Magnera (NYSE: MAGN) trims quarterly loss as cash flow and EBITDA improve
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Magnera Corporation reported second quarter results for the quarter ended March 28, 2026. Net sales were $796 million, down from $824 million, a 3% decline driven by a $57 million decrease in selling prices and a 2% organic volume decline, partly offset by $48 million of favorable foreign currency. Operating income improved to $17 million from $4 million, while the company recorded a net loss of $18 million versus a $41 million loss a year earlier.
On an adjusted non-GAAP basis, Adjusted EBITDA was $90 million, up 1% from $89 million, supported by a $2 million favorable price-cost spread and a $2 million foreign currency benefit. Year-to-date net sales were $1,588 million compared with $1,526 million, and year-to-date Adjusted EBITDA rose to $183 million from $173 million.
Cash generation strengthened notably. Net cash from operating activities for the first two quarters was $89 million, up from $7 million, leading to free cash flow of $60 million. Cash and cash equivalents were $303 million and current and long-term debt totaled $1,899 million, with stockholders’ equity of $1,039 million. The company will host a conference call on May 7, 2026, to discuss these results.
Positive
- Operating improvement and cash surge: Net loss narrowed from $41 million to $18 million, while net cash from operating activities for the year-to-date period jumped to $89 million from $7 million, yielding $60 million in free cash flow despite lower net sales.
Negative
- Continued losses and high leverage: The company remains unprofitable with a year-to-date net loss of $52 million and carries $1,899 million of current and long-term debt, a substantial obligation relative to $1,039 million of stockholders’ equity.
Insights
Magnera shows modest profit improvement and strong cash generation despite lower sales.
Magnera delivered quarterly net sales of $796 million, down 3%, but lifted operating income to $17 million from $4 million. Net loss narrowed to $18 million, while Adjusted EBITDA inched up 1% to $90 million, indicating better underlying profitability.
Cash performance was notably stronger. Net cash from operating activities over the two-quarter period rose to $89 million from $7 million, producing $60 million of free cash flow after $29 million of capital spending. This helped keep cash at $303 million even as the business invested in property, plant and equipment.
The balance sheet still carries substantial leverage, with current and long-term debt of $1,899 million against stockholders’ equity of $1,039 million. Future disclosures in company reports will show how consistently the company can sustain higher cash flow while managing this debt load.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Quarterly net sales: $796 million
Quarterly operating income: $17 million
Quarterly net income (loss): $(18) million
+5 more
8 metrics
Quarterly net sales
$796 million
Quarter ended March 28, 2026; down from $824 million in 2025
Quarterly operating income
$17 million
Quarter ended March 28, 2026; up from $4 million in 2025
Quarterly net income (loss)
$(18) million
Quarter ended March 28, 2026; improved from $(41) million
Quarterly Adjusted EBITDA
$90 million
Quarter ended March 28, 2026; up 1% from $89 million
Year-to-date net sales
$1,588 million
Two quarters ended March 28, 2026; vs. $1,526 million
Year-to-date net cash from operations
$89 million
Two quarters ended March 28, 2026; vs. $7 million prior year
Year-to-date free cash flow
$60 million
Two quarters ended March 28, 2026; after $29 million capex
Debt and equity balances
$1,899 million debt; $1,039 million equity
Balance sheet as of March 28, 2026
Key Terms
Adjusted EBITDA, free cash flow, hyperinflation, Non-GAAP financial measures, +2 more
6 terms
Adjusted EBITDA financial
"Adjusted EBITDA (1) | | | 90 | | | | 89 |"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
free cash flow financial
"Non-U.S. GAAP Free Cash Flow: | | | | | | | | Net cash from operating activities | | | 89"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
hyperinflation financial
"Argentina hyperinflation | | | 3 | | | | - |"
A sustained episode when consumer prices soar so quickly that money loses its purchasing power rapidly, often overnight or month-to-month. Investors care because savings, bond returns and company earnings get distorted — like watching cash melt away — so asset values, interest rates and business forecasts can swing wildly and require different strategies to protect capital and preserve real returns.
