30 years Buildings Up to 45 years Machinery and equipment Up to 25 years Finance leases Lease term or 5 - 25 years Impairment of Long-lived Assets: The Company reviews long-lived assets, primarily PP&E and certain identifiable intangible assets with finite lives, for impairment when facts or circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. If impairment indicators are present and the estimated future undiscounted cash flows are less than the carrying value of the assets, the carrying values are reduced to the estimated fair value. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as applicable. Impairment of long-lived assets recognized in the consolidated statements of income, excluding assets held for sale, were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Selling, general, and administrative expenses $ — $ 1 $ 1 Restructuring, impairment, and other related activities, net 18 42 9 Total impairment losses recognized in the consolidated statements of income $ 18 $ 43 $ 10 Leases: The Company enters into leasing arrangements for certain manufacturing sites, offices, warehouses, land, vehicles, and equipment. The Company determines at the inception of the contract whether the contract is or contains a lease. A contract is a lease if it conveys the right to control an identified asset for a period of time in exchange for consideration. For leases with an original term of more than twelve months, the Company recognizes a right-of-use (“ROU”) asset and a lease liability. Short-term leases with a term of twelve months or less are not recorded on the consolidated balance sheets and the related expense is recognized on a straight-line basis over the term of the lease. Lease liabilities are recognized at the commencement date based on the present value of the remaining lease payments over the lease terms, which include any noncancellable lease terms and any renewal periods that the Company is reasonably certain to exercise. A significant portion of the Company's leases includes an option or options to extend the lease term. The Company re-evaluates its leases on a regular basis to consider the economic and strategic incentives of exercising lease renewal options. As the implicit rates in the Company's leases generally cannot be readily determined, the Company uses estimates of its incremental borrowing rate as the discount rates to determine the lease liabilities. Certain leases require variable payments that are dependent on usage, output, or other factors. Variable lease payments that do not depend on an index or rate are excluded from lease payments in the measurement of the ROU lease asset and lease liability and recognized as an expense in the period in which the obligation for the payments occur. Goodwill: Goodwill represents the excess of cost over the fair value of net assets acquired in a business combination. Goodwill is not amortized but is instead tested annually for impairment by the Company in the fourth quarter of each fiscal year or whenever events and circumstances indicate an impairment may have occurred during the fiscal year. Factors that could trigger an impairment review include a significant decline in a reporting unit’s operating results compared to its operating plan or historical performance, and competitive pressures and changes in the general markets in which it operates. All goodwill is assigned to a reporting unit, which is defined as the operating segment. The Company has six reporting units with goodwill that are assessed for potential impairment. When performing the required impairment tests, the Company has the option to first assess qualitative factors to determine if a quantitative assessment for goodwill impairment is necessary. If the qualitative assessment concludes that it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company performs a quantitative assessment. The Company's quantitative assessment utilizes a discounted cash flow model to determine the fair value of the reporting units. Deriving fair value using discounted cash flows requires judgment and is sensitive to changes in underlying assumptions and market factors. Key assumptions include revenue growth, projected operating income growth, market multiples, terminal values, and discount rates. Sensitivity analyses are performed around certain of these assumptions to assess the reasonableness of the assumptions and the resulting estimated fair values. If current expectations of future growth rates and margins are not met, or if market factors beyond the Company’s control, such as factors impacting the applicable discount rate or economic or political conditions in key markets change significantly, then goodwill allocated to one or more reporting units may be impaired. In fiscal year 2023, the Company performed quantitative impairment tests for all of its reporting units and the Company concluded that goodwill was not impaired as the fair values of the reporting units substantially exceeded their carrying values. Other Intangible Assets, Net: Contractual or separable intangible assets that have finite useful lives are amortized against income using the straight-line method over their estimated useful lives, which range from 1 to 20 years. The straight-line method of amortization reflects an appropriate allocation of the costs of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. Costs incurred to develop software programs to be used solely to meet the Company's internal needs have been capitalized as computer software within other intangible assets. Fair Value Measurements: The fair values of the Company's financial assets and financial liabilities reflect the amounts that would be received to sell the assets or paid to transfer the liabilities in an orderly transaction between market participants at the measurement date (exit price). The Company determines fair value based on a three-tiered fair value hierarchy. The hierarchy consists of: • Level 1: fair value measurements represent exchange-traded securities, which are valued at quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access as of the reporting date; • Level 2: fair value measurements are determined using input prices that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data; and • Level 3: fair value measurements are determined using unobservable inputs, such as internally developed pricing models for the asset or liability due to little or no market activity for the asset or liability. Derivative Instruments: The Company recognizes all derivative instruments on the consolidated balance sheets at fair value. The impact on earnings from recognizing the fair values of these instruments depends on their intended use, their hedge designation and their effectiveness in offsetting changes in the fair values of the exposures they are hedging. Derivatives not designated as hedging instruments are adjusted to fair value through income. Depending on the nature of derivatives designated as hedging instruments, changes in the fair value are either offset against the change in fair value of the hedged assets, liabilities, or firm commitments through earnings or recognized in shareholders’ equity through other comprehensive income/(loss) until the hedged item is recognized. Gains or losses, if any, related to the ineffective portion of any hedge are recognized through earnings over the life of the hedging relationship. See Note 12, "Derivative Instruments," for more information regarding specific derivative instruments included on the Company’s consolidated balance sheets, such as forward foreign currency exchange contracts, currency swap contracts, and interest rate swap arrangements, among other derivative instruments. Employee Benefit Plans: The Company sponsors various defined contribution plans to which it makes contributions on behalf of employees. The expense under such plans was $87 million, $79 million, and $68 million for the fiscal years ended June 30, 2023, 2022, and 2021, respectively. The Company also sponsors a number of defined benefit plans that provide benefits to current and former employees. For the Company-sponsored plans, the relevant accounting guidance requires management to make certain assumptions relating to the long-term rate of return on plan assets, discount rates used to determine the present value of future obligations and expenses, salary inflation rates, mortality rates, and other assumptions. The Company believes that the accounting estimates related to its pension plans are critical accounting estimates because they are highly susceptible to change from period to period based on the performance of plan assets, actuarial valuations, market conditions, and contracted benefit changes. The selection of assumptions is based on historical trends, known economic and market conditions at the time of valuation, and independent studies of trends performed by the Company’s actuaries. However, actual results may differ substantially from the estimates that were based on the critical assumptions. The Company recognizes the funded status of each defined benefit pension plan in the consolidated balance sheets. Each overfunded plan is recognized as an asset in employee benefit assets and each underfunded plan is recognized as a liability in employee benefit obligations. Pension plan liabilities are revalued annually, or when an event occurs that requires remeasurement, based on updated assumptions and information about the individuals covered by the plan. Accumulated actuarial gains and losses in excess of a 10 percent corridor and the prior service cost are amortized on a straight-line basis from the date recognized over the average remaining service period of active participants or over the average life expectancy for plans with significant inactive participants. The service costs related to defined benefits are included in operating income. The other components of net benefit cost other than service cost are recorded within other non-operating income, net in the consolidated statements of income. Equity Method and Other Investments: Investments in ordinary shares of companies, in which the Company believes it exercises significant influence over operating and financial policies, are accounted for using the equity method of accounting. Investments in limited partnerships or limited liability companies that maintain separate ownership accounts are also accounted for under the equity method unless the Company's interest is so minor that it has virtually no influence over the investee's operating and financial policies. Under this method, the investment is carried at cost and is adjusted to recognize the investor’s share of earnings or losses of the investee after the date of acquisition and is adjusted for impairment whenever it is determined that a decline in the fair value below the cost basis is other than temporary. The fair value of the investment then becomes the new cost basis of the investment, and it is not adjusted for subsequent recoveries in fair value. The Company reviews its investments accounted for under the equity method for impairment whenever events or changes in circumstances indicate the carrying amount may not be recoverable. All equity investments that do not result in consolidation and are not accounted for under the equity method are measured at fair value with unrealized gains and losses related to mark-to-market adjustments included in net income. The Company utilizes the measurement alternative for equity investments that do not have readily determinable fair values and measures these investments at cost adjusted for impairments and observable price changes in orderly transactions. See Note 8, "Equity Method and Other Investments," for more information on the Company's equity method and other investments. Contingencies: The Company is subject to numerous contingencies arising in the ordinary course of business, such as legal and administrative proceedings, environmental claims and proceedings, workers' compensation, and other claims. Accruals for estimated losses are recorded by the Company at the time information becomes available indicating that losses are probable, and the amounts can be reasonably estimated. When management can reasonably estimate a range of losses it may incur, it records an accrual for the amount within the range that constitutes its best estimate. If no amount within a range appears to be a better estimate than any other, the low end of the range is accrued. The Company records anticipated recoveries under existing insurance contracts when recovery is probable. Share-based Compensation: The Company has a variety of equity incentive plans. For employee awards with a service or market condition, compensation expense is recognized over the vesting period on a straight-line basis using the grant date fair value of the award and the estimated number of awards that are expected to vest. For awards with a performance condition, the Company reassesses the probability of vesting at each reporting period and adjusts compensation cost based on its probability assessment. The Company also has immaterial cash-settled share-based compensation plans which are accounted for as liabilities. Such share-based awards are remeasured to fair value at each reporting date. The Company estimates forfeitures based on employee level, time remaining to vest, and historical forfeiture experience. Income Taxes: The Company uses the asset and liability method to account for income taxes. Deferred income taxes reflect the future tax consequences of temporary differences between the tax bases of assets and liabilities and their financial reporting amounts at each balance sheet date, based upon enacted income tax laws and tax rates. Income tax expense or benefit is provided based on earnings reported in the consolidated financial statements. The provision for income tax expense or benefit differs from the amounts of income taxes currently payable because certain items of income and expense included in the consolidated financial statements are recognized in different time periods by taxing authorities. Deferred tax assets, including operating losses, capital losses, and tax credit carryforwards, are reduced by a valuation allowance when it is more likely than not that any portion of these tax attributes will not be realized. In addition, from time to time, management assesses the need to accrue or disclose uncertain tax positions. In making these assessments, management must often analyze complex tax laws of multiple jurisdictions. Accounting guidance prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The Company records the related interest expense and penalties, if any, as tax expense in the tax provision. See Note 17, "Income Taxes," for more information on the Company's income taxes. |
New Accounting Guidance
New Accounting Guidance | 12 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
New Accounting Guidance | New Accounting Guidance Recently Adopted Accounting Standards In November 2021, the FASB issued an Accounting Standards Update ("ASU") 2021-10, Government Assistance, (Topic 832) that adds certain disclosure requirements for entities that receive government assistance. The standard is effective for annual periods beginning after December 15, 2021, with early application permitted. The Company adopted ASU 2021-10 on July 1, 2022. The Company analyzed amounts received from government assistance programs and determined the program amounts received are individually, and in the aggregate, not material. ASU 2021-10 may have an impact on the Company’s disclosures in the future, if government assistance provided to the Company were to become material. Accounting Standards Not Yet Adopted In September 2022, the FASB issued ASU 2022-04 that adds certain disclosure requirements for entities that use supplier finance programs in connection with the purchase of goods and services. The new standard's requirement to disclose the key terms of supplier finance programs is effective for all interim and annual periods beginning with the Company's fiscal year ending June 30, 2024. The new standard does not affect the recognition, measurement, or financial statement presentation of supplier finance program obligation s. Early adoption is permitted. The Company adopted this new disclosure guidance on July 1, 2023, except for the amendment on roll forward information which is not effective until July 1, 2024. The Company considers the applicability and impact of all ASUs issued by the FASB. The Company determined at this time that all other ASUs not yet adopted are either not applicable or are expected to have minimal impact on the Company's consolidated financial statements. |
Restructuring, Impairment, and
Restructuring, Impairment, and Other Related Activities, Net | 12 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring, Impairment, and Related Expenses, Net | Restructuring, Impairment, and Other Related Activities, Net Restructuring, impairment, and other related activities, net as reported on the consolidated statements of income are summarized as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Gain on disposal of Russian business, net $ 215 $ — $ — Restructuring and related expenses, net (111) (96) (94) Russia-Ukraine impairment expenses — (138) — Restructuring, impairment, and other related activities, net $ 104 $ (234) $ (94) A pre-tax net gain on disposal of the Company's three manufacturing facilities in Russia ("Russian business") of $215 million was recognized during fiscal year 2023. The carrying value of the Russian business had previously been impaired by $90 million in the fourth quarter of fiscal year 2022, following the Company's approved plan to sell its Russian operations. For further information, refer to Note 5, "Acquisitions and Divestitures," and Note 6, "Held for Sale." Impairment expenses of $138 million were incurred in the fourth quarter of fiscal year 2022 as a result of the Russia-Ukraine Conflict. In addition to the impairment charge on Russian business mentioned above, the Company recognized other expenses of $48 million, given the expectation that certain assets not held for sale in the conflict region will not be recoverable. The Company's manufacturing plant in Ukraine ceased operations in February 2022 and has not resumed operations given the ongoing conflict in the region has displaced the Company's employees, destroyed nearby manufacturing facilities, and impaired the region's supporting infrastructure. Other asset impairment expenses in the last three fiscal years were not material and were primarily reported in restructuring and related expenses, net. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Jun. 30, 2023 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Acquisitions and Divestitures Year ended June 30, 2023 Acquisitions On August 1, 2022, the Company completed the acquisition of 100% equity interest in a Czech Republic company that operates a world-class flexible packaging manufacturing plant. The purchase consideration of $59 million included a deferred portion of $5 million that was paid in the first quarter of fiscal year 2024. The acquisition is part of the Company's Flexibles reportable segment and resulted in the recognition of acquired identifiable net assets of $36 million and goodwill of $23 million. Goodwill is not deductible for tax purposes. The fair values of the identifiable net assets acquired and goodwill are based on the Company's best estimate as of June 30, 2023. On March 17, 2023, the Company completed the acquisition of 100% equity interest in a medical device packaging manufacturing site in Shanghai, China. The purchase consideration of $60 million is subject to customary post-closing adjustments. The consideration includes contingent consideration of $20 million, to be earned and paid in cash over the three years following the acquisition date, subject to meeting certain performance targets. The acquisition is part of the Company's Flexibles reportable segment and resulted in the recognition of acquired identifiab le net assets of $21 million and goodwill of $39 million. Goodwill is not deductible for tax purposes. The fair values of the co ntingent consideration, identifiable net assets acquired, and goodwill are based on the Company's best estimate as of June 30, 2023, and are considered preliminary. The Company aims to complete the purchase price allocation as soon as practicable but no later than one year from the date of the acquisition. On May 31, 2023, the Company completed the acquisition of a New Zealand based leading manufacturer of state-of-the-art, automated protein packaging machines. The purchase consideration of $45 million is subject to customary post-closing adjustments. The consideration includes contingent consideration of $13 million, to be earned and paid in cash over the two years following the acquisition date, subject to meeting certain performance targets. The acquisition is part of the Company's Flexibles reportable segment and resulted in the recognition of acquired identifiable net assets of $9 million and goodwill of $36 million. Goodwill is deductible for tax purposes. The fair values of the contingent consideration, identifiable net assets acquired, and goodwill are based on the Company's best estimate as of June 30, 2023, and are considered preliminary. The Company aims to complete the purchase price allocation as soon as practicable but no later than one year from the date of the acquisition. T he fair value estimates for all three acquisitions were based on income, market, and cost valuation methods. Pro forma information related to these acquisitions has not been presented, as the effect of the acquisitions on the Company's consolidated financial statements was not material. Disposal of Russian business On December 23, 2022, the Company completed the sale of its Russian business after receiving all necessary regulatory approvals and cash proceeds, including receipt of closing cash balances. The sale follows the Company’s previously announced plan to pursue the orderly sale of its Russian business. The total net cash consideration received, excluding disposed cash and items settled net, was $365 million and resulted in a pre-tax net gain of $215 million . The carrying value of the Russian business had previously been impaired by $90 million in the quarter ended June 30, 2022. The impairment charge was based on the Company's best estimate of the fair value of its Russian business, which considered the wide range of indicative bids received and uncertain regulatory environment. The net pre-tax gain on disposal of the Russian business has been recorded as restructuring, impairment, and other related activities, net within the consolidated statements of income. The Russian business had a net carrying value of $252 million , including allocated goodwill of $46 million and accumulated other comprehensive losses of $73 million , primarily attributed to foreign currency translation adjustments. Year ended June 30, 2022 During the third quarter of fiscal year 2022, the Company completed the disposal of non-core assets in the Flexibles reporting segment. The Company recorded an expense of $10 million during the fiscal year ended June 30, 2022, to adjust the long-lived assets to their fair value less cost to sell. Year ended June 30, 2021 As part of optimizing its portfolio under the 2019 Bemis Integration Plan, the Company completed the disposal of a non-core European hospital supplies business, which was part of the Flexibles reportable segment. The resulting gain from the sale has been recorded in the line restructuring, impairment, and other related activities, net, in the consolidated statements of income. Refer to Note 7, " Restructuring ." The Company also completed the disposal of two non-core businesses in India and Argentina in the Flexibles reportable segment during the first quarter of fiscal year 2021, recording a loss on sale of $6 million recorded in the line other income, net, in the consolidated statements of income, which was primarily driven by the reclassification of cumulative translation adjustments through the income statements that had previously been recorded in other comprehensive income/(loss). The Company sold its equity investment in AMVIG Holdings Limited ("AMVIG") in the first quarter of fiscal year 2021. Refer to Note 8, "Equity Method and Other Investments." |
Held for Sale
Held for Sale | 12 Months Ended |
Jun. 30, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Held for Sale | Held for Sale During the fourth quarter of fiscal year 2022, the Company classified the assets and liabilities of its Russian operations as held for sale as a result of the Company's decision to sell its Russian business and recorded an impairment of $90 million. On December 23, 2022, the Company completed the sale of the Russian business and derecognized the assets and liabilities previously classified as held for sale. The disposal did not represent a strategic shift that had a major effect on the Company's operations and financial results, and therefore did not qualify for reporting as a discontinued operation. The Russian business was part of the Company’s Flexibles reportable segment. For further information, refer to Note 5, "Acquisitions and Divestitures." Major classes of assets and liabilities of the Russian business classified as held for sale were as follows: ($ in millions) June 30, 2023 June 30, 2022 Cash and cash equivalents $ — $ 75 Trade receivables, net — 66 Inventories, net — 40 Prepaid expenses and other current assets — 36 Property, plant, and equipment, net — 49 Goodwill — 16 Total assets held for sale — 282 Less accumulated impairment (1) — (90) Total assets held for sale, net $ — $ 192 Trade payables — 65 Total current liabilities held for sale $ — $ 65 (1) Inclusive of accumulated other comprehensive loss related to the Russian business. This table excludes other non-material assets and liabilities that are held for sale but not part of the Russian business. |
Restructuring
Restructuring | 12 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring Restructuring and related expenses, net were $111 million, $96 million, and $94 million for the fiscal years ended June 30, 2023, 2022, and 2021 respectively. The net expenses related to restructuring activities have been presented on the consolidated statements of income as part of restructuring, impairment, and other related activities, net. The Company's restructuring activities for the fiscal year ended June 30, 2023, primarily comprised of restructuring activities related to the 2023 Restructuring Plan (as defined below). The Company's restructuring activities for the fiscal year ended June 30, 2022, included expenses triggered by the Russia-Ukraine conflict to help mitigate the impact of the Russian sale and expenses related to the Company's 2019 plan from the integration of the acquired Bemis operations ("2019 Bemis Integration Plan"), which was substantially completed at the end of fiscal year 2022. The Company's restructuring activities for the fiscal year ended June 30, 2021, were mainly comprised of expenses related to the 2019 Bemis Integration Plan. Restructuring related expenses are directly attributable to restructuring activities; however, they do not qualify for special accounting treatment as exit or disposal activities. The Company believes the disclosure of restructuring related costs provides more information on its restructuring activities. 2023 Restructuring Plan On February 7, 2023, the Company announced that it will allocate approximately $110 million to $130 million of the sale proceeds from the Russian business to various cost saving initia tives to partly help offset divested earnings from the Russian business (the "2023 Restructuring Plan" or the "Plan"). The Company expects the total Plan cash and non-cash net expenses to total $200 million to $220 million . The Company has initiated by the end of fiscal year 2023 projects with an expected net cost of approximately $150 million, of which $65 million relates to employee related expenses, $15 million to fixed asset related expenses (net of expected gains on asset disposals), $55 million to other restructuring expenses, and $15 million to restructuring related expenses. The projects initiated in fiscal year 2023 are expected to result in $80 million of net cash expenditures. The Plan includes both the Flexibles and Rigid Packaging reportable segments and is expected to be largely completed by the end of fiscal year 2024. During fiscal year 2023, the Company has incurred $65 million in employee related expenses, $13 million in fixed asset related expenses, $10 million in other restructuring, and $6 million in restructuring related expenses, with $86 million incurred in the Flexibles reportable segment and $8 million incurred in the Rigid Packaging reportab le segment related to this Plan. In fiscal year 2023, the Plan resulted in net cash outflows of approxi mately $25 million. The restructuring related costs relate primarily to the closure of facilities and include startup and training costs after relocation of equipment, and other costs incidental to the Plan. 2019 Bemis Integration Plan In connection with the acquisition of Bemis Company, Inc. ("Bemis"), the Company initiated restructuring activities in the fourth quarter of 2019 aimed at integrating and optimizing the combined organization. The 2019 Bemis Integration Plan was completed by June 30, 2022, with a final pre-tax integration cost amounting to $253 million. The total 2019 Bemis Integration Plan cost included $213 million of restructuring and related expenses, net, and $40 million of general integration expenses. The net cash expenditures for the plan, including disposal proceeds, were $170 million, of which $40 million related to general integration expenses. As part of this Plan, the Company incurred $144 million in employee related expenses, $36 million in fixed asset related expenses, $39 million in other restructuring and $45 million in restructuring related expenses, partially offset by a gain on disposal of a business of $51 million. The restructuring related costs relate primarily to the closure of facilities and include costs to replace graphics, train new employees on relocated equipment, and losses on sale of closed facilities. 2018 Rigid Packaging Restructuring Plan On August 21, 2018, the Company announced a restructuring plan in Amcor Rigid Packaging ("2018 Rigid Packaging Restructuring Plan") aimed at reducing structural costs and optimizing the footprint. The Plan included the closures of manufacturing facilities and headcount reductions to achieve manufacturing footprint optimization and productivity improvements as well as overhead cost reductions. The 2018 Rigid Packaging Restructuring Plan was completed by June 30, 2021, with total pre-tax restructuring costs of $121 million, of which $78 million resulted in cash expenditures, with the main component being the cost to exit manufacturing facilities and employee related costs. Other Restructuring Plans The Company has entered into other restructuring plans ("Other Restructuring Plans"). The Company's restructuring charges related to these plans were $17 million, $59 million, and $6 million for the fiscal years ended June 30, 2023, 2022, and 2021, respectively. During fiscal year 2023, the Company recorded $17 million i n restructuring and related expenses classified within Other Restructuring Plans of which $3 million relate to employee related expenses, $5 million to fixed asset related expenses, $5 million to other restructuring expenses, and $4 million to restructuring related expenses. During fiscal year 2022 , the Company recorded $57 million in restructuring and related expenses classified within Other Restructuring Plans triggered by the Russia-Ukraine conflict to help mitigate the impact of disposed earnings from the Russian sale. Consolidated Amcor Restructuring Plans The total expenses incurred from the beginning of the Company's material restructuring plans are as follows: ($ in millions) 2018 Rigid Packaging Restructuring Plan 2019 Bemis Integration Plan (3) 2023 Restructuring Plan (1) Other Restructuring Plans (2) Total Restructuring and Related Expenses, Net Fiscal year 2019 $ 64 $ 48 $ — $ 19 $ 131 Fiscal year 2020 37 60 — 18 115 Fiscal year 2021 20 68 — 6 94 Fiscal year 2022 — 37 — 59 96 Fiscal year 2023 — — 94 17 111 Net expenses incurred $ 121 $ 213 $ 94 $ 119 $ 547 (1) Fiscal year 2023 i ncludes restructuring related costs from the 2023 Restructuring Plan of $6 million. (2) Fiscal year 2023 includes restructuring related costs of $4 million that pertain to " Other Restructuring Plans. " Fiscal year 2022 includes $55 million in restructuring expenses and $2 million of restructuring related expenses that pertain to the Russia-Ukraine conflict as discussed above in section "Other Restructuring Plans." (3) Fiscal years 2022 and 2021 include $17 million and $13 million, respectively, of restructuring related costs from the 2019 Bemis Integration Plan. An analysis of the restructuring expenses by type incurred follows: Years ended June 30, ($ in millions) 2023 2022 2021 Employee related expenses $ 68 $ 58 $ 76 Fixed asset related expenses 18 4 23 Other expenses 15 15 34 Gain on sale of business — — (51) Total restructuring expenses, net $ 101 $ 77 $ 82 An analysis of the Company's restructuring plan liability, not including restructuring related liabilities, is as follows: ($ in millions) Employee Costs Fixed Asset Related Costs Other Costs Total Restructuring Costs Liability balance at June 30, 2020 $ 70 $ 3 $ 12 $ 85 Net charges to earnings 76 23 34 133 Cash paid (61) (5) (30) (96) Non-cash and other (9) (23) — (32) Foreign currency translation 2 2 1 5 Liability balance at June 30, 2021 78 — 17 95 Net charges to earnings 58 4 15 77 Cash (paid)/received, net (27) 4 (14) (37) Non-cash and other (3) (5) — (8) Foreign currency translation (9) — — (9) Liability balance at June 30, 2022 97 3 18 118 Net charges to earnings 68 18 15 101 Cash paid (42) — (13) (55) Non-cash and other — (18) — (18) Foreign currency translation 3 — 1 4 Liability balance at June 30, 2023 $ 126 $ 3 $ 21 $ 150 |
Equity Method and Other Investm
Equity Method and Other Investments | 12 Months Ended |
