RYAM Reports First Quarter 2025 Results
Long-Term Strategy and Outlook Remain Intact
-
Net Sales for the quarter of
$356 million $32 million
-
Net Loss for the quarter of
$32 million $30 million
-
Adjusted EBITDA for the quarter of
$17 million $12 million $35 million
-
Total Debt of
$736 million $624 million
-
Cash Provided by Operating Activities for the quarter of
$40 million $10 million
-
2025 Adjusted EBITDA guidance of
$175 million $185 million
-
2025 Adjusted Free Cash Flow guidance of
$5 million $15 million
“Despite near-term challenges in the macroeconomic and regulatory environment, we remain focused on creating long-term value and are confident in the strength of our core business and strategic positioning,” said De Lyle Bloomquist, President and CEO of RYAM.
“Our first quarter results fell short of expectations, primarily due to several factors: a
“We are also navigating a dynamic global trade environment. Based on our most recent insight, approximately
“Considering these factors — the tariffs, poor first quarter operational performance, the weaker
First Quarter 2025 Financial Results
The Company reported a net loss of
Beginning in January 2025, the Company reorganized its former High Purity Cellulose operating segment into three separate businesses: Cellulose Specialties, Cellulose Commodities and Biomaterials. No changes were made to the composition of the Paperboard and High-Yield Pulp operating segments. Prior period segment results have been recast to align with this new segment reporting structure.
Net sales were comprised of the following for the periods presented:
|
Three Months Ended |
||||||||||
(in millions) |
March 29, 2025 |
|
December 31, 2024 |
|
March 30, 2024 |
||||||
Cellulose Specialties |
$ |
201 |
|
|
$ |
241 |
|
$ |
206 |
|
|
Cellulose Commodities |
|
75 |
|
|
|
90 |
|
|
94 |
|
|
Biomaterials |
|
7 |
|
|
|
8 |
|
|
7 |
|
|
Paperboard |
|
49 |
|
|
|
60 |
|
|
53 |
|
|
High-Yield Pulp |
|
31 |
|
|
|
32 |
|
|
34 |
|
|
Eliminations |
|
(7 |
) |
|
|
(9 |
) |
|
|
(6 |
) |
Net sales |
$ |
356 |
|
|
$ |
422 |
|
$ |
388 |
|
|
Operating income (loss) was comprised of the following for the periods presented:
|
Three Months Ended |
||||||||||
(in millions) |
March 29, 2025 |
|
December 31, 2024 |
|
March 30, 2024 |
||||||
Cellulose Specialties |
$ |
31 |
|
|
$ |
45 |
|
|
$ |
38 |
|
Cellulose Commodities |
|
(13 |
) |
|
|
(16 |
) |
|
|
(19 |
) |
Biomaterials |
|
2 |
|
|
|
2 |
|
|
|
2 |
|
Paperboard |
|
(2 |
) |
|
|
4 |
|
|
|
8 |
|
High-Yield Pulp |
|
(7 |
) |
|
|
(8 |
) |
|
|
(1 |
) |
Corporate |
|
(26 |
) |
|
|
(16 |
) |
|
|
(11 |
) |
Operating income (loss) |
$ |
(15 |
) |
|
$ |
11 |
|
|
$ |
17 |
|
Following the indefinite suspension of Temiscaming cellulose operations in the third quarter of 2024, certain infrastructure assets of the site’s cellulose plant continue to run in support of the ongoing energy needs of the Paperboard and High-Yield Pulp operations. As such, beginning in the fourth quarter of 2024, the net impact of the custodial site costs being incurred and the sales of any electricity generated by the running of the cellulose plant assets are reflected within the operating results of the Paperboard and High-Yield Pulp businesses.