Non-GAAP financial measures financial
"This press release includes non-GAAP financial measures including, but not limited to, Adjusted EBITDA, free cash flow, and comparable basis net sales"
Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.
forward-looking statements regulatory
"This document contains certain statements that are “forward-looking” statements within the meaning of the federal securities laws"
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.
business combination financial
"synergies expected to be achieved in connection with our business combination with a subsidiary of Berry Global Group, Inc."
A business combination happens when two or more companies join together to operate as one, like two friends merging their teams into a single group. This is important because it can change how companies grow, compete, and make money, often making them bigger and more powerful in the market.
Earnings Snapshot
Net sales (quarter): $796 million
Quarter and two quarters ended March 28, 2026
Net sales (quarter)
$796 million
-3% vs prior-year comparable
Adjusted EBITDA (quarter)
$90 million
+1% vs prior-year comparable
Net income (loss) (quarter)
$(18) million
improved from $(41) million
Net sales (year-to-date)
$1,588 million
+4% vs prior-year comparable
Adjusted EBITDA (year-to-date)
$183 million
+6% vs prior-year comparable
Free cash flow (year-to-date)
$60 million
derived from $89 million operating cash and $(29) million capex
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
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Date of Report (Date of Earliest Event Reported):
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(Address of principal executive offices)
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(Zip Code)
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Registrant’s telephone number, including area code:
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(N/A)
Former name or former address, if changed since last report
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Securities registered pursuant to Section 12(b) of the Act:
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Title of each class
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Trading
Symbol(s)
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Name of each exchange on which registered
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Indicate by check mark whether the registrant is an emerging growth company in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this
chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new
or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 2.02 |
Results of Operations and Financial Condition.
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On May 7, 2026, the Company reported its results of operations for the quarter ended March 28, 2026. A copy of the press release issued
by the Company is furnished herewith as Exhibit 99.1.
| Item 9.01 |
Financial Statements and Exhibits.
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d) Exhibits.
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99.1
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Press release issued May 7, 2026.
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104
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Cover Page Interactive Data File (embedded within the Inline XBRL document).
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The information furnished in this Current Report on Form 8-K and Exhibit 99.1 attached hereto shall not be deemed “filed” for purposes of Section 18 of
the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
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Magnera Corporation
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May 7, 2026
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By:
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/s/ James M. Till
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James M. Till
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Chief Financial Officer
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Exhibit 99.1
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News Release |
Magnera Reports Second Quarter
Second Quarter Highlights
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•
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GAAP: Net sales of $796 million, Operating income of $17 million
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•
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Non-GAAP: Adjusted EBITDA of $90 million
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•
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Free cash flow $73 million, representing a twelve-month adjusted free cash flow yield of over 40% as of quarter-end
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Curt Begle, Magnera’s CEO, commented: “Magnera delivered a solid second quarter in line with our expectations as we remain steadfast during this time of significant global uncertainty to deliver on our full-year 2026 Adjusted EBITDA
and free cash flow guidance.
We made $36 million in debt repayments during the quarter and generated $73 million of free cash flow demonstrating our disciplined focus on operational excellence, capex deployment, and working capital improvement initiatives.
Since the start-up of Magnera, we have demonstrated the resiliency of our business against an on-going challenging global macro environment. Our strategic focus remains centered on the pillars of cost optimization, portfolio
differentiation, and commercial excellence. Our disciplined commitment to these priorities will continue to position Magnera to deliver growth in long-term shareholder value.”