Jun. 30, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method and Other Investments | Equity Method and Other Investments As of June 30, 2023, and 2022 , the Company has invested $89 million and $22 million, respectively, in multiple equity and other investments. All of the investments are individually immaterial, with the Company's largest equity investment of $33 million in ePac Holdings, LLC ("ePac") representing an ownership of 18.9%. The Company's investment in ePac is accounted for under the equity method. All investments are included in other non-current assets in the Company's consolidated balance sheets. While immaterial in fiscal year 2023, the Company accounts for its share in ePac's net income in equity in income of affiliated companies, net of tax in the consolidated statements of income, with a three month lag due to the availability of financial information. The Company received no dividends from its equity method investments in the fiscal years ended June 30, 2023, and 2022. In fiscal year 2021, the Company received dividends of $4 million from its equity method investments. The Company sold its equity method investment in AMVIG Holdings Limited ("AMVIG"), where it had held a 47.6% interest, on September 30, 2020, realizing a net gain of $15 million, which was recorded in equity in income of affiliated companies, net of tax in the consolidated statements of income. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, Net | Property, Plant, and Equipment, Net The components of property, plant, and equipment, net, were as follows: ($ in millions) June 30, 2023 June 30, 2022 Land and land improvements $ 203 $ 201 Buildings and improvements 1,483 1,323 Plant and equipment 6,084 5,797 Total property, plant, and equipment 7,770 7,321 Accumulated depreciation (3,963) (3,617) Accumulated impairment (45) (58) Total property, plant, and equipment, net $ 3,762 $ 3,646 Depreciation expense amounted to $395 million , $398 million, and $389 million for fiscal years 2023, 2022, and 2021, respectively. Amortization of assets under finance leases is included in depreciation expense. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Changes in the carrying amount of goodwill attributable to each reportable segment were as follows: ($ in millions) Flexibles Segment Rigid Packaging Segment Total Balance as of June 30, 2021 $ 4,437 $ 982 $ 5,419 Held for sale reclassification (1) (16) — (16) Foreign currency translation (114) (4) (118) Balance as of June 30, 2022 4,307 978 5,285 Acquisitions and acquisition adjustments (2) 98 — 98 Disposals (1) (30) — (30) Foreign currency translation 16 (3) 13 Balance as of June 30, 2023 $ 4,391 $ 975 $ 5,366 (1) As of June 30, 2022, $16 million of goodwill attributable to the Russian business was classified as assets held for sale, net. When the business was disposed on December 23, 2022, an additional $30 million of goodwill was allocated and disposed of. For further information, refer to Note 5, "Acquisitions and Divestitures," and Note 6, "Held for Sale." (2) Acquisitions and acquisition adjustments are detailed in Note 5, "Acquisitions and Divestitures." Other Intangible Assets, Net Other intangible assets, net is comprised of the following: June 30, 2023 ($ in millions) Gross Carrying Amount Accumulated Amortization and Impairment (1) Net Carrying Amount Customer relationships $ 1,987 $ (660) $ 1,327 Computer software 261 (185) 76 Other (2) 327 (206) 121 Total other intangible assets $ 2,575 $ (1,051) $ 1,524 June 30, 2022 ($ in millions) Gross Carrying Amount Accumulated Amortization and Impairment (1) Net Carrying Amount Customer relationships $ 1,970 $ (529) $ 1,441 Computer software 235 (162) 73 Other (2) 323 (180) 143 Total other intangible assets $ 2,528 $ (871) $ 1,657 (1) Accumulated amortization and impairment included $34 million and $33 million for June 30, 2023, and 2022, respectively, of accumulated impairment in the Other category. (2) Other included $17 million and $16 million for June 30, 2023, and 2022, respectively, of acquired intellectual property assets not yet being amortized as the related research and development projects have not yet been completed. Amortization expense for intangible assets during the fiscal years 2023, 2022, and 2021 was $174 million, $180 million, and $182 million, respectively. During the last three fiscal years, there were no impairment charges recorded on intangible assets. Estimated future amortization expense for intangible assets is as follows: ($ in millions) Amortization Fiscal year 2024 $ 173 Fiscal year 2025 159 Fiscal year 2026 156 Fiscal year 2027 141 Fiscal year 2028 141 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The fair values of the Company's financial assets and financial liabilities listed below reflect the amounts that would be received to sell the assets or paid to transfer the liabilities in an orderly transaction between market participants at the measurement date (exit price). The Company's non-derivative financial instruments primarily include cash and cash equivalents, trade receivables, trade payables, short-term debt, and long-term debt. At June 30, 2023, and 2022, the carrying value of these financial instruments, excluding long-term debt, approximated fair value because of the short-term nature of these instruments. Fair value disclosures are classified based on the fair value hierarchy. See Note 2, "Significant Accounting Policies," for information about the Company's fair value hierarchy. The carrying value of long-term debt with variable interest rates approximates its fair value. The fair value of the Company's long-term debt with fixed interest rates is based on market prices, if available, or expected future cash flows discounted at the current interest rate for financial liabilities with similar risk profiles. The carrying values and estimated fair values of long-term debt with fixed interest rates (excluding the fair value of designated receive-fixed/pay variable rate swaps) were as follows: June 30, 2023 June 30, 2022 Carrying Value Fair Value Carrying Value Fair Value ($ in millions) (Level 2) (Level 2) Total long-term debt with fixed interest rates (excluding commercial paper (1) and finance leases) $ 4,123 $ 3,844 $ 3,952 $ 3,694 (1) As of June 30, 2023, and 2022, the Company has entered into interest rate swap contracts for a total notional amount of commercial paper equal to $1.2 billion and nil, respectively. These contracts are considered to be economic hedges and the related $1.2 billion notional amount of commercial paper is also excluded from the total long-term debt with fixed interest rates. Assets and Liabilities Measured and Recorded at Fair Value on a Recurring Basis Additionally, the Company measures and records certain assets and liabilities, including derivative instruments and contingent purchase consideration liabilities, at fair value. The following table summarizes the fair value of these instruments, which are measured at fair value on a recurring basis, by level, within the fair value hierarchy: June 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Assets Forward exchange contracts — 3 — 3 Interest rate swaps — 16 — 16 Total assets measured at fair value $ — $ 19 $ — $ 19 Liabilities Contingent purchase consideration liabilities $ — $ — $ 46 $ 46 Commodity contracts — 2 — 2 Forward exchange contracts — 5 — 5 Interest rate swaps — 96 — 96 Total liabilities measured at fair value $ — $ 103 $ 46 $ 149 June 30, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Assets Commodity contracts $ — $ 6 $ — $ 6 Forward exchange contracts — 7 — 7 Total assets measured at fair value $ — $ 13 $ — $ 13 Liabilities Contingent purchase consideration liabilities $ — $ — $ 16 $ 16 Commodity contracts — 3 — 3 Forward exchange contracts — 17 — 17 Interest rate swaps — 69 — 69 Total liabilities measured at fair value $ — $ 89 $ 16 $ 105 The fair value of the commodity contracts was determined using a discounted cash flow analysis based on the terms of the contracts and observed market forward prices discounted at a currency specific rate. Forward exchange contract fair values were determined based on quoted prices for similar assets and liabilities in active markets using inputs such as currency rates and forward points. The fair value of the interest rate swaps was determined using a discounted cash flow method based on market-based swap yield curves, taking into account current interest rates. Contingent purchase consideration liabilities arise from business acquisitions and other investments. As of June 30, 2023, the Company has contingent purchase consideration liabilities of $46 million, mainly consisting of $33 million of contingent consideration relating to current period acquisitions (refer to Note 5, "Acquisitions and Divestitures") and a $10 million liability that is contingent on future royalty income generated by Discma AG, a subsidiary acquired in March 2017. The fair value of the contingent purchase consideration liabilities was determined for each arrangement individually. The fair value was determined using an income approach with significant inputs that are not observable in the market. Key assumptions include the selection of discount rates consistent with the level of risk of achievement and probability adjusted financial projections. The expected outcomes are recorded at net present value, which require adjustment over the life for changes in risks and probabilities. Changes arising from modifications in forecasts related to contingent consideration are expected to be immaterial. The fair value of contingent purchase consideration liabilities is included in other current liabilities and other non-current liabilities in the consolidated balance sheets. The change in fair value of the contingent purchase consideration liabilities, which was included in other income, net is due to the passage of time and changes in the probability of achievement used to develop the estimate. The following table sets forth a summary of changes in the value of the Company's Level 3 financial liabilities: June 30, ($ in millions) 2023 2022 Fair value at the beginning of the year $ 16 $ 18 Additions due to acquisitions 33 — Change in fair value of Level 3 liabilities (2) — Payments — (1) Foreign currency translation (1) (1) Fair value at the end of the year $ 46 $ 16 Assets and Liabilities Measured and Recorded at Fair Value on a Nonrecurring Basis In addition to assets and liabilities that are recorded at fair value on a recurring basis, the Company records certain assets at fair value on a nonrecurring basis, generally when events or changes in circumstances indicate the carrying value may not be recoverable, or when they are deemed to be other than temporarily impaired. These assets include goodwill and other intangible assets, equity method and other investments, long-lived assets and disposal groups held for sale, and other long-lived assets. The fair values of these assets are determined, when applicable, based on valuation techniques using the best information available, and may include quoted market prices, market comparables, and discounted cash flow projections. These nonrecurring fair value measurements are considered to be Level 3 in the fair value hierarchy. As further discussed in Note 6, “Held for Sale,” during the fourth quarter of fiscal year 2022, the Company met the criteria to recognize the related assets and liabilities of its Russian operations as held for sale which resulted in the Company remeasuring the disposal group at its fair value, less cost to sell, which is considered a Level 3 fair value measurement. In addition, resulting from the effective disposal of non-core businesses during the fiscal year ended June 30, 2022, the Company recorded a total loss of $34 million, predominantly to adjust the long-lived assets to their fair value less cost to sell. Of these losses, $24 million are included within restructuring, impairment, and other related activities, net as relating to the Russia-Ukraine conflict with the balance recorded in other income, net in the consolidated statements of income. During the fiscal year ended June 30, 2022, further long-lived assets with a carrying value of $12 million were written down to a fair value of zero as the Company's Durban, South Africa, manufacturing facility was destroyed in a fire as the result of general civil unrest. In addition, during the fiscal year ended June 30, 2022, other long-lived assets in South Africa, with a carrying amount of $8 million, were written down to their estimated fair value of $4 million using level 3 inputs. These expenses are included within other income, net in the consolidated statements of income. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments The Company periodically uses derivatives and other financial instruments to hedge exposures to interest rate, commodity price, and currency risks. The Company does not hold or issue derivative instruments for speculative or trading purposes. For hedges that meet the hedge accounting criteria, the Company, at inception, formally designates and documents the instruments as a fair value hedge or a cash flow hedge of a specific underlying exposure. On an ongoing basis, the Company assesses and documents that its hedges have been and are expected to continue to be highly effective. Interest Rate Risk The Company's policy is to manage exposure to interest rate risk by maintaining a mixture of fixed-rate and variable-rate debt, monitoring global interest rates, and, where appropriate, hedging floating interest rate exposure or debt at fixed interest rates through various interest rate derivative instruments, including, but not limited to, interest rate swaps, cross-currency interest rate swaps, and interest rate locks. For interest rate swaps that are accounted for as fair value hedges, the gains and losses related to the changes in the fair value of the interest rate swaps are included in interest expense and offset changes in the fair value of the hedged portion of the underlying debt that are attributable to the changes in market interest rates. Changes in the fair value of interest rate swaps that have not been designated as hedging instruments are reported in the accompanying consolidated statements of income in other income, net. In October 2022, the Company entered into interest rate swap contracts for a total notional amount of $1.25 billion. Under the terms of the contracts, the Company paid a weighted-average fixed rate of interest of 4.53% and received a variable rate of interest, based on compound overnight SOFR, for the period from November 2022 through June 2023, settled monthly. In March 2023, the Company entered into interest rate swap contracts for a total notional amount of $1.2 billion. Under the terms of the contracts, the Company will pay a weighted-average fixed interest rate of 3.88% and receives a variable rate of interest, based on 1-month Term SOFR, from July 2023 through June 2024, settled monthly. As of June 30, 2023 , the Company had no other receive-variable/pay-fixed interest rate swaps than those listed above. As of June 30, 2022, the Company had no receive-variable/pay-fixed interest rate swaps. Although the Company is not applying hedge accounting, the Company believes that these economic hedging instruments are effective in protecting the Company against the risks of changes in the variable interest rate on a portion of its forecasted commercial paper issuances. As of June 30, 2023, and 2022, the total notional amount of the Company's receive-fixed/pay-variable interest rate swaps was $650 million. Foreign Currency Risk The Company manufactures and sells its products and finances operations in a number of countries throughout the world and, as a result, is exposed to movements in foreign currency exchange rates. The purpose of the Company's foreign currency hedging program is to manage the volatility associated with the changes in exchange rates. To manage this exchange rate risk, the Company utilizes forward contracts. Contracts that qualify for hedge accounting are designated as cash flow hedges of certain forecasted transactions denominated in foreign currencies. The effective portion of the changes in fair value of these instruments is reported in accumulated other comprehensive loss ("AOCI") and reclassified into earnings in the same financial statement line item and in the same period or periods during which the related hedged transactions affect earnings. The ineffective portion is recognized in earnings over the life of the hedging relationship in the same consolidated statements of income line item as the underlying hedged item. Changes in the fair value of forward contracts that have not been designated as hedging instruments are reported in the accompanying consolidated statements of income. As of June 30, 2023, and 2022, the notional amount of the outstanding forward contracts was $0.5 billion and $1.0 billion, respectively. Commodity Risk Certain raw materials used in the Company's production processes are subject to price volatility caused by weather, supply conditions, political and economic variables, and other unpredictable factors. The Company's policy is to minimize exposure to price volatility by passing through the commodity price risk to customers, including through the use of fixed price swaps. In some cases, the Company purchases, on behalf of customers, fixed price commodity swaps to offset the exposure of price volatility on the underlying sales contracts. These instruments are cash closed out on maturity and the related cost or benefit is passed through to customers. Information about commodity price exposure is derived from supply forecasts submitted by customers and these exposures are hedged by central treasury units. Changes in the fair value of commodity hedges are recognized in AOCI. The cumulative amount of the hedge is recognized in the consolidated statements of income when the forecasted transaction is realized. The Company had the following outstanding commodity contracts to hedge forecasted purchases: June 30, 2023 June 30, 2022 Commodity Volume Volume Aluminum 14,325 tons 17,040 tons PET resin 0 lbs. 16,886,520 lbs. The following table provides the location of derivative instruments in the consolidated balance sheets: ($ in millions) Balance Sheet Location June 30, 2023 June 30, 2022 Assets Derivatives in cash flow hedging relationships: Commodity contracts Other current assets $ — $ 6 Forward exchange contracts Other current assets 2 3 Forward exchange contracts Assets held for sale, net — 3 Derivatives not designated as hedging instruments: Forward exchange contracts Other current assets 1 1 Interest rate swaps Other current assets 16 — Total current derivative contracts 19 13 Total non-current derivative contracts — — Total derivative asset contracts $ 19 $ 13 Liabilities Derivatives in cash flow hedging relationships: Commodity contracts Other current liabilities $ 2 $ 3 Forward exchange contracts Other current liabilities 3 5 Derivatives not designated as hedging instruments: Forward exchange contracts Other current liabilities 1 11 Total current derivative contracts 6 19 Derivatives in cash flow hedging relationships: Forward exchange contracts Other non-current liabilities 1 1 Derivatives in fair value hedging relationships: Interest rate swaps Other non-current liabilities 96 69 Total non-current derivative contracts 97 70 Total derivative liability contracts $ 103 $ 89 Certain derivative financial instruments are subject to netting arrangements and are eligible for offset. The Company has made an accounting policy election not to offset the fair values of these instruments within the consolidated balance sheets. The following tables provide the effects of derivative instruments on AOCI and in the consolidated statements of income: Location of Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) Years ended June 30, ($ in millions) 2023 2022 2021 Derivatives in cash flow hedging relationships Commodity contracts Cost of sales $ 2 $ 20 $ 1 Forward exchange contracts Net sales (2) — — Treasury locks Interest expense (3) (3) (2) Total $ (3) $ 17 $ (1) Location of Gain / (Loss) Recognized in the Consolidated Income Statements Gain / (Loss) Recognized in Income for Derivatives not Designated as Hedging Instruments Years ended June 30, ($ in millions) 2023 2022 2021 Derivatives not designated as hedging instruments Forward exchange contracts Other income, net $ (7) $ (45) $ 11 Interest rate swaps Other income, net 16 — — Cross currency interest rate swaps Other income, net — — (4) Total $ 9 $ (45) $ 7 Location of Loss Recognized in the Consolidated Income Statements Loss Recognized in Income for Derivatives in Fair Value Hedging Relationships Years ended June 30, ($ in millions) 2023 2022 2021 Derivatives in fair value hedging relationships Interest rate swaps Interest expense $ (27) $ (75) $ (14) Forward exchange contracts Other income, net — (11) — Total $ (27) $ (86) $ (14) The changes in AOCI for effective derivatives were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Amounts reclassified into earnings Commodity contracts $ (2) $ (20) $ (1) Forward exchange contracts 2 — — Treasury locks 3 3 2 Change in fair value Commodity contracts (2) 9 22 Forward exchange contracts (3) (1) 3 Tax effect 1 2 — Total $ (1) $ (7) $ 26 |
Pension and Other Post-Retireme
Pension and Other Post-Retirement Plans | 12 Months Ended |
Jun. 30, 2023 | |
Retirement Benefits [Abstract] | |
Pension and Other Post-Retirement Plans | Pension Plans The Company sponsors both funded and unfunded defined benefit pension plans that include a statutory and mandated benefit provision in various countries as well as voluntary plans (generally closed to new joiners). During fiscal year 2023, the Company maintained approximately 20 statutory and mandated defined benefit arrangements and approximately 50 voluntary defined benefit plans. The Company’s principal defined benefit plans are in the United States, Switzerland, United Kingdom, and Germany. The majority of the principal defined benefit plans are closed to new entrants and future accruals, and the majority of these plans are funded. During the fourth quarter of fiscal year 2023, Amcor announced a plan termination date of July 31, 2023, for one of the Company's closed principal defined benefit plans in the United States (the "U.S. Plan"). Benefit obligations related to the U.S. Plan of $265 million are expected to be distributed through a combination of lump sum payments to eligible plan participants who elect such payments, and through the purchase of group annuity contracts for the remaining participants. The U.S. Plan's benefit obligations as of June 30, 2023 were determined on a plan termination basis, assuming that a portion of eligible active and deferred vested participants will elect lump sum payments. The U.S. Plan is expected to have sufficient plan assets to satisfy the majority of the transaction obligations. Distributions are expected to begin in fiscal year 2025, which will likely trigger settlement accounting. During the second quarter of fiscal year 2022, the Company contracted with Pacific Life Insurance Company to purchase a group annuity contract and transfer $186 million of its pension plan assets and related benefit obligations related to three principal defined benefit plans in the United States. This transaction required a remeasurement of the pension plan assets and obligations and resulted in the recognition of a $3 million non-cash pension settlement loss in fiscal year 2022. Net periodic benefit cost for benefit plans includes the following components: Years ended June 30, ($ in millions) 2023 2022 2021 Service cost $ 13 $ 24 $ 27 Interest cost 49 39 40 Expected return on plan assets (55) (61) (60) Amortization of net loss 2 5 8 Amortization of prior service credit (3) (3) (2) Curtailment credit — — (1) Settlement costs 5 8 3 Net periodic benefit cost $ 11 $ 12 $ 15 Changes in benefit obligations and plan assets were as follows: ($ in millions) June 30, 2023 June 30, 2022 Change in benefit obligation: Benefit obligation at the beginning of the year $ 1,314 $ 2,022 Service cost 13 24 Interest cost 49 39 Participant contributions 6 6 Actuarial gain (90) (341) Settlements (27) (244) Benefits paid (62) (70) Administrative expenses (4) (6) Plan amendments (4) 1 Divestitures — (4) Other (2) — Foreign currency translation 31 (113) Benefit obligation at the end of the year $ 1,224 $ 1,314 Accumulated benefit obligation at the end of the year $ 1,186 $ 1,269 Change in plan assets: Fair value of plan assets at the beginning of the year $ 1,195 $ 1,759 Actual return on plan assets (100) (189) Employer contributions 26 35 Participant contributions 6 6 Benefits paid (62) (70) Settlements (27) (244) Administrative expenses (4) (6) Foreign currency translation 27 (96) Fair value of plan assets at the end of the year $ 1,061 $ 1,195 Funded status at the end of the year $ (163) $ (119) Actuarial gains resulting in a decrease of the benefit obligation were primarily due to a weighted average increase in discount rates for the Company's pension plans of 0.5% and 1.7% for the fiscal years ended June 30, 2023, and June 30, 2022, respectively. Settlement impact for the fiscal year ended June 30, 2022, is attributed to group annuity contracts, primarily a $186 million contract with Pacific Life Insurance Company, and other lump sum transfers and payments. The following table provides information for defined benefit plans with a projected benefit obligation in excess of plan assets: ($ in millions) June 30, 2023 June 30, 2022 Projected benefit obligation $ 832 $ 398 Fair value of plan assets 601 189 The following table provides information for defined benefit plans with an accumulated benefit obligation in excess of plan assets: ($ in millions) June 30, 2023 June 30, 2022 Accumulated benefit obligation $ 799 $ 357 Fair value of plan assets 589 177 The following table provides information as to how the funded status is recognized in the consolidated balance sheets: ($ in millions) June 30, 2023 June 30, 2022 Non-current assets - Employee benefit assets $ 67 $ 89 Current liabilities - Other current liabilities (6) (7) Non-current liabilities - Employee benefit obligations (224) (201) Funded status $ (163) $ (119) Amounts recognized in other comprehensive (income)/loss for the fiscal years ended are as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Changes in plan assets and benefit obligations recognized in other comprehensive (income)/loss: Net actuarial loss/(gain) occurring during the year $ 65 $ (91) $ (58) Net prior service loss/(gain) occurring during the year (4) 1 (16) Amortization of actuarial loss (2) (5) (8) Gain recognized due to settlement/curtailment (4) (8) (2) Amortization of prior service credit 3 3 2 Acquisition/disposal loss — (1) — Foreign currency translation 3 (14) 16 Tax effect (11) 21 14 Total recognized in other comprehensive (income)/loss $ 50 $ (94) $ (52) Amounts in AOCI that have not yet been recognized as net periodic benefit cost, as of fiscal year-ends, are as follows: June 30, ($ in millions) 2023 2022 2021 Net prior service credit $ (17) $ (15) $ (20) Net actuarial loss 128 65 185 Accumulated other comprehensive loss at the end of the year $ 111 $ 50 $ 165 Weighted-average assumptions used to determine benefit obligations at fiscal year-ends were: June 30, 2023 2022 2021 Discount rate 4.3 % 3.8 % 2.1 % Rate of compensation increase 1.9 % 2.3 % 1.7 % Weighted-average assumptions used to determine net periodic benefit cost for the fiscal years ended were: June 30, 2023 2022 2021 Discount rate 3.8 % 2.1 % 2.0 % Rate of compensation increase 2.3 % 1.7 % 1.9 % Expected long-term rate of return on plan assets 4.4 % 3.8 % 3.5 % Where funded, the Company and, in some countries, the employees make cash contributions into the pension fund. In the case of unfunded plans, the Company is responsible for benefit payments as they fall due. Plan funding requirements are generally determined by local regulation and/or best practice and differ between countries. The local statutory funding positions are not necessarily consistent with the funded status disclosed on the consolidated balance sheets. For any funded plans in deficit (as measured under local country guidelines), the Company agrees with the trustees and plan fiduciaries to undertake suitable funding programs to provide additional contributions over time in accordance with local country requirements. Contributions to the Company's defined benefit pension plans, not including unfunded plans, are expected to be $29 million over the next fiscal year. The following benefit payments for the succeeding five fiscal years and thereafter, which reflect expected future service, as appropriate, are expected to be paid: ($ in millions) 2024 $ 72 2025 320 2026 56 2027 56 2028 58 2029-2033 308 The fiscal year 2025 benefit payments include the expected distributions associated with the plan termination announced for the U.S. Plan. The ERISA Benefit Plan Committee in the United States, the Pension Plan Committee in Switzerland, and the Trustees of the pension plans in UK establish investment policies, investment strategies, allocation strategies, and investment risk profiles for the Company's pension plan assets and are required to consult with the Company on changes to their investment policy. In developing the expected long-term rate of return on plan assets at each measurement date, the Company considers the plan assets' historical returns, asset allocations, and the anticipated future economic environment and long-term performance of the asset classes. While appropriate consideration is given to recent and historical investment performance, the assumption represents management's best estimate of the long-term prospective return. The pension plan assets measured at fair value were as follows: June 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Equity securities $ 114 $ 54 $ — $ 168 Debt securities 77 405 — 482 Real estate 7 105 — 112 Insurance contracts — — 192 192 Cash and cash equivalents 58 13 — 71 Other 5 22 9 36 Total $ 261 $ 599 $ 201 $ 1,061 June 30, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Equity securities $ 111 $ 98 $ — $ 209 Debt securities (1) 73 378 — 451 Real estate 7 121 2 130 Insurance contracts — — 216 216 Cash and cash equivalents 21 3 — 24 Other 5 26 134 165 Total $ 217 $ 626 $ 352 $ 1,195 (1) Certain prior year amounts were reclassified to conform to current year presentation. Equity securities: Valued primarily at the closing prices reported in the active market in which the individual securities are traded (Level 1); or based on significant observable inputs such as fund values provided by the independent fund administrators (Level 2). Debt securities: Consists of government and corporate debt securities. Valued at the closing prices reported in the active market in which the individual securities are traded (Level 1); or based on observable inputs such as fund values provided by independent fund administrators, pricing of similar agency issues, reported trades, broker/dealer quotes, issuer spread, live trading feeds from several vendors, and benchmark yields (Level 2). Inputs may be prioritized differently at certain times based on market conditions. Real estate: Valued at the closing prices reported in the active market in which the individual securities are traded (Level 1); or based on observable inputs such as fund values provided by independent fund administrators (Level 2). Insurance contracts: Valued based on the present value of the underlying insured liabilities (Level 3). Cash and cash equivalents: Consist of cash on deposit with brokers and short-term money market funds and are shown net of receivables and payables for securities traded at period end but not yet settled (Level 1) and cash indirectly held across investment funds (Level 2). All cash and cash equivalents are stated at cost, which approximates fair value. Other: Level 1: Derivatives valued as closing prices reported in the active market. Level 2: Assets held in diversified growth funds, pooled funds, financing funds, and derivatives, where the values of the assets are determined by the investment managers or other independent third parties, based on observable inputs. Level 3: Indemnified plan assets and pooled funds (equity, credit, macro-orientated, multi-strategy, cash, and other). The values of indemnified plan assets are determined based on the value of the liabilities that the assets cover. The value of the pooled funds is calculated by the investment managers based on the net asset values of the underlying portfolios. The following table sets forth a summary of changes in the value of the Company's Level 3 assets: ($ in millions) Balance as of June 30, 2022 $ 352 Actual return on plan assets (51) Purchases, sales, and settlements (8) Transfer out of Level 3 (1) (93) Foreign currency translation 1 Balance as of June 30, 2023 $ 201 (1) In preparation for a buy-in policy contract that was executed in July 2023, the Company transferred certain Level 3 assets into Level 1 assets and Level 2 assets in fiscal year 2023. Refer to Note 24, "Subsequent Events," for further information. |
Debt
Debt | 12 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt Long-Term Debt The following table summarizes the carrying value of long-term debt as of June 30, 2023, and 2022, respectively: June 30, ($ in millions) Maturities Interest rates 2023 2022 Term debt Euro bonds, €300 million (1)(3) Mar 2023 2.75 % $ — $ 313 U.S. dollar notes, $500 million May 2025 4.00 % 500 500 U.S. dollar notes, $600 million Apr 2026 3.63 % 600 600 U.S. dollar notes, $300 million Sep 2026 3.10 % 300 300 Euro bonds, €500 million Jun 2027 1.13 % 543 522 U.S. dollar notes, $500 million May 2028 4.50 % 500 500 U.S. dollar notes, $500 million Jun 2030 2.63 % 500 500 U.S. dollar notes, $800 million May 2031 2.69 % 800 800 U.S. dollar notes, $500 million (4) May 2033 5.63 % 500 — Total term debt 4,243 4,035 Bank loans 22 22 Commercial paper (1) 2,445 2,310 Other loans (2) 33 18 Finance lease obligations 50 62 Fair value hedge accounting adjustments (5) (96) (69) Unamortized discounts and debt issuance costs (31) (24) Total debt 6,666 6,354 Less: current portion (13) (14) Total long-term debt $ 6,653 $ 6,340 (1) Indicates debt which has been classified as long-term liabilities in accordance with the Company’s ability and intent to refinance such obligations on a long-term basis. (2) Includes other loans of $12 million and nil for June 30, 2023, and 2022, respectively, which have been classified as long-term liabilities in accordance with the Company’s ability and intent to refinance such obligations on a long-term basis. (3) On March 22, 2023, the Company redeemed Euro bonds of €300 million at maturity. The redemption was funded with commercial paper. (4) On May 26, 2023, the Company issued U.S. dollar notes with an aggregate principal amount of $500 million and a contractual maturity in May 2033. The notes pay a coupon of 5.63% per annum, payable semi-annually in arrears. The notes are unsecured senior obligations of the Company and are fully and unconditionally guaranteed by the Company and certain of its subsidiaries. (5) Relates to fair value hedge basis adjustments relating to interest rate hedging. The following table summarizes the contractual maturities of the Company's long-term debt, including current maturities (excluding payments for finance leases) as of June 30, 2023, for the succeeding five fiscal years: ($ in millions) 2024 $ 3 2025 (1) 1,933 2026 600 2027 (2) 1,867 2028 504 (1) Commercial paper denominated in U.S. dollars is classified as maturing in 2025, supported by the 3-year syndicated facility, with a 1-year option to extend. (2) Commercial paper denominated in Euros is classified as maturing in 2027, supported by the 5-year syndicated facility, with a 1-year option to extend. Bank and other loans The Company has entered into syndicated and bilateral multi-currency credit facilities with financial institutions. On April 26, 2022, the Company entered into three Interest charged on borrowings under the credit facilities is based on the applicable market rate plus the applicable margin. As of June 30, 2023, and 2022, the Company's credit facilities amounted to $3.8 billion. As of June 30, 2023, and 2022, the Company has $1.3 billion and $1.4 billion of undrawn commitments, respectively. The Company incurs facility fees of 0.125% on the undrawn commitments. Such facility fees incurred were immaterial in the fiscal years ended June 30, 2023, 2022, and 2021, respectively. As of June 30, 2023, and 2022, land and buildings with a carrying value of $38 million have been pledged as security for bank and other loans. Redemption of term debt The Company may redeem its long-term debt, in whole or in part, at any time or from time to time prior to its maturity. The redemption prices typically represent 100% of the principal amount of the relevant debt plus any accrued and unpaid interest. In addition, for notes that are redeemed by the Company before their stated permitted redemption date, a make-whole premium is payable. On March 22, 2023, the Company redeemed Euro bonds of €300 million (equivalent to $322 million) at maturity. The redemption was funded with commercial paper. The notes carried an interest rate of 2.75%. Priority, Guarantees, and Financial Covenants All the notes are general unsecured senior obligations of the Company and are fully and unconditionally guaranteed on a joint and several basis by certain existing subsidiaries that guarantee its other indebtedness. The Company's primary bank debt facilities and notes are unsecured and subject to negative pledge arrangements limiting the amount of secured indebtedness the Company can incur to 10.0% of total tangible assets, subject to some exceptions and variations by facility. The Company is required to satisfy certain financial covenants pursuant to its bank debt facilities, which are tested as of the last day of each quarterly and annual financial period. The covenants require the Company to maintain a leverage ratio of not higher than 3.9 times, which is calculated as total net debt divided by Adjusted EBITDA. As of June 30, 2023, and 2022, the Company was in compliance with all debt covenants. Short-Term Debt Short-term debt is generally used to fund working capital requirements. The Company has classified commercial paper as long-term as of June 30, 2023, in accordance with the Company’s ability and intent to refinance such obligations on a long-term basis. The following table summarizes the carrying value of short-term debt as of June 30, 2023, and 2022, respectively: June 30, ($ in millions) 2023 2022 Bank loans $ 13 $ 32 Bank overdrafts 67 104 Total short-term debt $ 80 $ 136 As of June 30, 2023, the Company paid a weighted-average interest rate of 3.98% per annum on short-term debt, payable at maturity. As of June 30, 2022, the Company paid a weighted-average interest rate of 1.40% per annum, payable at maturity. |
