REYN Earnings Prediction
The chart below shows how REYN performed 10 days before and after its earnings report, based on data from the past quarters. Typically, REYN sees a +0.02% change in stock price 10 days leading up to the earnings, and a -0.36% change 10 days following the report. On the earnings day itself, the stock moves by -0.34%. This data can give you a slight idea of what to expect for the next quarter's release.
REYN Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.02B
1.39%
12.09%
Gross Margin
27.45%
-10.64%
4.53%
Operating Margin
17.65%
-13.82%
16.42%
Net Margin
11.86%
-12.92%
25.50%
EPS
0.57
-12.31%
39.02%
No Data Available
REYN Earnings Analysis
Reynolds Consumer Products Inc Corporation (REYN.O) Earnings Conference Call
Positive
Retail Volume Increase: Consolidated retail volume increased by 1% in Q4 2024, reflecting a strong performance across all business units, including Reynolds Cooking & Baking and Hefty Waste & Storage, which each delivered 3 points of volume growth.
2024 Revenue Performance: Net revenues for 2024 reached $3.695 billion, exceeding initial guidance and demonstrating sequentially improving retail volume performance.
Adjusted EBITDA Growth: Adjusted EBITDA for 2024 was $678 million, a 7% increase from 2023, with margin expansion of 140 basis points driven by lower operational costs and product portfolio optimization.
Strong Free Cash Flow: Free cash flow for 2024 was robust at $369 million, enabling the company to pay down $150 million of debt, enhancing financial flexibility and positioning for future investments.
Earnings Per Share Increase: Adjusted earnings per share increased by 18% to $1.67 in 2024, up from $1.42 in 2023, reflecting strong operational performance and effective cost management.
Negative
Adjusted EBITDA Decline: Adjusted EBITDA of $213 million in Q4 2024 was $25 million below the same period in 2023, driven by anticipated higher operational costs and lower pricing.
Earnings Per Share Decline: Adjusted earnings per share decreased to $0.58 in Q4 2024, down from $0.65 per share in Q4 2023, reflecting a decline in profitability year-over-year.
Q4 Revenue Performance Challenges: Net revenues for Q4 2024 were $1,021 million, which, while above Q4 2023, faced a headwind of 1 point from product portfolio optimization, indicating potential challenges in revenue stability.
Revenue Decline Forecast: The company expects 2025 net revenues to decline by low-single digits, primarily due to a projected double-digit decline in foam dishes, which represent less than 10% of revenue but contribute to earnings pressure.
2025 EBITDA Guidance Decline: The guidance for 2025 adjusted EBITDA is projected to be between $670 million to $690 million, which reflects a decrease compared to the previous year, indicating potential challenges in maintaining earnings growth.
REYN FAQs
How does REYN typically perform around its earnings report dates?
Is Reynolds Consumer Products Inc (REYN) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
REYN Earning Call Sentiment
Reynolds Consumer Products Inc. (NASDAQ:REYN) Q4 2024 Earnings Call Transcript
REYN.O
1.62%Positive
The earnings call summary presents a mixed picture. While the company showed strong financial performance with revenue and EPS growth, the Q&A reveals concerns about operational efficiency challenges, commodity headwinds, and unclear management responses on tariffs and consumer behavior. Although there is optimistic guidance for 2024, the Q4 decline in adjusted EBITDA and EPS, along with CEO transition costs, balance out the positives. Given these factors, the stock price is likely to remain stable within a neutral range over the next two weeks.
