Magnera Corporation (NYSE: MAGN) reports $857M Q3 sales, $20M loss
Rhea-AI Filing Summary
Magnera Corporation reported third quarter 2026 results with net sales of $857 million, up 2% from the prior-year quarter, and adjusted EBITDA of $99 million, 9% higher. The company recorded a net loss of $20 million, or $0.56 per share, compared with a loss of $18 million a year earlier.
The net sales increase included a favorable foreign currency impact of $21 million and a 1% organic volume improvement, partly offset by an $8 million decrease in selling prices driven by product mix and raw material pass-through. In the Americas, net sales benefited from $10 million of positive currency and 1% volume growth, while an $11 million favorable price-cost spread, supported by Project CORE and merger synergies, lifted adjusted EBITDA. In the Rest of World segment, higher prices and $11 million favorable currency were offset by inflation, timing of material pass-throughs and higher selling, general and administrative costs, leading to a modest adjusted EBITDA decline.
For the first three quarters of 2026, net sales were $2,445 million and adjusted EBITDA was $282 million, compared with $2,365 million and $264 million in 2025, with a net loss of $72 million versus $119 million. Net cash from operating activities was $76 million, producing free cash flow of $32 million after $44 million of capital spending. At June 27, 2026, Magnera held $280 million of cash, $1,901 million of debt and $1,017 million of stockholders’ equity.
Positive
- None.
Negative
- None.
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Analyzing...
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
Net Sales Q3 2026: $857 million
Adjusted EBITDA Q3 2026: $99 million
Net Income (Loss) Q3 2026: $(20) million
+5 more
8 metrics
Net Sales Q3 2026
$857 million
Quarter ended June 27, 2026
Adjusted EBITDA Q3 2026
$99 million
Quarter ended June 27, 2026
Net Income (Loss) Q3 2026
$(20) million
Quarter ended June 27, 2026
Basic and Diluted EPS Q3 2026
$(0.56)
Quarter ended June 27, 2026
Net Cash from Operating Activities
$76 million
Three quarterly periods ended June 27, 2026
Free Cash Flow
$32 million
Three quarterly periods ended June 27, 2026
Current and Long-term Debt
$1,901 million
Balance sheet as of June 27, 2026
Stockholders’ Equity
$1,017 million
Balance sheet as of June 27, 2026
Key Terms
Adjusted EBITDA, free cash flow, comparable net sales, GAAP carve-out allocation, +2 more
6 terms
Adjusted EBITDA financial
"Adjusted EBITDA (1) for Q3 2026 was 99, versus 91 in 2025"
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: Free Cash Flow | | | 32"
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.
comparable net sales financial
"Comparable net sales (1)(6) are shown alongside reported net sales"
"Comparable net sales" shows how much a company's sales have grown or shrunk compared to the same period last year, excluding new stores or closures. It helps investors see if the core business is doing well, much like checking if a restaurant's sales are up because more people are dining there, not just because the restaurant opened new locations.
GAAP carve-out allocation financial
"GAAP carve-out allocation (3) appears in the EBITDA reconciliation table"
hyperinflation financial
"Argentina hyperinflation is listed as an adjustment in the EBITDA table"
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.
Project CORE financial
"Benefits from Project CORE contributed to favorable price cost spread"
Earnings Snapshot
Net sales: $857 million
Quarter ended June 27, 2026
Net sales
$857 million
up 2% from $839 million in the June 28, 2025 quarter
Adjusted EBITDA
$99 million
up 9% from $91 million in the June 28, 2025 quarter
Net income (loss)
$(20) million
compared with $(18) million in the June 28, 2025 quarter
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
How did Magnera Corporation (MAGN) perform in its third quarter of 2026?
Magnera reported Q3 2026 net sales of $857 million and adjusted EBITDA of $99 million. The company recorded a net loss of $20 million, or $0.56 per share, compared with a loss of $18 million in the prior-year quarter.
What were Magnera Corporation (MAGN)’s year-to-date 2026 results?
For the first three quarters of 2026, Magnera generated net sales of $2,445 million and adjusted EBITDA of $282 million. Over the same period it reported a net loss of $72 million, versus a loss of $119 million for the comparable 2025 period.
How did Magnera Corporation (MAGN) perform by segment in Q3 2026?
In Q3 2026, Magnera’s Americas segment delivered net sales of $476 million and adjusted EBITDA of $71 million, while Rest of World reported net sales of $381 million and adjusted EBITDA of $28 million.