Leases
Leases | 12 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Lessee, Operating Leases | Leases The components of lease expense are as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Operating lease expense (1) $ 127 $ 130 $ 113 Short-term and variable lease expense (2) 21 17 20 Finance lease expense Amortization of right-of-use assets (2) 4 2 2 Interest on lease liabilities (3) 2 1 1 Total lease expense $ 154 $ 150 $ 136 (1) Included in both cost of sales and selling, general, and administrative expenses (2) Included primarily in cost of sales (3) Included in interest expense The Company's leases do not contain any material residual value guarantees or material restrictive covenants. As of June 30, 2023, the Company does not have material lease commitments that have not commenced. Supplemental balance sheet information related to leases: June 30, ($ in millions) Balance Sheet Location 2023 2022 Assets Operating lease right-of-use assets, net Operating lease assets $ 533 $ 560 Finance lease assets (1) Property, plant, and equipment, net 57 62 Total lease assets $ 590 $ 622 Liabilities Operating leases: Current operating lease liabilities Other current liabilities $ 101 $ 101 Non-current operating lease liabilities Operating lease liabilities 463 493 Finance leases: Current finance lease liabilities Current portion of long-term debt 10 10 Non-current finance lease liabilities Long-term debt, less current portion 40 52 Total lease liabilities $ 614 $ 656 (1) Finance lease assets are recorded net of accumulated amortization of $12 million and $9 million as of June 30, 2023 and 2022, respectively. Supplemental cash flow information related to leases: Years ended June 30, ($ in millions) 2023 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 118 $ 122 $ 111 Operating cash flows from finance leases 2 1 1 Financing cash flows from finance leases 11 5 2 Lease assets obtained in exchange for new lease obligations: Operating leases $ 26 $ 55 $ 55 Finance leases — 34 1 Other non-cash modifications to lease assets: Operating leases 33 88 56 The following table presents the maturities of the Company's lease liabilities recorded on the consolidated balance sheets as of June 30, 2023: ($ in millions) Operating Leases Finance Leases Fiscal year 2024 $ 115 $ 11 Fiscal year 2025 99 11 Fiscal year 2026 89 6 Fiscal year 2027 74 2 Fiscal year 2028 63 2 Thereafter 218 26 Total lease payments 658 58 Less: imputed interest (94) (8) Total lease liabilities $ 564 $ 50 The weighted-average remaining lease term and discount rate are as follows: June 30, 2023 2022 Weighted-average remaining lease term (in years): Operating leases 8.0 9.0 Finance leases 10.3 10.1 Weighted-average discount rate: Operating Leases 3.6 % 3.3 % Finance leases 3.0 % 2.9 % |
Lessee, Finance Leases | Leases The components of lease expense are as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Operating lease expense (1) $ 127 $ 130 $ 113 Short-term and variable lease expense (2) 21 17 20 Finance lease expense Amortization of right-of-use assets (2) 4 2 2 Interest on lease liabilities (3) 2 1 1 Total lease expense $ 154 $ 150 $ 136 (1) Included in both cost of sales and selling, general, and administrative expenses (2) Included primarily in cost of sales (3) Included in interest expense The Company's leases do not contain any material residual value guarantees or material restrictive covenants. As of June 30, 2023, the Company does not have material lease commitments that have not commenced. Supplemental balance sheet information related to leases: June 30, ($ in millions) Balance Sheet Location 2023 2022 Assets Operating lease right-of-use assets, net Operating lease assets $ 533 $ 560 Finance lease assets (1) Property, plant, and equipment, net 57 62 Total lease assets $ 590 $ 622 Liabilities Operating leases: Current operating lease liabilities Other current liabilities $ 101 $ 101 Non-current operating lease liabilities Operating lease liabilities 463 493 Finance leases: Current finance lease liabilities Current portion of long-term debt 10 10 Non-current finance lease liabilities Long-term debt, less current portion 40 52 Total lease liabilities $ 614 $ 656 (1) Finance lease assets are recorded net of accumulated amortization of $12 million and $9 million as of June 30, 2023 and 2022, respectively. Supplemental cash flow information related to leases: Years ended June 30, ($ in millions) 2023 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 118 $ 122 $ 111 Operating cash flows from finance leases 2 1 1 Financing cash flows from finance leases 11 5 2 Lease assets obtained in exchange for new lease obligations: Operating leases $ 26 $ 55 $ 55 Finance leases — 34 1 Other non-cash modifications to lease assets: Operating leases 33 88 56 The following table presents the maturities of the Company's lease liabilities recorded on the consolidated balance sheets as of June 30, 2023: ($ in millions) Operating Leases Finance Leases Fiscal year 2024 $ 115 $ 11 Fiscal year 2025 99 11 Fiscal year 2026 89 6 Fiscal year 2027 74 2 Fiscal year 2028 63 2 Thereafter 218 26 Total lease payments 658 58 Less: imputed interest (94) (8) Total lease liabilities $ 564 $ 50 The weighted-average remaining lease term and discount rate are as follows: June 30, 2023 2022 Weighted-average remaining lease term (in years): Operating leases 8.0 9.0 Finance leases 10.3 10.1 Weighted-average discount rate: Operating Leases 3.6 % 3.3 % Finance leases 3.0 % 2.9 % |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity The changes in ordinary and treasury shares during fiscal years 2023, 2022, and 2021, were as follows: Ordinary Shares Treasury Shares (shares and $ in millions) Number of Shares Amount Number of Shares Amount Balance as of June 30, 2020 1,569 $ 16 7 $ (67) Share buyback/cancellations (31) (1) — — Options exercised and shares vested — — (5) 46 Purchase of treasury shares — — 1 (8) Balance as of June 30, 2021 1,538 15 3 (29) Share buyback/cancellations (49) — — — Options exercised and shares vested — — (13) 154 Purchase of treasury shares — — 12 (143) Balance as of June 30, 2022 1,489 15 2 (18) Share buyback/cancellations (41) (1) — — Options exercised and shares vested — — (19) 227 Purchase of treasury shares — — 18 (221) Balance as of June 30, 2023 1,448 $ 14 1 $ (12) The changes in the components of accumulated other comprehensive loss during the fiscal years ended June 30, 2023, 2022, and 2021 were as follows: Foreign Currency Translation Net Investment Hedge Pension Effective Derivatives Total Accumulated Other Comprehensive Loss ($ in millions) (Net of Tax) (Net of Tax) (Net of Tax) (Net of Tax) Balance as of June 30, 2020 $ (896) $ (13) $ (106) $ (34) $ (1,049) Other comprehensive income before reclassifications 179 — 44 25 248 Amounts reclassified from accumulated other comprehensive loss 26 — 8 1 35 Net current period other comprehensive income 205 — 52 26 283 Balance as of June 30, 2021 (691) (13) (54) (8) (766) Other comprehensive income / (loss) before reclassifications (220) — 85 6 (129) Amounts reclassified from accumulated other comprehensive loss 19 — 9 (13) 15 Net current period other comprehensive income / (loss) (201) — 94 (7) (114) Balance as of June 30, 2022 (892) (13) 40 (15) (880) Other comprehensive loss before reclassifications (9) — (53) (4) (66) Amounts reclassified from accumulated other comprehensive loss 78 — 3 3 84 Net current period other comprehensive income/(loss) 69 — (50) (1) 18 Balance as of June 30, 2023 $ (823) $ (13) $ (10) $ (16) $ (862) The following tables provide details of amounts reclassified from accumulated other comprehensive loss: For the years ended June 30, ($ in millions) 2023 2022 2021 Amortization of pension: Amortization of prior service credit $ (3) $ (3) $ (2) Amortization of actuarial loss 2 5 8 Acquisition/disposal loss — 1 — Effect of pension settlement/curtailment 4 8 2 Total before tax effect 3 11 8 Tax effect on amounts reclassified into earnings — (2) — Total net of tax $ 3 $ 9 $ 8 (Gains)/losses on cash flow hedges: Commodity contracts $ (2) $ (20) $ (1) Forward exchange contracts 2 — — Treasury locks 3 3 2 Total before tax effect 3 (17) 1 Tax effect on amounts reclassified into earnings — 4 — Total net of tax $ 3 $ (13) $ 1 Losses on foreign currency translation: Foreign currency translation adjustment (1) $ 78 $ 19 $ 26 Total before tax effect 78 19 26 Tax effect on amounts reclassified into earnings — — — Total net of tax $ 78 $ 19 $ 26 (1) During the fiscal year ended June 30, 2023, the Company disposed of its Russian business and certain non-core operations and transferred $73 million and $5 million, respectively, of accumulated foreign currency translation from accumulated other comprehensive loss to earnings. During the fiscal year ended June 30, 2022, the Company effectively disposed of a non-core business and transferred $19 million of accumulated foreign currency translation from accumulated other comprehensive loss to earnings. During the fiscal year ended June 30, 2021, the Company recorded a gain on disposal of AMVIG and other non-core businesses. Upon completion of the transactions, $26 million of accumulated foreign currency translation was transferred from accumulated other comprehensive loss to earnings. Refer to Note 5, "Acquisitions and Divestitures," and Note 8, "Equity Method and Other Investments," for further information. Forward contracts to purchase own shares The Company's employee share plans require the delivery of shares to employees in the future when rights vest or vested options are exercised. The Company currently acquires shares on the open market to deliver shares to employees to satisfy vesting or exercising commitments. This exposes the Company to market price risk. To manage the market price risk, the Company has entered into forward contracts for the purchase of its ordinary shares. As of June 30, 2023, the Company has entered into forward contracts that mature between September 2023 and November 2023 to purchase 9 million shares at a weighted average price of $12.39. As of June 30, 2022, the Company had outstanding forward contracts for 14 million shares at a weighted average price of $12.67 that matured between November 2022 and June 2023. The forward contracts to purchase the Company's own shares are classified as a current liability. Equity is reduced by an amount equal to the fair value of the shares at inception. The carrying value of the forward contracts at each reporting period was determined based on the present value of the cost required to settle the contracts. |
Income Taxes
Income Taxes | 12 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Amcor plc is a tax resident of the United Kingdom of Great Britain and Northern Ireland ("UK"). The components of income before income taxes and equity in income of affiliated companies were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Domestic (UK) $ 82 $ (58) $ (25) Foreign 1,169 1,173 1,218 Total income before income taxes and equity in income of affiliated companies $ 1,251 $ 1,115 $ 1,193 Income tax expense consisted of the following: Years ended June 30, ($ in millions) 2023 2022 2021 Current tax Domestic (UK) $ 3 $ 2 $ 11 Foreign 247 331 246 Total current tax 250 333 257 Deferred tax Domestic (UK) (6) (10) (1) Foreign (51) (23) 5 Total deferred tax (57) (33) 4 Income tax expense $ 193 $ 300 $ 261 The following is a reconciliation of income tax computed at the UK statutory tax rate of 20.5%, 19.0%, and 19.0% for fiscal years 2023, 2022, and 2021, respectively, to income tax expense. Years ended June 30, ($ in millions) 2023 2022 2021 Income tax expense at statutory rate $ 256 $ 212 $ 227 Foreign tax rate differential 54 43 18 Capital gain on the sale of the Russian business (63) — — Non-deductible expenses, non-taxable items, net 16 (2) 2 Change in valuation allowance (7) 4 40 Uncertain tax positions, net (39) 62 32 Other (1) (24) (19) (58) Income tax expense $ 193 $ 300 $ 261 (1) In fiscal year 2023, Other is comprised of effects of foreign currency exchange of $25 million, adjustments to prior year, movement in deferred tax positions, changes in tax rate, and other individually immaterial items. In fiscal year 2022, Other is comprised of adjustments to prior year, movements in deferred tax positions of $13 million, changes in tax rates, and other individually immaterial items. In fiscal year 2021, Other is comprised of adjustments to prior fiscal year, including one related to the crystallization of benefits from business restructuring of $45 million, changes in tax rate, and other individually immaterial items. Amcor operates in over forty different jurisdictions with a wide range of statutory tax rates. The tax expense from operating in non-UK jurisdictions in excess of the UK statutory tax rate is included in the line "Foreign tax rate differential" in the above tax rate reconciliation table. For fiscal year 2023, the Company's effective tax rate was 15.4% as compared to the effective tax rates of 26.9% and 21.9% for fiscal years 2022 and 2021, respectively. The lower effective tax rate for fiscal year 2023 is largely attributable to the non-taxable gain on the disposal of the Russian business and the release of provisions for uncertain tax positions related to the disposed Russian business. The increase in fiscal year 2022 compared to fiscal year 2021 was predominantly attributable to an increase in tax provisions for uncertain tax positions. Significant components of deferred tax assets and liabilities are as follows: June 30, ($ in millions) 2023 2022 Deferred tax assets Inventories $ 20 $ 15 Accrued employee benefits 70 62 Provisions 4 18 Net operating loss carryforwards 332 325 Tax credit carryforwards 37 39 Accruals and other 46 48 Total deferred tax assets 509 507 Valuation allowance (400) (407) Net deferred tax assets 109 100 Deferred tax liabilities Property, plant, and equipment (294) (319) Other intangible assets (259) (304) Derivatives and other financial instruments (25) (4) Undistributed foreign earnings (13) (20) Total deferred tax liabilities (591) (647) Net deferred tax liability (482) (547) Balance sheet location: Deferred tax assets 134 130 Deferred tax liabilities (616) (677) Net deferred tax liability $ (482) $ (547) The Company maintains a valuation allowance on net operating losses and other deferred tax assets in jurisdictions for which it does not believe it is more likely than not to realize those deferred tax assets based upon all available positive and negative evidence, including historical operating performance, carry-back periods, reversal of taxable temporary differences, tax planning strategies, and earnings expectations. The Company's valuation allowance decreased by $7 million, increased by $4 million, and increased by $40 million for fiscal years 2023, 2022, and 2021, respectively. As of June 30, 2023, and 2022, the Company had total net operating loss carry forwards, including capital losses, in the amount of $1.3 billion and $1.2 billion, respectively, and tax credits of $37 million and $39 million, respectively. The vast majority of the losses and tax credits do not expire. The Company considers the following factors, among others, in evaluating its plans for indefinite reinvestment of its subsidiaries' earnings: (i) the forecasts, budgets, and financial requirements of the Company and its subsidiaries, both for the long-term and for the short-term; and (ii) the tax consequences of any decision to repatriate or reinvest earnings of any subsidiary. As of June 30, 2023, the Company has not provided deferred taxes on approximately $1.3 billion of earnings in certain foreign subsidiaries because such earnings are indefinitely reinvested in its international operations. Upon distribution of such earnings in the form of dividends or otherwise, the Company may be subject to incremental foreign tax. It is not practicable to estimate the amount of foreign tax that might be payable. As of June 30, 2023, a cumulative deferred tax liability of $13 million has been recorded attributable to undistributed earnings that the Company has deemed are not indefinitely reinvested. The remaining undistributed earnings of the Company's subsidiaries are not deemed to be indefinitely reinvested and can be repatriated at no tax cost. Accordingly, there is no provision for income or withholding taxes on these earnings. The Company accounts for its uncertain tax positions in accordance with ASC 740, "Income Taxes." At June 30, 2023, and 2022, unrecognized tax benefits totaled $155 million and $195 million, respectively, all of which would favorably impact the effective tax rate if recognized. The Company recognizes interest and penalties accrued related to unrecognized tax benefits in income tax expense. As of June 30, 2023, 2022, and 2021, the Company's accrual for interest and penalties for these uncertain tax positions wa s $13 million , $12 million, and $12 million, respectivel y. The Company does not currently anticipate that the total amount of unrecognized tax benefits will result in material changes to its financial position within the next 12 months. A reconciliation of the beginning and ending amount of unrecognized tax benefits for the fiscal years presented is as follows: June 30, ($ in millions) 2023 2022 2021 Balance at the beginning of the year $ 195 $ 133 $ 101 Additions based on tax positions related to the current year 12 50 39 Additions for tax positions of prior years 24 19 7 Reductions for tax positions from prior years (69) (6) (12) Reductions for settlements (5) — — Reductions due to lapse of statute of limitations (2) (1) (2) Balance at the end of the year $ 155 $ 195 $ 133 The Company conducts business in a number of tax jurisdictions and, as such, is required to file income tax returns in multiple jurisdictions globally. The fiscal years 2017 through 2022 remain open for examination by the United States Internal Revenue Service ("IRS"), the fiscal year 2021 remains open for examination by His Majesty’s Revenue & Customs ("HMRC"), and the fiscal years 2011 through 2022 are currently subject to audit or remain open for examination in various tax jurisdictions. The Company believes that its income tax reserves are adequately maintained taking into consideration both the technical merits of its tax return positions and ongoing developments in its income tax audits. However, the final determination of the Company's tax return positions, if audited, is uncertain and therefore there is a possibility that final resolution of these matters could have a material impact on the Company's results of operations or cash flows. |
Share-based Compensation
Share-based Compensation | 12 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-based Compensation | Share-based Compensation The Company's equity incentive plans include grants of share options, restricted share units, performance shares, performance rights, and share rights. In fiscal years 2023, 2022, and 2021, share options and performance rights or performance shares (awarded to U.S. participants in place of performance rights) were granted to officers and employees. The exercise price for share options was set at the time of grant. The requisite service period for outstanding share options, performance rights, or performance shares ranges from two five Restricted share units may be granted to directors, officers, and employees of the Company and vest on terms as described in the award. The restrictions prevent the participant from disposing of the restricted share units during the vesting period. The fair value of restricted share units is determined based on the closing price of the Company's shares on the grant date. Share rights may be granted to directors, officers, and employees of the Company and vest on terms as described in the award. The restrictions prevent the participant from disposing of the share rights during the vesting period. The fair value of share rights is determined based on the closing price of the Company's shares on the grant date, adjusted for dividend yield. As of June 30, 2023, 41 million shares were reserved for future grants. The Company uses treasury shares to settle share-based compensation obligations. Treasury shares are acquired through market purchases throughout the fiscal year for the required number of shares. Share-based compensation expense was primarily recorded in selling, general, and administrative expenses in the consolidated statements of income. The total share-based compensation expense in fiscal years 2023, 2022, and 2021 amounted to $54 million, $63 million, and $58 million, As of June 30, 2023, there was $71 million of total unrecognized compensation cost related to all unvested share options and other equity incentive plans. That cost is expected to be recognized over a weighted-average period of 1.8 years. The weighted-average grant date fair values by type of equity incentive plan for awards granted in fiscal years 2023, 2022, and 2021 were as follows: For the years ended June 30, (in $ per unit of award) 2023 2022 2021 Share options (1) 1.66 1.29 1.08 Restricted share units 11.91 11.62 11.06 Performance rights/shares (2) 8.18 9.40 7.22 Share rights 10.90 11.44 10.22 (1) The fair value of share options was determined using Black-Scholes option pricing model with the following key assumptions for the fiscal years ended June 30, 2023, 2022, and 2021, respectively: risk-free interest rate of 3.4% (2022 : 1.0% , 2021: 0.2% ) , expected share-price volatility of 23.0% (2022 : 22.0% , 2021: 25.0% ) , expected dividend yield of 4.0% (2022 : 4.1% , 2021: 4.7% ) , and expected life of options of 6.1 years (2022 : 6.1 years , 2021: 6.1 years ) . (2) The fair value of performance rights/shares was determined using a combination of Black-Scholes option pricing model and Monte Carlo simulation. The key assumptions for the fiscal years ended June 30, 2023, 2022, and 2021, respectively, were: risk-free interest rate of 3.5% (2022 : 0.4% , 2021: 0.2% ) , expected share-price volatility of 23.0% (2022 : 22.0% , 2021: 25.0% ) , and expected dividend yield of 4.0% (2022 : 4.1% , 2021: 4.7% ). Changes in outstanding share options were as follows: Share options Number Weighted-average Exercise Price (in millions) Share options outstanding at June 30, 2022 45 $ 10.66 Granted 7 11.79 Exercised (13) 9.88 Forfeited (6) 10.24 Share options outstanding at June 30, 2023 33 11.29 Vested and exercisable at June 30, 2023 9 $ 10.06 As of June 30, 2023, the share options outstanding have an intrinsic value of $1 million and a remaining weighted average contractual life of 3.7 years. As of June 30, 2023, the share options that have vested and are exercisable have an intrinsic value of $1 million and a remaining weighted average contractual life of 2.1 years. The Company received $134 million, $114 million, and $30 million on the exercise of stock options during the fiscal years ended June 30, 2023, 2022, and 2021, respectively. During the fiscal years ended June 30, 2023, 2022, and 2021, the intrinsic value associated with the exercise of share options was $31 million, $15 million, and $6 million, respectively. The grant date fair value of share options vested was $15 million, $13 million, and $2 million for fiscal years ended June 30, 2023, 2022, and 2021, respectively. Changes in outstanding other equity incentive plans and the fair values vested are presented below: Restricted share units Performance rights/shares Share rights Number Weighted-average Grant Date Fair Value Number Weighted-average Grant Date Fair Value Number Weighted-average Grant Date Fair Value (in millions) (in millions) (in millions) Outstanding at June 30, 2022 1 $ 11.41 11 $ 7.79 4 $ 10.90 Granted 1 11.91 4 8.18 2 10.90 Exercised (1) 11.16 (3) 6.65 (2) 10.26 Forfeited — — (1) 7.46 — — Outstanding at June 30, 2023 1 $ 11.67 11 $ 8.20 4 $ 11.22 Fair value vested Restricted share units Performance rights/shares Share rights Year Ended June 30, 2023 $ 2 $ 16 $ 20 Year Ended June 30, 2022 3 8 7 Year Ended June 30, 2021 3 3 5 |
Earnings Per Share Computations
Earnings Per Share Computations | 12 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share Computations | Earnings Per Share Computations The Company applies the two-class method when computing its earnings per share ("EPS"), which requires that net income per share for each class of share be calculated assuming all of the Company's net income is distributed as dividends to each class of share based on their contractual rights. Basic EPS is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding after excluding the ordinary shares to be repurchased using forward contracts. Diluted EPS includes the effects of share options, restricted share units, performance rights, performance shares, and share rights, if dilutive. Years ended June 30, ($ in millions, except per share amounts) 2023 2022 2021 Numerator Net income attributable to Amcor plc $ 1,048 $ 805 $ 939 Distributed and undistributed earnings attributable to shares to be repurchased (7) (3) (2) Net income available to ordinary shareholders of Amcor plc—basic and diluted $ 1,041 $ 802 $ 937 Denominator Weighted-average ordinary shares outstanding 1,478 1,514 1,553 Weighted-average ordinary shares to be repurchased by Amcor plc (10) (5) (2) Weighted-average ordinary shares outstanding for EPS—basic 1,468 1,509 1,551 Effect of dilutive shares 8 6 5 Weighted-average ordinary shares outstanding for EPS—diluted 1,476 1,516 1,556 Per ordinary share income Basic earnings per ordinary share $ 0.709 $ 0.532 $ 0.604 Diluted earnings per ordinary share $ 0.705 $ 0.529 $ 0.602 |
Contingencies and Legal Proceed
Contingencies and Legal Proceedings | 12 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies and Legal Proceedings | Contingencies and Legal Proceedings Contingencies - Brazil The Company's operations in Brazil are involved in various governmental assessments and litigation, principally related to claims for excise and income taxes. The Company vigorously defends its positions and believes it will prevail on most, if not all, of these matters. The Company does not believe that the ultimate resolution of these matters will materially impact the Company's consolidated results of operations, financial position, or cash flows. Under customary local regulations, the Company's Brazilian subsidiaries may need to post cash or other collateral if a challenge to any administrative assessment proceeds to the Brazilian court system; however, the level of cash or collateral already pledged or potentially required to be pledged would not significantly impact the Company's liquidity. At June 30, 2023, the Company has recorded accruals of $14 million , included in other non-current liabilities in the consolidated balance sheets. The Company has estimated a reasonably possible loss exposure in excess of the accrual of $26 million as of June 30, 2023. Th e litigation process is subject to many uncertainties and the outcome of individual matters cannot be accurately predicted. The Company routinel y assesses these matters as to the probability of ultimately incurring a liability and records the best estimate of the ultimate loss in situations where the likelihood of an ultimate loss is probable. The Company's assessments are based on its knowledge and experience, but the ultimate outcome of any of these matters may differ from the Company's estimates. As of June 30, 2023, the Company provided letters of credit of $16 million, judicial insurance of $2 million, and deposited cash of $14 million with the courts to continue to defend the cases referenced above. Contingencies - Environmental Matters The Company, along with others, has been identified as a potentially responsible party ("PRP") at several waste disposal sites under U.S. federal and related state environmental statutes and regulations and may face potentially material environmental remediation obligations. While the Company benefits from various forms of insurance policies, actual coverage may not, or only partially, cover the total potential exposures. As of June 30, 2023, the Company has recorded aggregate accruals of $9 million for its share of estimated future remediation costs at these sites. In addition to the matters described above, as of June 30, 2023, the Company has also recorded aggregate accruals of $54 million for potential liabilities for remediation obligations at various worldwide locations that are owned or operated by the Company or were formerly owned or operated. The SEC requires the Company to disclose certain information about proceedings arising under federal, state, or local environmental provisions if the Company reasonably believes that such proceeding may result in monetary sanctions above a stated threshold. Pursuant to SEC regulations, the Company uses a threshold of $1 million or more for purposes of determining whether disclosure of any such proceedings is required. Applying this threshold, there are no environmental matters required to be disclosed for the fiscal year ended June 30, 2023. While the Company believes that its accruals are adequate to cover its future obligations, there can be no assurance that the ultimate payments will not exceed the accrued amounts. Nevertheless, based on the available information, the Company does not believe that its potential environmental obligations will have a material adverse effect upon its liquidity, results of operations, or financial condition. Other Matters In the normal course of business, the Company is subject to legal proceedings, lawsuits, and other claims. While the potential financial impact with respect to these ordinary course matters is subject to many factors and uncertainties, management believes that any financial impact to the Company from these matters, individually and in the aggregate, would not have a material adverse effect on the Company's financial position or results of operation. |
Segments