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Key Financials
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March Quarter
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March YTD
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GAAP results
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2026
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2025
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2026
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2025
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||||||||||||
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Net sales
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$
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796
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$
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824
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$
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1,588
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$
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1,526
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||||||||
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Operating income
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17
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4
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31
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(18
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)
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March Quarter
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Reported
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Comparable(1)
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March YTD
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Reported
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Comparable(1)
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Adjusted non-GAAP results
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2026
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2025
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 % |
% |
2026
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2025
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% |
% |
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Net sales
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$
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796
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$
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824
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(3
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%)
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(9
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%)
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$
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1,588
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$
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1,526
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4
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%
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(8
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%)
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||||||||||||||||
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Adjusted EBITDA (1)
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90
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89
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1
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%
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(1
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%)
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183
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173
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6
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%
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(1
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%)
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(1)
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Adjusted non-GAAP results exclude items not considered to be ongoing operations. In addition, comparable change % normalizes the impacts of foreign currency and the merger with
Glatfelter. Further details related to non-GAAP measures and reconciliations can be found under “Reconciliation of Non-GAAP Financial Measures and Estimates” section or in reconciliation tables in this release. Dollars in millions
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The net sales decline included a $57 million decrease in selling prices primarily due to product mix and pass-through of lower raw material costs and a 2% organic volume decline partially
offset by favorable foreign currency changes of $48 million. The volume decline was primarily attributed to winter storm disruptions in North America and general market softness in Europe.
The adjusted EBITDA was up 1% as a result of favorable price cost spread of $2 million and a $2 million favorable benefit from foreign currency changes were partially offset by lower volumes.
Page | 1
Americas
The net sales decline included a $42 million decrease in selling prices primarily due to product mix, pass-through of lower raw material costs and a 1% organic volume decline. The volume
decline was primarily attributed to winter storm disruptions in North America.
The adjusted EBITDA decline was primarily a result of unfavorable price cost spread of $5 million.
Rest of World
The net sales increase included a favorable foreign currency change of $37 million partially offset by a $15 million decrease in selling prices primarily due to product mix, pass-through of
lower raw material costs and a 4% organic volume decline. The volume decline was primarily attributed to general market softness in Europe.
The adjusted EBITDA increase was primarily a result of favorable price cost spread of $7 million as the result of synergy realization and mix improvement and a $2 million favorable benefit from foreign currency changes
partially offset by softer volumes.
Investor Conference Call
The Company will host a conference call, May 7, 2026, at 10:00 AM U.S. Eastern Time to discuss the March 2026 quarter results. The webcast can be accessed here. A replay
of the webcast will be available via the same link on the Company’s website after the completion of the call.
By Telephone
Participants may register for the call here now or any time up to and during the time of the call and will immediately receive the dial-in number and a unique pin to access the call. While you may register at any time up to and during the time
of the call, you are encouraged to join the call 15 minutes prior to the start of the event.
About Magnera
Magnera Corporation (NYSE: MAGN) serves 1,000+ customers worldwide, offering a wide range of material solutions, including components for absorbent hygiene products, protective apparel, wipes, specialty building and construction products, and
products serving the food and beverage industry. Operating across 45 global facilities, Magnera is supported by approximately 8,000 employees. Magnera’s purpose is to better the world with new possibilities made real. For more than 160 years, the
Company has delivered the material solutions their partners need to thrive. Through economic upheaval, global pandemics and changing end-user needs, we have consistently found ways to solve problems and exceed expectations. The distinct scale and
comprehensive portfolio of products brings customers more materials and choices. Magnera builds personal partnerships that withstand an ever-changing world.
Visit Magnera.com for more information and follow @MagneraCorporation on social platforms.
Non-GAAP Financial Measures and Estimates
This press release includes non-GAAP financial measures including, but not limited to, Adjusted EBITDA, free cash flow, and comparable basis net sales and adjusted EBITDA. A reconciliation of these non-GAAP financial measures to comparable
measures determined in accordance with accounting principles generally accepted in the United States of America (GAAP) is set forth at the end of this press release. Information reconciling forward-looking adjusted EBITDA and adjusted free cash
flow are not provided because such information is not available without unreasonable effort due to high variability, complexity, and low visibility with respect to certain items, including debt refinancing activity or other non-comparable items.
These items are uncertain, depend on various factors, and could be material to our results computed in accordance with U.S. GAAP.
