Wed, Apr 30, 1:16 PM (16 days ago)
**Reynolds Consumer Products Inc. (REYN) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** Total net revenues decreased by 2% to $818 million, driven by lower volume, partially offset by higher pricing. - **Profit Margins:** Gross profit margin decreased by 1% to 23%, while operating margin decreased by 2% to 9%. - **Earnings:** Net income decreased by 37% to $31 million, primarily due to lower volume, debt refinancing expenses, and higher costs. - **Cash Flow:** Net cash provided by operating activities decreased by 43% to $56 million, driven by a reduced benefit in working capital and lower net income. **Segment Performance:** - **Reynolds Cooking & Baking:** Net revenues increased by 1% to $259 million, with Adjusted EBITDA increasing by 19% to $38 million. - **Hefty Waste & Storage:** Net revenues increased by 3% to $240 million, but Adjusted EBITDA decreased by 12% to $59 million due to higher costs. - **Hefty Tableware:** Net revenues decreased by 14% to $179 million, with Adjusted EBITDA decreasing by 43% to $17 million due to lower volume and higher costs. - **Presto Products:** Net revenues remained flat at $143 million, with Adjusted EBITDA decreasing by 10% to $26 million due to higher costs. **Trends & Uncertainties:** - The company faces uncertainties related to consumer preferences, competition, supply chain disruptions, and economic conditions. - The company has amended its term loan facility, extending the maturity date and recommencing quarterly amortization payments. - The company expects to continue paying quarterly dividends, but future dividends are subject to discretion and various factors. **Future Operations Impact:** - The company plans to continue investing in product categories and innovation to meet evolving consumer needs. - The company aims to grow overall product categories and maintain its market-leading position. - The company expects to meet debt service, capital expenditures, and working capital needs for the foreseeable future, but cannot ensure sufficient cash flow or future borrowings. **Ticker:** REYN