Segments | 12 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Segments | Segments The Company's business is organized and presented in the two reportable segments outlined below: Flexibles: Consists of operations that manufacture flexible and film packaging in the food and beverage, medical and pharmaceutical, fresh produce, snack food, personal care, and other industries. The Russian business results through the date of disposal are included in the Flexibles reportable segment. Rigid Packaging: Consists of operations that manufacture rigid containers for a broad range of predominantly beverage and food products, including carbonated soft drinks, water, juices, sports drinks, milk-based beverages, spirits and beer, sauces, dressings, spreads and personal care items, and plastic caps for a wide variety of applications. Other consists of the Company's undistributed corporate expenses including executive and functional compensation costs, equity method and other investments, intercompany eliminations, and other business activities. Operating segments are organized along the Company's product lines and geographical areas. The Company's five Flexibles operating segments (Flexibles Europe, Middle East and Africa; Flexibles North America; Flexibles Latin America; Flexibles Asia Pacific; and Specialty Cartons) have been aggregated in the Flexibles reportable segment as they exhibit similarity in economic characteristics and future prospects, similarity in the products they offer, their production technologies, the customers they serve, the nature of their service delivery models, and their regulatory environments. The Company evaluates performance and allocates resources based on adjusted earnings before interest and taxes ("Adjusted EBIT"). The Company defines Adjusted EBIT as operating income adjusted to eliminate the impact of certain items that the Company does not consider indicative of its ongoing operating performance and to include equity in income of affiliated companies, net of tax. The accounting policies of the reportable segments are the same as those in the consolidated financial statements. The following table presents information about reportable s egments. Intersegment sales are not material and therefore are not presented in the table below. Years ended June 30, ($ in millions) 2023 2022 2021 Flexibles $ 11,154 $ 11,151 $ 10,038 Rigid Packaging 3,540 3,393 2,823 Other — — — Net sales $ 14,694 $ 14,544 $ 12,861 Adjusted earnings before interest and taxes ("Adjusted EBIT") Flexibles 1,429 1,517 1,427 Rigid Packaging 265 289 299 Other (86) (105) (105) Adjusted EBIT 1,608 1,701 1,621 Less: 2018/2019 Restructuring programs (1) — (37) (88) Less: Amortization of acquired intangible assets from business combinations (2) (160) (163) (165) Less: Impact of hyperinflation (3) (24) (16) (19) Less: Pension settlements (4) (5) (8) — Add/(Less): Net gain/(loss) on disposals (5) — (10) 9 Less: Property and other losses, net (6) (2) (13) — Add/(Less): Russia-Ukraine conflict impacts (7) 90 (200) — Add/(Less): Other (8) 3 (4) (7) Interest income 31 24 14 Interest expense (290) (159) (153) Equity in income of affiliated companies, net of tax — — (19) Income before income taxes and equity in income of affiliated companies $ 1,251 $ 1,115 $ 1,193 (1) 2018/2019 Restructuring programs includes restructuring and related expenses for the 2019 Bemis Integration Plan for fiscal year 2022, and 2018 Rigid Packaging Restructuring Plan and the 2019 Bemis Integration Plan for fiscal year 2021. Refer to Note 7, "Restructuring," for more information. (2) Amortization of acquired intangible assets from business combinations includes amortization expenses related to all acquired intangible assets from past acquisitions. (3) Impact of hyperinflation includes the adverse impact of highly inflationary accounting for subsidiaries in Argentina where the functional currency was the Argentine Peso. (4) Pension settlements in fiscal year 2023 primarily includes the settlement of a small European plan and in fiscal year 2022 the purchase of group annuity contracts and transfer of pension plan assets and related benefit obligations. Refer to Note 13, "Pension Plans," for more information. (5) Net gain/(loss) on disposals, excluding the disposal of the Company's Russian business, includes an expense of $10 million from the disposal of non-core assets in fiscal year 2022. Refer to Note 11, "Fair Value Measurements," for more information. Fiscal year 2021 includes the gain realized upon the disposal of AMVIG and the loss upon disposal of other non-core businesses not part of material restructuring programs. Refer to Note 8, "Equity Method and Other Investments," for further information on the disposal of AMVIG and Note 5, "Acquisitions and Divestitures," for more information regarding the other disposals. (6) Property and other losses, net in fiscal year 2023 includes property claims and losses of $5 million and $3 million of net insurance recovery related to the closure of the Company's South African business. Fiscal year 2022 includes business losses primarily associated with the destruction of the Company's Durban, South Africa facility during general civil unrest in July 2021, net of insurance recovery. (7) Russia-Ukraine conflict impacts in fiscal year 2023 includes a pre-tax net gain on the sale of the Company's Russian business of $215 million, incremental costs of $18 million, and restructuring and related expenses of $107 million incurred in connection with the conflict . Fiscal year 2022 includes $138 million of impairment charges, $57 million of restructuring and related expenses, and $5 million of other expenses. Refer to Note 4, "Restructuring, Impairment, and Other Related Activities, Net, " and Note 7, "Restructuring," for further information. (8) Other in fiscal year 2023 includes restructuring, acquisition, litigation, and integration expenses of $13 million and fair value gains of $16 million on economic hedges. Fiscal years 2022 and 2021 include costs associated with the Bemis transaction and fiscal year 2021 also includes a $19 million benefit related to Brazil indirect taxes resulting from a May 2021 Brazil Supreme Court decision. The tables below present additional financial information by reportable segments: Capital expenditures for the acquisition of long-lived assets by reportable segment were: Years ended June 30, ($ in millions) 2023 2022 2021 Flexibles $ 384 $ 376 $ 336 Rigid Packaging 133 136 127 Other 9 15 5 Total capital expenditures for the acquisition of long-lived assets $ 526 $ 527 $ 468 Depreciation and amortization by reportable segment were: Years ended June 30, ($ in millions) 2023 2022 2021 Flexibles $ 436 $ 450 $ 447 Rigid Packaging 125 120 115 Other 8 9 10 Total depreciation and amortization $ 569 $ 579 $ 572 Total assets by segment is not disclosed as the Company's Chief Operating Decision Maker does not use total assets by segment to evaluate segment performance or allocate resources and capital. The Company did not have sales to a single customer that exceeded 10% of consolidated net sales for the fiscal years ended June 30, 2023, 2022, and 2021, respectively. Sales by major product were: Years ended June 30, ($ in millions) Segment 2023 2022 2021 Films and other flexible products Flexibles $ 10,061 $ 10,033 $ 8,934 Specialty flexible folding cartons Flexibles 1,093 1,118 1,104 Containers, preforms, and closures Rigid Packaging 3,540 3,393 2,823 Net sales $ 14,694 $ 14,544 $ 12,861 The following table provides long-lived asset information for the major countries in which the Company operates. Long-lived assets include property, plant, and equipment, net of accumulated depreciation and impairments. June 30, ($ in millions) 2023 2022 United States of America $ 1,710 $ 1,720 Other countries (1) 2,052 1,926 Long-lived assets $ 3,762 $ 3,646 (1) Includes the Company's country of domicile, Jersey. The Company had no long-lived assets in Jersey in any period shown. No individual country represented more than 10% of the respective totals. The following tables disaggregate net sales information by geography in which the Company operates based on manufacturing or selling operations: Year Ended June 30, 2023 ($ in millions) Flexibles Rigid Packaging Total North America $ 4,411 $ 2,745 $ 7,156 Latin America 1,114 795 1,909 Europe (1) 3,952 — 3,952 Asia Pacific 1,677 — 1,677 Net sales $ 11,154 $ 3,540 $ 14,694 Year Ended June 30, 2022 ($ in millions) Flexibles Rigid Packaging Total North America $ 4,296 $ 2,656 $ 6,952 Latin America 1,060 737 1,797 Europe (1) 4,062 — 4,062 Asia Pacific 1,733 — 1,733 Net sales $ 11,151 $ 3,393 $ 14,544 Year Ended June 30, 2021 ($ in millions) Flexibles Rigid Packaging Total North America $ 3,719 $ 2,319 $ 6,038 Latin America 914 504 1,418 Europe (1) 3,828 — 3,828 Asia Pacific 1,577 — 1,577 Net sales $ 10,038 $ 2,823 $ 12,861 (1) Includes the Company's country of domicile, Jersey. The Company had no sales in Jersey in the periods shown. |
Deed of Cross Guarantee
Deed of Cross Guarantee | 12 Months Ended |
Jun. 30, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Deed of Cross Guarantee | Deed of Cross Guarantee The parent entity, Amcor plc, and its wholly owned subsidiaries listed below are subject to a Deed of Cross Guarantee dated June 24, 2019 (the "Deed") under which each company guarantees the debts of the others: Amcor Pty Ltd Amcor Holdings (Australia) Pty Ltd Amcor Services Pty Ltd Amcor Flexibles Group Pty Ltd Amcor Investments Pty Ltd Amcor Flexibles (Australia) Pty Ltd Amcor Finance Australia Pty Ltd Amcor Flexibles (Port Melbourne) Pty Ltd Amcor European Holdings Pty Ltd Amcor Packaging (Asia) Pty Ltd ARP North America Holdco Ltd ARP LATAM Holdco Ltd The entities above were the only parties to the Deed as of June 30, 2023, and comprise the closed group for the purposes of the Deed (and also the extended closed group). ARP North America Holdco Ltd and ARP LATAM Holdco Ltd were newly incorporated entities and were added to the deed on September 25, 2019. By a Revocation Deed, dated September 9, 2021, the Deed was revoked in respect of Amcor Flexibles (Dandenong) Pty Ltd, Packsys Pty Ltd, Packsys Holdings (Aus) Pty Ltd, and Techni-Chem Australia Pty Ltd. No other parties have been added, removed or the subject to a notice of disposal since September 9, 2021. By entering into the Deed, the wholly owned subsidiaries have been relieved from the requirement to prepare a financial report and directors’ report under ASIC Corporations (Wholly-owned Companies) Instrument 2016/785. The following consolidated financial statements are additional disclosure items specifically required by ASIC and represent the consolidated results of the entities subject to the Deed. Deed of Cross Guarantee Consolidated Statements of Income ($ in millions) For the years ended June 30, 2023 2022 Net sales $ 377 $ 391 Cost of sales (319) (337) Gross profit 58 54 Operating expenses (1,125) (1,251) Other income, net 1,599 2,355 Operating income 532 1,158 Interest income 15 12 Interest expense (38) (14) Other non-operating income, net — 1 Income before income taxes 509 1,157 Income tax expense (22) (4) Net income $ 487 $ 1,153 Deed of Cross Guarantee Consolidated Statements of Comprehensive Income ($ in millions) For the years ended June 30, 2023 2022 Net income $ 487 $ 1,153 Other comprehensive income/(loss) (1): Foreign currency translation adjustments, net of tax (10) (30) Other comprehensive income/(loss) (10) (30) Comprehensive income/(loss) attributable to non-controlling interests — — Total comprehensive income $ 477 $ 1,123 (1) All of the items in other comprehensive income/(loss) may be reclassified subsequently to profit or loss. Deed of Cross Guarantee Consolidated Statements of Income and Accumulated Losses ($ in millions) For the years ended June 30, 2023 2022 Retained earnings, beginning balance $ 7,167 $ 6,737 Net income 487 1,153 Retained earnings before distribution 7,654 7,890 Dividends recognized during the financial period (717) (723) Retained earnings at the end of the financial period $ 6,937 $ 7,167 Deed of Cross Guarantee Consolidated Balance Sheets ($ in millions) As of June 30, 2023 2022 Assets Current assets: Cash and cash equivalents $ 54 $ 68 Receivables, net 342 662 Inventories 60 71 Prepaid expenses and other current assets 21 19 Total current assets 477 820 Non-current assets: Property, plant, and equipment, net 60 63 Deferred tax assets 6 26 Other intangible assets, net 13 12 Goodwill 88 91 Other non-current assets 13,308 14,039 Total non-current assets 13,475 14,231 Total assets $ 13,952 $ 15,051 Liabilities Current liabilities: Short-term debt $ 826 $ 901 Payables 153 162 Accrued employee costs 23 21 Other current liabilities 143 191 Total current liabilities 1,145 1,275 Non-current liabilities: Long-term debt, less current portion — 319 Other non-current liabilities 2 2 Total liabilities 1,147 1,596 Shareholders' Equity Issued capital 14 15 Additional paid-in capital 4,829 5,239 Retained earnings 6,937 7,167 Accumulated other comprehensive income 1,025 1,034 Total shareholders' equity 12,805 13,455 Total liabilities and shareholders' equity $ 13,952 $ 15,051 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Jun. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Supplemental cash flow information and non-cash investing activities are as follows: For the years ended June 30, ($ in millions) 2023 2022 2021 Supplemental Cash Flow Information: Interest paid, net of amounts capitalized $ 276 $ 155 $ 146 Income taxes paid 225 256 321 Non-Cash Investing Activities: Purchase of property, plant, and equipment accrued, but not paid $ 71 $ 110 $ 76 Contingent and deferred liabilities incurred related to acquired businesses, but not paid 41 — — |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jun. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events In July 2023, the Company executed a buy-in policy contract with a third-party insurance company for a portion of one of its closed principal defined benefit plans in the United Kingdom. As of June 30, 2023, the plan assets and corresponding benefit obligations that were part of the buy-in transaction were approximately $60 million. On August 10, 2023, the Company signed an agreement to acquire a small manufacturer of flexible packaging for food, home care and personal care applications in India. This acquisition will complement the Company’s existing flexible packaging footprint in India and enable local production of a broader range of sustainable packaging solutions. On August 16, 2023, the Company's Board of Directors declared a quarterly cash dividend of $0.1225 per share to be paid on September 27, 2023, to shareholders of record as of September 7, 2023. Amcor has received a waiver from the Australian Securities Exchange ("ASX") settlement operating rules, which will allow Amcor to defer processing conversions between its ordinary share and CHESS Depositary Instrument ("CDI") registers from September 6, 2023, to September 7, 2023, inclusive. |
Schedule II - Valuation of Qual
Schedule II - Valuation of Qualifying Accounts and Reserves | 12 Months Ended |
Jun. 30, 2023 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts and Reserves | Schedule II - Valuation and Qualifying Accounts and Reserves (in millions) Reserves for Credit Losses, Sales Returns, Discounts, and Allowances: Year ended June 30, Balance at Beginning of the Year (1) Additions Charged to Profit and Loss Write-offs Foreign Currency Impact and Other (2) Balance at End of the Year 2023 $ 25 $ 3 $ (8) $ 1 $ 21 2022 28 2 (3) (2) 25 2021 42 (4) (11) 1 28 (1) Beginning balance for fiscal year 2021 includes $7 million addition due to the adoption of ASC 326 (2) Foreign Currency Impact and Other includes reserve accruals related to acquisitions. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation Policy | Basis of Presentation and Principles of Consolidation: The consolidated financial statements include the accounts of the Company and its subsidiaries, for which the Company has a controlling financial interest. All significant intercompany transactions and balances have been eliminated. The consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The Company reclassified prior year inventory comparatives in the condensed consolidated balance sheets to conform to the current year's presentation which provides the breakdown of inventory. This change in presentation did not have an impact on the Company’s financial condition or operating results. Certain amounts in the Company's notes to consolidated financial statements may not add up or recalculate due to rounding. |
Business Combinations Policy | Business Combinations: The Company uses the acquisition method of accounting, which requires separate recognition of assets acquired and liabilities assumed from goodwill, at the acquisition date fair values. Goodwill as of the acquisition date is measured as the excess of consideration transferred and the fair value of any non-controlling interests in the acquiree over the net of the acquisition date fair values of the assets acquired and liabilities assumed. During the measurement period, which may be up to one year from the acquisition date, the Company has the ability to record adjustments to the assets acquired and liabilities assumed with the corresponding offset to goodwill. After the measurement period or final determination of the values of assets acquired or liabilities assumed, whichever comes first, any subsequent adjustments are recorded in the consolidated statements of income. |
Held for Sale and Discontinued Operations Policy | Held for Sale and Discontinued Operations: The Company classifies assets and liabilities (the "disposal group") as held for sale in the period when all of the relevant criteria to be classified as held for sale are met. These criteria include management's commitment to sell the disposal group in its present condition and the sale being deemed probable of being completed within one year. Assets held for sale are reported at the lower of their carrying value or fair value less cost to sell. Fair value is determined based on management’s assessment of indicative bids, a market multiples model in which a market multiple is applied to forecasted earnings before interest, taxes, depreciation, and amortization (“EBITDA”), discounted cash flows, appraised values, or management's estimates, depending on the specific situation. Any loss resulting from the measurement is recognized in the period when the held for sale criteria are met. If the disposal group meets the definition of a business, the goodwill within the reporting unit is allocated to the disposal group based on its relative fair value. The Company assesses the fair value of a disposal group, less any costs to sell, each reporting period it remains classified as held for sale and reports any subsequent changes as an adjustment to the carrying value of the disposal group, as long as the new carrying value does not exceed the initial carrying value of the disposal group. Assets held for sale are not amortized or depreciated. The Company recorded an impairment charge on assets held for sale of $90 million for the fiscal year ended June 30, 2022. See Note 6, "Held for Sale," for more information on assets held for sale. A disposal group that represents a strategic shift to the Company or is acquired with the intention to sell is reflected as a discontinued operation on the consolidated statements of income and prior periods are recast to reflect the earnings or losses as income from discontinued operations. |
Estimates and Assumptions Required Policy | Estimates and Assumptions Required: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. These estimates are based on historical experience and various assumptions believed to be reasonable under the circumstances. Management evaluates these estimates on an ongoing basis and adjusts or revises them as circumstances change. As future events and their impacts cannot be determined with precision, actual results may differ from these estimates. In the opinion of management, the consolidated financial statements reflect all adjustments necessary to fairly present the results of the periods presented. |
Translation of Foreign Currencies and High Inflationary Accounting Policy | Translation of Foreign Currencies: The reporting currency of the Company is the U.S. dollar. The functional currency of the Company’s subsidiaries is generally the local currency of each entity. Transactions in currencies other than the functional currency of the entity are recorded at the exchange rates prevailing at the transaction date. Monetary assets and liabilities in currencies other than the entity’s functional currency are remeasured at the exchange rates as of the balance sheet date to the entity’s functional currency. Foreign currency transaction gains and losses related to short-term and long-term debt are recorded in other non-operating income, net, in the consolidated statements of income and the net gains or net losses are not material in any of the periods presented. All other foreign currency transaction gains and losses are recorded in other income, net in the consolidated statements of income. These foreign currency transaction net gains or net losses amounted to a net loss of $17 million, a net gain of $19 million, and a net loss of $4 million during the fiscal years ended June 30, 2023, 2022, and 2021, respectively. Upon consolidation, the results of operations of subsidiaries with functional currencies other than the reporting currency of the Company are translated using average exchange rates during each year. Assets and liabilities of operations with a functional currency other than the U.S. dollar are translated at the exchange rates as of the balance sheet date, while equity balances are translated at historical rates. Translation gains and losses are reported in accumulated other comprehensive loss as a component of shareholders’ equity. Highly Inflationary Accounting: A highly inflationary economy is defined as an economy with a cumulative inflation rate of approximately 100 percent or more over a three-year period. As of July 1, 2018, the Argentine economy was designated as highly inflationary for accounting purposes. Accordingly, the U.S. dollar replaced the Argentine peso as the functional currency for the Company's subsidiaries in Argentina. The impact of highly inflationary accounting on monetary balances was a loss of $24 million, $16 million, and $19 million for the fiscal years ended June 30, 2023, 2022, and 2021, respectively, in the consolidated statements of income. |
Revenue Recognition Policy | Revenue Recognition: The Company generates revenue by providing its customers with flexible and rigid packaging, serving a variety of markets including food, consumer products, and healthcare end markets. The Company enters into a variety of agreements with customers, including quality agreements, pricing agreements, and master supply agreements, which outline the terms under which the Company does business with a specific customer. The Company also sells to some customers solely based on purchase orders. The Company has concluded for the vast majority of its revenues, that its contracts with customers are either a purchase order or the combination of a purchase order with a master supply agreement. All revenue recognized in the consolidated statements of income is considered to be revenue from contracts with customers. The Company typically satisfies the obligation to provide packaging to customers at a point in time upon shipment when control is transferred to customers. Revenue is recognized net of allowances for returns and customer claims and any taxes collected from customers, which are subsequently remitted to governmental authorities. The Company does not have any material contract assets or contract liabilities. The Company disaggregates revenue based on geography. Disaggregation of revenue is presented in Note 21, "Segments." Significant Judgments Determining whether products and services should be accounted for as distinct performance obligations or as combined performance obligations may require significant judgment. The Company has identified potential performance obligations in its customer master supply agreements and determined that none of them are capable of being distinct as the customer can only benefit from the supplied packaging. Therefore, the Company has concluded that it has one performance obligation, which is to supply packaging to customers. The Company may provide variable consideration in several forms, which are determined through its agreements with customers. The Company can offer prompt payment discounts, sales rebates, or other incentive payments to customers. Sales rebates and other incentive payments are typically awarded upon achievement of certain performance metrics, including volume. The Company accounts for variable consideration using the most likely amount method. The Company utilizes forecasted sales data and rebate percentages specific to each customer agreement and updates its judgment of the amounts to which the customer is entitled each period. The Company enters into long-term agreements with certain customers, under which it is obligated to make various up-front payments for which it expects to receive a benefit in excess of the cost over the term of the contract. These up-front payments are deferred and reflected in prepaid expenses and other current assets or other non-current assets on its consolidated balance sheets. Contract incentives are typically recognized as a reduction to revenue over the term of the customer agreement. Practical Expedients The Company sells primarily through its direct sales force. Any external sales commissions are expensed when incurred because the amortization period would be one year or less. External sales commission expense is included in selling, general, and administrative expenses in the consolidated statements of income. The Company accounts for shipping and handling activities as fulfillment costs. Accordingly, shipping and handling costs are classified as a component of cost of sales while amounts billed to customers are classified as a component of net sales. The Company excludes from the measurement of the transaction price all taxes assessed by a government authority that are both imposed on and concurrent with a specific revenue producing transaction and collected from the customer, including sales taxes, value added taxes, excise taxes, and use taxes. Accordingly, the tax amounts are not included in net sales. The Company does not adjust the promised consideration for the time value of money for contracts where the difference between the time of payment and performance is one year or less. |
Research and Development Policy | Research and Development: Research and development expenses are expensed as incurred. |
Restructuring Costs Policy | Restructuring Costs: Restructuring costs are recognized when the liability is incurred. The Company calculates severance obligations based on its standard customary practices. Accordingly, the Company records provisions for severance when payments are probable and estimable and when the Company has committed to the restructuring plan. In the absence of a standard customary practice or established local practice, liabilities for severance are recognized when incurred. If fixed assets become impaired as a result of the Company’s restructuring efforts, these assets are written down to their fair value less costs to sell, as the Company commits to dispose of them, and they are no longer in use. Depreciation is accelerated on fixed assets for the period of time the asset continues to be used until the asset ceases to be used. Other restructuring costs, including costs to relocate equipment, are generally recorded as the cost is incurred or the service is provided. See Note 7, "Restructuring," for more information on the Company’s restructuring plans. |
Cash and Cash Equivalents Policy | Cash, Cash Equivalents, and Restricted Cash: The Company considers all highly liquid investments, with a maturity of three months or less when purchased, to be cash equivalents. Cash equivalents include demand deposits that can be readily liquidated without penalty at the Company’s option. Cash equivalents are carried at cost which approximates fair market value. The Company had restricted cash of $8 million as of June 30, 2022, which was held in a share trust associated with Company share-based payment obligations. The Company had an immaterial amount of restricted cash as of June 30, 2023. |
Trade Receivables, Net Policy | Trade Receivables, net of allowance for credit losses ("Trade accounts receivable, net"): Trade accounts receivable, net, are stated at the amount the Company expects to collect, which is net of an allowance for sales returns and the estimated losses resulting from the inability of its customers to make required payments. The allowance for doubtful accounts is estimated based on the current expected credit loss model ("CECL") and it incorporates information about past events, current conditions, and reasonable and supportable forecasts of future economic conditions. When determining the collectability of specific customer accounts, several factors are evaluated, including customer creditworthiness, past transaction history with the customer, and changes in customer payment terms or practices. In addition, overall historical collection experience, current economic industry trends, and a review of the current status of trade accounts receivable are considered when determining the required allowance for credit losses. Changes in allowance for doubtful accounts were not material for fiscal years ended June 30, 2023, 2022, and 2021. The Company enters into customer-based supply-chain financing programs from time to time to sell trade receivables to third-party financial institutions. Agreements which result in true sales of the transferred receivables, which occur when receivables are transferred without recourse to the Company, are reflected as a reduction of trade receivables, net on the consolidated balance sheets and the proceeds are included in the cash flows from operating activities in the consolidated statements of cash flows. Agreements that allow the Company to maintain effective control over the transferred receivables and which do not qualify as a true sale are accounted for as secured borrowings and recorded on the consolidated balance sheets within trade receivables, net and short-term debt. The expenses associated with receivables factoring are recorded in the consolidated statements of income primarily as a reduction of net sales. The Company did not factor any trade receivables in fiscal years 2023 and 2022 which did not qualify as true sales of the receivables. |
Inventories Policy | Inventories, net: Inventories are stated at the lower of cost and net realizable value. The cost of inventories is based upon the first-in, first-out ("FIFO") method or average cost method. Costs related to inventories include raw materials, direct labor, and manufacturing overhead. |
Property, Plant and Equipment, Net Policy | Property, Plant, and Equipment, Net ("PP&E"): PP&E is carried at cost less accumulated depreciation and impairment and includes expenditures for new facilities and equipment, as well as costs that substantially increase the useful lives or capacity of existing PP&E. Cost of constructed assets includes capitalized interest incurred during the construction period. Maintenance and repairs that do not improve efficiency or extend economic life are expensed as incurred. PP&E, including assets held under finance leases, is depreciated using the straight-line method over the estimated useful lives of the assets or, in the case of leasehold improvements and finance leases, over the period of the lease or useful life of the asset as described below. The Company periodically reviews these estimated useful lives and, when appropriate, changes are made prospectively. Leasehold land Over lease term Land improvements Up to 30 years Buildings Up to 45 years Machinery and equipment Up to 25 years Finance leases Lease term or 5 - 25 years |
Impairment of Long-Lived Assets Policy | Impairment of Long-lived Assets: The Company reviews long-lived assets, primarily PP&E and certain identifiable intangible assets with finite lives, for impairment when facts or circumstances indicate that the carrying amount of an asset or asset group may not be recoverable. If impairment indicators are present and the estimated future undiscounted cash flows are less than the carrying value of the assets, the carrying values are reduced to the estimated fair value. Fair values are determined based on quoted market values, discounted cash flows, or external appraisals, as applicable. Impairment of long-lived assets recognized in the consolidated statements of income, excluding assets held for sale, were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Selling, general, and administrative expenses $ — $ 1 $ 1 Restructuring, impairment, and other related activities, net 18 42 9 Total impairment losses recognized in the consolidated statements of income $ 18 $ 43 $ 10 |
Leases Policy | Leases: The Company enters into leasing arrangements for certain manufacturing sites, offices, warehouses, land, vehicles, and equipment. The Company determines at the inception of the contract whether the contract is or contains a lease. A contract is a lease if it conveys the right to control an identified asset for a period of time in exchange for consideration. For leases with an original term of more than twelve months, the Company recognizes a right-of-use (“ROU”) asset and a lease liability. Short-term leases with a term of twelve months or less are not recorded on the consolidated balance sheets and the related expense is recognized on a straight-line basis over the term of the lease. Lease liabilities are recognized at the commencement date based on the present value of the remaining lease payments over the lease terms, which include any noncancellable lease terms and any renewal periods that the Company is reasonably certain to exercise. A significant portion of the Company's leases includes an option or options to extend the lease term. The Company re-evaluates its leases on a regular basis to consider the economic and strategic incentives of exercising lease renewal options. As the implicit rates in the Company's leases generally cannot be readily determined, the Company uses estimates of its incremental borrowing rate as the discount rates to determine the lease liabilities. Certain leases require variable payments that are dependent on usage, output, or other factors. Variable lease payments that do not depend on an index or rate are excluded from lease payments in the measurement of the ROU lease asset and lease liability and recognized as an expense in the period in which the obligation for the payments occur. |
Goodwill Policy | Goodwill: Goodwill represents the excess of cost over the fair value of net assets acquired in a business combination. Goodwill is not amortized but is instead tested annually for impairment by the Company in the fourth quarter of each fiscal year or whenever events and circumstances indicate an impairment may have occurred during the fiscal year. Factors that could trigger an impairment review include a significant decline in a reporting unit’s operating results compared to its operating plan or historical performance, and competitive pressures and changes in the general markets in which it operates. All goodwill is assigned to a reporting unit, which is defined as the operating segment. The Company has six reporting units with goodwill that are assessed for potential impairment. When performing the required impairment tests, the Company has the option to first assess qualitative factors to determine if a quantitative assessment for goodwill impairment is necessary. If the qualitative assessment concludes that it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company performs a quantitative assessment. The Company's quantitative assessment utilizes a discounted cash flow model to determine the fair value of the reporting units. Deriving fair value using discounted cash flows requires judgment and is sensitive to changes in underlying assumptions and market factors. Key assumptions include revenue growth, projected operating income growth, market |
Other Intangible Assets, Net Policy | Other Intangible Assets, Net: Contractual or separable intangible assets that have finite useful lives are amortized against income using the straight-line method over their estimated useful lives, which range from 1 to 20 years. The straight-line method of amortization reflects an appropriate allocation of the costs of the intangible assets to earnings in proportion to the amount of economic benefits obtained by the Company in each reporting period. Costs incurred to develop software programs to be used solely to meet the Company's internal needs have been capitalized as computer software within other intangible assets. |
Fair Value Measurements Policy | Fair Value Measurements: The fair values of the Company's financial assets and financial liabilities reflect the amounts that would be received to sell the assets or paid to transfer the liabilities in an orderly transaction between market participants at the measurement date (exit price). The Company determines fair value based on a three-tiered fair value hierarchy. The hierarchy consists of: • Level 1: fair value measurements represent exchange-traded securities, which are valued at quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access as of the reporting date; • Level 2: fair value measurements are determined using input prices that are directly observable for the asset or liability or indirectly observable through corroboration with observable market data; and |