Forward Looking Statements
This document contains certain statements that are “forward-looking” statements within the meaning of the federal securities laws and are presented pursuant to the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995. Such “forward-looking” statements include, but are not limited to, statements with respect to our future financial performance and condition, results of operations and business, our expectations or beliefs
concerning future events, plans, objectives, expectations and intentions, and other statements that are not historical facts. These statements may contain words such as “believes,” “expects,” “may,” “will,” “should,” “would,” “could,” “seeks,”
“approximately,” “intends,” “plans,” “estimates,” “projects,” “outlook,” “guidance,” “anticipates” or “looking forward” or similar expressions. In addition, we, through our senior management, from time to time make forward-looking public statements
concerning our expected future operations and performance and other developments. These forward-looking statements are based upon the current beliefs and expectations of the management of Magnera and are subject to risks and uncertainties that may
change at any time. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Although it is not possible to identify all of these risks and
uncertainties, they include, among others, the following: global economic conditions; inflation; the cost and availability of raw materials and energy; disruption of our supply chain; the adverse impact of weather events on our facilities,
inventory and suppliers, as well as adverse effects on our customers, suppliers and other business partners; the effect of competition on our business; our inability to integrate future acquired companies or to realized expected operating
synergies; synergies expected to be achieved in connection with our business combination with a subsidiary of Berry Global Group, Inc.; our inability to retain our officers and employees or the occurrence of labor disputes; disruption of our
information technology systems, including as a result of a cyber breach; risks associated with operating internationally, including fluctuating exchange rates, tariffs, differing tax laws and regulation; litigation and regulatory investigations;
and disputes related to intellectual property used in our business. Additional information regarding these risks and uncertainties and other risks applicable to our business are described in additional detail in our reports filed with the
Securities and Exchange Commission (the “SEC”), including our Annual Report on Form 10-K for the fiscal year ended September 27, 2025, and other filings that we make with the SEC. These risk factors may not contain all of the material factors that
are important to you. New factors may emerge from time to time, and it is not possible to either predict new factors or assess the potential effect of any such new factors. Accordingly, readers should not place undue reliance on those statements.
All forward-looking statements are made as of the date hereof, and we undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by
law.
Page | 2
Consolidated and Combined Statements of Operations (Unaudited)
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Quarterly Period Ended
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Two Quarterly Periods Ended
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|||||||||||||||
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(in millions, except per share amounts)
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March 28, 2026
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March 29, 2025
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March 28, 2026
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March 29, 2025
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||||||||||||
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Net sales
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$
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796
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$
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824
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$
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1,588
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$
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1,526
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||||||||
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Cost of goods sold
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701
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736
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1,396
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1,367
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||||||||||||
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Selling, general and administrative
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50
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47
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100
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94
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||||||||||||
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Amortization of intangibles
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12
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14
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23
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28
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||||||||||||
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Restructuring and other activities
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16
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23
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38
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55
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||||||||||||
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Operating income (loss)
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17
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4
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31
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(18
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)
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|||||||||||
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Other expense (income)
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(1
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)
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5
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2
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26
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|||||||||||
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Interest expense
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35
