Greif, Inc. (NYSE: GEF, GEF.B), a global leader in industrial
packaging products and services, today announced fiscal third
quarter 2024 results.
Fiscal Third
Quarter 2024 Financial
Highlights: (all results compared to the
third quarter of
2023 unless otherwise noted)
- Net income
decreased 3.5% to $87.1 million or $1.50 per diluted Class A share
compared to net income of $90.3 million or $1.55 per diluted Class
A share. Net income, excluding the impact of adjustments(1),
decreased 41.6% to $59.6 million or $1.03 per diluted Class A share
compared to net income, excluding the impact of adjustments, of
$102.1 million or $1.75 per diluted Class A share.
- Adjusted
EBITDA(2) decreased 14.5% to $193.7 million compared to Adjusted
EBITDA of $226.5 million.
- Net cash
provided by operating activities decreased by $125.5 million
to $76.8 million. Adjusted free cash flow(3) decreased by
$132.8 million to a source of $34.3 million.
- Total debt of
$2,909.5 million increased by $738.0 million. Net debt(4)
increased by $701.5 million to $2,715.3 million. Our
leverage ratio(5) increased to 3.66x from 3.44x sequentially, and
increased from 2.17x in the prior year quarter.
Strategic Actions and
Announcements
- We completed divestment of our
US-based subsidiary Delta Petroleum Company (“Delta”) effective
July 31, 2024. The cash proceeds were received on August 1, 2024.
Our divestment of Delta enabled us to accelerate our debt paydown.
The divestment exemplifies our commitment to focus on our core
growth strategy of increasing our resin-based industrial products
portfolio, allowing us to serve higher-growth and less cyclical end
markets. Assuming the divestment of Delta net cash proceeds had
been received in the third quarter and included in cash and cash
equivalents as of July 31, 2024, our net debt and leverage ratio
would have been $2,626.3 million and 3.59x, respectively, at
July 31, 2024.
- Our integration of the Ipackchem
Group SAS (“Ipackchem”) acquisition is on schedule to initial
expectations, with run-rate synergy capture of at least
$7.0 million reaffirmed for the next twelve months, ahead of
the 18-month timeline in our previously announced business
case.
- We announced our upcoming Investor
Day on December 11, 2024. Further information, including formal
invitations, will be sent in September. For any questions, please
contact InvestorDay@greif.com.
- Our Board of Directors declared
quarterly cash dividends reflecting an increase of 2 cents per
share on our Class A Common Stock and 3 cents per share on our
Class B Common Stock, respectively, from the prior quarter’s
dividends on such shares, demonstrating our Board’s commitment to
increasing direct shareholder return while also continuing to
invest in our business.
CEO Commentary
“We are proud to present another solid quarter
of performance for Greif,” stated Ole Rosgaard, President and CEO,
“While global markets remain uncertain, our diligence in
maintaining close contact with our customers has resulted in
positive volume momentum in all regions. We are also making strides
internally. We are nearing completion of the previously announced
internal re-alignment of operating and commercial functions and
plan to discuss the benefits of that transition in greater detail
at our upcoming Investor Day on December 11”.
Build to Last Mission
Progress
Our customer satisfaction index (CSI) is a key
internal metric we utilize to measure our customer service
experience, with a long-term goal of a CSI score greater than 95.0.
Our consolidated CSI score was 92.8 at the end of the fiscal third
quarter 2024. The CSI score for the Paper Packaging & Services
business segment was 93.6 and for the Global Industrial Packaging
segment was 91.8.
(1) Adjustments that are excluded from net
income before adjustments and from earnings per diluted Class A
share before adjustments are acquisition and integration related
costs, restructuring charges, non-cash asset impairment charges,
(gain) loss on disposal of properties, plants and equipment, net,
(gain) loss on disposal of businesses, net, and fiscal year-end
change costs.
(2) Adjusted EBITDA is defined as net income,
plus interest expense, net, plus income tax (benefit) expense, plus
depreciation, depletion and amortization expense, plus acquisition
and integration related costs, plus restructuring charges, plus
non-cash asset impairment charges, plus (gain) loss on disposal of
properties, plants and equipment, net, plus (gain) loss on disposal
of businesses, net, plus fiscal year-end change costs.