Derivatives Instruments Policy | Derivative Instruments: The Company recognizes all derivative instruments on the consolidated balance sheets at fair value. The impact on earnings from recognizing the fair values of these instruments depends on their intended use, their hedge designation and their effectiveness in offsetting changes in the fair values of the exposures they are hedging. Derivatives not designated as hedging instruments are adjusted to fair value through income. Depending on the nature of derivatives designated as hedging instruments, changes in the fair value are either offset against the change in fair value of the hedged assets, liabilities, or firm commitments through earnings or recognized in shareholders’ equity through other comprehensive income/(loss) until the hedged item is recognized. Gains or losses, if any, related to the ineffective portion of any hedge are recognized through earnings over the life of the hedging relationship. See Note 12, "Derivative Instruments," for more information regarding specific derivative instruments included on the Company’s consolidated balance sheets, such as forward foreign currency exchange contracts, currency swap contracts, and interest rate swap arrangements, among other derivative instruments. |
Employee Benefit Plans Policy | Employee Benefit Plans: The Company sponsors various defined contribution plans to which it makes contributions on behalf of employees. The Company also sponsors a number of defined benefit plans that provide benefits to current and former employees. For the Company-sponsored plans, the relevant accounting guidance requires management to make certain assumptions relating to the long-term rate of return on plan assets, discount rates used to determine the present value of future obligations and expenses, salary inflation rates, mortality rates, and other assumptions. The Company believes that the accounting estimates related to its pension plans are critical accounting estimates because they are highly susceptible to change from period to period based on the performance of plan assets, actuarial valuations, market conditions, and contracted benefit changes. The selection of assumptions is based on historical trends, known economic and market conditions at the time of valuation, and independent studies of trends performed by the Company’s actuaries. However, actual results may differ substantially from the estimates that were based on the critical assumptions. The Company recognizes the funded status of each defined benefit pension plan in the consolidated balance sheets. Each overfunded plan is recognized as an asset in employee benefit assets and each underfunded plan is recognized as a liability in employee benefit obligations. Pension plan liabilities are revalued annually, or when an event occurs that requires remeasurement, based on updated assumptions and information about the individuals covered by the plan. Accumulated actuarial gains and losses in excess of a 10 percent corridor and the prior service cost are amortized on a straight-line basis from the date recognized over the average remaining service period of active participants or over the average life expectancy for plans with significant inactive participants. The service costs related to defined benefits are included in operating income. The other components of net benefit cost other than service cost are recorded within other non-operating income, net in the consolidated statements of income. |
Equity Method and Other Investments Policy | Equity Method and Other Investments: Investments in ordinary shares of companies, in which the Company believes it exercises significant influence over operating and financial policies, are accounted for using the equity method of accounting. Investments in limited partnerships or limited liability companies that maintain separate ownership accounts are also accounted for under the equity method unless the Company's interest is so minor that it has virtually no influence over the investee's operating and financial policies. Under this method, the investment is carried at cost and is adjusted to recognize the investor’s share of earnings or losses of the investee after the date of acquisition and is adjusted for impairment whenever it is determined that a decline in the fair value below the cost basis is other than temporary. The fair value of the investment then becomes the new cost basis of the investment, and it is not adjusted for subsequent recoveries in fair value. The Company reviews its investments accounted for under the equity method for impairment whenever events or changes in circumstances indicate the carrying amount may not be recoverable. All equity investments that do not result in consolidation and are not accounted for under the equity method are measured at fair value with unrealized gains and losses related to mark-to-market adjustments included in net income. The Company utilizes the measurement alternative for equity investments that do not have readily determinable fair values and measures these investments at cost adjusted for impairments and observable price changes in orderly transactions. See Note 8, "Equity Method and Other Investments," for more information on the Company's equity method and other investments. |
Contingencies Policy | Contingencies: The Company is subject to numerous contingencies arising in the ordinary course of business, such as legal and administrative proceedings, environmental claims and proceedings, workers' compensation, and other claims. Accruals for estimated losses are recorded by the Company at the time information becomes available indicating that losses are probable, and the amounts can be reasonably estimated. When management can reasonably estimate a range of losses it may incur, it records an accrual for the amount within the range that constitutes its best estimate. If no amount within a range appears to be a better estimate than any other, the low end of the range is accrued. The Company records anticipated recoveries under existing insurance contracts when recovery is probable. |
Share-Based Compensation Policy | Share-based Compensation: The Company has a variety of equity incentive plans. For employee awards with a service or market condition, compensation expense is recognized over the vesting period on a straight-line basis using the grant date fair value of the award and the estimated number of awards that are expected to vest. For awards with a performance condition, the Company reassesses the probability of vesting at each reporting period and adjusts compensation cost based on its probability assessment. The Company also has immaterial cash-settled share-based compensation plans which are accounted for as liabilities. Such share-based awards are remeasured to fair value at each reporting date. The Company estimates forfeitures based on employee level, time remaining to vest, and historical forfeiture experience. |
Income Taxes Policy | Income Taxes: The Company uses the asset and liability method to account for income taxes. Deferred income taxes reflect the future tax consequences of temporary differences between the tax bases of assets and liabilities and their financial reporting amounts at each balance sheet date, based upon enacted income tax laws and tax rates. Income tax expense or benefit is provided based on earnings reported in the consolidated financial statements. The provision for income tax expense or benefit differs from the amounts of income taxes currently payable because certain items of income and expense included in the consolidated financial statements are recognized in different time periods by taxing authorities. Deferred tax assets, including operating losses, capital losses, and tax credit carryforwards, are reduced by a valuation allowance when it is more likely than not that any portion of these tax attributes will not be realized. In addition, from time to time, management assesses the need to accrue or disclose uncertain tax positions. In making these assessments, management must often analyze complex tax laws of multiple jurisdictions. Accounting guidance prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The Company records the related interest expense and penalties, if any, as tax expense in the tax provision. See Note 17, "Income Taxes," for more information on the Company's income taxes. |
Recently Adopted Accounting Standards and Accounting Standards Not Yet Adopted Policy | Recently Adopted Accounting Standards In November 2021, the FASB issued an Accounting Standards Update ("ASU") 2021-10, Government Assistance, (Topic 832) that adds certain disclosure requirements for entities that receive government assistance. The standard is effective for annual periods beginning after December 15, 2021, with early application permitted. The Company adopted ASU 2021-10 on July 1, 2022. The Company analyzed amounts received from government assistance programs and determined the program amounts received are individually, and in the aggregate, not material. ASU 2021-10 may have an impact on the Company’s disclosures in the future, if government assistance provided to the Company were to become material. Accounting Standards Not Yet Adopted In September 2022, the FASB issued ASU 2022-04 that adds certain disclosure requirements for entities that use supplier finance programs in connection with the purchase of goods and services. The new standard's requirement to disclose the key terms of supplier finance programs is effective for all interim and annual periods beginning with the Company's fiscal year ending June 30, 2024. The new standard does not affect the recognition, measurement, or financial statement presentation of supplier finance program obligation s. Early adoption is permitted. The Company adopted this new disclosure guidance on July 1, 2023, except for the amendment on roll forward information which is not effective until July 1, 2024. The Company considers the applicability and impact of all ASUs issued by the FASB. The Company determined at this time that all other ASUs not yet adopted are either not applicable or are expected to have minimal impact on the Company's consolidated financial statements. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Estimated Useful Lives of property, Plant and Equipment | PP&E, including assets held under finance leases, is depreciated using the straight-line method over the estimated useful lives of the assets or, in the case of leasehold improvements and finance leases, over the period of the lease or useful life of the asset as described below. The Company periodically reviews these estimated useful lives and, when appropriate, changes are made prospectively. Leasehold land Over lease term Land improvements Up to 30 years Buildings Up to 45 years Machinery and equipment Up to 25 years Finance leases Lease term or 5 - 25 years |
Schedule of Long-lived Asset Impairment | Impairment of long-lived assets recognized in the consolidated statements of income, excluding assets held for sale, were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Selling, general, and administrative expenses $ — $ 1 $ 1 Restructuring, impairment, and other related activities, net 18 42 9 Total impairment losses recognized in the consolidated statements of income $ 18 $ 43 $ 10 |
Restructuring, Impairment, an_2
Restructuring, Impairment, and Other Related Activities, Net (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Disclosure of restructuring, impairment, and related expenses | Restructuring, impairment, and other related activities, net as reported on the consolidated statements of income are summarized as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Gain on disposal of Russian business, net $ 215 $ — $ — Restructuring and related expenses, net (111) (96) (94) Russia-Ukraine impairment expenses — (138) — Restructuring, impairment, and other related activities, net $ 104 $ (234) $ (94) ($ in millions) 2018 Rigid Packaging Restructuring Plan 2019 Bemis Integration Plan (3) 2023 Restructuring Plan (1) Other Restructuring Plans (2) Total Restructuring and Related Expenses, Net Fiscal year 2019 $ 64 $ 48 $ — $ 19 $ 131 Fiscal year 2020 37 60 — 18 115 Fiscal year 2021 20 68 — 6 94 Fiscal year 2022 — 37 — 59 96 Fiscal year 2023 — — 94 17 111 Net expenses incurred $ 121 $ 213 $ 94 $ 119 $ 547 (1) Fiscal year 2023 i ncludes restructuring related costs from the 2023 Restructuring Plan of $6 million. (2) Fiscal year 2023 includes restructuring related costs of $4 million that pertain to " Other Restructuring Plans. " Fiscal year 2022 includes $55 million in restructuring expenses and $2 million of restructuring related expenses that pertain to the Russia-Ukraine conflict as discussed above in section "Other Restructuring Plans." (3) Fiscal years 2022 and 2021 include $17 million and $13 million, respectively, of restructuring related costs from the 2019 Bemis Integration Plan. An analysis of the restructuring expenses by type incurred follows: Years ended June 30, ($ in millions) 2023 2022 2021 Employee related expenses $ 68 $ 58 $ 76 Fixed asset related expenses 18 4 23 Other expenses 15 15 34 Gain on sale of business — — (51) Total restructuring expenses, net $ 101 $ 77 $ 82 |
Held for Sale (Tables)
Held for Sale (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary of Held for Sale and Discontinued Operations | Major classes of assets and liabilities of the Russian business classified as held for sale were as follows: ($ in millions) June 30, 2023 June 30, 2022 Cash and cash equivalents $ — $ 75 Trade receivables, net — 66 Inventories, net — 40 Prepaid expenses and other current assets — 36 Property, plant, and equipment, net — 49 Goodwill — 16 Total assets held for sale — 282 Less accumulated impairment (1) — (90) Total assets held for sale, net $ — $ 192 Trade payables — 65 Total current liabilities held for sale $ — $ 65 (1) Inclusive of accumulated other comprehensive loss related to the Russian business. |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Plan Costs | Restructuring, impairment, and other related activities, net as reported on the consolidated statements of income are summarized as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Gain on disposal of Russian business, net $ 215 $ — $ — Restructuring and related expenses, net (111) (96) (94) Russia-Ukraine impairment expenses — (138) — Restructuring, impairment, and other related activities, net $ 104 $ (234) $ (94) ($ in millions) 2018 Rigid Packaging Restructuring Plan 2019 Bemis Integration Plan (3) 2023 Restructuring Plan (1) Other Restructuring Plans (2) Total Restructuring and Related Expenses, Net Fiscal year 2019 $ 64 $ 48 $ — $ 19 $ 131 Fiscal year 2020 37 60 — 18 115 Fiscal year 2021 20 68 — 6 94 Fiscal year 2022 — 37 — 59 96 Fiscal year 2023 — — 94 17 111 Net expenses incurred $ 121 $ 213 $ 94 $ 119 $ 547 (1) Fiscal year 2023 i ncludes restructuring related costs from the 2023 Restructuring Plan of $6 million. (2) Fiscal year 2023 includes restructuring related costs of $4 million that pertain to " Other Restructuring Plans. " Fiscal year 2022 includes $55 million in restructuring expenses and $2 million of restructuring related expenses that pertain to the Russia-Ukraine conflict as discussed above in section "Other Restructuring Plans." (3) Fiscal years 2022 and 2021 include $17 million and $13 million, respectively, of restructuring related costs from the 2019 Bemis Integration Plan. An analysis of the restructuring expenses by type incurred follows: Years ended June 30, ($ in millions) 2023 2022 2021 Employee related expenses $ 68 $ 58 $ 76 Fixed asset related expenses 18 4 23 Other expenses 15 15 34 Gain on sale of business — — (51) Total restructuring expenses, net $ 101 $ 77 $ 82 |
Restructuring Plan Liability | An analysis of the Company's restructuring plan liability, not including restructuring related liabilities, is as follows: ($ in millions) Employee Costs Fixed Asset Related Costs Other Costs Total Restructuring Costs Liability balance at June 30, 2020 $ 70 $ 3 $ 12 $ 85 Net charges to earnings 76 23 34 133 Cash paid (61) (5) (30) (96) Non-cash and other (9) (23) — (32) Foreign currency translation 2 2 1 5 Liability balance at June 30, 2021 78 — 17 95 Net charges to earnings 58 4 15 77 Cash (paid)/received, net (27) 4 (14) (37) Non-cash and other (3) (5) — (8) Foreign currency translation (9) — — (9) Liability balance at June 30, 2022 97 3 18 118 Net charges to earnings 68 18 15 101 Cash paid (42) — (13) (55) Non-cash and other — (18) — (18) Foreign currency translation 3 — 1 4 Liability balance at June 30, 2023 $ 126 $ 3 $ 21 $ 150 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Components of Property, Plant and Equipment | The components of property, plant, and equipment, net, were as follows: ($ in millions) June 30, 2023 June 30, 2022 Land and land improvements $ 203 $ 201 Buildings and improvements 1,483 1,323 Plant and equipment 6,084 5,797 Total property, plant, and equipment 7,770 7,321 Accumulated depreciation (3,963) (3,617) Accumulated impairment (45) (58) Total property, plant, and equipment, net $ 3,762 $ 3,646 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Amount of Goodwill | Changes in the carrying amount of goodwill attributable to each reportable segment were as follows: ($ in millions) Flexibles Segment Rigid Packaging Segment Total Balance as of June 30, 2021 $ 4,437 $ 982 $ 5,419 Held for sale reclassification (1) (16) — (16) Foreign currency translation (114) (4) (118) Balance as of June 30, 2022 4,307 978 5,285 Acquisitions and acquisition adjustments (2) 98 — 98 Disposals (1) (30) — (30) Foreign currency translation 16 (3) 13 Balance as of June 30, 2023 $ 4,391 $ 975 $ 5,366 (1) As of June 30, 2022, $16 million of goodwill attributable to the Russian business was classified as assets held for sale, net. When the business was disposed on December 23, 2022, an additional $30 million of goodwill was allocated and disposed of. For further information, refer to Note 5, "Acquisitions and Divestitures," and Note 6, "Held for Sale." (2) Acquisitions and acquisition adjustments are detailed in Note 5, "Acquisitions and Divestitures." |
Schedule of Components of Intangible Assets | Other intangible assets, net is comprised of the following: June 30, 2023 ($ in millions) Gross Carrying Amount Accumulated Amortization and Impairment (1) Net Carrying Amount Customer relationships $ 1,987 $ (660) $ 1,327 Computer software 261 (185) 76 Other (2) 327 (206) 121 Total other intangible assets $ 2,575 $ (1,051) $ 1,524 June 30, 2022 ($ in millions) Gross Carrying Amount Accumulated Amortization and Impairment (1) Net Carrying Amount Customer relationships $ 1,970 $ (529) $ 1,441 Computer software 235 (162) 73 Other (2) 323 (180) 143 Total other intangible assets $ 2,528 $ (871) $ 1,657 (1) Accumulated amortization and impairment included $34 million and $33 million for June 30, 2023, and 2022, respectively, of accumulated impairment in the Other category. (2) Other included $17 million and $16 million for June 30, 2023, and 2022, respectively, of acquired intellectual property assets not yet being amortized as the related research and development projects have not yet been completed. |
Estimated Future Amortization Expense | Estimated future amortization expense for intangible assets is as follows: ($ in millions) Amortization Fiscal year 2024 $ 173 Fiscal year 2025 159 Fiscal year 2026 156 Fiscal year 2027 141 Fiscal year 2028 141 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Carrying and Fair Value of Long-Term Debt | The carrying values and estimated fair values of long-term debt with fixed interest rates (excluding the fair value of designated receive-fixed/pay variable rate swaps) were as follows: June 30, 2023 June 30, 2022 Carrying Value Fair Value Carrying Value Fair Value ($ in millions) (Level 2) (Level 2) Total long-term debt with fixed interest rates (excluding commercial paper (1) and finance leases) $ 4,123 $ 3,844 $ 3,952 $ 3,694 |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table summarizes the fair value of these instruments, which are measured at fair value on a recurring basis, by level, within the fair value hierarchy: June 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Assets Forward exchange contracts — 3 — 3 Interest rate swaps — 16 — 16 Total assets measured at fair value $ — $ 19 $ — $ 19 Liabilities Contingent purchase consideration liabilities $ — $ — $ 46 $ 46 Commodity contracts — 2 — 2 Forward exchange contracts — 5 — 5 Interest rate swaps — 96 — 96 Total liabilities measured at fair value $ — $ 103 $ 46 $ 149 June 30, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Assets Commodity contracts $ — $ 6 $ — $ 6 Forward exchange contracts — 7 — 7 Total assets measured at fair value $ — $ 13 $ — $ 13 Liabilities Contingent purchase consideration liabilities $ — $ — $ 16 $ 16 Commodity contracts — 3 — 3 Forward exchange contracts — 17 — 17 Interest rate swaps — 69 — 69 Total liabilities measured at fair value $ — $ 89 $ 16 $ 105 |
Schedule of Changes in Level 3 Liabilities | The following table sets forth a summary of changes in the value of the Company's Level 3 financial liabilities: June 30, ($ in millions) 2023 2022 Fair value at the beginning of the year $ 16 $ 18 Additions due to acquisitions 33 — Change in fair value of Level 3 liabilities (2) — Payments — (1) Foreign currency translation (1) (1) Fair value at the end of the year $ 46 $ 16 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Outstanding commodity contracts | The Company had the following outstanding commodity contracts to hedge forecasted purchases: June 30, 2023 June 30, 2022 Commodity Volume Volume Aluminum 14,325 tons 17,040 tons PET resin 0 lbs. 16,886,520 lbs. |
Schedule of Balance Sheet Derivatives | The following table provides the location of derivative instruments in the consolidated balance sheets: ($ in millions) Balance Sheet Location June 30, 2023 June 30, 2022 Assets Derivatives in cash flow hedging relationships: Commodity contracts Other current assets $ — $ 6 Forward exchange contracts Other current assets 2 3 Forward exchange contracts Assets held for sale, net — 3 Derivatives not designated as hedging instruments: Forward exchange contracts Other current assets 1 1 Interest rate swaps Other current assets 16 — Total current derivative contracts 19 13 Total non-current derivative contracts — — Total derivative asset contracts $ 19 $ 13 Liabilities Derivatives in cash flow hedging relationships: Commodity contracts Other current liabilities $ 2 $ 3 Forward exchange contracts Other current liabilities 3 5 Derivatives not designated as hedging instruments: Forward exchange contracts Other current liabilities 1 11 Total current derivative contracts 6 19 Derivatives in cash flow hedging relationships: Forward exchange contracts Other non-current liabilities 1 1 Derivatives in fair value hedging relationships: Interest rate swaps Other non-current liabilities 96 69 Total non-current derivative contracts 97 70 Total derivative liability contracts $ 103 $ 89 |
Schedule of Cash Flow Hedges Reclassified from AOCI | The following tables provide the effects of derivative instruments on AOCI and in the consolidated statements of income: Location of Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) Years ended June 30, ($ in millions) 2023 2022 2021 Derivatives in cash flow hedging relationships Commodity contracts Cost of sales $ 2 $ 20 $ 1 Forward exchange contracts Net sales (2) — — Treasury locks Interest expense (3) (3) (2) Total $ (3) $ 17 $ (1) |
Schedule of Derivatives Not Designated as Hedging Instruments Recognized in Income | Location of Gain / (Loss) Recognized in the Consolidated Income Statements Gain / (Loss) Recognized in Income for Derivatives not Designated as Hedging Instruments Years ended June 30, ($ in millions) 2023 2022 2021 Derivatives not designated as hedging instruments Forward exchange contracts Other income, net $ (7) $ (45) $ 11 Interest rate swaps Other income, net 16 — — Cross currency interest rate swaps Other income, net — — (4) Total $ 9 $ (45) $ 7 |
Schedule of Fair Value Hedging Instruments Recognized in Income | Location of Loss Recognized in the Consolidated Income Statements Loss Recognized in Income for Derivatives in Fair Value Hedging Relationships Years ended June 30, ($ in millions) 2023 2022 2021 Derivatives in fair value hedging relationships Interest rate swaps Interest expense $ (27) $ (75) $ (14) Forward exchange contracts Other income, net — (11) — Total $ (27) $ (86) $ (14) |
Schedule of Changes in AOCI for Effective Derivatives | The changes in AOCI for effective derivatives were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Amounts reclassified into earnings Commodity contracts $ (2) $ (20) $ (1) Forward exchange contracts 2 — — Treasury locks 3 3 2 Change in fair value Commodity contracts (2) 9 22 Forward exchange contracts (3) (1) 3 Tax effect 1 2 — Total $ (1) $ (7) $ 26 |
Pension and Other Post-retire_2
Pension and Other Post-retirement Plans (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Periodic Benefit Costs for Benefit Plans | Net periodic benefit cost for benefit plans includes the following components: Years ended June 30, ($ in millions) 2023 2022 2021 Service cost $ 13 $ 24 $ 27 Interest cost 49 39 40 Expected return on plan assets (55) (61) (60) Amortization of net loss 2 5 8 Amortization of prior service credit (3) (3) (2) Curtailment credit — — (1) Settlement costs 5 8 3 Net periodic benefit cost $ 11 $ 12 $ 15 |
Schedule of Changes in Benefit Obligations | Changes in benefit obligations and plan assets were as follows: ($ in millions) June 30, 2023 June 30, 2022 Change in benefit obligation: Benefit obligation at the beginning of the year $ 1,314 $ 2,022 Service cost 13 24 Interest cost 49 39 Participant contributions 6 6 Actuarial gain (90) (341) Settlements (27) (244) Benefits paid (62) (70) Administrative expenses (4) (6) Plan amendments (4) 1 Divestitures — (4) Other (2) — Foreign currency translation 31 (113) Benefit obligation at the end of the year $ 1,224 $ 1,314 Accumulated benefit obligation at the end of the year $ 1,186 $ 1,269 |
Schedule of Changes in Fair Value of Plan Assets | Change in plan assets: Fair value of plan assets at the beginning of the year $ 1,195 $ 1,759 Actual return on plan assets (100) (189) Employer contributions 26 35 Participant contributions 6 6 Benefits paid (62) (70) Settlements (27) (244) Administrative expenses (4) (6) Foreign currency translation 27 (96) Fair value of plan assets at the end of the year $ 1,061 $ 1,195 Funded status at the end of the year $ (163) $ (119) |
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets | The following table provides information for defined benefit plans with a projected benefit obligation in excess of plan assets: ($ in millions) June 30, 2023 June 30, 2022 Projected benefit obligation $ 832 $ 398 Fair value of plan assets 601 189 |
Schedule of Accumulated Benefit Obligations in Excess of Plan Assets | The following table provides information for defined benefit plans with an accumulated benefit obligation in excess of plan assets: ($ in millions) June 30, 2023 June 30, 2022 Accumulated benefit obligation $ 799 $ 357 Fair value of plan assets 589 177 |
Schedule of Amounts Recognized in Balance Sheet | The following table provides information as to how the funded status is recognized in the consolidated balance sheets: ($ in millions) June 30, 2023 June 30, 2022 Non-current assets - Employee benefit assets $ 67 $ 89 Current liabilities - Other current liabilities (6) (7) Non-current liabilities - Employee benefit obligations (224) (201) Funded status $ (163) $ (119) |
Schedule of Amounts Recognized in Other Comprehensive (Income) Loss | Amounts recognized in other comprehensive (income)/loss for the fiscal years ended are as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Changes in plan assets and benefit obligations recognized in other comprehensive (income)/loss: Net actuarial loss/(gain) occurring during the year $ 65 $ (91) $ (58) Net prior service loss/(gain) occurring during the year (4) 1 (16) Amortization of actuarial loss (2) (5) (8) Gain recognized due to settlement/curtailment (4) (8) (2) Amortization of prior service credit 3 3 2 Acquisition/disposal loss — (1) — Foreign currency translation 3 (14) 16 Tax effect (11) 21 14 Total recognized in other comprehensive (income)/loss $ 50 $ (94) $ (52) Amounts in AOCI that have not yet been recognized as net periodic benefit cost, as of fiscal year-ends, are as follows: June 30, ($ in millions) 2023 2022 2021 Net prior service credit $ (17) $ (15) $ (20) Net actuarial loss 128 65 185 Accumulated other comprehensive loss at the end of the year $ 111 $ 50 $ 165 |
Schedule of Weighted-average Assumptions Used | Weighted-average assumptions used to determine benefit obligations at fiscal year-ends were: June 30, 2023 2022 2021 Discount rate 4.3 % 3.8 % 2.1 % Rate of compensation increase 1.9 % 2.3 % 1.7 % Weighted-average assumptions used to determine net periodic benefit cost for the fiscal years ended were: June 30, 2023 2022 2021 Discount rate 3.8 % 2.1 % 2.0 % Rate of compensation increase 2.3 % 1.7 % 1.9 % Expected long-term rate of return on plan assets 4.4 % 3.8 % 3.5 % |
Schedule of Expected Benefit Payments | The following benefit payments for the succeeding five fiscal years and thereafter, which reflect expected future service, as appropriate, are expected to be paid: ($ in millions) 2024 $ 72 2025 320 2026 56 2027 56 2028 58 2029-2033 308 |
Schedule of Pension Plan Assets Measured at Fair Value | The pension plan assets measured at fair value were as follows: June 30, 2023 ($ in millions) Level 1 Level 2 Level 3 Total Equity securities $ 114 $ 54 $ — $ 168 Debt securities 77 405 — 482 Real estate 7 105 — 112 Insurance contracts — — 192 192 Cash and cash equivalents 58 13 — 71 Other 5 22 9 36 Total $ 261 $ 599 $ 201 $ 1,061 June 30, 2022 ($ in millions) Level 1 Level 2 Level 3 Total Equity securities $ 111 $ 98 $ — $ 209 Debt securities (1) 73 378 — 451 Real estate 7 121 2 130 Insurance contracts — — 216 216 Cash and cash equivalents 21 3 — 24 Other 5 26 134 165 Total $ 217 $ 626 $ 352 $ 1,195 |
Schedule of Changes in Fair Value Level 3 Assets | The following table sets forth a summary of changes in the value of the Company's Level 3 assets: ($ in millions) Balance as of June 30, 2022 $ 352 Actual return on plan assets (51) Purchases, sales, and settlements (8) Transfer out of Level 3 (1) (93) Foreign currency translation 1 Balance as of June 30, 2023 $ 201 (1) In preparation for a buy-in policy contract that was executed in July 2023, the Company transferred certain Level 3 assets into Level 1 assets and Level 2 assets in fiscal year 2023. Refer to Note 24, "Subsequent Events," for further information. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Value of Long-term Debt | The following table summarizes the carrying value of long-term debt as of June 30, 2023, and 2022, respectively: June 30, ($ in millions) Maturities Interest rates 2023 2022 Term debt Euro bonds, €300 million (1)(3) Mar 2023 2.75 % $ — $ 313 U.S. dollar notes, $500 million May 2025 4.00 % 500 500 U.S. dollar notes, $600 million Apr 2026 3.63 % 600 600 U.S. dollar notes, $300 million Sep 2026 3.10 % 300 300 Euro bonds, €500 million Jun 2027 1.13 % 543 522 U.S. dollar notes, $500 million May 2028 4.50 % 500 500 U.S. dollar notes, $500 million Jun 2030 2.63 % 500 500 U.S. dollar notes, $800 million May 2031 2.69 % 800 800 U.S. dollar notes, $500 million (4) May 2033 5.63 % 500 — Total term debt 4,243 4,035 Bank loans 22 22 Commercial paper (1) 2,445 2,310 Other loans (2) 33 18 Finance lease obligations 50 62 Fair value hedge accounting adjustments (5) (96) (69) Unamortized discounts and debt issuance costs (31) (24) Total debt 6,666 6,354 Less: current portion (13) (14) Total long-term debt $ 6,653 $ 6,340 (1) Indicates debt which has been classified as long-term liabilities in accordance with the Company’s ability and intent to refinance such obligations on a long-term basis. (2) Includes other loans of $12 million and nil for June 30, 2023, and 2022, respectively, which have been classified as long-term liabilities in accordance with the Company’s ability and intent to refinance such obligations on a long-term basis. (3) On March 22, 2023, the Company redeemed Euro bonds of €300 million at maturity. The redemption was funded with commercial paper. (4) On May 26, 2023, the Company issued U.S. dollar notes with an aggregate principal amount of $500 million and a contractual maturity in May 2033. The notes pay a coupon of 5.63% per annum, payable semi-annually in arrears. The notes are unsecured senior obligations of the Company and are fully and unconditionally guaranteed by the Company and certain of its subsidiaries. (5) Relates to fair value hedge basis adjustments relating to interest rate hedging. |
Schedule of Contractual Maturities of Long-term Debt | The following table summarizes the contractual maturities of the Company's long-term debt, including current maturities (excluding payments for finance leases) as of June 30, 2023, for the succeeding five fiscal years: ($ in millions) 2024 $ 3 2025 (1) 1,933 2026 600 2027 (2) 1,867 2028 504 (1) Commercial paper denominated in U.S. dollars is classified as maturing in 2025, supported by the 3-year syndicated facility, with a 1-year option to extend. (2) Commercial paper denominated in Euros is classified as maturing in 2027, supported by the 5-year syndicated facility, with a 1-year option to extend. |
Schedule of Short-term Debt | The following table summarizes the carrying value of short-term debt as of June 30, 2023, and 2022, respectively: June 30, ($ in millions) 2023 2022 Bank loans $ 13 $ 32 Bank overdrafts 67 104 Total short-term debt $ 80 $ 136 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Schedule of leases | The components of lease expense are as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Operating lease expense (1) $ 127 $ 130 $ 113 Short-term and variable lease expense (2) 21 17 20 Finance lease expense Amortization of right-of-use assets (2) 4 2 2 Interest on lease liabilities (3) 2 1 1 Total lease expense $ 154 $ 150 $ 136 (1) Included in both cost of sales and selling, general, and administrative expenses (2) Included primarily in cost of sales (3) Included in interest expense Years ended June 30, ($ in millions) 2023 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 118 $ 122 $ 111 Operating cash flows from finance leases 2 1 1 Financing cash flows from finance leases 11 5 2 Lease assets obtained in exchange for new lease obligations: Operating leases $ 26 $ 55 $ 55 Finance leases — 34 1 Other non-cash modifications to lease assets: Operating leases 33 88 56 June 30, 2023 2022 Weighted-average remaining lease term (in years): Operating leases 8.0 9.0 Finance leases 10.3 10.1 Weighted-average discount rate: Operating Leases 3.6 % 3.3 % Finance leases 3.0 % 2.9 % |