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39
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75
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65
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||||||||||||
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Income (loss) before income taxes
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(17
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)
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(40
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)
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(46
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)
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(109
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)
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||||||||
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Income tax (benefit) expense
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1
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1
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6
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(8
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)
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|||||||||||
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Net income (loss)
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$
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(18
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)
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$
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(41
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)
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$
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(52
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)
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$
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(101
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)
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||||
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Basic and diluted net income per share
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$
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(0.50
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)
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$
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(1.15
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)
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$
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(1.45
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)
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$
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(2.85
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)
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||||
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Outstanding weighted average shares
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||||||||||||||||
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Basic and diluted
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35.9
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35.6
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35.8
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35.5
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||||||||||||
Page | 3
Condensed Consolidated and Combined Statements of Cash Flows (Unaudited)
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Two Quarterly Periods Ended
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||||||||
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(in millions)
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March 28, 2026
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March 29, 2025
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||||||
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Net cash from operating activities
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89
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7
|
||||||
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Cash flows from investing activities:
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||||||||
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Additions to property, plant, and equipment, net
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(29
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)
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(39
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)
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||||
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Cash acquired from GLT acquisition
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-
|
37
|
||||||
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Other investing activities
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-
|
22
|
||||||
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Net cash from (used in) investing activities
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(29
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)
|
20
|
|||||
|
Cash flows from financing activities:
|
||||||||
|
Proceeds from long-term borrowings
|
-
|
1,556
|
||||||
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Repayments on long-term borrowings
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(63
|
)
|
(432
|
)
|
||||
|
Transfers from Berry, net
|
-
|
34
|
||||||
|
Cash distribution to Berry
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-
|
(1,111
|
)
|
|||||
|
Debt fees and other, net
|
-
|
(15
|
)
|
|||||
|
Net cash from financing activities
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(63
|
)
|
32
|
|||||
|
Effect of currency translation on cash
|
1
|
(7
|
)
|
|||||
|
Net change in cash and cash equivalents
|
(2
|
)
|
52
|
|||||
|
Cash and cash equivalents at beginning of period
|
305
|
230
|
||||||
|
Cash and cash equivalents at end of period
|
$
|
303
|
$
|
282
|
||||
|
Non-U.S. GAAP Free Cash Flow:
|
||||||||
|
Net cash from operating activities
|
89
|
|||||||
|
Additions to property, plant, and equipment, net
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(29
|
)
|
||||||
|
Free Cash Flow
|
60 |
|||||||
Condensed Consolidated and Combined Balance Sheets (unaudited)
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(in millions of dollars)
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March 28, 2026
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September 27, 2025
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||||||
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Cash and cash equivalents
|
$
|
303
|
$
|
305
|
||||
|
Accounts receivable
|
536
|
522
|
||||||
|
Inventories
|
472
|
474
|
||||||
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Other current assets
|
96
|
122
|
||||||