What were Magnera Corporation (MAGN)’s cash flow and free cash flow figures?
For the three quarterly periods ended June 27, 2026, Magnera generated $76 million of net cash from operating activities. After $44 million of capital expenditures, this resulted in free cash flow of $32 million, as defined in the company’s non-GAAP measures.
What does Magnera Corporation (MAGN)’s balance sheet look like as of June 27, 2026?
As of June 27, 2026, Magnera reported total assets of $3,834 million, including $280 million of cash. The company had $1,901 million of current and long-term debt and stockholders’ equity of $1,017 million.
How is foreign currency impacting Magnera Corporation (MAGN)’s results?
For the June 2026 quarter, Magnera’s consolidated net sales reflected a $21 million favorable foreign currency impact. This included $10 million of positive currency in the Americas and $11 million in Rest of World, partially offsetting pricing pressures.
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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(I.R.S. Employer Identification No.)
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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 August 6, 2026, the Company reported its results of operations for the quarter ended June 27, 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.
| 99.1 |
Press release issued August 6, 2026.
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| 104 |
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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August 6, 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 Third Quarter
Third Quarter Highlights
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•
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GAAP: Net sales of $857 million, Operating income of $22 million
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•
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Non-GAAP: Adjusted EBITDA of $99 million
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•
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Twelve-month adjusted free cash flow yield of greater than 25% as of quarter-end
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Curt Begle, Magnera’s CEO, commented: “We delivered a record third quarter led by organic volume growth, combined with the savings benefits of synergy
initiatives and Project Core. In addition, our commercial team executed the disciplined actions required to effectively manage the significant spike in inflationary costs of certain raw materials.
As we continue to navigate a dynamic macro-economic environment, we remain focused on executing our strategic objectives and delivering dependable
financial results. Consistent with that commitment, we are reaffirming our full-year free cash flow outlook, while holding to the lower end of our adjusted EBITDA guidance range.”
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Key Financials
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June Quarter
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June YTD
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|||||||||||||||
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GAAP results
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2026
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2025
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2026
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2025
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||||||||||||
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Net sales
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$
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857
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$
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839
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$
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2,445
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$
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2,365
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||||||||
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Operating income
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22
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13
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53
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(5
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)
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|||||||||||
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June Quarter
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Reported
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Comparable(1)
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June YTD
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Reported
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Comparable(1)
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|||||||||||||||||||||||||||||
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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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857
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$
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839
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2
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%
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-
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$
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2,445
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$
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2,365
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3
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%
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(5
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%)
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|||||||||||||||||||
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Adjusted EBITDA (1)
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99
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91
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9
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%
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9
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%
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282
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264
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7
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%
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3
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%
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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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Consolidated Overview
The net sales increase included a favorable foreign currency change of $21 million and a 1% organic volume
improvement, partially offset by an $8 million decrease in selling prices primarily due to negative product mix net of the pass-through of higher raw material costs. The volume increase was mainly attributed to strength in our consumer
solutions product categories globally and recovery in North America from winter storm disruptions experienced in the second quarter.
The adjusted EBITDA was up 9% primarily as a result of favorable price cost spread of $11 million.
Americas
The net sales increase included a favorable foreign currency change of $10 million and a 1% organic volume improvement, partially offset by a
$13 million decrease in selling prices primarily due to negative product mix net of the pass-through of higher raw material costs.
The adjusted EBITDA improvement resulted mostly from a favorable price cost spread of $11 million due to the realized benefits from Project CORE
and merger synergies that were partially offset by higher selling, general and administrative costs.
Page | 1
Rest of World
The net sales increase included a favorable foreign currency change of $11 million
and a $5 million increase in selling prices due to the pass-through of higher raw material costs.
The adjusted EBITDA declined $2 million as benefits from Project CORE and synergy realization were offset by higher inflation in the region,
timing of material pass throughs and higher selling, general and administrative costs.