Schedule of supplemental balance sheet information | Supplemental balance sheet information related to leases: June 30, ($ in millions) Balance Sheet Location 2023 2022 Assets Operating lease right-of-use assets, net Operating lease assets $ 533 $ 560 Finance lease assets (1) Property, plant, and equipment, net 57 62 Total lease assets $ 590 $ 622 Liabilities Operating leases: Current operating lease liabilities Other current liabilities $ 101 $ 101 Non-current operating lease liabilities Operating lease liabilities 463 493 Finance leases: Current finance lease liabilities Current portion of long-term debt 10 10 Non-current finance lease liabilities Long-term debt, less current portion 40 52 Total lease liabilities $ 614 $ 656 (1) Finance lease assets are recorded net of accumulated amortization of $12 million and $9 million as of June 30, 2023 and 2022, respectively. |
Schedule of maturity of lease liabilities | The following table presents the maturities of the Company's lease liabilities recorded on the consolidated balance sheets as of June 30, 2023: ($ in millions) Operating Leases Finance Leases Fiscal year 2024 $ 115 $ 11 Fiscal year 2025 99 11 Fiscal year 2026 89 6 Fiscal year 2027 74 2 Fiscal year 2028 63 2 Thereafter 218 26 Total lease payments 658 58 Less: imputed interest (94) (8) Total lease liabilities $ 564 $ 50 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Schedule of Changes in Ordinary Treasury Shares | The changes in ordinary and treasury shares during fiscal years 2023, 2022, and 2021, were as follows: Ordinary Shares Treasury Shares (shares and $ in millions) Number of Shares Amount Number of Shares Amount Balance as of June 30, 2020 1,569 $ 16 7 $ (67) Share buyback/cancellations (31) (1) — — Options exercised and shares vested — — (5) 46 Purchase of treasury shares — — 1 (8) Balance as of June 30, 2021 1,538 15 3 (29) Share buyback/cancellations (49) — — — Options exercised and shares vested — — (13) 154 Purchase of treasury shares — — 12 (143) Balance as of June 30, 2022 1,489 15 2 (18) Share buyback/cancellations (41) (1) — — Options exercised and shares vested — — (19) 227 Purchase of treasury shares — — 18 (221) Balance as of June 30, 2023 1,448 $ 14 1 $ (12) |
Schedule of Accumulated Other Comprehensive Income (Loss) | The changes in the components of accumulated other comprehensive loss during the fiscal years ended June 30, 2023, 2022, and 2021 were as follows: Foreign Currency Translation Net Investment Hedge Pension Effective Derivatives Total Accumulated Other Comprehensive Loss ($ in millions) (Net of Tax) (Net of Tax) (Net of Tax) (Net of Tax) Balance as of June 30, 2020 $ (896) $ (13) $ (106) $ (34) $ (1,049) Other comprehensive income before reclassifications 179 — 44 25 248 Amounts reclassified from accumulated other comprehensive loss 26 — 8 1 35 Net current period other comprehensive income 205 — 52 26 283 Balance as of June 30, 2021 (691) (13) (54) (8) (766) Other comprehensive income / (loss) before reclassifications (220) — 85 6 (129) Amounts reclassified from accumulated other comprehensive loss 19 — 9 (13) 15 Net current period other comprehensive income / (loss) (201) — 94 (7) (114) Balance as of June 30, 2022 (892) (13) 40 (15) (880) Other comprehensive loss before reclassifications (9) — (53) (4) (66) Amounts reclassified from accumulated other comprehensive loss 78 — 3 3 84 Net current period other comprehensive income/(loss) 69 — (50) (1) 18 Balance as of June 30, 2023 $ (823) $ (13) $ (10) $ (16) $ (862) For the years ended June 30, 2023 2022 Retained earnings, beginning balance $ 7,167 $ 6,737 Net income 487 1,153 Retained earnings before distribution 7,654 7,890 Dividends recognized during the financial period (717) (723) Retained earnings at the end of the financial period $ 6,937 $ 7,167 |
Schedule of Reclassification out of Accumulated Other Comprehensive Income (Loss) | The following tables provide details of amounts reclassified from accumulated other comprehensive loss: For the years ended June 30, ($ in millions) 2023 2022 2021 Amortization of pension: Amortization of prior service credit $ (3) $ (3) $ (2) Amortization of actuarial loss 2 5 8 Acquisition/disposal loss — 1 — Effect of pension settlement/curtailment 4 8 2 Total before tax effect 3 11 8 Tax effect on amounts reclassified into earnings — (2) — Total net of tax $ 3 $ 9 $ 8 (Gains)/losses on cash flow hedges: Commodity contracts $ (2) $ (20) $ (1) Forward exchange contracts 2 — — Treasury locks 3 3 2 Total before tax effect 3 (17) 1 Tax effect on amounts reclassified into earnings — 4 — Total net of tax $ 3 $ (13) $ 1 Losses on foreign currency translation: Foreign currency translation adjustment (1) $ 78 $ 19 $ 26 Total before tax effect 78 19 26 Tax effect on amounts reclassified into earnings — — — Total net of tax $ 78 $ 19 $ 26 (1) During the fiscal year ended June 30, 2023, the Company disposed of its Russian business and certain non-core operations and transferred $73 million and $5 million, respectively, of accumulated foreign currency translation from accumulated other comprehensive loss to earnings. During the fiscal year ended June 30, 2022, the Company effectively disposed of a non-core business and transferred $19 million of accumulated foreign currency translation from accumulated other comprehensive loss to earnings. During the fiscal year ended June 30, 2021, the Company recorded a gain on disposal of AMVIG and other non-core businesses. Upon completion of the transactions, $26 million of accumulated foreign currency translation was transferred from accumulated other comprehensive loss to earnings. Refer to Note 5, "Acquisitions and Divestitures," and Note 8, "Equity Method and Other Investments," for further information. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Before Taxes and Equity in Income (Loss) of Affiliated Companies | The components of income before income taxes and equity in income of affiliated companies were as follows: Years ended June 30, ($ in millions) 2023 2022 2021 Domestic (UK) $ 82 $ (58) $ (25) Foreign 1,169 1,173 1,218 Total income before income taxes and equity in income of affiliated companies $ 1,251 $ 1,115 $ 1,193 |
Schedule of Income Tax Expense | Income tax expense consisted of the following: Years ended June 30, ($ in millions) 2023 2022 2021 Current tax Domestic (UK) $ 3 $ 2 $ 11 Foreign 247 331 246 Total current tax 250 333 257 Deferred tax Domestic (UK) (6) (10) (1) Foreign (51) (23) 5 Total deferred tax (57) (33) 4 Income tax expense $ 193 $ 300 $ 261 |
Schedule of Reconciliation of Income Tax Rate | The following is a reconciliation of income tax computed at the UK statutory tax rate of 20.5%, 19.0%, and 19.0% for fiscal years 2023, 2022, and 2021, respectively, to income tax expense. Years ended June 30, ($ in millions) 2023 2022 2021 Income tax expense at statutory rate $ 256 $ 212 $ 227 Foreign tax rate differential 54 43 18 Capital gain on the sale of the Russian business (63) — — Non-deductible expenses, non-taxable items, net 16 (2) 2 Change in valuation allowance (7) 4 40 Uncertain tax positions, net (39) 62 32 Other (1) (24) (19) (58) Income tax expense $ 193 $ 300 $ 261 (1) In fiscal year 2023, Other is comprised of effects of foreign currency exchange of $25 million, adjustments to prior year, movement in deferred tax positions, changes in tax rate, and other individually immaterial items. In fiscal year 2022, Other is comprised of adjustments to prior year, movements in deferred tax positions of $13 million, changes in tax rates, and other individually immaterial items. In fiscal year 2021, Other is comprised of adjustments to prior fiscal year, including one related to the crystallization of benefits from business restructuring of $45 million, changes in tax rate, and other individually immaterial items. |
Schedule of Significant Components of Deferred Tax Assets and Liabilities | Significant components of deferred tax assets and liabilities are as follows: June 30, ($ in millions) 2023 2022 Deferred tax assets Inventories $ 20 $ 15 Accrued employee benefits 70 62 Provisions 4 18 Net operating loss carryforwards 332 325 Tax credit carryforwards 37 39 Accruals and other 46 48 Total deferred tax assets 509 507 Valuation allowance (400) (407) Net deferred tax assets 109 100 Deferred tax liabilities Property, plant, and equipment (294) (319) Other intangible assets (259) (304) Derivatives and other financial instruments (25) (4) Undistributed foreign earnings (13) (20) Total deferred tax liabilities (591) (647) Net deferred tax liability (482) (547) Balance sheet location: Deferred tax assets 134 130 Deferred tax liabilities (616) (677) Net deferred tax liability $ (482) $ (547) |
Schedule of Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits for the fiscal years presented is as follows: June 30, ($ in millions) 2023 2022 2021 Balance at the beginning of the year $ 195 $ 133 $ 101 Additions based on tax positions related to the current year 12 50 39 Additions for tax positions of prior years 24 19 7 Reductions for tax positions from prior years (69) (6) (12) Reductions for settlements (5) — — Reductions due to lapse of statute of limitations (2) (1) (2) Balance at the end of the year $ 155 $ 195 $ 133 |
Share-based Compensation (Table
Share-based Compensation (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule Weighted-average Grant Date Fair Value of Equity Incentive Plan | The weighted-average grant date fair values by type of equity incentive plan for awards granted in fiscal years 2023, 2022, and 2021 were as follows: For the years ended June 30, (in $ per unit of award) 2023 2022 2021 Share options (1) 1.66 1.29 1.08 Restricted share units 11.91 11.62 11.06 Performance rights/shares (2) 8.18 9.40 7.22 Share rights 10.90 11.44 10.22 (1) The fair value of share options was determined using Black-Scholes option pricing model with the following key assumptions for the fiscal years ended June 30, 2023, 2022, and 2021, respectively: risk-free interest rate of 3.4% (2022 : 1.0% , 2021: 0.2% ) , expected share-price volatility of 23.0% (2022 : 22.0% , 2021: 25.0% ) , expected dividend yield of 4.0% (2022 : 4.1% , 2021: 4.7% ) , and expected life of options of 6.1 years (2022 : 6.1 years , 2021: 6.1 years ) . (2) The fair value of performance rights/shares was determined using a combination of Black-Scholes option pricing model and Monte Carlo simulation. The key assumptions for the fiscal years ended June 30, 2023, 2022, and 2021, respectively, were: risk-free interest rate of 3.5% (2022 : 0.4% , 2021: 0.2% ) , expected share-price volatility of 23.0% (2022 : 22.0% , 2021: 25.0% ) , and expected dividend yield of 4.0% (2022 : 4.1% , 2021: 4.7% ). |
Schedule of Changes in Share Options | Changes in outstanding share options were as follows: Share options Number Weighted-average Exercise Price (in millions) Share options outstanding at June 30, 2022 45 $ 10.66 Granted 7 11.79 Exercised (13) 9.88 Forfeited (6) 10.24 Share options outstanding at June 30, 2023 33 11.29 Vested and exercisable at June 30, 2023 9 $ 10.06 |
Schedule of Changes in Restricted Shares/Units, Performance Shares/Units and Share Rights | Changes in outstanding other equity incentive plans and the fair values vested are presented below: Restricted share units Performance rights/shares Share rights Number Weighted-average Grant Date Fair Value Number Weighted-average Grant Date Fair Value Number Weighted-average Grant Date Fair Value (in millions) (in millions) (in millions) Outstanding at June 30, 2022 1 $ 11.41 11 $ 7.79 4 $ 10.90 Granted 1 11.91 4 8.18 2 10.90 Exercised (1) 11.16 (3) 6.65 (2) 10.26 Forfeited — — (1) 7.46 — — Outstanding at June 30, 2023 1 $ 11.67 11 $ 8.20 4 $ 11.22 Fair value vested Restricted share units Performance rights/shares Share rights Year Ended June 30, 2023 $ 2 $ 16 $ 20 Year Ended June 30, 2022 3 8 7 Year Ended June 30, 2021 3 3 5 |
Earnings Per Share Computatio_2
Earnings Per Share Computations (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share | Basic EPS is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding after excluding the ordinary shares to be repurchased using forward contracts. Diluted EPS includes the effects of share options, restricted share units, performance rights, performance shares, and share rights, if dilutive. Years ended June 30, ($ in millions, except per share amounts) 2023 2022 2021 Numerator Net income attributable to Amcor plc $ 1,048 $ 805 $ 939 Distributed and undistributed earnings attributable to shares to be repurchased (7) (3) (2) Net income available to ordinary shareholders of Amcor plc—basic and diluted $ 1,041 $ 802 $ 937 Denominator Weighted-average ordinary shares outstanding 1,478 1,514 1,553 Weighted-average ordinary shares to be repurchased by Amcor plc (10) (5) (2) Weighted-average ordinary shares outstanding for EPS—basic 1,468 1,509 1,551 Effect of dilutive shares 8 6 5 Weighted-average ordinary shares outstanding for EPS—diluted 1,476 1,516 1,556 Per ordinary share income Basic earnings per ordinary share $ 0.709 $ 0.532 $ 0.604 Diluted earnings per ordinary share $ 0.705 $ 0.529 $ 0.602 |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Information About Reportable Segments | The following table presents information about reportable segments. Intersegment sales are not material and therefore are not presented in the table below. Years ended June 30, ($ in millions) 2023 2022 2021 Flexibles $ 11,154 $ 11,151 $ 10,038 Rigid Packaging 3,540 3,393 2,823 Other — — — Net sales $ 14,694 $ 14,544 $ 12,861 Adjusted earnings before interest and taxes ("Adjusted EBIT") Flexibles 1,429 1,517 1,427 Rigid Packaging 265 289 299 Other (86) (105) (105) Adjusted EBIT 1,608 1,701 1,621 Less: 2018/2019 Restructuring programs (1) — (37) (88) Less: Amortization of acquired intangible assets from business combinations (2) (160) (163) (165) Less: Impact of hyperinflation (3) (24) (16) (19) Less: Pension settlements (4) (5) (8) — Add/(Less): Net gain/(loss) on disposals (5) — (10) 9 Less: Property and other losses, net (6) (2) (13) — Add/(Less): Russia-Ukraine conflict impacts (7) 90 (200) — Add/(Less): Other (8) 3 (4) (7) Interest income 31 24 14 Interest expense (290) (159) (153) Equity in income of affiliated companies, net of tax — — (19) Income before income taxes and equity in income of affiliated companies $ 1,251 $ 1,115 $ 1,193 (1) 2018/2019 Restructuring programs includes restructuring and related expenses for the 2019 Bemis Integration Plan for fiscal year 2022, and 2018 Rigid Packaging Restructuring Plan and the 2019 Bemis Integration Plan for fiscal year 2021. Refer to Note 7, "Restructuring," for more information. (2) Amortization of acquired intangible assets from business combinations includes amortization expenses related to all acquired intangible assets from past acquisitions. (3) Impact of hyperinflation includes the adverse impact of highly inflationary accounting for subsidiaries in Argentina where the functional currency was the Argentine Peso. (4) Pension settlements in fiscal year 2023 primarily includes the settlement of a small European plan and in fiscal year 2022 the purchase of group annuity contracts and transfer of pension plan assets and related benefit obligations. Refer to Note 13, "Pension Plans," for more information. (5) Net gain/(loss) on disposals, excluding the disposal of the Company's Russian business, includes an expense of $10 million from the disposal of non-core assets in fiscal year 2022. Refer to Note 11, "Fair Value Measurements," for more information. Fiscal year 2021 includes the gain realized upon the disposal of AMVIG and the loss upon disposal of other non-core businesses not part of material restructuring programs. Refer to Note 8, "Equity Method and Other Investments," for further information on the disposal of AMVIG and Note 5, "Acquisitions and Divestitures," for more information regarding the other disposals. (6) Property and other losses, net in fiscal year 2023 includes property claims and losses of $5 million and $3 million of net insurance recovery related to the closure of the Company's South African business. Fiscal year 2022 includes business losses primarily associated with the destruction of the Company's Durban, South Africa facility during general civil unrest in July 2021, net of insurance recovery. (7) Russia-Ukraine conflict impacts in fiscal year 2023 includes a pre-tax net gain on the sale of the Company's Russian business of $215 million, incremental costs of $18 million, and restructuring and related expenses of $107 million incurred in connection with the conflict . Fiscal year 2022 includes $138 million of impairment charges, $57 million of restructuring and related expenses, and $5 million of other expenses. Refer to Note 4, "Restructuring, Impairment, and Other Related Activities, Net, " and Note 7, "Restructuring," for further information. (8) Other |
Schedule of Additional Financial Information About Segments | The tables below present additional financial information by reportable segments: Capital expenditures for the acquisition of long-lived assets by reportable segment were: Years ended June 30, ($ in millions) 2023 2022 2021 Flexibles $ 384 $ 376 $ 336 Rigid Packaging 133 136 127 Other 9 15 5 Total capital expenditures for the acquisition of long-lived assets $ 526 $ 527 $ 468 Depreciation and amortization by reportable segment were: Years ended June 30, ($ in millions) 2023 2022 2021 Flexibles $ 436 $ 450 $ 447 Rigid Packaging 125 120 115 Other 8 9 10 Total depreciation and amortization $ 569 $ 579 $ 572 |
Schedule of Sales by Major Product | Sales by major product were: Years ended June 30, ($ in millions) Segment 2023 2022 2021 Films and other flexible products Flexibles $ 10,061 $ 10,033 $ 8,934 Specialty flexible folding cartons Flexibles 1,093 1,118 1,104 Containers, preforms, and closures Rigid Packaging 3,540 3,393 2,823 Net sales $ 14,694 $ 14,544 $ 12,861 |
Schedule of Long-lived Assets by Geographic Areas | The following table provides long-lived asset information for the major countries in which the Company operates. Long-lived assets include property, plant, and equipment, net of accumulated depreciation and impairments. June 30, ($ in millions) 2023 2022 United States of America $ 1,710 $ 1,720 Other countries (1) 2,052 1,926 Long-lived assets $ 3,762 $ 3,646 (1) Includes the Company's country of domicile, Jersey. The Company had no long-lived assets in Jersey in any period shown. No individual country represented more than 10% of the respective totals. |
Schedule of Disaggregation of Revenue by Geography | The following tables disaggregate net sales information by geography in which the Company operates based on manufacturing or selling operations: Year Ended June 30, 2023 ($ in millions) Flexibles Rigid Packaging Total North America $ 4,411 $ 2,745 $ 7,156 Latin America 1,114 795 1,909 Europe (1) 3,952 — 3,952 Asia Pacific 1,677 — 1,677 Net sales $ 11,154 $ 3,540 $ 14,694 Year Ended June 30, 2022 ($ in millions) Flexibles Rigid Packaging Total North America $ 4,296 $ 2,656 $ 6,952 Latin America 1,060 737 1,797 Europe (1) 4,062 — 4,062 Asia Pacific 1,733 — 1,733 Net sales $ 11,151 $ 3,393 $ 14,544 Year Ended June 30, 2021 ($ in millions) Flexibles Rigid Packaging Total North America $ 3,719 $ 2,319 $ 6,038 Latin America 914 504 1,418 Europe (1) 3,828 — 3,828 Asia Pacific 1,577 — 1,577 Net sales $ 10,038 $ 2,823 $ 12,861 |
Deed of Cross Guarantee (Tables
Deed of Cross Guarantee (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Deed of Cross Guarantee Statement of Income | For the years ended June 30, 2023 2022 Net sales $ 377 $ 391 Cost of sales (319) (337) Gross profit 58 54 Operating expenses (1,125) (1,251) Other income, net 1,599 2,355 Operating income 532 1,158 Interest income 15 12 Interest expense (38) (14) Other non-operating income, net — 1 Income before income taxes 509 1,157 Income tax expense (22) (4) Net income $ 487 $ 1,153 |
Deed of Cross Guarantee Statement of Comprehensive Income | For the years ended June 30, 2023 2022 Net income $ 487 $ 1,153 Other comprehensive income/(loss) (1): Foreign currency translation adjustments, net of tax (10) (30) Other comprehensive income/(loss) (10) (30) Comprehensive income/(loss) attributable to non-controlling interests — — Total comprehensive income $ 477 $ 1,123 (1) All of the items in other comprehensive income/(loss) may be reclassified subsequently to profit or loss. |
Deed of Cross Guarantee Statement of Income and Accumulated Losses | The changes in the components of accumulated other comprehensive loss during the fiscal years ended June 30, 2023, 2022, and 2021 were as follows: Foreign Currency Translation Net Investment Hedge Pension Effective Derivatives Total Accumulated Other Comprehensive Loss ($ in millions) (Net of Tax) (Net of Tax) (Net of Tax) (Net of Tax) Balance as of June 30, 2020 $ (896) $ (13) $ (106) $ (34) $ (1,049) Other comprehensive income before reclassifications 179 — 44 25 248 Amounts reclassified from accumulated other comprehensive loss 26 — 8 1 35 Net current period other comprehensive income 205 — 52 26 283 Balance as of June 30, 2021 (691) (13) (54) (8) (766) Other comprehensive income / (loss) before reclassifications (220) — 85 6 (129) Amounts reclassified from accumulated other comprehensive loss 19 — 9 (13) 15 Net current period other comprehensive income / (loss) (201) — 94 (7) (114) Balance as of June 30, 2022 (892) (13) 40 (15) (880) Other comprehensive loss before reclassifications (9) — (53) (4) (66) Amounts reclassified from accumulated other comprehensive loss 78 — 3 3 84 Net current period other comprehensive income/(loss) 69 — (50) (1) 18 Balance as of June 30, 2023 $ (823) $ (13) $ (10) $ (16) $ (862) For the years ended June 30, 2023 2022 Retained earnings, beginning balance $ 7,167 $ 6,737 Net income 487 1,153 Retained earnings before distribution 7,654 7,890 Dividends recognized during the financial period (717) (723) Retained earnings at the end of the financial period $ 6,937 $ 7,167 |
Deed of Cross Guarantee Balance Sheet | As of June 30, 2023 2022 Assets Current assets: Cash and cash equivalents $ 54 $ 68 Receivables, net 342 662 Inventories 60 71 Prepaid expenses and other current assets 21 19 Total current assets 477 820 Non-current assets: Property, plant, and equipment, net 60 63 Deferred tax assets 6 26 Other intangible assets, net 13 12 Goodwill 88 91 Other non-current assets 13,308 14,039 Total non-current assets 13,475 14,231 Total assets $ 13,952 $ 15,051 Liabilities Current liabilities: Short-term debt $ 826 $ 901 Payables 153 162 Accrued employee costs 23 21 Other current liabilities 143 191 Total current liabilities 1,145 1,275 Non-current liabilities: Long-term debt, less current portion — 319 Other non-current liabilities 2 2 Total liabilities 1,147 1,596 Shareholders' Equity Issued capital 14 15 Additional paid-in capital 4,829 5,239 Retained earnings 6,937 7,167 Accumulated other comprehensive income 1,025 1,034 Total shareholders' equity 12,805 13,455 Total liabilities and shareholders' equity $ 13,952 $ 15,051 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Jun. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Cash Flow Information | Supplemental cash flow information and non-cash investing activities are as follows: For the years ended June 30, ($ in millions) 2023 2022 2021 Supplemental Cash Flow Information: Interest paid, net of amounts capitalized $ 276 $ 155 $ 146 Income taxes paid 225 256 321 Non-Cash Investing Activities: Purchase of property, plant, and equipment accrued, but not paid $ 71 $ 110 $ 76 Contingent and deferred liabilities incurred related to acquired businesses, but not paid 41 — — |
Business Description (Details)
Business Description (Details) | 12 Months Ended |
Jun. 30, 2023 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of reportable segments | 2 |
Significant Accounting Polici_4
Significant Accounting Policies - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Impairment of long-lived assets to be disposed of | $ 18 | $ 43 | $ 10 |
Foreign Currency Transaction Gain (Loss), Realized | (17) | 19 | (4) |
Impact of hyperinflation | 24 | 16 | 19 |
Restricted Cash | 8 | ||
Inventory Valuation Reserves | 130 | 111 | |
Defined Contribution Plan, Cost | $ 87 | $ 79 | $ 68 |
Minimum | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Maximum | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 20 years |
Significant Accounting Polici_5
Significant Accounting Policies - Estimated Useful Lives of Property, Plant and Equipment (Details) | 12 Months Ended |
Jun. 30, 2023 | |
Minimum | |
Impaired Long-Lived Assets Held and Used [Line Items] | |
Finance leases | 5 years |
Maximum | |
Impaired Long-Lived Assets Held and Used [Line Items] | |
Finance leases | 25 years |
Land improvements | Maximum | |
Impaired Long-Lived Assets Held and Used [Line Items] | |
Estimated useful lives of property, plant and equipment | 30 years |
Buildings | Maximum | |
Impaired Long-Lived Assets Held and Used [Line Items] | |
Estimated useful lives of property, plant and equipment | 45 years |
Machinery and equipment | Maximum | |
Impaired Long-Lived Assets Held and Used [Line Items] | |
Estimated useful lives of property, plant and equipment | 25 years |
Significant Accounting Polici_6
Significant Accounting Policies - Schedule of Long-lived Asset Impairment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Impaired Long-Lived Assets Held and Used [Line Items] | |||
Impairment of long-lived assets to be disposed of | $ 18 | $ 43 | $ 10 |
Selling, general, and administrative expenses | |||
Impaired Long-Lived Assets Held and Used [Line Items] | |||
Impairment of long-lived assets to be disposed of | 0 | 1 | 1 |
Restructuring, impairment, and other related activities, net | |||
Impaired Long-Lived Assets Held and Used [Line Items] | |||
Impairment of long-lived assets to be disposed of | $ 18 | $ 42 | $ 9 |
Restructuring, Impairment, an_3
Restructuring, Impairment, and Other Related Activities, Net (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||||
Gain on disposal of Russian business, net | $ 0 | $ 0 | ||
Restructuring and related expenses, net | $ (111) | (96) | (94) | |
Restructuring, impairment, and other related activities, net | 104 | (234) | (94) | |
Russia and Ukraine | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Russia-Ukraine impairment expenses | $ (138) | $ 0 | $ (138) | $ 0 |
Restructuring, Impairment, an_4
Restructuring, Impairment, and Other Related Activities, Net - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) facility | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||
Gain on disposal of Russian business, net | $ 0 | $ 0 | ||
Impairment of long-lived assets to be disposed of | $ 18 | 43 | 10 | |
Russia | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Number of manufacturing facilities | facility | 3 | |||
Gain on disposal of Russian business, net | $ 215 | |||
Impairment of long-lived assets to be disposed of | 90 | |||
Disposal group, not discontinued operation, loss (gain) on write-down | $ 48 | |||
Russia and Ukraine | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Russia-Ukraine impairment expenses | $ 138 | $ 0 | $ 138 | $ 0 |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
May 31, 2023 USD ($) | Mar. 17, 2023 USD ($) | Dec. 23, 2022 USD ($) | Aug. 01, 2022 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) acquisition | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) facility | |
Business Acquisition [Line Items] | ||||||||
Acquisitions and acquisition adjustments | $ 98 | |||||||
Number of acquisitions | acquisition | 3 | |||||||
Gain on disposal of Russian business, net | $ 0 | $ 0 | ||||||
Disposal group, including discontinued operation, foreign currency translation gains (losses) | $ 73 | |||||||
Impairment of long-lived assets to be disposed of | $ (18) | (43) | (10) | |||||
Flexibles | ||||||||
Business Acquisition [Line Items] | ||||||||
Acquisitions and acquisition adjustments | $ 98 | |||||||
Impairment of long-lived assets to be disposed of | $ (10) | |||||||
Czech Republic acquisition | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100% | |||||||
Czech Republic acquisition | Flexibles | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination, consideration transferred | $ 59 | |||||||
Business combination, consideration deferred | 5 | |||||||
Business combination, recognized identifiable assets acquired and liabilities assumed, net | 36 | |||||||
Acquisitions and acquisition adjustments | $ 23 | |||||||
China acquisition | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100% | |||||||
China acquisition | Flexibles | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination, consideration transferred | $ 60 | |||||||
Business combination, recognized identifiable assets acquired and liabilities assumed, net | 21 | |||||||
Contingent purchase consideration liabilities | 20 | |||||||
Acquisitions and acquisition adjustments | $ 39 | |||||||
New Zealand acquisition | Flexibles | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination, consideration transferred | $ 45 | |||||||
Business combination, recognized identifiable assets acquired and liabilities assumed, net | 9 | |||||||
Contingent purchase consideration liabilities | 13 | |||||||
Acquisitions and acquisition adjustments | $ 36 | |||||||
Non-core businesses India and Argentina | ||||||||
Business Acquisition [Line Items] | ||||||||
Gain on disposal of Russian business, net | $ (6) | |||||||
Businesses divested | facility | 2 | |||||||
Russia business | ||||||||
Business Acquisition [Line Items] | ||||||||
Gain on disposal of Russian business, net | 215 | |||||||
(Payments)/proceeds from divestitures | 365 | |||||||
Russia-Ukraine impairment expenses | $ 90 | |||||||
Disposal group, carrying value | 252 | |||||||
Goodwill | $ 46 |
Held for Sale - Narrative (Deta
Held for Sale - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Impairment of long-lived assets to be disposed of | $ 18 | $ 43 | $ 10 |
Russia | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Impairment of long-lived assets to be disposed of | $ 90 |
Held for Sale - Assets & liabil
Held for Sale - Assets & liabilities held for sale (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Less accumulated impairment | $ (18) | $ (43) | $ (10) |
Assets held for sale, net | 0 | 192 | |
Liabilities held for sale | 0 | 65 | |
Russia | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Less accumulated impairment | (90) | ||
Russia | Assets held for sale, net | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Cash and cash equivalents | 0 | 75 | |
Trade receivables, net | 0 | 66 | |
Inventories, net | 0 | 40 | |
Prepaid expenses and other current assets | 0 | 36 | |
Property, plant, and equipment, net | 0 | 49 | |
Goodwill | 0 | 16 | |
Total assets held for sale | 0 | 282 | |
Less accumulated impairment | 0 | (90) | |
Assets held for sale, net | 0 | 192 | |
Trade payables | 0 | 65 | |
Liabilities held for sale | $ 0 | $ 65 |
Restructuring - Narrative (Deta
Restructuring - Narrative (Details) - USD ($) $ in Millions | 5 Months Ended | 12 Months Ended | 25 Months Ended | 37 Months Ended | 60 Months Ended | |||||
Jun. 30, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2023 | Feb. 07, 2023 | |
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | $ 111 | $ 96 | $ 94 | $ 115 | $ 131 | $ 547 | ||||
Payments for restructuring | 55 | 96 | ||||||||
Gain on sale of business | 0 | 51 | ||||||||
Restructuring and related expenses, net | 111 | 96 | 94 | |||||||
Russia | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related expenses, net | 107 | 57 | ||||||||
2023 Restructuring Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 94 | 0 | 0 | 0 | 0 | 94 | ||||
Restructuring and related cost, expected cost | $ 150 | 150 | 150 | |||||||
Payments for restructuring | 25 | 80 | ||||||||
2023 Restructuring Plan | Minimum | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related cost, expected cost | 200 | 200 | 200 | |||||||
2023 Restructuring Plan | Minimum | Russia business | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Proceeds from sale of business, allocated to designated improvements | $ 110 | |||||||||
2023 Restructuring Plan | Maximum | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related cost, expected cost | 220 | 220 | 220 | |||||||
2023 Restructuring Plan | Maximum | Russia business | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Proceeds from sale of business, allocated to designated improvements | $ 130 | |||||||||
2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 0 | 37 | 68 | 60 | 48 | 213 | ||||
Restructuring and related cost, expected cost | 253 | $ 253 | ||||||||
Gain on sale of business | 0 | |||||||||
2018 Rigid Packaging Restructuring Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 0 | 0 | 20 | 37 | 64 | 121 | ||||
Restructuring costs | $ 121 | |||||||||
2018 Rigid Packaging Restructuring Plan | Maximum | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Payments for restructuring | $ 78 | |||||||||
Other Restructuring Plans | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 17 | 59 | 6 | $ 18 | $ 19 | 119 | ||||
Other Restructuring Plans | Russia | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related expenses, net | 57 | |||||||||
Employee Costs | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Payments for restructuring | 42 | 61 | ||||||||
Employee Costs | 2023 Restructuring Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 65 | |||||||||
Restructuring and related cost, expected cost | 65 | 65 | 65 | |||||||
Employee Costs | 2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring costs | 144 | |||||||||
Employee Costs | Other Restructuring Plans | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 3 | |||||||||
Fixed Asset Related Costs | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Payments for restructuring | 0 | 5 | ||||||||
Fixed Asset Related Costs | 2023 Restructuring Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 13 | |||||||||
Restructuring and related cost, expected cost | 15 | 15 | 15 | |||||||
Fixed Asset Related Costs | 2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring costs | 36 | |||||||||
Fixed Asset Related Costs | Other Restructuring Plans | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 5 | |||||||||
Other Costs | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Payments for restructuring | 13 | 30 | ||||||||
Other Costs | 2023 Restructuring Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 10 | |||||||||
Restructuring and related cost, expected cost | 55 | 55 | 55 | |||||||
Other Costs | 2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring costs | 39 | |||||||||
Other Costs | Other Restructuring Plans | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 5 | |||||||||
Restructuring related | 2023 Restructuring Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 6 | |||||||||
Restructuring and related cost, expected cost | 15 | 15 | $ 15 | |||||||
Restructuring related | 2023 Restructuring Plan | Flexibles | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | 86 | |||||||||
Restructuring related | 2023 Restructuring Plan | Rigid Packaging | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | $ 8 | |||||||||
Restructuring related | 2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring costs | 45 | |||||||||
Gain on sale of business | 51 | |||||||||