(3) Adjusted free cash flow is defined as net
cash provided by operating activities, less cash paid for purchases
of properties, plants and equipment, plus cash paid for acquisition
and integration related costs, plus cash paid for integration
related Enterprise Resource Planning (ERP) systems and equipment,
plus cash paid for taxes related to Tama, Iowa mill divestment,
plus cash paid for fiscal year-end change costs.
(4) Net debt is defined as total debt less cash
and cash equivalents.
(5) Leverage ratio for the periods indicated is
defined as adjusted net debt divided by trailing twelve month
adjusted EBITDA, each as calculated under the terms of the
Company’s Second Amended and Restated Credit Agreement dated as of
March 1, 2022, filed as Exhibit 10.1 to the Company’s Quarterly
Report on Form 10-Q for the fiscal quarter ended January 31, 2022
(the “2022 Credit Agreement”). As calculated under the 2022 Credit
Agreement, adjusted net debt was $2,608.5 million, $2,623.1
million, and $1,847.5 million as of July 31, 2024, April 30, 2024
and July 31, 2023, respectively, and trailing twelve month adjusted
EBITDA was $712.2 million, $761.8 million and $851.8 million as of
July 31, 2024, April 30, 2024 and July 31, 2023,
respectively.
Note: A reconciliation of the differences
between all non-GAAP financial measures used in this release with
the most directly comparable GAAP financial measures is included in
the financial schedules that are a part of this release. These
non-GAAP financial measures are intended to supplement, and should
be read together with, our financial results. They should not be
considered an alternative or substitute for, and should not be
considered superior to, our reported financial results.
Accordingly, users of this financial information should not place
undue reliance on these non-GAAP financial measures.
Fiscal Third
Quarter 2024 Segment
Results: (all results compared to the
third quarter of
2023 unless otherwise noted)
Net sales are impacted mainly by the volume of
primary products(6) sold, selling prices and product mix, and the
impact of changes in foreign currencies against the U.S. Dollar.
The table below shows the percentage impact of each of these items
on net sales for our primary products for the fiscal third quarter
of 2024 as compared to the prior year quarter for the business
segments with manufacturing operations. Net sales from completed
acquisitions of Reliance Products Ltd. (“Reliance”) and Ipackchem’s
primary products are not included in the table below, but will be
included in their respective segments starting in the fiscal first
quarter of 2025 for Reliance and fiscal third quarter of 2025 for
Ipackchem.
|
Net Sales Impact - Primary Products |
Global IndustrialPackaging |
|
Paper Packaging &Services |
|
Currency Translation |
(2.3 |
)% |
|
(0.1 |
)% |
|
Volume |
4.7 |
% |
|
2.9 |
% |
|
Selling Prices and Product Mix |
3.4 |
% |
|
0.2 |
% |
|
Total Impact of Primary Products |
5.8 |
% |
|
3.0 |
% |
|
|
Global Industrial Packaging
Net sales increased by $84.2 million to $846.0
million primarily due to higher average selling prices, higher
volumes and contributions from recent acquisitions, partially
offset by negative foreign currency translation impacts.
Gross profit increased by $8.8 million to $185.6
million. The increase in gross profit was primarily due to the same
factors that impacted net sales, partially offset by higher raw
material, transportation and manufacturing costs.
Operating profit increased by $29.8 million to
$131.8 million primarily due to the same factors that impacted
gross profit and a $46.1 million gain from the divestiture of
Delta during the third quarter of 2024, partially offset by higher
SG&A expenses related to higher compensation expenses, costs
incurred for strategic investments and amortization expenses from
recent acquisitions.
Adjusted EBITDA decreased by $4.2 million to
$122.3 million primarily due to higher SG&A expenses related to
higher compensation expenses and costs incurred for strategic
investments, partially offset by the same factors that impacted
gross profit.
Paper Packaging &
Services
Net sales increased by $39.7 million to $603.6
million primarily due to higher average selling prices, higher
volumes and contributions from recent acquisitions.
Gross profit decreased by $25.6 million to
$102.5 million. The decrease in gross profit was primarily due to
higher raw material, transportation and manufacturing costs,
partially offset by the same factors that impacted net sales.
Operating profit decreased by $14.6 million to
$37.5 million primarily due to the same factors that impacted gross
profit and higher SG&A expenses related to higher incentive
expenses and costs incurred for strategic investments, partially
offset by lower restructuring charges and higher gains on disposal
of properties, plants and equipment, net.