Cellulose Specialties
Net sales for the quarter decreased
Operating income for the quarter decreased
Compared to the fourth quarter of 2024, net sales decreased
Cellulose Commodities
Net sales for the quarter decreased
Operating loss for the quarter improved
Compared to the fourth quarter of 2024, net sales decreased
Biomaterials
Net sales and operating income were both flat in the current quarter compared to the prior year quarter. Increased sales from the April 2024 startup of the
Compared to the fourth quarter of 2024, net sales decreased
Paperboard
Net sales for the quarter decreased
Operating results for the quarter declined
Compared to the fourth quarter of 2024, operating results declined
High-Yield Pulp
Net sales for the quarter decreased
Operating loss for the quarter increased
Compared to the fourth quarter of 2024, operating loss improved
Corporate
Operating loss for the quarter increased
Compared to the fourth quarter of 2024, operating loss increased
Non-Operating Income & Expense
Interest expense for the quarter ended March 29, 2025 increased
Unfavorable foreign exchange rates during the quarter ended March 29, 2025 compared to favorable rates in the prior year quarter resulted in a net unfavorable impact of
Income Taxes
The effective tax rate for the quarter ended March 29, 2025 was a benefit of 15 percent. This rate differed from the federal statutory rate of 21 percent primarily due to changes in the valuation allowance on disallowed interest deductions, different statutory tax rates in foreign jurisdictions,
The effective tax rate for the quarter ended March 30, 2024 was a benefit of 30 percent. This rate differed from the federal statutory rate of 21 percent primarily due to the release of certain tax reserves, partially offset by return-to-accrual adjustments, excess deficit on vested stock compensation and changes in the valuation allowance on disallowed interest deductions.
Cash Flows & Liquidity
The Company generated operating cash flows of
The Company used
The Company had
The Company ended the first quarter with
As of March 29, 2025, the Company’s consolidated net secured leverage ratio was 2.9 times covenant EBITDA.
Business Outlook
The Company now projects 2025 Adjusted EBITDA to range between
In October 2023, the Company announced that it was exploring the potential sale of its Paperboard and High-Yield Pulp assets at its Temiscaming site. Given the current global trade uncertainty, the sale process is effectively on hold. The Company continues to focus on operating these businesses and remains committed to pursuing a sale at a fair price when timing and value align.
The following market assessment represents the Company’s current outlook for its operating segments’ future performance.
Cellulose Specialties
Average sales prices for Cellulose Specialties in 2025 are expected to increase by a mid single-digit percentage compared to 2024. Sales volumes are expected to decline by a similar percentage, primarily due to the absence of 2024 bridge volumes following the indefinite suspension of the Temiscaming plant, as well as second-order tariff impacts and accelerated acetate destocking. Demand trends vary across product lines: acetate demand remains soft due to elevated inventories and ongoing destocking in
Overall, EBITDA is expected to approximate
Cellulose Commodities
While overall fluff demand is expected to remain resilient, RYAM fluff products are subject to a 125 percent import tariff into
Overall, EBITDA is expected to approximate negative
Biomaterials
The Company is evaluating investments in new green energy and renewable products to provide both increased end-market diversity and incremental profitability. The Company intends to proceed only with those projects that are expected to meet its investment hurdles: a minimum 30 percent return on equity and a less than two-year payback period for RYAM equity. In the fourth quarter of 2024, the Company secured green capital of
-
The Company’s bioethanol facility in
France is operational since the first quarter of 2024.
-
The Company re-started its lignosulfonate powder plant in
France in the fourth quarter of 2024.
-
The Company continues to pursue an investment in a bioethanol facility in
Fernandina Beach, Florida , similar to its bioethanol facility inFrance . While theCity of Fernandina Beach recently denied the site plan application for this project, the Company believes the City erred in making its determination and is pursuing all available legal remedies. In expectation of a favorable outcome, the Company continues to advance engineering plans and explore potential commercial agreements, driving toward a final investment decision anticipated in 2025 based on current legal timelines.
-
The Company is evaluating investments in crude tall oil facilities in
Jesup, Georgia and Tartas and a prebiotics facility at theJesup plant, and is currently working on permitting, engineering and commercial agreements on these new facilities ahead of making final investment decisions later this year.
-
The Company is a partner in AGE (Altamaha Green Energy, LLC), a start-up entity that aims to utilize renewable forestry waste and other biomass generally discarded as waste to generate green electricity for the
State of Georgia from a new facility to be constructed adjacent to the Company’sJesup plant. Although the project remains in the development phase, AGE is actively evaluating the construction and financing requirements for the new facility, with a final investment decision expected in the third quarter of 2025.
Overall, EBITDA is expected to approximate
Paperboard
Paperboard volumes are expected to increase in 2025, supported by improved certainty around zero-tariff access to the U.S. market due to USMCA compliance, reduced supply from European competitors impacted by tariffs and growing interest from the domestic Canadian market. However, prices are projected to decline year over year. Costs are expected to rise due to higher purchased pulp costs, greater allocation of custodial site costs at the Temiscaming facility and tariff mitigation efforts.
