NASDAQ$REYN
Reynolds Consumer Products Inc · Q3 2022 earnings
Q3 2022 earnings · · Investor relations
Briefing
Reynolds Consumer Products reported third quarter results, closing the gap between pricing and cost increases, while also building share and delivering earnings in line with expectations.
Reynolds Consumer Products reported a 7% increase in net revenues to $967 million compared to the prior year. Net income was $48 million, a decrease of 27%. The company is focused on margin expansion in the fourth quarter and recovery of pre-pandemic profitability in 2023.
- Net revenues increased by 7% year-over-year, driven by pricing actions.
- Net income decreased by 27% year-over-year.
- Adjusted EBITDA decreased by 12% year-over-year.
- The company closed the gap between pricing and cost increases.
Headline financials
Revenue & EPS history
Reynolds · Revenue · Quarterly
$967M
Revenue by segment
Reynolds · $967M total across 5 segments · Q3 2022
- Reynolds Cooking & Baking$327M-0.3%33.8%
- Hefty Tableware$251M+28.1%26.0%
- Hefty Waste & Storage$237M+0.0%24.5%
- Presto Products$155M+2.6%16.0%
- Unallocated-$3M+57.1%-0.3%
Forward guidance
The Company now expects net revenues to grow approximately 8% for the fiscal year ending December 31, 2022. For the fourth quarter ending December 31, 2022, the Company expects net revenues to grow approximately 9%.
Tailwinds
- Net revenues to grow approximately 8% for fiscal year 2022.
- Net Income to be in the range of $264 million to $276 million for fiscal year 2022.
- Adjusted Net Income to be in the range of $273 million to $285 million for fiscal year 2022.
- Adjusted EBITDA to be in the range of $560 million to $575 million for fiscal year 2022.
- Earnings Per Share to be in the range of $1.25 to $1.31 per share for fiscal year 2022.
Headwinds
- Volume down mid single digits for fiscal year 2022.
- Net revenues to grow approximately 9% for fourth quarter 2022 driven by price increases and a low to mid single digit volume decline.
- Net Income to be in the range of $112 million to $124 million for fourth quarter 2022.
- Adjusted EBITDA to be in the range of $215 million to $230 million for fourth quarter 2022.
- Earnings Per Share to be in the range of $0.53 to $0.59 per share for fourth quarter 2022.
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 Q3 2022
-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
| Quarter | Report date | Reaction (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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