Investor Conference Call
The Company will host a conference call, August 6, 2026, at 10:00 AM U.S. Eastern
Time to discuss the third 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 44 global facilities, Magnera is supported by over 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. in
November 2024; 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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Three Quarterly Periods Ended
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|||||||||||||||
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(in millions, except per share amounts)
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June 27, 2026
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June 28, 2025
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June 27, 2026
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June 28, 2025
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||||||||||||
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|
||||||||||||||||
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Net sales
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$
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857
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$
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839
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$
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2,445
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$
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2,365
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||||||||
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|
||||||||||||||||
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Cost of goods sold
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745
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749
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2,141
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2,116
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||||||||||||
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Selling, general and administrative
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56
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50
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156
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144
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||||||||||||
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Amortization of intangibles
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11
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13
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34
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41
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||||||||||||
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Restructuring and other activities
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23
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14
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61
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69
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||||||||||||
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Operating income (loss)
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22
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13
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53
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(5
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)
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|||||||||||
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Other expense
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3
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-
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5
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26
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||||||||||||
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Interest expense
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37
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37
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112
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102
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||||||||||||
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Income (loss) before income taxes
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(18
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)
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(24
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)
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(64
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)
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(133
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)
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||||||||
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Income tax (benefit) expense
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2
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(6
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)
|
8
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(14
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)
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||||||||||
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Net income (loss)
|
$
|
(20
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)
|
$
|
(18
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)
|
$
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(72
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)
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$
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(119
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)
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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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(0.56
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)
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$
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(0.51
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)
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$
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(2.01
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)
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$
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(3.35
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)
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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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||||||||||||