Overall, EBITDA is expected to approximate
High-Yield Pulp
High-Yield Pulp prices and volumes are expected to decline in 2025 due to continued oversupply in the Chinese market. Costs are projected to increase as a result of higher allocation of custodial site costs at the Temiscaming facility.
Overall, EBITDA is expected to approximate negative
Corporate
Corporate costs in 2025 are expected to be higher year over year due to the
Overall, Corporate costs are expected to approximate
Conference Call Information
RYAM will host a conference call and live webcast at 9:00 a.m. ET on Wednesday, May 7, 2025, to discuss these results. Supplemental materials and access to the live audio webcast will be available at www.RYAM.com. A replay of this webcast will be archived on the Company’s website shortly after the call.
Investors may listen to the conference call by dialing 877-407-8293, no passcode required. For international parties, dial 201-689-8349. A replay of the teleconference will be available one hour after the call ends until 6:00 p.m. ET on May 21, 2025. The replay dial-in number within the
About RYAM
RYAM is a global leader of cellulose-based technologies, including cellulose specialties, a natural polymer commonly used in the production of filters, food, pharmaceuticals and other industrial applications. RYAM’s specialized assets, capable of creating the world’s leading cellulose specialties products, are also used to produce commodity fluff pulp, biofuels, bioelectricity and other biomaterials such as bioethanol and tall oils. The Company also manufactures products for the paper and packaging markets. With manufacturing operations in the
Forward-Looking Statements
Certain statements in this document regarding anticipated financial, business, legal or other outcomes, including business and market conditions, outlook and other similar statements relating to future events, developments or financial or operational performance or results, are “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These forward-looking statements are identified by the use of words such as “may,” “will,” “should,” “expect,” “estimate,” “target,” “believe,” “intend,” “plan,” “forecast,” “anticipate,” “guidance” and other similar language. However, the absence of these or similar words or expressions does not mean a statement is not forward-looking. Forward-looking statements are not guarantees of future performance or events and undue reliance should not be placed on these statements. Although we believe the expectations reflected in any forward-looking statements are based on reasonable assumptions, we can give no assurance that these expectations will be attained, and it is possible that actual results may differ materially from those indicated by these forward-looking statements due to various risks and uncertainties. All statements made in this earnings release are made only as of the date set forth at the beginning of this release. The Company undertakes no obligation to update the information made in this release in the event facts or circumstances change after the date of this release. The Company has not filed its Form 10-Q for the quarter ended March 29, 2025. As a result, all financial results described in this earnings release should be considered preliminary, and are subject to change to reflect any necessary adjustments or changes in accounting estimates, that are identified prior to the time the Company files its Form 10-Q.
The Company’s operations are subject to a number of risks and uncertainties, including, but not limited to, those listed below. When considering an investment in the Company’s securities, you should carefully read and consider these risks, together with all other information in the Company’s Annual Report on Form 10-K and other filings and submissions to the SEC, which provide more information and detail on the risks described below. If any of the events described in the following risk factors occur, the Company’s business, financial condition, operating results and cash flows, as well as the market price of the Company’s securities, could be materially adversely affected. These risks and events include, without limitation: Macroeconomic and Industry Risks The Company’s business, financial condition and results of operations could be adversely affected by disruptions in the global economy caused by geopolitical conflicts and related impacts. The businesses the Company operates are highly competitive and many of them are cyclical, which may result in fluctuations in pricing and volume that can materially adversely affect the Company’s business, financial condition, results of operations and cash flows. Changes in the availability and price of raw materials and energy and continued inflationary pressure could have a material adverse effect on the Company’s business, financial condition and results of operations. The Company is subject to material risks associated with doing business outside of
Other important factors that could cause actual results or events to differ materially from those expressed in forward-looking statements that may have been made in this document are described or will be described in the Company’s filings with the
Non-GAAP Financial Measures
This earnings release and the accompanying schedules contain certain non-GAAP financial measures, including EBITDA, adjusted EBITDA, adjusted free cash flow, adjusted net income, adjusted net debt and net secured debt. The Company believes these non-GAAP financial measures provide useful information to its Board of Directors, management and investors regarding its financial condition and results of operations. Management uses these non-GAAP financial measures to compare its performance to that of prior periods for trend analyses, to determine management incentive compensation and for budgeting, forecasting and planning purposes.