Restructuring and related expenses, net | 17 | $ 13 | ||||||||
Restructuring related | Other Restructuring Plans | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring charges | $ 4 | 55 | ||||||||
Restructuring and related costs | 2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related cost, expected cost | 213 | 213 | ||||||||
Restructuring and related costs | 2019 Bemis Integration Plan | Minimum | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related cost, expected cost | 170 | 170 | ||||||||
Integration costs | 2019 Bemis Integration Plan | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Restructuring and related cost, expected cost | $ 40 | $ 40 |
Restructuring - Restructuring P
Restructuring - Restructuring Plan Costs (Details) - USD ($) $ in Millions | 12 Months Ended | 25 Months Ended | 37 Months Ended | 60 Months Ended | ||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2023 | |
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | $ 111 | $ 96 | $ 94 | $ 115 | $ 131 | $ 547 | ||
Restructuring and related expenses, net | 111 | 96 | 94 | |||||
2018 Rigid Packaging Restructuring Plan | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 0 | 0 | 20 | 37 | 64 | 121 | ||
Restructuring costs | $ 121 | |||||||
2019 Bemis Integration Plan | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 0 | 37 | 68 | 60 | 48 | 213 | ||
2019 Bemis Integration Plan | Restructuring related | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring and related expenses, net | 17 | 13 | ||||||
Restructuring costs | $ 45 | |||||||
2023 Restructuring Plan | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 94 | 0 | 0 | 0 | 0 | 94 | ||
2023 Restructuring Plan | Restructuring related | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 6 | |||||||
Other Restructuring Plans | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 17 | 59 | $ 6 | $ 18 | $ 19 | $ 119 | ||
Other Restructuring Plans | Restructuring related | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | $ 4 | 55 | ||||||
Other Restructuring Plans | Russia and Ukraine | Restructuring related | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | $ 2 |
Restructuring - Restructuring E
Restructuring - Restructuring Expenses by Types (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restructuring and Related Activities [Abstract] | |||
Employee related expenses | $ 68 | $ 58 | $ 76 |
Fixed asset related expenses | 18 | 4 | 23 |
Other expenses | 15 | 15 | 34 |
Gain on sale of business | 0 | (51) | |
Total restructuring expenses, net | $ 101 | $ 77 | $ 82 |
Restructuring - Restructuring_2
Restructuring - Restructuring Plan Liability (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve, Beginning Balance | $ 118 | $ 95 | $ 85 |
Net charges to earnings | 101 | 77 | 133 |
Cash paid | (55) | (96) | |
Cash (paid)/received, net | 37 | ||
Non-cash and other | (18) | (8) | (32) |
Foreign currency translation | 4 | (9) | 5 |
Restructuring Reserve, Ending Balance | 150 | 118 | 95 |
Employee Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve, Beginning Balance | 97 | 78 | 70 |
Net charges to earnings | 68 | 58 | 76 |
Cash paid | (42) | (61) | |
Cash (paid)/received, net | 27 | ||
Non-cash and other | 0 | (3) | (9) |
Foreign currency translation | 3 | (9) | 2 |
Restructuring Reserve, Ending Balance | 126 | 97 | 78 |
Fixed Asset Related Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve, Beginning Balance | 3 | 0 | 3 |
Net charges to earnings | 18 | 4 | 23 |
Cash paid | 0 | (5) | |
Cash (paid)/received, net | (4) | ||
Non-cash and other | (18) | (5) | (23) |
Foreign currency translation | 0 | 0 | 2 |
Restructuring Reserve, Ending Balance | 3 | 3 | 0 |
Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Reserve, Beginning Balance | 18 | 17 | 12 |
Net charges to earnings | 15 | 15 | 34 |
Cash paid | (13) | (30) | |
Cash (paid)/received, net | 14 | ||
Non-cash and other | 0 | 0 | 0 |
Foreign currency translation | 1 | 0 | 1 |
Restructuring Reserve, Ending Balance | $ 21 | $ 18 | $ 17 |
Equity Method and Other Inves_2
Equity Method and Other Investments (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | Sep. 30, 2020 | |
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investment, aggregate cost | $ 89 | $ 22 | ||
Dividends received from affiliated companies | 0 | $ 0 | $ 4 | |
ePac Holdings LLC | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investment, aggregate cost | $ 33 | |||
Equity method investment, ownership percentage | 18.90% | |||
AMVIG | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investment, ownership percentage | 47.60% | |||
Realized gain (loss) on disposal | $ 15 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Components of Property, Plant and Equipment (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Property, Plant and Equipment [Abstract] | ||
Land and land improvements | $ 203 | $ 201 |
Buildings and improvements | 1,483 | 1,323 |
Plant and equipment | 6,084 | 5,797 |
Total property, plant, and equipment | 7,770 | 7,321 |
Accumulated depreciation | (3,963) | (3,617) |
Accumulated impairment | (45) | (58) |
Property, plant, and equipment, net | $ 3,762 | $ 3,646 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization of assets under finance lease obligations | $ 395 | $ 398 | $ 389 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Changes in Carrying Amount of Goodwill (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | |
Dec. 23, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Goodwill [Line Items] | |||
Beginning Balance | $ 5,285 | $ 5,285 | $ 5,419 |
Held for sale reclassification | 16 | ||
Foreign currency translation | 13 | (118) | |
Acquisitions and acquisition adjustments | 98 | ||
Disposals | 30 | ||
Ending Balance | 5,366 | 5,285 | |
Russia | |||
Goodwill [Line Items] | |||
Held for sale reclassification | 16 | ||
Disposals | 30 | ||
Flexibles | |||
Goodwill [Line Items] | |||
Beginning Balance | 4,307 | 4,307 | 4,437 |
Held for sale reclassification | 16 | ||
Foreign currency translation | 16 | (114) | |
Acquisitions and acquisition adjustments | 98 | ||
Disposals | 30 | ||
Ending Balance | 4,391 | 4,307 | |
Rigid Packaging | |||
Goodwill [Line Items] | |||
Beginning Balance | $ 978 | 978 | 982 |
Held for sale reclassification | 0 | ||
Foreign currency translation | (3) | (4) | |
Acquisitions and acquisition adjustments | 0 | ||
Disposals | 0 | ||
Ending Balance | $ 975 | $ 978 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Schedule of Components of Intangible Assets (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 2,575 | $ 2,528 |
Accumulated Amortization And Impairment | (1,051) | (871) |
Net Carrying Amount | 1,524 | 1,657 |
Accumulated impairment of intangible assets | 34 | 33 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,987 | 1,970 |
Accumulated Amortization And Impairment | (660) | (529) |
Net Carrying Amount | 1,327 | 1,441 |
Computer software | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 261 | 235 |
Accumulated Amortization And Impairment | (185) | (162) |
Net Carrying Amount | 76 | 73 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 327 | 323 |
Accumulated Amortization And Impairment | (206) | (180) |
Net Carrying Amount | 121 | 143 |
Intellectual Property | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 17 | $ 16 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization of intangible assets | $ 174,000,000 | $ 180,000,000 | $ 182,000,000 |
Impairment of intangible assets, finite-lived | $ 0 | $ 0 | $ 0 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Estimated Future Amortization Expense (Details) $ in Millions | Jun. 30, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Fiscal year 2024 | $ 173 |
Fiscal year 2025 | 159 |
Fiscal year 2026 | 156 |
Fiscal year 2027 | 141 |
Fiscal year 2028 | $ 141 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying and Fair Value of Long-Term Debt (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Oct. 31, 2022 | Jun. 30, 2022 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Total long-term debt with fixed interest rates (excluding commercial paper and finance leases) | $ 4,123 | $ 3,952 | |
Interest rate swaps | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative, notional amount | 1,200 | $ 1,250 | 0 |
Level 2 | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Total long-term debt with fixed interest rates (excluding commercial paper and finance leases) | $ 3,844 | $ 3,694 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | $ 19 | $ 13 |
Derivative liability | $ 103 | 89 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other current liabilities, Other non-current liabilities | |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent purchase consideration liabilities | $ 46 | |
Level 1 | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Contingent purchase consideration liabilities | 0 | 0 |
Derivative liability | 0 | 0 |
Level 1 | Commodity contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | 0 |
Level 1 | Forward exchange contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Level 1 | Interest rate swaps | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | 0 |
Level 2 | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 19 | 13 |
Contingent purchase consideration liabilities | 0 | 0 |
Derivative liability | 103 | 89 |
Level 2 | Commodity contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 6 | |
Derivative liability | 2 | 3 |
Level 2 | Forward exchange contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 3 | 7 |
Derivative liability | 5 | 17 |
Level 2 | Interest rate swaps | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 16 | |
Derivative liability | 96 | 69 |
Level 3 | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Contingent purchase consideration liabilities | 46 | 16 |
Derivative liability | 46 | 16 |
Level 3 | Commodity contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | 0 |
Level 3 | Forward exchange contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Level 3 | Interest rate swaps | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | |
Derivative liability | 0 | 0 |
Total | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 19 | 13 |
Contingent purchase consideration liabilities | 46 | 16 |
Derivative liability | 149 | 105 |
Total | Commodity contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 6 | |
Derivative liability | 2 | 3 |
Total | Forward exchange contracts | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 3 | 7 |
Derivative liability | 5 | 17 |
Total | Interest rate swaps | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 16 | |
Derivative liability | $ 96 | $ 69 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) | 12 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other asset impairment charges | $ 34,000,000 | |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent purchase consideration liabilities | $ 46,000,000 | |
Discma AG | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent purchase consideration liabilities | 10,000,000 | |
FY23 Acquisitions | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent purchase consideration liabilities | $ 33,000,000 | |
South Africa | Manufacturing facility | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired assets to be disposed of by method other than sale, carrying value of asset | 12,000,000 | |
Property, plant and equipment, fair value disclosure | 0 | |
South Africa | Property, plant and equipment, other types | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired assets to be disposed of by method other than sale, carrying value of asset | 8,000,000 | |
Other assets, fair value disclosure | 4,000,000 | |
Restructuring, impairment, and other related activities, net | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other asset impairment charges | $ 24,000,000 |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Level 3 Liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | ||
Fair value at the beginning of the year | $ 16 | $ 18 |
Additions due to acquisitions | 33 | 0 |
Change in fair value of Level 3 liabilities | (2) | 0 |
Payments | 0 | (1) |
Foreign currency translation | (1) | (1) |
Fair value at the end of the year | $ 46 | $ 16 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Oct. 31, 2022 | Jun. 30, 2022 |
Forward exchange contracts | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | $ 500 | $ 1,000 | ||
Interest rate swaps | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | 1,200 | $ 1,250 | 0 | |
Derivative, average fixed interest rate | 3.88% | 4.53% | ||
Interest rate swaps | Receive Variable/Pay Fixed | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | 0 | |||
Interest rate swaps | Receive Fixed/Pay Variable | ||||
Derivative [Line Items] | ||||
Derivative, notional amount | $ 650 | $ 650 |
Derivative Instruments - Outsta
Derivative Instruments - Outstanding Commodity Contracts (Details) | Jun. 30, 2023 lb T | Jun. 30, 2022 T lb |
Aluminum | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | T | 14,325 | 17,040 |
PET resin | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | lb | 0 | 16,886,520 |
Derivative Instruments - Schedu
Derivative Instruments - Schedule of Balance Sheet Derivatives (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Derivatives, Fair Value [Line Items] | ||
Derivative asset | $ 19 | $ 13 |
Derivative liability | 103 | 89 |
Derivative Asset, Current | 19 | 13 |
Derivative Asset, Noncurrent | 0 | 0 |
Derivative Liability, Current | 6 | 19 |
Derivative Liability, Noncurrent | 97 | 70 |
Derivatives not designated as hedging instruments: | Forward exchange contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Current | 1 | 1 |
Derivative Liability, Current | $ 1 | $ 11 |
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] | Prepaid expenses and other current assets | Prepaid expenses and other current assets |
Derivative Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities |
Derivatives not designated as hedging instruments: | Interest rate swaps | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Current | $ 16 | $ 0 |
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] | Prepaid expenses and other current assets | Prepaid expenses and other current assets |
Derivatives in fair value hedging relationships: | Interest rate swaps | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liability, Noncurrent | $ 96 | $ 69 |
Derivative Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other non-current liabilities | Other non-current liabilities |
Derivatives in cash flow hedging relationships: | Commodity contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Current | $ 0 | $ 6 |
Derivative Liability, Current | $ 2 | $ 3 |
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] | Prepaid expenses and other current assets | Prepaid expenses and other current assets |
Derivative Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities |
Derivatives in cash flow hedging relationships: | Forward exchange contracts | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Current | $ 2 | $ 3 |
Derivative Liability, Current | 3 | 5 |
Derivative Liability, Noncurrent | $ 1 | $ 1 |
Derivative Asset, Current, Statement of Financial Position [Extensible Enumeration] | Prepaid expenses and other current assets | Prepaid expenses and other current assets |
Derivative Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities |
Derivative Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other non-current liabilities | Other non-current liabilities |
Derivatives in cash flow hedging relationships: | Forward exchange contracts | Assets held for sale, net | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Asset, Current | $ 0 | $ 3 |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Assets held for sale, net | Assets held for sale, net |
Derivative Instruments - Sche_2
Derivative Instruments - Schedule of Cash Flow Hedges Reclassified from AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Commodity contracts | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | $ (2) | $ (20) | $ (1) |
Forward exchange contracts | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | 2 | 0 | 0 |
Treasury locks | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | 3 | 3 | 2 |
Derivatives in cash flow hedging relationships: | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | (3) | 17 | (1) |
Derivatives in cash flow hedging relationships: | Commodity contracts | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | $ 2 | 20 | 1 |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of sales | ||
Derivatives in cash flow hedging relationships: | Forward exchange contracts | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | $ (2) | 0 | 0 |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Net sales | ||
Derivatives in cash flow hedging relationships: | Treasury locks | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | $ (3) | $ (3) | $ (2) |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Interest Expense |
Derivative Instruments - Sche_3
Derivative Instruments - Schedule of Derivatives Not Designated as Hedging Instruments Recognized in Income (Details) - Derivatives not designated as hedging instruments: - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ 9 | $ (45) | $ 7 |
Forward exchange contracts | |||
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ (7) | (45) | 11 |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other income, net | ||
Cross currency interest rate swaps | |||
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ 0 | 0 | (4) |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other income, net | ||
Interest rate swaps | |||
Derivative [Line Items] | |||
Derivative Instruments Not Designated as Hedging Instruments, Gain (Loss), Net | $ 16 | $ 0 | $ 0 |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other income, net |
Derivative Instruments - Sche_4
Derivative Instruments - Schedule of Fair Value Hedging Instruments Recognized in Income (Details) - Derivatives in fair value hedging relationships: - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Derivative [Line Items] | |||
Gain (Loss) on Fair Value Hedges Recognized in Earnings | $ (27) | $ (86) | $ (14) |
Interest rate swaps | |||
Derivative [Line Items] | |||
Gain (Loss) on Fair Value Hedges Recognized in Earnings | $ (27) | (75) | (14) |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Interest Expense | ||
Forward exchange contracts | |||
Derivative [Line Items] | |||
Gain (Loss) on Fair Value Hedges Recognized in Earnings | $ 0 | $ (11) | $ 0 |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other income, net |
Derivative Instruments - Sche_5
Derivative Instruments - Schedule of Changes in AOCI for Effective Derivatives (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Derivative [Line Items] | |||
Tax effect | $ 1 | $ 2 | |
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax, Total | (1) | (7) | $ 26 |
Commodity contracts | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | (2) | (20) | (1) |
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | (2) | 9 | 22 |
Forward exchange contracts | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | 2 | 0 | 0 |
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments | (3) | (1) | 3 |
Treasury locks | |||
Derivative [Line Items] | |||
Gain / (Loss) Reclassified from AOCI into Income (Effective Portion) | $ 3 | $ 3 | $ 2 |
Pension and Other Post-Retire_3
Pension and Other Post-Retirement Plans - Narrative (Details) $ in Millions | 12 Months Ended | |||
Oct. 12, 2021 USD ($) | Jun. 30, 2023 USD ($) plan | Jun. 30, 2022 USD ($) plan | Jun. 30, 2021 USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Number of mandatory defined benefit plans | plan | 20 | |||
Number of voluntary defined benefit plans | plan | 50 | |||
Defined benefit plan, benefit obligation | $ 1,224 | $ 1,314 | $ 2,022 | |
Settlement impact | $ 186 | |||
Loss due to settlement | $ 3 | $ (5) | $ (8) | $ (3) |
Increase in discount rate | 0.50% | 1.70% | ||
Expected contributions to defined benefit plans over the next fiscal year | $ 29 | |||
Number Of Principal Defined Benefit Plans | plan | 3 | |||
US Plan closed in July 2023 | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined benefit plan, benefit obligation | $ 265 |
Pension and Other Post-Retire_4
Pension and Other Post-Retirement Plans - Net Periodic Benefit Costs (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Oct. 12, 2021 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Retirement Benefits [Abstract] | ||||
Service cost | $ 13 | $ 24 | $ 27 | |
Interest cost | $ 49 | 39 | 40 | |
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Expected Return (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Employee benefit assets | |||
Expected return on plan assets | $ (55) | (61) | (60) | |
Amortization of net loss | 2 | 5 | 8 | |
Amortization of prior service credit | (3) | (3) | (2) | |
Curtailment credit | 0 | 0 | (1) | |
Settlement costs | $ (3) | 5 | 8 | 3 |
Net periodic benefit cost | $ 11 | $ 12 | $ 15 |
Pension and Other Post-Retire_5
Pension and Other Post-Retirement Plans - Changes in Benefit Obligations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Change in benefit obligation: | |||
Benefit obligation at the beginning of the year | $ 1,314 | $ 2,022 | |
Service cost | 13 | 24 | $ 27 |
Interest cost | 49 | 39 | 40 |
Participant contributions | 6 | 6 | |
Actuarial gain | (90) | (341) | |
Settlements | (27) | (244) | |
Benefits paid | (62) | (70) | |
Administrative expenses | (4) | (6) | |
Plan amendments | (4) | 1 | |
Divestitures | 0 | (4) | |
Other | (2) | 0 | |
Foreign currency translation | 31 | (113) | |
Benefit obligation at the end of the year | 1,224 | 1,314 | $ 2,022 |
Accumulated benefit obligation at the end of the year | $ 1,186 | $ 1,269 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Interest Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Interest Expense |
Pension and Other Post-Retire_6
Pension and Other Post-Retirement Plans - Changes in Plan Assets (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Change in plan assets: | ||
Fair value of plan assets at the beginning of the year | $ 1,195 | $ 1,759 |
Actual return on plan assets | (100) | (189) |
Employer contributions | 26 | 35 |
Participant contributions | 6 | 6 |
Benefits paid | (62) | (70) |
Settlements | (27) | (244) |
Administrative expenses | (4) | (6) |
Foreign currency translation | 27 | (96) |
Fair value of plan assets at the end of the year | 1,061 | 1,195 |
Funded status | $ (163) | $ (119) |
Pension and Other Post-Retire_7
Pension and Other Post-Retirement Plans - Defined Benefit Plan with Projected Benefit Obligations in Excess of Plan Assets (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Retirement Benefits [Abstract] | ||
Projected benefit obligation | $ 832 | $ 398 |
Fair value of plan assets | $ 601 | $ 189 |
Pension and Other Post-Retire_8
Pension and Other Post-Retirement Plans - Defined Benefit Plan with Accumulated Benefit Obligations in Excess of Plan assets (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Retirement Benefits [Abstract] | ||
Accumulated benefit obligation | $ 799 | $ 357 |
Fair value of plan assets | $ 589 | $ 177 |
Pension and Other Post-Retire_9
Pension and Other Post-Retirement Plans - Amounts Recognized in Consolidated Balance Sheets (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Defined Benefit Plan Disclosure [Line Items] | ||
Funded status | $ (163) | $ (119) |
Non-current assets - Employee benefit assets | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Funded status | 67 | 89 |
Current liabilities - Other current liabilities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Funded status | (6) | (7) |
Non-current liabilities - Employee benefit obligations | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Funded status | $ (224) | $ (201) |
Pension and Other Post-Retir_10
Pension and Other Post-Retirement Plans - Components of Other Comprehensive Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |||
Net actuarial loss/(gain) occurring during the year | $ 65 | $ (91) | $ (58) |
Net prior service loss/(gain) occurring during the year | (4) | 1 | (16) |
Amortization of actuarial loss | (2) | (5) | (8) |
Gain recognized due to settlement/curtailment | (4) | (8) | (2) |
Amortization of prior service credit | 3 | 3 | 2 |
Acquisition/disposal loss | 0 | (1) | 0 |
Foreign currency translation | 3 | (14) | 16 |
Tax effect | (11) | 21 | 14 |
Total recognized in other comprehensive (income)/loss | $ 50 | $ (94) | $ (52) |
Pension and Other Post-Retir_11
Pension and Other Post-Retirement Plans - Accumulated Other Comprehensive (Income) Loss at the End of Year (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 |
Retirement Benefits [Abstract] | |||
Net prior service credit | $ (17) | $ (15) | $ (20) |
Net actuarial loss | 128 | 65 | 185 |
Accumulated other comprehensive loss at the end of the year | $ 111 | $ 50 | $ 165 |
Pension and Other Post-Retir_12
Pension and Other Post-Retirement Plans - Weighted-average Assumptions Used to Determine Benefit Obligations (Details) | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 |
Retirement Benefits [Abstract] | |||
Discount rate | 4.30% | 3.80% | 2.10% |
Rate of compensation increase | 1.90% | 2.30% | 1.70% |
Pension and Other Post-Retir_13
Pension and Other Post-Retirement Plans - Weighted-average Assumptions Used to Determine Net Periodic Cost (Details) | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |||
Discount rate | 3.80% | 2.10% | 2% |
Rate of compensation increase | 2.30% | 1.70% | 1.90% |
Expected long-term rate of return on plan assets | 4.40% | 3.80% | 3.50% |
Pension and Other Post-Retir_14
Pension and Other Post-Retirement Plans - Expected Benefit Payments (Details) $ in Millions | Jun. 30, 2023 USD ($) |
Retirement Benefits [Abstract] | |
2024 | $ 72 |
2025 | 320 |
2026 | 56 |
2027 | 56 |
2028 | 58 |
2029-2033 | $ 308 |
Pension and Other Post-Retir_15
Pension and Other Post-Retirement Plans - Pension Plan Assets Measured at Fair Value (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | $ 1,061 | $ 1,195 |
Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 168 | 209 |
Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 482 | 451 |
Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 112 | 130 |
Insurance contracts | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 192 | 216 |
Cash and cash equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 71 | 24 |
Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 36 | 165 |
Level 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 261 | 217 |
Level 1 | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 114 | 111 |
Level 1 | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 77 | 73 |
Level 1 | Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 7 | 7 |
Level 1 | Insurance contracts | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 0 | 0 |
Level 1 | Cash and cash equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 58 | 21 |
Level 1 | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 5 | 5 |
Level 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 599 | 626 |
Level 2 | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 54 | 98 |
Level 2 | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 405 | 378 |
Level 2 | Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 105 | 121 |
Level 2 | Insurance contracts | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 0 | 0 |
Level 2 | Cash and cash equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 13 | 3 |
Level 2 | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 22 | 26 |
Level 3 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 201 | 352 |
Level 3 | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 0 | 0 |
Level 3 | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 0 | 0 |
Level 3 | Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 0 | 2 |
Level 3 | Insurance contracts | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 192 | 216 |
Level 3 | Cash and cash equivalents | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | 0 | 0 |
Level 3 | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, plan assets, amount | $ 9 | $ 134 |
Pension and Other Post-Retir_16
Pension and Other Post-Retirement Plans - Changes in Fair Value of Level 3 Assets (Details) - USD ($) $ in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | ||
Balance as of June 30, 2022 | $ 1,195 | |
Actual return on plan assets | (100) | $ (189) |
Foreign currency translation | 27 | (96) |
Balance as of June 30, 2023 | 1,061 | 1,195 |
Level 3 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets, Level 3 Reconciliation [Roll Forward] | ||
Balance as of June 30, 2022 | 352 | |
Actual return on plan assets | (51) | |
Purchases, sales, and settlements | (8) | |
Transfer out of Level 3 (1) | (93) | |
Foreign currency translation | 1 | |
Balance as of June 30, 2023 | $ 201 | $ 352 |
Debt - Schedule of Carrying Val
Debt - Schedule of Carrying Value of Long-term Debt (Details) € in Millions | 12 Months Ended | ||||
Mar. 22, 2023 USD ($) | Mar. 22, 2023 EUR (€) | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | |
Debt Instrument [Line Items] | |||||
Finance lease obligations | $ 50,000,000 | $ 62,000,000 | |||
Unamortized discounts and debt issuance costs | (31,000,000) | (24,000,000) | |||
Total debt | 6,666,000,000 | 6,354,000,000 | |||
Less: current portion | (13,000,000) | (14,000,000) | |||
Total long-term debt | 6,653,000,000 | 6,340,000,000 | |||
Long-term debt, reclassified from short-term debt | 12,000,000 | 0 | |||
Notes redeemed | 330,000,000 | 1,243,000,000 | $ 530,000,000 | ||
Interest rate swaps | |||||
Debt Instrument [Line Items] | |||||
Fair value hedge accounting adjustments | (96,000,000) | (69,000,000) | |||
Term debt | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | 4,243,000,000 | 4,035,000,000 | |||
Term debt | Euro bonds, EUR 300 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 300,000,000 | ||||
Interest rates | 2.75% | 2.75% | 2.75% | ||
Long-term debt | $ 0 | 313,000,000 | |||
Notes redeemed | $ 322,000,000 | € 300 | |||
Term debt | U.S. dollar notes, $500 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 500,000,000 | ||||
Interest rates | 4% | ||||
Long-term debt | $ 500,000,000 | 500,000,000 | |||
Term debt | U.S. dollar notes, $600 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 600,000,000 | ||||
Interest rates | 3.63% | ||||
Long-term debt | $ 600,000,000 | 600,000,000 | |||
Term debt | U.S. dollar notes, $300 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 300,000,000 | ||||
Interest rates | 3.10% | ||||
Long-term debt | $ 300,000,000 | 300,000,000 | |||
Term debt | Euro bonds, €500 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 500,000,000 | ||||
Interest rates | 1.13% | ||||
Long-term debt | $ 543,000,000 | 522,000,000 | |||
Term debt | U.S. dollar notes, $500 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 500,000,000 | ||||
Interest rates | 4.50% | ||||
Long-term debt | $ 500,000,000 | 500,000,000 | |||
Term debt | U.S. dollar notes, $500 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 500,000,000 | ||||
Interest rates | 2.63% | ||||
Long-term debt | $ 500,000,000 | 500,000,000 | |||
Term debt | U.S. dollar notes, $800 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 800,000,000 | ||||
Interest rates | 2.69% | ||||
Long-term debt | $ 800,000,000 | 800,000,000 | |||
Term debt | U.S. Dollar notes, $500 million | |||||
Debt Instrument [Line Items] | |||||
Debt issued | $ 500,000,000 | ||||
Interest rates | 5.63% | ||||
Long-term debt | $ 500,000,000 | 0 | |||
Bank loans | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | 22,000,000 | 22,000,000 | |||
Commercial paper | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | 2,445,000,000 | 2,310,000,000 | |||
Other loans | |||||
Debt Instrument [Line Items] | |||||
Long-term debt | $ 33,000,000 | $ 18,000,000 |
Debt - Schedule of Contractual
Debt - Schedule of Contractual Maturities of Long-term Debt (Details) - USD ($) $ in Millions | 12 Months Ended | |
Apr. 26, 2022 | Jun. 30, 2023 | |
Debt Instrument [Line Items] | ||
2024 | $ 3 | |
2025 | 1,933 | |
2026 | 600 | |
2027 | 1,867 | |
2028 | $ 504 | |
3-year term syndicated facility | ||
Debt Instrument [Line Items] | ||
Term of credit facility | 3 years | 3 years |
5-year term syndicated facility | ||
Debt Instrument [Line Items] | ||
Term of credit facility | 5 years | 5 years |
Debt - Narrative (Details)
Debt - Narrative (Details) € in Millions, $ in Millions | 12 Months Ended | |||||
Mar. 22, 2023 USD ($) | Mar. 22, 2023 EUR (€) | Apr. 26, 2022 USD ($) extension | Jun. 30, 2023 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | |
Debt Instrument [Line Items] | ||||||
Notes redeemed | $ 330 | $ 1,243 | $ 530 | |||
Ratio of indebtedness to assets | 0.100 | |||||
Financial covenant, maximum leverage ratio | 3.9 | |||||
Weighted-average interest rate | 3.98% | 1.40% | ||||
Credit facility | ||||||
Debt Instrument [Line Items] | ||||||
Amounts outstanding under credit facility | $ 3,800 | $ 3,800 | ||||
Undrawn commitments under credit facility | $ 1,300 | 1,400 | ||||
Facility fees on undrawn commitments | 0.125% | |||||
Credit facility | Collateral pledged | ||||||
Debt Instrument [Line Items] | ||||||
Property pledged as collateral | $ 38 | $ 38 | ||||
Term debt | ||||||
Debt Instrument [Line Items] | ||||||
Debt redemption price percentage | 100% | |||||
3-year term syndicated facility | ||||||
Debt Instrument [Line Items] | ||||||
Term of credit facility | 3 years | 3 years | ||||
5-year term syndicated facility | ||||||
Debt Instrument [Line Items] | ||||||
Term of credit facility | 5 years | 5 years | ||||
Number of options to extend maturity date | extension | 2 | |||||
Maturity date extension period | 12 months | |||||
Three-year facility agreement due 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 1,900 | |||||
Number of options to extend maturity date | extension | 2 | |||||
Maturity date extension period | 12 months | |||||
Five year facility agreement due 2027 | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 3,800 | |||||
Euro bonds, EUR 300 million | Term debt | ||||||
Debt Instrument [Line Items] | ||||||
Notes redeemed | $ 322 | € 300 | ||||
Interest rates | 2.75% | 2.75% | 2.75% |
Debt - Schedule of Short Term D
Debt - Schedule of Short Term Debt (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Short-term Debt [Line Items] | ||
Short-term Debt | $ 80 | $ 136 |
Bank loans | ||
Short-term Debt [Line Items] | ||
Short-term Debt | 13 | 32 |
Bank overdrafts | ||
Short-term Debt [Line Items] | ||
Short-term Debt | $ 67 | $ 104 |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | |||
Operating leases | $ 127 | $ 130 | $ 113 |
Short-term Lease, Cost | 21 | 17 | 20 |
Amortization of right-of-use assets | 4 | 2 | 2 |
Interest on lease liabilities | 2 | 1 | 1 |
Total lease cost | $ 154 | $ 150 | $ 136 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Leases [Abstract] | ||
Operating lease assets | $ 533 | $ 560 |
Finance lease assets | 57 | 62 |
Total lease assets | 590 | 622 |
Current operating lease liabilities | 101 | 101 |
Non-current operating lease liabilities | 463 | 493 |
Current finance lease liabilities | 10 | 10 |
