Reynolds Q4 revenue beats analyst expectations on higher pricing

Overview

• Household products maker's Q4 revenue grew, beating analyst expectations

• Adjusted net income for Q4 slightly beat analyst estimates

• Adjusted EBITDA for Q4 beat analyst expectations, aided by pricing actions and productivity improvements

Outlook

• Full-year 2026 net revenues expected to be -3% to +1% compared to 2025

• First quarter 2026 net revenues expected to be -3% to +1% compared to Q1 2025

• Company expects full-year 2026 adjusted EBITDA between $660 mln and $675 mln

Result Drivers

• PRICING ACTIONS - Co's Q4 results benefited from pricing actions to recover increased input costs, contributing to Adjusted EBITDA growth

• BRANDED SHARE GAINS - Reynolds reported strong branded share gains in Reynolds Wrap, bakeware, and parchment, despite retail volume decreases

• NON-RETAIL REVENUE - Significant growth in non-retail revenues, particularly in Reynolds Cooking & Baking, driven by higher aluminum sales

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• Wall Street's median 12-month price target for Reynolds Consumer Products Inc is $26.00, about 19.2% above its February 3 closing price of $21.81

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nBw868Sqqa

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