The Company does not consider these non-GAAP financial measures an alternative to financial measures determined in accordance with GAAP. The principal limitation of these non-GAAP financial measures is that they may exclude significant expense and income items that are required by GAAP to be recognized in the consolidated financial statements. In addition, they reflect the exercise of management’s judgment about which expense and income items are excluded or included in determining these non-GAAP financial measures. In order to compensate for these limitations, reconciliations of the non-GAAP financial measures to their most directly comparable GAAP financial measures are provided below. Non-GAAP financial measures are not necessarily indicative of results that may be generated in future periods and should not be relied upon, in whole or part, in evaluating the financial condition, results of operations or future prospects of the Company.
Rayonier Advanced Materials Inc. |
|||||||||||
Condensed Consolidated Statements of Operations |
|||||||||||
(Unaudited) |
|||||||||||
(in millions, except share and per share information) |
|||||||||||
|
Three Months Ended |
||||||||||
|
March 29, 2025 |
|
December 31, 2024 |
|
March 30, 2024 |
||||||
Net sales |
$ |
356 |
|
|
$ |
422 |
|
|
$ |
388 |
|
Cost of sales |
|
(332 |
) |
|
|
(385 |
) |
|
|
(351 |
) |
Gross margin |
|
24 |
|
|
|
37 |
|
|
|
37 |
|
Selling, general and administrative expense |
|
(23 |
) |
|
|
(26 |
) |
|
|
(21 |
) |
Foreign exchange gain (loss) |
|
(1 |
) |
|
|
6 |
|
|
|
3 |
|
Indefinite suspension charges |
|
— |
|
|
|
(3 |
) |
|
|
— |
|
Other operating expense, net |
|
(15 |
) |
|
|
(3 |
) |
|
|
(2 |
) |
Operating income (loss) |
|
(15 |
) |
|
|
11 |
|
|
|
17 |
|
Interest expense |
|
(24 |
) |
|
|
(24 |
) |
|
|
(21 |
) |
Debt refinancing charges |
|
— |
|
|
|
(10 |
) |
|
|
— |
|
Other income, net |
|
2 |
|
|
|
4 |
|
|
|
2 |
|
Loss before income tax |
|
(37 |
) |
|
|
(19 |
) |
|
|
(2 |
) |
Income tax benefit |
|
5 |
|
|
|
3 |
|
|
|
— |
|
Net loss |
|
(32 |
) |
|
|
(16 |
) |
|
|
(2 |
) |
Net income attributable to redeemable noncontrolling interest |
|
— |
|
|
|
— |
|
|
|
— |
|
Net loss attributable to RYAM |
$ |
(32 |
) |
|
$ |
(16 |
) |
|
$ |
(2 |
) |
|
|
|
|
|
|
||||||
Basic and Diluted earnings per common share |
|
|
|
|
|
||||||
Net loss per common share |
$ |
(0.49 |
) |
|
$ |
(0.25 |
) |
|
$ |
(0.02 |
) |
|
|
|
|
|
|
||||||
Weighted average shares used in determining Basic and Diluted EPS |
|
66,216,983 |
|
|
|
65,929,272 |
|
|
|
65,447,454 |
|
Rayonier Advanced Materials Inc. |
|||||
Condensed Consolidated Balance Sheets |
|||||
(Unaudited) |
|||||
(in millions) |
|||||
|
March 29, 2025 |
|
December 31, 2024 |
||
Assets |
|
|
|
||
Cash and cash equivalents |
$ |
130 |
|
$ |
125 |
Other current assets |
|
443 |
|
|
476 |
Property, plant and equipment, net |
|
1,031 |
|
|
1,019 |
Other assets |
|
514 |
|
|
510 |
Total assets |
$ |
2,118 |
|
$ |
2,130 |
|
|
|
|
||
Liabilities, Redeemable Noncontrolling Interest and Stockholders’ Equity |
|
|
|
||
Debt due within one year |
$ |
29 |
|
$ |
24 |
Other current liabilities |
|
376 |
|
|
376 |
Long-term debt |
|
707 |
|
|
706 |
Non-current environmental liabilities |
|
172 |
|
|
160 |
Other liabilities |
|
135 |
|
|
139 |
Redeemable noncontrolling interest |
|
11 |