Adjusted EBITDA decreased by $28.7 million to
$69.4 million primarily due to the same factors that impacted gross
profit.
Tax Summary
During the third quarter, we recorded an income
tax rate of 28.1 percent and a tax rate excluding the impact of
adjustments of 22.7 percent. Note that the application of FIN 18
frequently causes fluctuations in our quarterly effective tax
rates. For fiscal 2024, we expect our tax rate to range between 9.0
to 13.0 percent and our tax rate excluding adjustments to range
between 8.0 to 12.0 percent.
Dividend Summary
On August 27, 2024, the Board of Directors
declared quarterly cash dividends of $0.54 per share of Class A
Common Stock and $0.81 per share of Class B Common Stock. Dividends
are payable on October 1, 2024, to stockholders of record at the
close of business on September 16, 2024.
(6) Primary products are manufactured steel,
plastic and fibre drums; new and reconditioned intermediate bulk
containers; jerrycans and other small plastics; linerboard,
containerboard, corrugated sheets and corrugated containers; and
boxboard and tube and core products.
Company Outlook
|
(in millions) |
Fiscal 2024 Outlook Reported at Q3 |
|
Adjusted EBITDA |
$675 - $725 |
|
Adjusted free cash flow |
$175 - $225 |
|
|
Note: Fiscal 2024 net income guidance, the most
directly comparable GAAP financial measure to Adjusted EBITDA, is
not provided in this release due to the potential for one or more
of the following, the timing and magnitude of which we are unable
to reliably forecast: gains or losses on the disposal of businesses
or properties, plants and equipment, net; non-cash asset impairment
charges due to unanticipated changes in the business;
restructuring-related activities; acquisition and integration
related costs; and ongoing initiatives under our Build to Last
strategy. No reconciliation of the 2024 guidance of Adjusted
EBITDA, a non-GAAP financial measure which excludes restructuring
charges, acquisition and integration related costs, non-cash asset
impairment charges, (gain) loss on the disposal of properties,
plants, equipment and businesses, net, and fiscal year-end change
costs, is included in this release because, due to the high
variability and difficulty in making accurate forecasts and
projections of some of the excluded information, together with some
of the excluded information not being ascertainable or accessible,
we are unable to quantify certain amounts that would be required to
be included in net income, the most directly comparable GAAP
financial measure, without unreasonable efforts. A reconciliation
of the 2024 guidance of adjusted free cash flow to fiscal 2024
forecasted net cash provided by operating activities, the most
directly comparable GAAP financial measure, is included in this
release.
Conference Call
The Company will host a conference call to
discuss third quarter 2024 results on August 29, 2024, at 8:30 a.m.
Eastern Time (ET). Participants may access the call using the
following online registration link:
https://register.vevent.com/register/BI812d0a53f5a14e0698ea1da197c5d580.
Registrants will receive a confirmation email containing dial in
details and a unique conference call code for entry. Phone lines
will open at 8:00 a.m. ET on August 29, 2024. A digital replay
of the conference call will be available two hours following the
call on the Company’s web site at http://investor.greif.com.
Investor Relations contact
information
Bill D’Onofrio, Vice President, Corporate
Development & Investor Relations, 614-499-7233.
Bill.Donofrio@greif.com
About Greif
Greif is a global leader in industrial packaging
products and services and is pursuing its vision: to be the best
performing customer service company in the world. The Company
produces steel, plastic and fibre drums, intermediate bulk
containers, reconditioned containers, jerrycans and other small
plastics, containerboard, uncoated recycled paperboard, coated
recycled paperboard, tubes and cores and a diverse mix of specialty
products. The Company also manufactures packaging accessories and
provides other services for a wide range of industries. In
addition, Greif manages timber properties in the southeastern
United States. The Company is strategically positioned in over 35
countries to serve global as well as regional customers. Additional
information is on the Company’s website at www.greif.com.
Forward-Looking Statements
This release contains forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. The words “may,” “will,” “expect,” “intend,” “estimate,”
“anticipate,” “aspiration,” “objective,” “project,” “believe,”
“continue,” “on track” or “target” or the negative thereof and
similar expressions, among others, identify forward-looking
statements. All forward-looking statements are based on
assumptions, expectations and other information currently available
to management. Although the Company believes that the expectations
reflected in forward-looking statements have a reasonable basis,
the Company can give no assurance that these expectations will
prove to be correct. Such forward-looking statements are subject to
certain risks and uncertainties that could cause the Company’s
actual results to differ materially from those forecasted,
projected or anticipated, whether expressed or implied.
