NASDAQ$REYN

Reynolds Consumer Products Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Reynolds Consumer Products' first quarter 2024 financial results were reported, featuring increased net income and adjusted EBITDA, along with a reiterated full-year outlook.

Reynolds Consumer Products reported strong first-quarter results, with net revenues of $833 million. Net income increased to $49 million, and adjusted EBITDA rose to $122 million. The company reiterated its full-year outlook for net revenues and adjusted EBITDA while increasing its full-year outlook for net income and earnings per share.

  • Net revenues reached $833 million, compared to $874 million in Q1 2023.
  • Net income and adjusted net income increased to $49 million, up from $17 million in Q1 2023.
  • Adjusted EBITDA increased to $122 million, compared to $82 million in the same quarter last year.
  • Earnings per share and adjusted earnings per share both rose to $0.23, an increase from $0.08 in Q1 2023.

Headline financials

Total Revenue

$833M

Previous: $874M-4.7%
EPS

$0.23

Previous: $0.08+187.5%
Adjusted EBITDA

$122M

Previous: $82M+48.8%
Adjusted Net Income

$49M

No prior period
Capital Expenditures

-$29M

Previous: -$22M-31.8%
Free Cash Flow

$20M

Previous: -$5M+500.0%
Net Income

$49M

Previous: $17M+188.2%
Operating Income

$58M

Previous: $22M+163.6%
Gross Profit

$201M

Previous: $155M+29.7%
Cash & Equivalents

$135M

Previous: $50M+170.0%
Total Assets

$4.86B

Previous: $4.87B-0.1%
Stock-Based Comp

$4M

Previous: $3M+33.3%

Revenue & EPS history

Reynolds · Revenue · Quarterly

$833M

Q1 2024-4.7%vs Q1 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Reynolds · $935M total across 5 segments · Q3 2023

  • Reynolds Cooking & Baking
    $312M-4.6%
  • Hefty Waste & Storage
    $244M+3.0%
  • Hefty Tableware
    $233M-7.2%
  • Presto Products
    $152M-1.9%
  • Unallocated
    -$6M-100.0%

Forward guidance

The Company reiterates its full year outlook for Net Revenues, Adjusted EBITDA and Net Debt, and increases its full year outlook for Net Income and Earnings Per Share.

Tailwinds

  • Full-year Net Revenues are guided to be approximately $3,530 million to $3,640 million.
  • Full-year Net Income and Adjusted Net Income are expected to be $341 to $357 million.
  • Full-year Adjusted EBITDA is projected to be $660 to $680 million.
  • Full-year Earnings Per Share and Adjusted Earnings Per Share are anticipated to be $1.62 to $1.70.
  • Net Debt at December 31, 2024, is expected to be $1.5 to $1.6 billion.

Headwinds

  • Second quarter Net Revenues are expected to be $875 million to $900 million versus prior year Net Revenues of $940 million.
  • Second quarter Net Income and Adjusted Net Income are expected to be $88 to $96 million.
  • Second quarter Adjusted EBITDA is expected to be $160 to $170 million.
  • Second quarter Earnings Per Share and Adjusted Earnings Per Share are expected to be $0.42 to $0.46.
  • A 3.5% reduction is expected from lower non-retail volume and optimization of the retail product portfolio.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-0.7%

Avg return

Earnings day

-0.5%

Avg return

5 days after

-1.1%

Avg return

30 days after

41%

12 / 29 earnings

Positive

+9.6%

Q4 2025

Best reaction

-9.0%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.8%+1.5%+5.4%
Q4 2025+9.6%+4.5%+4.1%
Q3 2025+5.1%+3.5%+5.4%
Q1 2025-3.0%-1.7%-6.8%
Q4 2024-4.2%-11.5%-12.1%
Q3 2024-8.7%-8.7%-6.2%
Q2 2024+5.2%+4.8%+13.4%
Q1 2024+3.0%+2.1%-1.6%
Q4 2023+2.5%+2.5%+4.1%
Q3 2023+5.3%+3.7%+2.1%
Q2 2023+1.5%+1.8%-5.6%
Q1 2023+6.2%+3.3%+1.4%
Q4 2022-3.4%-2.6%-8.4%
Q3 2022-7.6%-3.1%+0.5%
Q2 2022-3.6%-3.0%-5.5%
Q1 2022-2.8%-0.5%-9.2%
Q4 2021+2.0%+3.6%+0.9%
Q3 2021+2.8%+3.1%+4.6%
Q2 2021-2.1%-2.5%-1.3%
Q1 2021+0.1%+3.1%-0.7%
Q4 2018-0.3%+0.1%+2.8%
Q4 2020-3.0%-2.8%-1.9%
Q3 2019-2.3%-1.6%-1.4%
Q3 2020+0.3%+3.0%+3.2%
Q2 2020-9.0%-4.4%-8.3%
Q2 2019-9.0%-4.4%-8.3%
Q1 2019-1.1%+1.4%-2.9%
Q1 2020-1.1%+1.4%-2.9%
Q4 2019-2.0%-11.3%+3.2%

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