|
|
11 |
Total stockholders’ equity |
|
688 |
|
|
714 |
Total liabilities, redeemable noncontrolling interest and stockholders’ equity |
$ |
2,118 |
|
$ |
2,130 |
Rayonier Advanced Materials Inc. |
|||||||
Condensed Consolidated Statements of Cash Flows |
|||||||
(Unaudited) |
|||||||
(in millions) |
|||||||
|
Three Months Ended |
||||||
|
March 29, 2025 |
|
March 30, 2024 |
||||
Operating Activities |
|
|
|
||||
Net loss |
$ |
(32 |
) |
|
$ |
(2 |
) |
Adjustments to reconcile net loss to cash provided by operating activities: |
|
|
|
||||
Depreciation and amortization |
|
31 |
|
|
|
34 |
|
Changes in working capital and other assets and liabilities |
|
31 |
|
|
|
(21 |
) |
Other |
|
10 |
|
|
|
1 |
|
Cash provided by operating activities |
|
40 |
|
|
|
12 |
|
|
|
|
|
||||
Investing Activities |
|
|
|
||||
Capital expenditures, net of proceeds |
|
(38 |
) |
|
|
(33 |
) |
Cash used in investing activities |
|
(38 |
) |
|
|
(33 |
) |
|
|
|
|
||||
Financing Activities |
|
|
|
||||
Changes in debt principal balance |
|
2 |
|
|
|
3 |
|
Other |
|
(3 |
) |
|
|
(2 |
) |
Cash provided by (used in) financing activities |
|
(1 |
) |
|
|
1 |
|
|
|
|
|
||||
Net increase (decrease) in cash and cash equivalents |
|
1 |
|
|
|
(20 |
) |
Net effect of foreign exchange on cash and cash equivalents |
|
4 |
|
|
|
(1 |
) |
Balance, beginning of period |
|
125 |
|
|
|
76 |
|
Balance, end of period |
$ |
130 |
|
|
$ |
55 |
|
Rayonier Advanced Materials Inc. |
||||||||
Sales Volumes and Average Prices |
||||||||
(Unaudited) |
||||||||
|
Three Months Ended |
|||||||
|
March 29, 2025 |
|
December 31, 2024 |
|
March 30, 2024 |
|||
Average Sales Prices ($ per metric ton) |
||||||||
Cellulose Specialties |
$ |
1,750 |
|
$ |
1,732 |
|
$ |
1,724 |
Cellulose Commodities |
$ |
863 |
|
$ |
807 |
|
$ |
842 |
Paperboard |
$ |
1,321 |
|
$ |
1,394 |
|
$ |
1,382 |
High-Yield Pulp (external sales) |
$ |
518 |
|
$ |
523 |
|
$ |
559 |
|
|
|
|
|
|
|||
Sales Volumes (‘000s of metric tons) |
||||||||
Cellulose Specialties |
|
111 |
|
|
134 |
|
|
113 |
Cellulose Commodities |
|
84 |
|
|
109 |
|
|
106 |
Paperboard |
|
37 |
|
|
43 |
|
|
38 |
High-Yield Pulp (external sales) |
|
48 |
|
|
49 |
|
|
50 |
Rayonier Advanced Materials Inc. |
|||||||||||||||||||||||||||
Reconciliation of Non-GAAP Measures |
|||||||||||||||||||||||||||
(Unaudited) |
|||||||||||||||||||||||||||
(in millions) |
|||||||||||||||||||||||||||
EBITDA and Adjusted EBITDA by Segment(a) |
|||||||||||||||||||||||||||
|
Three Months Ended March 29, 2025 |
||||||||||||||||||||||||||
(in millions) |
Cellulose Specialties |
|
Cellulose Commodities |
|
Biomaterials |
|
Paperboard |
|
High-Yield Pulp |
|
Corporate |
|
Total |
||||||||||||||
Net income (loss) |
$ |
31 |
|
|
$ |
(12 |
) |
|
$ |
1 |
|
|
$ |
(1 |
) |
|
$ |
(7 |
) |
|
$ |
(44 |
) |
|
$ |
(32 |
) |
Net income attributable to redeemable noncontrolling interest |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income (loss) attributable to RYAM |
|
31 |
|
|
(12 |
) |
|
|
1 |
|
|
|
(1 |
) |
|
|
(7 |
) |
|
|
(44 |
) |
|
|
(32 |
) |
|
Depreciation and amortization |
|
15 |
|
|
|
10 |
|
|
|
1 |
|
|
|
5 |
|
|
|
1 |
|
|
|
(1 |
) |
|
|
31 |
|
Interest expense, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
23 |
|
|
|
23 |
|
Income tax expense |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(5 |