Such risks and uncertainties that might cause a
difference include, but are not limited to, the following: (i)
historically, our business has been sensitive to changes in general
economic or business conditions, (ii) our global operations subject
us to political risks, instability and currency exchange that could
adversely affect our results of operations, (iii) the current and
future challenging global economy and disruption and volatility of
the financial and credit markets may adversely affect our business,
(iv) the continuing consolidation of our customer base and
suppliers may intensify pricing pressure, (v) we operate in highly
competitive industries, (vi) our business is sensitive to changes
in industry demands and customer preferences, (vii) raw material,
price fluctuations, global supply chain disruptions and increased
inflation may adversely impact our results of operations, (viii)
energy and transportation price fluctuations and shortages may
adversely impact our manufacturing operations and costs, (ix) we
may encounter difficulties or liabilities arising from acquisitions
or divestitures, (x) we may incur additional rationalization costs
and there is no guarantee that our efforts to reduce costs will be
successful, (xi) several operations are conducted by joint ventures
that we cannot operate solely for our benefit, (xii) certain of the
agreements that govern our joint ventures provide our partners with
put or call options, (xiii) our ability to attract, develop and
retain talented and qualified employees, managers and executives is
critical to our success, (xiv) our business may be adversely
impacted by work stoppages and other labor relations matters, (xv)
we may be subject to losses that might not be covered in whole or
in part by existing insurance reserves or insurance coverage and
general insurance premium and deductible increases, (xvi) our
business depends on the uninterrupted operations of our facilities,
systems and business functions, including our information
technology and other business systems, (xvii) a cyber-attack or a
security breach involving customer, employee, supplier or Company
information and data privacy risks and costs of compliance with new
regulations may have a material adverse effect on our business,
financial condition, results of operations and cash flows, (xviii)
we could be subject to changes to our tax rates, the adoption of
new U.S. or foreign tax legislation or exposure to additional tax
liabilities, (xix) we have a significant amount of goodwill and
long-lived assets which, if impaired in the future, would adversely
impact our results of operations, (xx) changing climate, global
climate change regulations and greenhouse gas effects may adversely
affect our operations and financial performance, (xxi) we may be
unable to achieve our greenhouse gas emission reduction targets by
2030, (xxii) legislation/regulation related to environmental and
health and safety matters and corporate social responsibility could
negatively impact our operations and financial performance, (xxiii)
product liability claims and other legal proceedings could
adversely affect our operations and financial performance, and
(xxiv) we may incur fines or penalties, damage to our reputation or
other adverse consequences if our employees, agents or business
partners violate, or are alleged to have violated, anti-bribery,
competition or other laws.
The risks described above are not all-inclusive,
and given these and other possible risks and uncertainties,
investors should not place undue reliance on forward-looking
statements as a prediction of actual results. For a detailed
discussion of the most significant risks and uncertainties that
could cause our actual results to differ materially from those
forecasted, projected or anticipated, see “Risk Factors” in Part I,
Item 1A of our most recently filed Form 10-K and our other filings
with the Securities and Exchange Commission.
