Financial Performance - Net income decreased by 87.2% to 0.15 per diluted Class A share compared to 1.17 per diluted Class A share in the prior year[6] - Net income attributable to Greif, Inc. was 67.2 million in the prior year[31] - Net income for the three months ended January 31, 2025, was 74.3 million in the same period of 2024[39] - Net income for the trailing twelve months ended January 31, 2025, was 360.3 million for the same period in 2024, representing a decrease of approximately 36.4%[48] - Basic earnings per share attributable to Greif, Inc. common shareholders for Class A common stock was 1.17 in the same quarter of 2024[31] - The company reported an operating profit of 68.9 million in the same period of 2024[39] Revenue and Sales - Net sales for the three months ended January 31, 2025, were 1,205.8 million in the same period of 2024[31] - Customized Polymer Solutions net sales increased by 295.1 million, primarily due to 32.6 million to 25.8 million from higher containerboard and boxboard prices[16] - Customized Polymer Solutions segment net sales increased to 228.0 million in the prior year[37] Adjusted EBITDA - Adjusted EBITDA increased by 5.9% to 137.0 million in the prior year[6] - Total Adjusted EBITDA for the three months ended January 31, 2025, was 137.0 million in the prior year[37] - Adjusted EBITDA for the trailing twelve months ended January 31, 2025, was 802.4 million for the same period in 2024[48] Debt and Liabilities - Total debt increased by 2,840.2 million, primarily due to the acquisition of Ipackchem, resulting in a leverage ratio increase to 3.63x from 2.46x[6] - Total debt increased to 2,291.8 million a year earlier, representing a rise of 24.0%[46] - Net debt rose to 2,112.5 million in the prior year, indicating an increase of 25.0%[46] - Total liabilities decreased to 3,385.8 million as of October 31, 2024[33] - Adjusted net debt as of January 31, 2025, was 1,989.9 million for the same period in 2024, indicating an increase of about 28.5%[48] - The leverage ratio increased to 3.63x as of January 31, 2025, compared to 2.46x a year prior, highlighting a significant rise in financial leverage[48] Cash Flow - The company reported a net cash used in operating activities of 4.5 million in the same quarter of 2024[35] - Cash and cash equivalents at the end of the period were 179.3 million at the end of the same period in 2024[35] - Free cash flow for the three months ended January 31, 2025, was (51.1) million in the same period of 2024, reflecting a decline of 30.0%[43] - The company reported a net cash provided by operating activities of 710 million and for Adjusted free cash flow at 220.0 million, with adjusted free cash flow expected to be 171.0 million, impacting overall cash flow[50] Operational Changes - The closure of the A1 uncoated recycled paperboard machine in Austell, GA, and the containerboard and uncoated recycled paperboard mill in Fitchburg, MA, was announced[6] - The company is actively managing a period of industrial contraction while transforming internal processes for long-term profitable earnings growth[5] Taxation - The company recorded an income tax rate of 35.8% for the first quarter, with an expected range of 27.0% to 32.0% for fiscal 2025[20] - The effective tax rate for the three months ended January 31, 2025, was 35.8%, compared to a negative tax rate of 107.3% in the same period of 2024[44]
Greif(GEF_B) - 2025 Q1 - Quarterly Results