) |
|
|
(5 |
) |
EBITDA attributable to RYAM |
|
46 |
|
|
|
(2 |
) |
|
|
2 |
|
|
|
4 |
|
|
|
(6 |
) |
|
|
(27 |
) |
|
|
17 |
|
Indefinite suspension charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted EBITDA attributable to RYAM |
$ |
46 |
|
|
$ |
(2 |
) |
|
$ |
2 |
|
|
$ |
4 |
|
|
$ |
(6 |
) |
|
$ |
(27 |
) |
|
$ |
17 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
Three Months Ended December 31, 2024 |
||||||||||||||||||||||||||
|
Cellulose Specialties |
|
Cellulose Commodities |
|
Biomaterials |
|
Paperboard |
|
High-Yield Pulp |
|
Corporate |
|
Total |
||||||||||||||
Income (loss) from continuing operations |
$ |
44 |
|
|
$ |
(16 |
) |
|
$ |
3 |
|
|
$ |
5 |
|
|
$ |
(8 |
) |
|
$ |
(44 |
) |
|
$ |
(16 |
) |
Income from continuing operations attributable to redeemable noncontrolling interest |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Income (loss) from continuing operations attributable to RYAM |
|
44 |
|
|
|
(16 |
) |
|
|
3 |
|
|
|
5 |
|
|
|
(8 |
) |
|
|
(44 |
) |
|
|
(16 |
) |
Depreciation and amortization |
|
18 |
|
|
|
10 |
|
|
|
— |
|
|
|
5 |
|
|
|
— |
|
|
|
1 |
|
|
|
34 |
|
Interest expense, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
23 |
|
|
|
23 |
|
Income tax benefit |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(3 |
) |
|
|
(3 |
) |
EBITDA-continuing operations attributable to RYAM |
|
62 |
|
|
|
(6 |
) |
|
|
3 |
|
|
|
10 |
|
|
|
(8 |
) |
|
|
(23 |
) |
|
|
38 |
|
Indefinite suspension charges |
|
— |
|
|
|
3 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3 |
|
Debt refinancing charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
10 |
|
|
|
10 |
|
Adjusted EBITDA-continuing operations attributable to RYAM |
$ |
62 |
|
|
$ |
(3 |
) |
|
$ |
3 |
|
|
$ |
10 |
|
|
$ |
(8 |
) |
|
$ |
(13 |
) |
|
$ |
51 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
|
Three Months Ended March 30, 2024 |
||||||||||||||||||||||||||
|
Cellulose Specialties |
|
Cellulose Commodities |
|
Biomaterials |
|
Paperboard |
|
High-Yield Pulp |
|
Corporate |
|
Total |
||||||||||||||
Net income (loss) |
$ |
38 |
|
|
$ |
(19 |
) |
|
$ |
2 |
|
|
$ |
8 |
|
|
$ |
(1 |
) |
|
$ |
(30 |
) |
|
$ |
(2 |
) |
Net income attributable to redeemable noncontrolling interest |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income (loss) attributable to RYAM |
|
38 |
|
|
|
(19 |
) |
|
|
2 |
|
|
|
8 |
|
|
|
(1 |
) |
|
|
(30 |
) |
|
|
(2 |
) |
Depreciation and amortization |
|
17 |
|
|
|
12 |
|
|
|
— |
|
|
|
4 |
|
|
|
1 |
|
|
|
— |
|
|
|
34 |
|
Interest expense, net |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
20 |
|
|
|
20 |
|
Income tax benefit |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
EBITDA and Adjusted EBITDA attributable to RYAM |
$ |
55 |
|
$ |
(7 |
) |
|
$ |
2 |
|
$ |
12 |
|
|
$ |
— |
|
|
$ |
(10 |
) |
|
$ |
52 |
|
||
|
Annual Guidance |
||||||
|
2025 |
||||||
|
Low |
|
High |
||||
Loss from continuing operations attributable to RYAM |
$ |
(34 |
) |
|
$ |
(24 |
) |
Depreciation and amortization |
|
125 |
|
|
|
125 |
|
Interest expense, net |
|
93 |
|
|
|
93 |
|
Income tax benefit(b) |
|
(9 |
) |
|
|
(9 |
) |
EBITDA & Adjusted EBITDA-continuing operations attributable to RYAM |
$ |
175 |
|
|
$ |
185 |
|
| _____________________________ | ||