Condensed Consolidated and Combined Statements of Cash Flows (Unaudited)
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Three Quarterly Periods Ended
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||||||||
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(in millions)
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June 27, 2026
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June 26, 2025
|
||||||
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Net cash from operating activities
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76
|
7
|
||||||
|
Cash flows from investing activities:
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||||||||
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Additions to property, plant, and equipment, net
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(44
|
)
|
(52
|
)
|
||||
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Cash acquired from GLT acquisition
|
-
|
37
|
||||||
|
Other investing activities
|
7
|
22
|
||||||
|
Net cash from (used
in) investing activities
|
(37
|
)
|
7
|
|||||
|
Cash flows from financing activities:
|
||||||||
|
Proceeds from long-term borrowings
|
-
|
1,556
|
||||||
|
Repayments on long-term borrowings
|
(65
|
)
|
(434
|
)
|
||||
|
Transfers from Berry, net
|
-
|
34
|
||||||
|
Cash distribution to Berry
|
-
|
(1,111
|
)
|
|||||
|
Debt fees and other, net
|
-
|
(17
|
)
|
|||||
|
Net cash from
financing activities
|
(65
|
)
|
28
|
|||||
|
Effect of currency translation on cash
|
1
|
4
|
||||||
|
Net change in cash and cash equivalents
|
(25
|
)
|
46
|
|||||
|
Cash and cash equivalents at beginning of period
|
305
|
230
|
||||||
|
Cash and cash equivalents at end of period
|
$
|
280
|
$
|
276
|
||||
|
Non-U.S. GAAP Free Cash Flow:
|
||||||||
|
Net cash from operating activities
|
76
|
|||||||
|
Additions to property, plant, and equipment, net
|
(44
|
)
|
||||||
|
Free Cash Flow
|
32
|
|||||||
Condensed Consolidated Balance Sheets (unaudited)
|
(in millions of dollars)
|
June 27, 2026
|
September 27, 2025
|
||||||
|
Cash and cash equivalents
|
$
|
280
|
$
|
305
|
||||
|
Accounts receivable
|
531
|
522
|
||||||
|
Inventories
|
498
|
474
|
||||||
|
Other current assets
|
83
|
122
|
||||||
|
Property, plant, and equipment
|
1,393
|
1,476
|
||||||
|
Goodwill, intangible assets, and other long-term assets
|
1,049
|
1,090
|
||||||
|
Total assets
|
$
|
3,834
|
$
|
3,989
|
||||
|
Current liabilities, excluding current debt
|
569
|
601
|
||||||
|
Current and long-term debt
|
1,901
|
1,952
|
||||||
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Other long-term liabilities
|
347
|
372
|
||||||
|
Stockholders’ equity
|
1,017
|
1,064
|
||||||
|
Total liabilities and stockholders' equity
|
$
|
3,834
|
$
|
3,989
|
||||
Page | 3
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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||||||||||||||||||||||||||||
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Quarterly Period ended June 27, 2026
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Quarterly Period ended June 28, 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
|
$
|
476
|
$
|
381
|
$
|
857
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$
|
473
|
$
|
366
|
$
|
839
|
||||||||||||||||
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Constant FX rates
|
10
|
11
|
21
|
|||||||||||||||||||||||||
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Comparable net sales (1)(6)
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$
|
476
|
$
|
381
|
$
|
857
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$
|
483
|
$
|
377
|
$
|
860
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||||||||||||||||
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|
||||||||||||||||||||||||||||
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Operating Income
|
$
|
28
|
$
|
(6
|
)
|
$
|
22
|
$
|
12
|
$
|
1
|
$
|
13
|
|||||||||||||||
|
Depreciation and amortization
|
32
|
18
|
50
|
35
|
23
|
58
|
||||||||||||||||||||||
|
Integration, business consolidation and other activities
|
8
|
8
|
16
|
9
|
4
|
13
|
||||||||||||||||||||||
|
Argentina hyperinflation
|
-
|
-
|
-
|
1
|
-
|
1
|
||||||||||||||||||||||
|
Other non-cash charges (5)
|
3
|
8
|
11
|
4
|
2
|
6
|
||||||||||||||||||||||
|
Adjusted EBITDA (1)
|
$
|
71
|
$
|
28
|
$
|
99
|
$
|
61
|
$
|
30
|
$
|
91
|
||||||||||||||||
|
Constant FX rates
|
-
|
-
|
-
|
|||||||||||||||||||||||||
|
Comparable Adjusted EBITDA (1)(6)
|
$
|
71
|
$
|
28
|
$
|
99
|
$
|
61
|
$
|
30
|
$
|
91
|
||||||||||||||||
|
% vs. prior year comparable
|
16
|
%
|
(7
|
%)
|
9
|
%
|
||||||||||||||||||||||
|
Three Quarterly Periods ended June 27, 2026
|
Three Quarterly Periods ended June 28, 2025
|
|||||||||||||||||||||||||||
|
Americas
|
Rest of World
|
Total
|
Americas
|
Rest of World
|
Total
|
LTM
|
||||||||||||||||||||||
|
Net sales
|
$
|
1,353
|
$
|
1,092
|
$
|
2,445
|
$
|
1,366
|
$
|
999
|
$
|
2,365
|
||||||||||||||||
|
Constant FX rates
|
29
|
76
|
105
|
|||||||||||||||||||||||||
|
GLT prior year
|
42
|
70
|
112
|
|||||||||||||||||||||||||
|
Comparable net sales (1)(6)
|
$
|
1,353
|
$
|
1,092
|
$
|
2,445
|
$
|
1,437
|
$
|
1,145
|
$
|
2,582
|
||||||||||||||||
|
|
||||||||||||||||||||||||||||
|
Operating Income
|
$
|
46
|
$
|
7
|
$
|
53
|
$
|
13
|
$
|
(18
|
)
|
$
|
(5
|
)
|
$
|
63
|
||||||||||||
|
Depreciation and amortization
|
95
|
55
|
150
|
107
|
62
|
169
|
186
|
|||||||||||||||||||||
|
Integration, business consolidation and other activities (2)
|
34
|
18
|
52
|
43
|
21
|
64
|
82
|
|||||||||||||||||||||
|
Argentina hyperinflation
|
3
|
-
|
3
|
1
|
-
|
1
|
8
|
|||||||||||||||||||||
|
GAAP carve-out allocation (3)
|
-
|
-
|
-
|
2
|
1
|
3
|
-
|
|||||||||||||||||||||
|
Other non-cash charges (4)(5)
|
9
|
15
|
24
|
15
|
17
|
32
|
33
|
|||||||||||||||||||||
|
Adjusted EBITDA (1)
|
$
|
187
|
$
|
95
|
$
|
282
|
$
|
181
|
$
|
83
|
$
|
264
|
$
|
372
|
||||||||||||||
|
Constant FX rates
|
-
|
3
|
3
|
|||||||||||||||||||||||||
|
GLT prior year
|
5
|
3
|
8
|
|||||||||||||||||||||||||
|
Comparable Adjusted EBITDA (1)(6)
|
$
|
187
|
$
|
95
|
$
|
282
|
$
|
186
|
$
|
89
|
$
|
275
|
||||||||||||||||
|
% vs. prior year comparable
|
1
|
%
|
7
|
%
|
3
|
%
|
||||||||||||||||||||||
|
PF Divestiture
|
(2
|
)
|
||||||||||||||||||||||||||
|
Synergies and cost reductions
|
35
|
|||||||||||||||||||||||||||
|
PF Adjusted EBITDA
|
$
|
405
|
||||||||||||||||||||||||||
|
(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 expense for stock compensation and disposals and sale of assets
|
|
(6)
|
The prior year comparable basis change excludes the impacts of foreign currency and acquisitions/mergers
|
IR Contact Information
Robert Weilminster
EVP, Investor Relations
IR@magnera.com
Page | 4