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Property, plant, and equipment
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1,424
|
1,476
|
||||||
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Goodwill, intangible assets, and other long-term assets
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1,065
|
1,090
|
||||||
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Total assets
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$
|
3,896
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$
|
3,989
|
||||
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Current liabilities, excluding current debt
|
605
|
601
|
||||||
|
Current and long-term debt
|
1,899
|
1,952
|
||||||
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Other long-term liabilities
|
353
|
372
|
||||||
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Stockholders’ equity
|
1,039
|
1,064
|
||||||
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Total liabilities and stockholders' equity
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$
|
3,896
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$
|
3,989
|
||||
Page | 4
Reconciliation of Non-GAAP Measures and Estimates
(in millions of dollars)
Reconciliation of Net sales and Adjusted EBITDA on a supplemental comparable basis by segment
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Quarterly Period ended March 28, 2026
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Quarterly Period ended March 29, 2025
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Americas
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Rest of World
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Total
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Americas
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Rest of World
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Total
|
|||||||||||||||||||||||
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Net sales
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$
|
437
|
$
|
359
|
$
|
796
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$
|
473
|
$
|
351
|
$
|
824
|
||||||||||||||||
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Constant FX rates
|
11
|
37
|
48
|
|||||||||||||||||||||||||
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Comparable net sales (1)(6)
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$
|
437
|
$
|
359
|
$
|
796
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$
|
484
|
$
|
388
|
$
|
872
|
||||||||||||||||
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Operating Income
|
$
|
8
|
$
|
9
|
$
|
17
|
$
|
8
|
$
|
(4
|
)
|
$
|
4
|
|||||||||||||||
|
Depreciation and amortization
|
34
|
17
|
51
|
39
|
19
|
58
|
||||||||||||||||||||||
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Integration, business consolidation and other activities
|
13
|
4
|
17
|
14
|
5
|
19
|
||||||||||||||||||||||
|
Other non-cash charges (5)
|
3
|
2
|
5
|
3
|
5
|
8
|
||||||||||||||||||||||
|
Adjusted EBITDA (1)
|
$
|
58
|
$
|
32
|
$
|
90
|
$
|
64
|
$
|
25
|
$
|
89
|
||||||||||||||||
|
Constant FX rates
|
-
|
2
|
2
|
|||||||||||||||||||||||||
|
Comparable Adjusted EBITDA (1)(6)
|
$
|
58
|
$
|
32
|
$
|
90
|
$
|
64
|
$
|
27
|
$
|
91
|
||||||||||||||||
|
% vs. prior year comparable
|
(9
|
%)
|
19
|
%
|
(1
|
%)
|
||||||||||||||||||||||
|
Two Quarterly Periods ended March 28, 2026
|
Two Quarterly Periods ended March 29, 2025
|
|||||||||||||||||||||||||||
|
Americas
|
Rest of World
|
Total
|
Americas
|
Rest of World
|
Total
|
LTM
|
||||||||||||||||||||||
|
Net sales
|
$
|
877
|
$
|
711
|
$
|
1,588
|
$
|
893
|
$
|
633
|
$
|
1,526
|
||||||||||||||||
|
Constant FX rates
|
19
|
65
|
84
|
|||||||||||||||||||||||||
|
GLT prior year
|
42
|
70
|
112
|
|||||||||||||||||||||||||
|
Comparable net sales (1)(6)
|
$
|
877
|
$
|
711
|
$
|
1,588
|
$
|
954
|
$
|
768
|
$
|
1,722
|
||||||||||||||||
|
Operating Income
|
$
|
18
|
$
|
13
|
$
|
31
|
$
|
1
|
$
|
(19
|
)
|
$
|
(18
|
)
|
$
|
54
|
||||||||||||
|
Depreciation and amortization
|
63
|
37
|
100
|
72
|
39
|
111
|
195
|
|||||||||||||||||||||
|
Integration, business consolidation and other activities (2)
|
26
|
10
|
36
|
34
|
17
|
51
|
79
|
|||||||||||||||||||||
|
Argentina hyperinflation
|
3
|
-
|
3
|
-
|
-
|
-
|
7
|
|||||||||||||||||||||
|
GAAP carve-out allocation (3)
|
-
|
-
|
-
|
2
|
1
|
3
|
-
|
|||||||||||||||||||||
|
Other non-cash charges (4)(5)
|
6
|
7
|
13
|
11
|
15
|
26
|
29
|
|||||||||||||||||||||
|
Adjusted EBITDA (1)
|
$
|
116
|
$
|
67
|
$
|
183
|
$
|
120
|
$
|
53
|
$
|
173
|
$
|
364
|
||||||||||||||
|
Constant FX rates
|
-
|
3
|
3
|
|||||||||||||||||||||||||
|
GLT prior year
|
5
|
3
|
8
|
|||||||||||||||||||||||||
|
Comparable Adjusted EBITDA (1)(6)
|
$
|
116
|
$
|
67
|
$
|
183
|
$
|
125
|
$
|
59
|
$
|
184
|
||||||||||||||||
|
% vs. prior year comparable
|
(7
|
%)
|
14
|
%
|
(1
|
%)
|
||||||||||||||||||||||
|
Synergies and cost reductions
|
48
|
|||||||||||||||||||||||||||
|
PF Adjusted EBITDA
|
$
|
412
|
||||||||||||||||||||||||||
|
March 28, 2026
|
||||||||||||||||||||||||||||
|
Quarter
|
Year-to-date
|
|||||||||||||||||||||||||||
|
Cash from operations
|
$
|
87
|
$
|
89
|
||||||||||||||||||||||||
|
Additions to property, plant and equipment
|
(14
|
)
|
(29
|
)
|
||||||||||||||||||||||||
|
Free Cash Flow
|
$
|
73
|
$
|
60
|
||||||||||||||||||||||||
|
(1)
|
Supplemental financial measures that are not required by, or presented in accordance with, accounting principles generally accepted in the United States (“GAAP”). These non-GAAP
financial measures should not be considered as alternatives to operating or net income or cash flows from operating activities, in each case determined in accordance with GAAP. Comparable basis measures exclude the impact of currency
translation effects and acquisitions. These non-GAAP financial measures may be calculated differently by other companies, including other companies in our industry, limiting their usefulness as comparative measures. Management
believes that Adjusted EBITDA and other non-GAAP financial measures are useful to our investors because they allow for a better period-over-period comparison of operating results by removing the impact of items that, in management’s
view, do not reflect our core operating performance. We define “free cash flow” as cash flow from operating activities less net additions to property, plant, and equipment. We believe free cash flow is useful to an investor in
evaluating our liquidity because free cash flow and similar measures are widely used by investors, securities analysts, and other interested parties in our industry to measure a company’s liquidity. We believe free cash flow is also
useful to an investor in evaluating our liquidity as it can assist in assessing a company’s ability to fund its growth through its generation of cash and as pre-merger cash flow is not indicative of our current structure and operations.