| (a) | EBITDA is defined as net income (loss) before interest, taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA adjusted for items that management believes are not representative of core operations. EBITDA and Adjusted EBITDA are non-GAAP measures used by management, existing stockholders and potential stockholders to measure how the Company is performing relative to the assets under management. |
|
| (b) | Estimated using the statutory rates of each jurisdiction and ignoring all permanent book-to-tax differences. |
|
Adjusted Free Cash Flow(a) |
|||||||
|
Three Months Ended |
||||||
|
March 29, 2025 |
|
March 30, 2024 |
||||
Cash provided by operating activities |
$ |
40 |
|
|
$ |
12 |
|
Capital expenditures, net |
|
(30 |
) |
|
|
(28 |
) |
Adjusted free cash flow |
$ |
10 |
|
|
$ |
(16 |
) |
|
Annual Guidance |
||||||
|
2025 |
||||||
|
Low |
|
High |
||||
Cash provided by operating activities |
$ |
90 |
|
|
$ |
100 |
|
Capital expenditures, net |
|
(85 |
) |
|
|
(85 |
) |
Adjusted free cash flow |
$ |
5 |
|
|
$ |
15 |
|
| _____________________________ | ||
| (a) | Adjusted free cash flow is defined as cash provided by (used in) operating activities adjusted for capital expenditures, net of proceeds from the sale of assets and excluding strategic capital expenditures. Adjusted free cash flow is a non-GAAP measure of cash generated during a period that is available for dividend distribution, debt reduction, strategic acquisitions and repurchase of the Company’s common stock. |
|
Adjusted Net Debt and Net Secured Debt(a) |
|||||||
|
March 29, 2025 |
|
December 31, 2024 |
||||
Debt due within one year |
$ |
29 |
|
|
$ |
24 |
|
Long-term debt |
|
707 |
|
|
|
706 |
|
Total debt |
|
736 |
|
|
|
730 |
|
Unamortized premium, discount and issuance costs |
|
47 |
|
|
|
48 |
|
Cash and cash equivalents |
|
(130 |
) |
|
|
(125 |
) |
Adjusted net debt |
|
653 |
|
|
|
653 |
|
Unsecured debt |
|
(29 |
) |
|
|
(28 |
) |
Net secured debt |
$ |
624 |
|
|
$ |
625 |
|
| _____________________________ | ||
| (a) | Adjusted net debt is defined as the amount of debt after the consideration of debt premium, discount and issuance costs, less cash. Net secured debt is defined as adjusted net debt less unsecured debt. |
|
Adjusted Net Income (Loss)(a) |
|||||||||||||||||||||||
|
Three Months Ended |
||||||||||||||||||||||
|
March 29, 2025 |
|
December 31, 2024 |
|
March 30, 2024 |
||||||||||||||||||
|
$ |
|
Per Diluted Share |
|
$ |
|
Per Diluted Share |
|
$ |
|
Per Diluted Share |
||||||||||||
Net loss |
$ |
(32 |
) |
|
$ |
(0.49 |
) |
|
$ |
(16 |
) |
|
$ |
(0.25 |
) |
|
$ |
(2 |
) |
|
$ |
(0.02 |
) |
Indefinite suspension charges |
|
— |
|
|
|
— |
|
|
|
3 |
|
|
|
0.03 |
|
|
|
— |
|
|
|
— |
|
Debt refinancing charges |
|
— |
|
|
|
— |
|
|
|
10 |
|
|
|
0.16 |
|
|
|
— |
|
|
|
— |
|
Tax effect of adjustments |
|
— |
|
|
|
— |
|
|
|
(3 |
) |
|
|
(0.04 |
) |
|
|
— |
|
|
|
— |
|
Adjusted net loss |
$ |
(32 |
) |
|
$ |
(0.49 |
) |
|
$ |
(6 |
) |
|
$ |
(0.10 |
) |
|
$ |
(2 |
) |
|
$ |
(0.02 |
) |
| _____________________________ | ||
| (a) | Adjusted net income (loss) is defined as net income (loss) adjusted net of tax for items that management believes are not representative of core operations. |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20250506236435/en/
Media: Ryan Houck, 904-357-9134
Investors: Mickey Walsh, 904-357-9162
Source: Rayonier Advanced Materials Inc.