All forward-looking statements made in this news
release are expressly qualified in their entirety by reference to
such risk factors. Except to the limited extent required by
applicable law, we undertake no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
| |
|
GREIF, INC. AND SUBSIDIARY
COMPANIESCONDENSED CONSOLIDATED STATEMENTS OF
INCOMEUNAUDITED |
| |
| |
Three months ended July 31, |
|
Nine months ended July 31, |
|
(in millions, except per share amounts) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
Net sales |
$ |
1,454.2 |
|
|
$ |
1,330.3 |
|
|
$ |
4,031.0 |
|
|
$ |
3,910.2 |
|
|
Cost of products sold |
|
1,163.8 |
|
|
|
1,023.3 |
|
|
|
3,248.9 |
|
|
|
3,039.8 |
|
|
Gross profit |
|
290.4 |
|
|
|
307.0 |
|
|
|
782.1 |
|
|
|
870.4 |
|
|
Selling, general and administrative expenses |
|
164.0 |
|
|
|
135.7 |
|
|
|
477.0 |
|
|
|
412.3 |
|
|
Acquisition and integration related costs |
|
2.0 |
|
|
|
3.4 |
|
|
|
16.1 |
|
|
|
15.5 |
|
|
Restructuring charges |
|
2.7 |
|
|
|
8.7 |
|
|
|
1.6 |
|
|
|
13.5 |
|
|
Non-cash asset impairment charges |
|
0.2 |
|
|
|
1.6 |
|
|
|
1.9 |
|
|
|
3.4 |
|
|
(Gain) loss on disposal of properties, plants and equipment,
net |
|
(3.4 |
) |
|
|
1.7 |
|
|
|
(6.4 |
) |
|
|
(3.3 |
) |
|
(Gain) loss on disposal of businesses, net |
|
(46.1 |
) |
|
|
0.3 |
|
|
|
(46.1 |
) |
|
|
(64.1 |
) |
|
Operating profit |
|
171.0 |
|
|
|
155.6 |
|
|
|
338.0 |
|
|
|
493.1 |
|
|
Interest expense, net |
|
41.3 |
|
|
|
25.3 |
|
|
|
95.7 |
|
|
|
71.5 |
|
|
Other (income) expense, net |
|
0.8 |
|
|
|
3.4 |
|
|
|
9.5 |
|
|
|
9.6 |
|
|
Income before income tax (benefit) expense and equity earnings of
unconsolidated affiliates, net |
|
128.9 |
|
|
|
126.9 |
|
|
|
232.8 |
|
|
|
412.0 |
|
|
Income tax (benefit) expense |
|
36.2 |
|
|
|
31.1 |
|
|
|
15.0 |
|
|
|
107.9 |
|
|
Equity earnings of unconsolidated affiliates, net of tax |
|
(0.9 |
) |
|
|
(0.9 |
) |
|
|
(2.1 |
) |
|
|
(1.7 |
) |
|
Net income |
|
93.6 |
|
|
|
96.7 |
|
|
|
219.9 |
|
|
|
305.8 |
|
|
Net income attributable to noncontrolling interests |
|
(6.5 |
) |
|
|
(6.4 |
) |
|
|
(21.2 |
) |
|
|
(14.4 |
) |
|
Net income attributable to Greif, Inc. |
$ |
87.1 |
|
|
$ |
90.3 |
|
|
$ |
198.7 |
|
|
$ |
291.4 |
|
|
Basic earnings per share attributable to Greif, Inc. common
shareholders: |
|
|
|
|
|
|
|
|
Class A common stock |
$ |
1.51 |
|
|
$ |
1.57 |
|
|
$ |
3.45 |
|
|
$ |
5.03 |
|
|
Class B common stock |
$ |
2.26 |
|
|
$ |
2.35 |
|
|
$ |
5.16 |
|
|
$ |
7.54 |
|
|
Diluted earnings per share attributable to Greif, Inc.
common shareholders: |
|
|
|
|
|
|
|
|
Class A common stock |
$ |
1.50 |
|
|
$ |
1.55 |
|
|
$ |
3.44 |
|
|
$ |
4.99 |
|
|
Class B common stock |
$ |
2.26 |
|
|
$ |
2.35 |
|
|
$ |
5.16 |
|
|
$ |
7.54 |
|
|
Shares used to calculate basic earnings per share
attributable to Greif, Inc. common shareholders: |
|
|
|
|
|
|
|
|
Class A common stock |
|
25.8 |
|
|
|
25.5 |
|
|
|
25.7 |
|
|
|
25.6 |
|
|
Class B common stock |
|
21.3 |
|
|
|
21.3 |
|
|
|
21.3 |
|
|
|
21.5 |
|
|
Shares used to calculate diluted earnings per share
attributable to Greif, Inc. common shareholders: |