|
|
|
We also use Adjusted EBITDA and comparable basis measures, among other measures, to evaluate management performance and in determining performance-based compensation. Adjusted EBITDA is a measure widely used by investors, securities
analysts, and other interested parties in our industry to measure a company’s performance. We also believe these measures are useful to an investor in evaluating our performance without regard to revenue and expense recognition, which
can vary depending upon accounting methods.
|
|
(2)
|
Includes restructuring, business optimization and other charges, which includes $17 million of transaction compensation expense in the prior year
|
|
(3)
|
Consists of estimated parent-allocated charges for the period prior to merger which is required by GAAP as part of the carve-out financial statement process
|
|
(4)
|
Prior year includes $12 million inventory step-up charge related to the merger and other non-cash charges
|
|
(5)
|
Includes stock compensation expense and equipment disposals
|
|
(6)
|
The prior year comparable basis change excludes the impacts of foreign currency and acquisition/mergers
|
IR Contact Information
Robert Weilminster
EVP, Investor Relations
IR@magnera.com
Page | 5
FAQ
How did Magnera (MAGN) perform in the March 28, 2026 quarter?
Magnera reported net sales of $796 million, down from $824 million, with operating income improving to $17 million from $4 million. The company still posted a net loss of $18 million, but this narrowed from a $41 million loss a year earlier.
What were Magnera (MAGN) year-to-date sales and earnings for 2026?
For the two-quarter period ended March 28, 2026, Magnera generated net sales of $1,588 million versus $1,526 million a year ago. Year-to-date operating income was $31 million compared with a loss of $18 million, and net loss was $52 million versus $101 million.
How did Magnera’s Adjusted EBITDA change in the recent quarter?
Magnera’s Adjusted EBITDA for the March 2026 quarter was $90 million, slightly above $89 million a year earlier. The 1% increase reflected a favorable $2 million price-cost spread and a $2 million benefit from foreign currency, partly offset by lower volumes.
What was Magnera’s free cash flow and operating cash in early 2026?
Over the first two quarters of 2026, Magnera generated net cash from operating activities of $89 million. After $29 million of net capital expenditures, this resulted in free cash flow of $60 million, indicating significantly stronger cash generation than the prior-year period.
What does Magnera’s balance sheet look like as of March 28, 2026?
As of March 28, 2026, Magnera reported total assets of $3,896 million, including $303 million of cash and cash equivalents. Current and long-term debt totaled $1,899 million, other long-term liabilities were $353 million, and stockholders’ equity stood at $1,039 million.
How did regional performance affect Magnera’s quarterly results?
In the Americas, net sales declined with a $42 million price decrease and a 1% organic volume drop, pressuring Adjusted EBITDA. In Rest of World, net sales benefited from $37 million favorable currency but faced a 4% organic volume decline, while Adjusted EBITDA improved through synergies and mix.