Non-current finance lease liabilities | 40 | 52 |
Total lease liabilities | $ 614 | $ 656 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, plant, and equipment, net | Property, plant, and equipment, net |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Current portion of long-term debt | Current portion of long-term debt |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term debt, less current portion | Long-term debt, less current portion |
Accumulated amortization of finance lease assets | $ 12 | $ 9 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | |||
Operating cash flows from operating leases | $ 118 | $ 122 | $ 111 |
Operating cash flows from finance leases | 2 | 1 | 1 |
Financing cash flows from finance leases | 11 | 5 | 2 |
Operating leases | 26 | 55 | 55 |
Finance leases | 0 | 34 | 1 |
Operating leases | $ 33 | $ 88 | $ 56 |
Leases - ASC 842 Lease Maturity
Leases - ASC 842 Lease Maturity (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Operating Leases | ||
Fiscal year 2024 | $ 115 | |
Fiscal year 2025 | 99 | |
Fiscal year 2026 | 89 | |
Fiscal year 2027 | 74 | |
Fiscal year 2028 | 63 | |
Thereafter | 218 | |
Total lease payments | 658 | |
Less: imputed interest | (94) | |
Total lease liabilities | 564 | |
Finance Leases | ||
Fiscal year 2024 | 11 | |
Fiscal year 2025 | 11 | |
Fiscal year 2026 | 6 | |
Fiscal year 2027 | 2 | |
Fiscal year 2028 | 2 | |
Thereafter | 26 | |
Total lease payments | 58 | |
Less: imputed interest | (8) | |
Total lease liabilities | $ 50 | $ 62 |
Leases - Weighted Average Disco
Leases - Weighted Average Discount Rate and Remaining Lease Term (Details) | Jun. 30, 2023 | Jun. 30, 2022 |
Leases [Abstract] | ||
Weighted average remaining lease term, operating leases | 8 years | 9 years |
Weighted average remaining lease term, finance leases | 10 years 3 months 18 days | 10 years 1 month 6 days |
Weighted average discount rate, operating leases | 3.60% | 3.30% |
Weighted average discount rate, finance leases | 3% | 2.90% |
Shareholders' Equity - Changes
Shareholders' Equity - Changes in Ordinary and Treasury Shares (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Beginning Balance | $ 4,141 | $ 4,821 | $ 4,687 |
Share buyback/cancellations | (432) | (601) | (351) |
Purchase of treasury shares | (221) | (143) | (8) |
Ending Balance | $ 4,090 | $ 4,141 | $ 4,821 |
Ordinary Shares | |||
Beginning Balance (in shares) | 1,489 | 1,538 | 1,569 |
Beginning Balance | $ 15 | $ 15 | $ 16 |
Share buy-back/cancellations (in shares) | (41) | (49) | (31) |
Share buyback/cancellations | $ (1) | $ 0 | $ (1) |
Ending Balance (in shares) | 1,448 | 1,489 | 1,538 |
Ending Balance | $ 14 | $ 15 | $ 15 |
Treasury Shares | |||
Beginning Balance (in shares) | 2 | 3 | 7 |
Beginning Balance | $ (18) | $ (29) | $ (67) |
Options exercised and shares vested (in shares) | (19) | (13) | (5) |
Options exercised and shares vested | $ 227 | $ 154 | $ 46 |
Purchase of treasury shares (in shares) | 18 | 12 | 1 |
Purchase of treasury shares | $ (221) | $ (143) | $ (8) |
Ending Balance (in shares) | 1 | 2 | 3 |
Ending Balance | $ (12) | $ (18) | $ (29) |
Shareholders' Equity - Componen
Shareholders' Equity - Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | $ (880) | ||
Ending balance | (862) | $ (880) | |
Foreign Currency Translation | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (892) | (691) | $ (896) |
Other comprehensive income before reclassifications | (9) | (220) | 179 |
Amounts reclassified from accumulated other comprehensive loss | 78 | 19 | 26 |
Net current period other comprehensive income | 69 | (201) | 205 |
Ending balance | (823) | (892) | (691) |
Net Investment Hedge | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (13) | (13) | (13) |
Other comprehensive income before reclassifications | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | 0 |
Net current period other comprehensive income | 0 | 0 | 0 |
Ending balance | (13) | (13) | (13) |
Pension | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | 40 | (54) | (106) |
Other comprehensive income before reclassifications | (53) | 85 | 44 |
Amounts reclassified from accumulated other comprehensive loss | 3 | 9 | 8 |
Net current period other comprehensive income | (50) | 94 | 52 |
Ending balance | (10) | 40 | (54) |
Effective Derivatives | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (15) | (8) | (34) |
Other comprehensive income before reclassifications | (4) | 6 | 25 |
Amounts reclassified from accumulated other comprehensive loss | 3 | (13) | 1 |
Net current period other comprehensive income | (1) | (7) | 26 |
Ending balance | (16) | (15) | (8) |
Total Accumulated Other Comprehensive Loss | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (880) | (766) | (1,049) |
Other comprehensive income before reclassifications | (66) | (129) | 248 |
Amounts reclassified from accumulated other comprehensive loss | 84 | 15 | 35 |
Net current period other comprehensive income | 18 | (114) | 283 |
Ending balance | $ (862) | $ (880) | $ (766) |
Shareholders' Equity - Amounts
Shareholders' Equity - Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | $ 11,969 | $ 11,724 | $ 10,129 |
Income before income taxes | 1,251 | 1,115 | 1,193 |
Tax effect on amounts reclassified into earnings | (193) | (300) | (261) |
Net income attributable to Amcor plc | 1,048 | 805 | 939 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of prior service credit | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | (3) | (3) | (2) |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of actuarial loss | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | 2 | 5 | 8 |
Reclassification out of Accumulated Other Comprehensive Income | Acquisition/disposal loss | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | 0 | 1 | 0 |
Reclassification out of Accumulated Other Comprehensive Income | Effect of pension settlement/curtailment | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | 4 | 8 | 2 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated defined benefit plans adjustments | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Income before income taxes | 3 | 11 | 8 |
Tax effect on amounts reclassified into earnings | 0 | (2) | 0 |
Net income attributable to Amcor plc | 3 | 9 | 8 |
Reclassification out of Accumulated Other Comprehensive Income | (Gains) losses on cash flow hedges | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Income before income taxes | 3 | (17) | 1 |
Tax effect on amounts reclassified into earnings | 0 | 4 | 0 |
Net income attributable to Amcor plc | 3 | (13) | 1 |
Reclassification out of Accumulated Other Comprehensive Income | (Gains) losses on cash flow hedges | Commodity contracts | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | (2) | (20) | (1) |
Reclassification out of Accumulated Other Comprehensive Income | (Gains) losses on cash flow hedges | Forward exchange contracts | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | 2 | 0 | 0 |
Reclassification out of Accumulated Other Comprehensive Income | (Gains) losses on cash flow hedges | Treasury locks | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | 3 | 3 | 2 |
Reclassification out of Accumulated Other Comprehensive Income | (Gains) losses on foreign currency translation | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of sales | 78 | 19 | 26 |
Income before income taxes | 78 | 19 | 26 |
Tax effect on amounts reclassified into earnings | 0 | 0 | 0 |
Net income attributable to Amcor plc | 78 | 19 | 26 |
Reclassification out of Accumulated Other Comprehensive Income | Retained Earnings | Russia | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Foreign currency transaction adjustment from AOCI, realized upon sale | 73 | ||
Reclassification out of Accumulated Other Comprehensive Income | Retained Earnings | Non-core operations | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Foreign currency transaction adjustment from AOCI, realized upon sale | $ 5 | $ 19 | $ 26 |
Shareholders' Equity - Narrativ
Shareholders' Equity - Narrative (Details) - $ / shares shares in Millions | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Equity [Abstract] | ||
Forward contract indexed shares (in shares) | 9 | 14 |
Forward contract share price (in dollars per share) | $ 12.39 | $ 12.67 |
Income Taxes - Components of In
Income Taxes - Components of Income Before Taxes and Equity in Income (Loss) of Affiliated Companies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Tax Credit Carryforward [Line Items] | |||
Total income before income taxes and equity in income of affiliated companies | $ 1,251 | $ 1,115 | $ 1,193 |
Domestic (UK) | |||
Tax Credit Carryforward [Line Items] | |||
Total income before income taxes and equity in income of affiliated companies | 82 | (58) | (25) |
Foreign | |||
Tax Credit Carryforward [Line Items] | |||
Total income before income taxes and equity in income of affiliated companies | $ 1,169 | $ 1,173 | $ 1,218 |
Income Taxes - Income Tax Expen
Income Taxes - Income Tax Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Tax Credit Carryforward [Line Items] | |||
Total current tax | $ 250 | $ 333 | $ 257 |
Total deferred tax | (57) | (33) | 4 |
Income tax expense | 193 | 300 | 261 |
Domestic (UK) | |||
Tax Credit Carryforward [Line Items] | |||
Total current tax | 3 | 2 | 11 |
Total deferred tax | (6) | (10) | (1) |
Foreign | |||
Tax Credit Carryforward [Line Items] | |||
Total current tax | 247 | 331 | 246 |
Total deferred tax | $ (51) | $ (23) | $ 5 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Income Tax Rate (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Tax Credit Carryforward [Line Items] | |||
Income tax expense at statutory rate | $ 256 | $ 212 | $ 227 |
Foreign tax rate differential | 54 | 43 | 18 |
Capital gain on the sale of the Russian business | 63 | 0 | 0 |
Non-deductible expenses, non-taxable items, net | 16 | (2) | 2 |
Change in valuation allowance | (7) | 4 | 40 |
Uncertain tax positions, net | (39) | 62 | 32 |
Other | (24) | (19) | (58) |
Income tax expense | 193 | 300 | 261 |
Movements in Deferred Income Taxes | $ 13 | ||
Benefits from business restructuring | $ 45 | ||
Effective income tax rate reconciliation, foreign currency exchange | $ 25 | ||
HMRC | |||
Tax Credit Carryforward [Line Items] | |||
Statutory tax rate | 20.50% | 19% | 19% |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) $ in Millions | 12 Months Ended | |||
Jun. 30, 2023 USD ($) tax_jurisdiction | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | Jun. 30, 2020 USD ($) | |
Operating Loss Carryforwards [Line Items] | ||||
Number of tax jurisdictions in which the entity operates (over) | tax_jurisdiction | 40 | |||
Effective tax rate | 15.40% | 26.90% | 21.90% | |
Increase in valuation allowance | $ (7) | $ 4 | $ 40 | |
Tax credit carryforwards | 37 | 39 | ||
Deferred taxes not provided for earnings in certain foreign subsidiaries indefinitely reinvested | 1,300 | |||
Deferred tax liability related to undistributed foreign earnings | 13 | |||
Unrecognized tax benefits | 155 | 195 | 133 | $ 101 |
Interest and penalties related to uncertain tax positions | 13 | 12 | $ 12 | |
HMRC | ||||
Operating Loss Carryforwards [Line Items] | ||||
Net operating losses that do not expire | $ 1,300 | |||
Other Taxing Authorities | ||||
Operating Loss Carryforwards [Line Items] | ||||
Net operating losses that do not expire | $ 1,200 |
Income Taxes - Reconciliation_2
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at the beginning of the year | $ 195 | $ 133 | $ 101 |
Additions based on tax positions related to the current year | 12 | 50 | 39 |
Additions for tax positions of prior years | 24 | 19 | 7 |
Reductions for tax positions from prior years | (69) | (6) | (12) |
Reductions for settlements | (5) | 0 | 0 |
Reductions due to lapse of statute of limitations | (2) | (1) | (2) |
Balance at the end of the year | $ 155 | $ 195 | $ 133 |
Income Taxes - Significant Comp
Income Taxes - Significant Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Deferred Tax Assets, Net [Abstract] | ||
Inventories | $ 20 | $ 15 |
Accrued employee benefits | 70 | 62 |
Provisions | 4 | 18 |
Net operating loss carryforwards | 332 | 325 |
Tax credit carryforwards | 37 | 39 |
Accruals and other | 46 | 48 |
Total deferred tax assets | 509 | 507 |
Valuation allowance | (400) | (407) |
Net deferred tax assets | 109 | 100 |
Deferred tax liabilities | ||
Property, plant, and equipment | (294) | (319) |
Other intangible assets | (259) | (304) |
Derivatives and other financial instruments | (25) | (4) |
Undistributed foreign earnings | (13) | (20) |
Total deferred tax liabilities | (591) | (647) |
Net deferred tax liability | (482) | (547) |
Deferred tax assets | 134 | 130 |
Deferred tax liabilities | $ (616) | $ (677) |
Share-based Compensation - Narr
Share-based Compensation - Narrative (Details) - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares reserved for future issuance (in shares) | 41 | ||
Unrecognized compensation costs | $ 71 | ||
Share-based payment arrangement, expensed and capitalized, amount | 54 | $ 63 | $ 58 |
Stock options outstanding, Aggregate intrinsic value at end of the period | $ 1 | ||
Share options outstanding at end of the period | 3 years 8 months 12 days | ||
Vested and exercisable, aggregate intrinsic value at end of the period | $ 1 | ||
Vested and exercisable, weighted-average contractual life at end of the period | 2 years 1 month 6 days | ||
Proceeds from issuance of shares | $ 134 | 114 | 30 |
Intrinsic value of share options exercised | 31 | 15 | 6 |
Performance rights/shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of share options vested | $ 16 | 8 | 3 |
Share options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Conversion basis of awards to be exercised into ordinary shares at vesting | 100% | ||
Weighted average period of costs expected to be recognized | 1 year 9 months 18 days | ||
Fair value of share options vested | $ 15 | $ 13 | $ 2 |
Performance rights | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Conversion basis of awards to be exercised into ordinary shares at vesting | 100% | ||
Performance shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Conversion basis of awards to be exercised into ordinary shares at vesting | 100% | ||
Officers and employees | Performance rights/shares | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Requisite service period of awards | 2 years | ||
Officers and employees | Performance rights/shares | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Requisite service period of awards | 3 years | ||
Officers and employees | Share options | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Requisite service period of awards | 5 years | ||
Officers and employees | Share options | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Requisite service period of awards | 6 years |
Share-based Compensation - Fair
Share-based Compensation - Fair Value Assumptions Used for Shares Options Granted (Details) - $ / shares | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value of share options granted (in dollars per share) | $ 1.66 | $ 1.29 | $ 1.08 |
Risk free interest rate (%) | 3.40% | 1% | 0.20% |
Expected share price volatility (%) | 23% | 22% | 25% |
Expected dividend yield (%) | 4% | 4.10% | 4.70% |
Expected life (in years) | 6 years 1 month 6 days | 6 years 1 month 6 days | 6 years 1 month 6 days |
Restricted share units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value of other than options granted (in dollars per share) | $ 11.91 | $ 11.62 | $ 11.06 |
Performance rights/shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value of other than options granted (in dollars per share) | $ 8.18 | $ 9.40 | $ 7.22 |
Risk free interest rate (%) | 3.50% | 0.40% | 0.20% |
Expected share price volatility (%) | 23% | 22% | 25% |
Expected dividend yield (%) | 4% | 4.10% | 4.70% |
Share rights | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value of other than options granted (in dollars per share) | $ 10.90 | $ 11.44 | $ 10.22 |
Share-based Compensation - Chan
Share-based Compensation - Changes in Share Options (Details) shares in Millions | 12 Months Ended |
Jun. 30, 2023 $ / shares shares | |
Number | |
Share options outstanding at beginning of period (in shares) | shares | 45 |
Granted (in shares) | shares | 7 |
Exercised (in shares) | shares | (13) |
Forfeited (in shares) | shares | (6) |
Share options outstanding at end of period (in shares) | shares | 33 |
Vested and exercisable at end of period (in shares) | shares | 9 |
Weighted-average Exercise Price | |
Share options outstanding at beginning of period (in dollars per share) | $ / shares | $ 10.66 |
Granted (in dollars per share) | $ / shares | 11.79 |
Exercised (in dollars per share) | $ / shares | 9.88 |
Forfeited (in dollars per share) | $ / shares | 10.24 |
Share options outstanding at end of period (in dollars per share) | $ / shares | 11.29 |
Vested and exercisable, weighted-average exercise price at end of period (in dollars per share) | $ / shares | $ 10.06 |
Share-based Compensation - Ch_2
Share-based Compensation - Changes in Restricted Shares/Units, Performance Rights/Units and Shares Rights (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Restricted share units | |||
Number | |||
Outstanding at beginning of period (in shares) | 1 | ||
Granted (in shares) | 1 | ||
Exercised (in shares) | (1) | ||
Forfeited (in shares) | 0 | ||
Outstanding at end of period (in shares) | 1 | 1 | |
Weighted-average Grant Date Fair Value | |||
Outstanding at beginning of period (in dollars per share) | $ 11.41 | ||
Granted (in dollars per share) | 11.91 | $ 11.62 | $ 11.06 |
Exercised (in dollars per share) | 11.16 | ||
Forfeited (in dollars per share) | 0 | ||
Outstanding at end of period (in dollars per share) | $ 11.67 | $ 11.41 | |
Fair value vested ($ in millions) | $ 2 | $ 3 | $ 3 |
Performance rights/shares | |||
Number | |||
Outstanding at beginning of period (in shares) | 11 | ||
Granted (in shares) | 4 | ||
Exercised (in shares) | (3) | ||
Forfeited (in shares) | (1) | ||
Outstanding at end of period (in shares) | 11 | 11 | |
Weighted-average Grant Date Fair Value | |||
Outstanding at beginning of period (in dollars per share) | $ 7.79 | ||
Granted (in dollars per share) | 8.18 | $ 9.40 | $ 7.22 |
Exercised (in dollars per share) | 6.65 | ||
Forfeited (in dollars per share) | 7.46 | ||
Outstanding at end of period (in dollars per share) | $ 8.20 | $ 7.79 | |
Fair value vested ($ in millions) | $ 16 | $ 8 | $ 3 |
Share rights | |||
Number | |||
Outstanding at beginning of period (in shares) | 4 | ||
Granted (in shares) | 2 | ||
Exercised (in shares) | (2) | ||
Forfeited (in shares) | 0 | ||
Outstanding at end of period (in shares) | 4 | 4 | |
Weighted-average Grant Date Fair Value | |||
Outstanding at beginning of period (in dollars per share) | $ 10.90 | ||
Granted (in dollars per share) | 10.90 | $ 11.44 | $ 10.22 |
Exercised (in dollars per share) | 10.26 | ||
Forfeited (in dollars per share) | 0 | ||
Outstanding at end of period (in dollars per share) | $ 11.22 | $ 10.90 | |
Fair value vested ($ in millions) | $ 20 | $ 7 | $ 5 |
Earnings Per Share Computatio_3
Earnings Per Share Computations - Schedule of Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Net income attributable to Amcor plc | $ 1,048 | $ 805 | $ 939 |
Distributed and undistributed earnings attributable to shares to be repurchased | (7) | (3) | (2) |
Net income available to ordinary shareholders of Amcor plc—basic and diluted | $ 1,041 | $ 802 | $ 937 |
Weighted-average ordinary shares outstanding | 1,478 | 1,514 | 1,553 |
Weighted-average ordinary shares to be repurchased by Amcor plc | (10) | (5) | (2) |
Effect of dilutive shares | 8 | 6 | 5 |
Weighted-average ordinary shares outstanding for EPS—diluted | 1,476 | 1,516 | 1,556 |
Basic earnings per ordinary share | $ 0.709 | $ 0.532 | $ 0.604 |
Diluted earnings per ordinary share | $ 0.705 | $ 0.529 | $ 0.602 |
Excluding forward contracts to purchase own shares | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Weighted-average ordinary shares outstanding | 1,468 | 1,509 | 1,551 |
Earnings Per Share Computatio_4
Earnings Per Share Computations - Narrative (Details) - shares shares in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 16 | 7 | 6 |
Contingencies and Legal Proce_2
Contingencies and Legal Proceedings (Details) $ in Millions | 12 Months Ended |
Jun. 30, 2023 USD ($) | |
Site Contingency [Line Items] | |
Loss contingency accrual | $ 14 |
Loss contingency, estimate of possible loss | 26 |
Loss contingency, letters of credit | 16 |
Loss contingency, judicial insurance | 2 |
Loss contingency, cash deposited | 14 |
Accrual for environmental loss contingencies, component amount | 54 |
Threshold to determine disclosure of proceedings | 1 |
Potentially responsible party | |
Site Contingency [Line Items] | |
Accrual for environmental loss contingencies, component amount | $ 9 |
Segments - Narrative (Details)
Segments - Narrative (Details) | 12 Months Ended |
Jun. 30, 2023 segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Number of flexible operating segments | 5 |
Segments - Information About Re
Segments - Information About Reportable Segments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 14,694 | $ 14,544 | $ 12,861 | |
Adjusted earnings before interest and taxes ("Adjusted EBIT") | 1,608 | 1,701 | 1,621 | |
Restructuring programs | 0 | (37) | (88) | |
Amortization of acquired intangible assets in business combinations | (160) | (163) | (165) | |
Impact of hyperinflation | (24) | (16) | (19) | |
Pension settlements | (5) | (8) | 0 | |
Net gain (loss) on disposals | 0 | (10) | 9 | |
Property and other losses, net | (2) | (13) | 0 | |
Russia-Ukraine conflict impacts | 104 | (234) | (94) | |
Other | 3 | (4) | (7) | |
Interest income | 31 | 24 | 14 | |
Interest expense | (290) | (159) | (153) | |
Equity in income of affiliated companies | 0 | 0 | (19) | |
Income before income taxes and equity in income of affiliated companies | 1,251 | 1,115 | 1,193 | |
Gain on disposal of Russian business, net | 0 | 0 | ||
Restructuring and related expenses, net | 111 | 96 | 94 | |
Restructuring, acquisition, litigation and integration expenses | 13 | |||
Fair value hedge, gain | 16 | |||
Non-core operations | ||||
Segment Reporting Information [Line Items] | ||||
Net gain (loss) on disposals | 10 | |||
Russia | ||||
Segment Reporting Information [Line Items] | ||||
Russia-Ukraine conflict impacts | 90 | (200) | 0 | |
Gain on disposal of Russian business, net | 215 | |||
Other expenses | 18 | 5 | ||
Restructuring and related expenses, net | 107 | 57 | ||
South Africa | ||||
Segment Reporting Information [Line Items] | ||||
Closure of segment, property claims and losses | 5 | |||
Insurance recoveries | 3 | |||
Russia and Ukraine | ||||
Segment Reporting Information [Line Items] | ||||
Russia-Ukraine impairment expenses | $ 138 | 0 | 138 | 0 |
Brazil | ||||
Segment Reporting Information [Line Items] | ||||
Other operating income, indirect taxes | 19 | |||
Flexibles | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 11,154 | 11,151 | 10,038 | |
Adjusted earnings before interest and taxes ("Adjusted EBIT") | 1,429 | 1,517 | 1,427 | |
Rigid Packaging | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 3,540 | 3,393 | 2,823 | |
Adjusted earnings before interest and taxes ("Adjusted EBIT") | 265 | 289 | 299 | |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Adjusted earnings before interest and taxes ("Adjusted EBIT") | (86) | (105) | (105) | |
Operating segments | Flexibles | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 11,154 | 11,151 | 10,038 | |
Operating segments | Rigid Packaging | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 3,540 | 3,393 | 2,823 | |
Operating segments | Other | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 0 | $ 0 | $ 0 |
Segments - Additional Financial
Segments - Additional Financial Information About Segments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Total capital expenditures for the acquisition of long-lived assets | $ 526 | $ 527 | $ 468 |
Total depreciation and amortization | 569 | 579 | 572 |
Flexibles | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Total capital expenditures for the acquisition of long-lived assets | 384 | 376 | 336 |
Total depreciation and amortization | 436 | 450 | 447 |
Rigid Packaging | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Total capital expenditures for the acquisition of long-lived assets | 133 | 136 | 127 |
Total depreciation and amortization | 125 | 120 | 115 |
Other | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Total capital expenditures for the acquisition of long-lived assets | 9 | 15 | 5 |
Total depreciation and amortization | $ 8 | $ 9 | $ 10 |
Segments - Sales by Major Produ
Segments - Sales by Major Product (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenue from External Customer [Line Items] | |||
Net sales | $ 14,694 | $ 14,544 | $ 12,861 |
Flexibles | |||
Revenue from External Customer [Line Items] | |||
Net sales | 11,154 | 11,151 | 10,038 |
Flexibles | Films and other flexible products | |||
Revenue from External Customer [Line Items] | |||
Net sales | 10,061 | 10,033 | 8,934 |
Flexibles | Specialty flexible folding cartons | |||
Revenue from External Customer [Line Items] | |||
Net sales | 1,093 | 1,118 | 1,104 |
Rigid Packaging | |||
Revenue from External Customer [Line Items] | |||
Net sales | 3,540 | 3,393 | 2,823 |
Rigid Packaging | Containers, preforms, and closures | |||
Revenue from External Customer [Line Items] | |||
Net sales | $ 3,540 | $ 3,393 | $ 2,823 |
Segments - Long-lived Assets by
Segments - Long-lived Assets by Geographic Areas (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 |
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 3,762 | $ 3,646 |
United States of America | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | 1,710 | 1,720 |
Other Countries | ||
Segment Reporting Information [Line Items] | ||
Long-lived assets | $ 2,052 | $ 1,926 |
Segments - Disaggregation of Re
Segments - Disaggregation of Revenue by Geography (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 14,694 | $ 14,544 | $ 12,861 |
Flexibles | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 11,154 | 11,151 | 10,038 |
Rigid Packaging | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 3,540 | 3,393 | 2,823 |
North America | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 7,156 | 6,952 | 6,038 |
North America | Flexibles | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 4,411 | 4,296 | 3,719 |
North America | Rigid Packaging | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 2,745 | 2,656 | 2,319 |
Latin America | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 1,909 | 1,797 | 1,418 |
Latin America | Flexibles | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 1,114 | 1,060 | 914 |
Latin America | Rigid Packaging | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 795 | 737 | 504 |
Europe | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 3,952 | 4,062 | 3,828 |
Europe | Flexibles | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 3,952 | 4,062 | 3,828 |
Europe | Rigid Packaging | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 0 | 0 | 0 |
Asia Pacific | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 1,677 | 1,733 | 1,577 |
Asia Pacific | Flexibles | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 1,677 | 1,733 | 1,577 |
Asia Pacific | Rigid Packaging | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 0 | $ 0 | $ 0 |
Deed of Cross Guarantee - Deed
Deed of Cross Guarantee - Deed of Cross Guarantee Statement of Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Net sales | $ 14,694 | $ 14,544 | $ 12,861 |
Cost of sales | (11,969) | (11,724) | (10,129) |
Gross profit | 2,725 | 2,820 | 2,732 |
Other income, net | 26 | 33 | 75 |
Operating income | 1,508 | 1,239 | 1,321 |
Interest income | 31 | 24 | 14 |
Interest expense | (290) | (159) | (153) |
Other non-operating income, net | 2 | 11 | 11 |
Income tax expense | (193) | (300) | (261) |
Net income attributable to Amcor plc | 1,048 | 805 | $ 939 |
Guarantor Subsidiaries | |||
Net sales | 377 | 391 | |
Cost of sales | (319) | (337) | |
Gross profit | 58 | 54 | |
Operating expenses | (1,125) | (1,251) | |
Other income, net | 1,599 | 2,355 | |
Operating income | 532 | 1,158 | |
Interest income | 15 | 12 | |
Interest expense | (38) | (14) | |
Other non-operating income, net | 0 | 1 | |
Income before income taxes | 509 | 1,157 | |
Income tax expense | (22) | (4) | |
Net income attributable to Amcor plc | $ 487 | $ 1,153 |
Deed of Cross Guarantee - Dee_2
Deed of Cross Guarantee - Deed of Cross Guarantee Statement of Comprehensive Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Net income attributable to Amcor plc | $ 1,048 | $ 805 | $ 939 |
Foreign currency translation adjustments, net of tax | 69 | (201) | 205 |
Other comprehensive income | 18 | (114) | 283 |
Comprehensive income/(loss) attributable to non-controlling interests | 10 | 10 | 12 |
Total comprehensive income | 1,076 | 701 | $ 1,234 |
Guarantor Subsidiaries | |||
Net income attributable to Amcor plc | 487 | 1,153 | |
Foreign currency translation adjustments, net of tax | (10) | (30) | |
Other comprehensive income | (10) | (30) | |
Comprehensive income/(loss) attributable to non-controlling interests | 0 | 0 | |
Total comprehensive income | $ 477 | $ 1,123 |
Deed of Cross Guarantee - Dee_3
Deed of Cross Guarantee - Deed of Cross Guarantee Statement of Income and Accumulated Losses (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Retained earnings, beginning balance | $ 534 | ||
Net income attributable to Amcor plc | 1,048 | $ 805 | $ 939 |
Dividends recognized during the financial period | 723 | 732 | 742 |
Retained earnings at the end of the financial period | 865 | 534 | |
Guarantor Subsidiaries | |||
Retained earnings, beginning balance | 7,167 | 6,737 | |
Net income attributable to Amcor plc | 487 | 1,153 | |
Retained earnings before distribution | 7,654 | 7,890 | |
Dividends recognized during the financial period | 717 | 723 | |
Retained earnings at the end of the financial period | $ 6,937 | $ 7,167 | $ 6,737 |
Deed of Cross Guarantee - Dee_4
Deed of Cross Guarantee - Deed of Cross Guarantee Balance Sheet (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2020 |
Cash and cash equivalents | $ 689 | $ 775 | ||
Trade receivables, net of allowance for credit losses of $21 and $25, respectively | 1,875 | 1,935 | ||
Prepaid expenses and other current assets | 531 | 512 | ||
Total current assets | 5,308 | 5,853 | ||
Property, plant, and equipment, net | 3,762 | 3,646 | ||
Deferred tax assets | 134 | 130 | ||
Other intangible assets, net | 1,524 | 1,657 | ||
Goodwill | 5,366 | 5,285 | $ 5,419 | |
Other non-current assets | 309 | 206 | ||
Total non-current assets | 11,695 | 11,573 | ||
Total assets | 17,003 | 17,426 | ||
Short-term debt | 80 | 136 | ||
Trade payables | 2,690 | 3,073 | ||
Accrued employee costs | 396 | 471 | ||
Other current liabilities | 1,297 | 1,344 | ||
Total current liabilities | 4,476 | 5,103 | ||
Long-term debt, less current portion | 6,653 | 6,340 | ||
Other non-current liabilities | 481 | 471 | ||
Total liabilities | 12,913 | 13,285 | ||
Issued capital | 14 | 15 | ||
Additional paid-in capital | 4,021 | 4,431 | ||
Retained earnings | 865 | 534 | ||
Accumulated other comprehensive loss | (862) | (880) | ||
Total shareholders' equity | 4,090 | 4,141 | 4,821 | $ 4,687 |
Total liabilities and shareholders' equity | 17,003 | 17,426 | ||
Guarantor Subsidiaries | ||||
Cash and cash equivalents | 54 | 68 | ||
Trade receivables, net of allowance for credit losses of $21 and $25, respectively | 342 | 662 | ||
Inventories, net | 60 | 71 | ||
Prepaid expenses and other current assets | 21 | 19 | ||
Total current assets | 477 | 820 | ||
Property, plant, and equipment, net | 60 | 63 | ||
Deferred tax assets | 6 | 26 | ||
Other intangible assets, net | 13 | 12 | ||
Goodwill | 88 | 91 | ||
Other non-current assets | 13,308 | 14,039 | ||
Total non-current assets | 13,475 | 14,231 | ||
Total assets | 13,952 | 15,051 | ||
Short-term debt | 826 | 901 | ||
Trade payables | 153 | 162 | ||
Accrued employee costs | 23 | 21 | ||
Other current liabilities | 143 | 191 | ||
Total current liabilities | 1,145 | 1,275 | ||
Long-term debt, less current portion | 0 | 319 | ||
Other non-current liabilities | 2 | 2 | ||
Total liabilities | 1,147 | 1,596 | ||
Issued capital | 14 | 15 | ||
Additional paid-in capital | 4,829 | 5,239 | ||
Retained earnings | 6,937 | 7,167 | $ 6,737 | |
Accumulated other comprehensive loss | 1,025 | 1,034 | ||
Total shareholders' equity | 12,805 | 13,455 | ||
Total liabilities and shareholders' equity | $ 13,952 | $ 15,051 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information - Schedule of Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |||
Interest paid, net of amounts capitalized | $ 276 | $ 155 | $ 146 |
Income taxes paid | 225 | 256 | 321 |
Non-Cash Investing Activities: | |||
Purchase of property, plant, and equipment accrued, but not paid | 71 | 110 | 76 |
Contingent and deferred liabilities incurred related to acquired businesses, but not paid | $ 41 | $ 0 | $ 0 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Aug. 16, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
Subsequent Event [Line Items] | ||||
Dividends declared (in USD per share) | $ 0.4875 | $ 0.4775 | $ 0.4675 | |
Fair value of plan assets | $ 601 | $ 189 | ||
Projected benefit obligation | 832 | $ 398 | ||
Principal defined benefit plan, United Kingdom | ||||
Subsequent Event [Line Items] | ||||
Fair value of plan assets | 60 | |||
Projected benefit obligation | $ 60 | |||
Subsequent Event | ||||
Subsequent Event [Line Items] | ||||
Dividends declared (in USD per share) | $ 0.1225 |
Schedule II - Valuation of Qu_2
Schedule II - Valuation of Qualifying Accounts and Reserves (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Jul. 01, 2020 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss | $ (21) | $ (25) | ||
Cumulative adjustment related to adoption of ASC 326 | Accounting Standards Update 2016-13 [Member] | Accounting Standards Update 2016-02 [Member] | ||
Reserves for Doubtful Accounts, Sales Returns, Discounts and Allowances | ||||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at the Beginning of the Year | $ 42 | 25 | 28 | $ 42 |
Additions Charged to Profit and Loss | 3 | 2 | (4) | |
Write-offs | (8) | (3) | (11) | |
Foreign Currency Impact and Other | 1 | (2) | 1 | |
Balance at End of the Year | $ 21 | 25 | 28 | |
Reserves for Doubtful Accounts, Sales Returns, Discounts and Allowances | Impact of Adoption of ASC-326 | ||||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss | $ (7) | |||
Reserves for Doubtful Accounts, Sales Returns, Discounts and Allowances | Cumulative Effect, Period of Adoption, Adjusted Balance | ||||
SEC Schedule, 12-09, Valuation and Qualifying Accounts Disclosure [Line Items] | ||||
Balance at the Beginning of the Year | $ 28 | |||
Balance at End of the Year | $ 28 |
Uncategorized Items - amcr-2023
Label | Element | Value |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Including Disposal Group and Discontinued Operations | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations | $ 743,000,000 |