|
|
|
|
|
|
|
|
Class A common stock |
|
26.1 |
|
|
|
26.0 |
|
|
|
25.9 |
|
|
|
26.0 |
|
|
Class B common stock |
|
21.3 |
|
|
|
21.3 |
|
|
|
21.3 |
|
|
|
21.5 |
|
|
|
|
|
|
GREIF, INC. AND SUBSIDIARY
COMPANIESCONDENSED CONSOLIDATED BALANCE
SHEETSUNAUDITED |
|
|
|
(in millions) |
July 31, 2024 |
|
October 31, 2023 |
|
ASSETS |
|
|
|
|
Current assets |
|
|
|
|
Cash and cash equivalents |
$ |
194.2 |
|
$ |
180.9 |
|
Trade accounts receivable |
|
785.7 |
|
|
659.4 |
|
Inventories |
|
420.7 |
|
|
338.6 |
|
Other current assets |
|
312.7 |
|
|
190.2 |
| |
|
1,713.3 |
|
|
1,369.1 |
|
Long-term assets |
|
|
|
|
Goodwill |
|
1,950.3 |
|
|
1,693.0 |
|
Intangible assets |
|
961.7 |
|
|
792.2 |
|
Operating lease right-of-use assets |
|
298.1 |
|
|
290.3 |
|
Other long-term assets |
|
256.0 |
|
|
253.6 |
| |
|
3,466.1 |
|
|
3,029.1 |
|
Properties, plants and equipment |
|
1,655.5 |
|
|
1,562.6 |
| |
$ |
6,834.9 |
|
$ |
5,960.8 |
|
LIABILITIES AND EQUITY |
|
|
|
|
Current liabilities |
|
|
|
|
Accounts payable |
$ |
533.6 |
|
$ |
497.8 |
|
Short-term borrowings |
|
20.3 |
|
|
5.4 |
|
Current portion of long-term debt |
|
95.8 |
|
|
88.3 |
|
Current portion of operating lease liabilities |
|
57.1 |
|
|
53.8 |
|
Other current liabilities |
|
303.4 |
|
|
294.0 |
| |
|
1,010.2 |
|
|
939.3 |
|
Long-term liabilities |
|
|
|
|
Long-term debt |
|
2,793.4 |
|
|
2,121.4 |
|
Operating lease liabilities |
|
242.2 |
|
|
240.2 |
|
Other long-term liabilities |
|
563.3 |
|
|
548.3 |
| |
|
3,598.9 |
|
|
2,909.9 |
| |
|
|
|
|
Redeemable noncontrolling interests |
|
126.2 |
|
|
125.3 |
|
Equity |
|
|
|
|
Total Greif, Inc. equity |
|
2,056.9 |
|
|
1,947.9 |
|
Noncontrolling interests |
|
42.7 |
|
|
38.4 |
|
Total equity |
|
2,099.6 |
|
|
1,986.3 |
| |
$ |
6,834.9 |
|
$ |
5,960.8 |
| |
|
GREIF, INC. AND SUBSIDIARY
COMPANIESCONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWSUNAUDITED |
| |
| |
Three months ended July 31, |
|
Nine months ended July 31, |
|
(in millions) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
CASH FLOWS FROM OPERATING ACTIVITIES: |
|
|
|
|
|
|
|
|
Net income |
$ |
93.6 |
|
|
$ |
96.7 |
|
|
$ |
219.9 |
|
|
$ |
305.8 |
|
|
Depreciation, depletion and amortization |
|
67.1 |
|
|
|
57.7 |
|
|
|
193.4 |
|
|
|
169.4 |
|
|
Asset impairments |
|
0.2 |
|
|
|
1.6 |
|
|
|
1.9 |
|
|
|
3.4 |
|
|
Deferred income tax expense (benefit) |
|
(0.2 |
) |
|
|
(2.5 |
) |
|
|
(53.6 |
) |
|
|
(0.9 |
) |
|
Gain on disposal of businesses, net |
|
(46.1 |
) |
|
|
0.3 |
|
|
|
(46.1 |
) |
|
|
(64.1 |
) |
|
Other non-cash adjustments to net income |
|
1.3 |
|
|
|
12.8 |
|
|
|
42.0 |
|
|
|
34.8 |
|
|
Operating working capital changes |
|
(48.0 |
) |
|
|
56.1 |
|
|
|
(102.3 |
) |
|
|
93.8 |
|
|
Increase (decrease) in cash from changes in other assets and
liabilities |
|
8.9 |
|
|
|
(20.4 |
) |
|
|
(86.4 |
) |
|
|
(96.2 |
) |
|
Net cash provided by (used in) operating activities |
|
76.8 |
|
|
|
202.3 |
|
|
|
168.8 |
|
|
|
446.0 |
|
|
CASH FLOWS FROM INVESTING ACTIVITIES: |
|
|
|
|
|
|
|
|
Acquisitions of companies, net of cash acquired |
|
— |
|
|
|
— |
|
|
|
(567.6 |
) |
|
|
(447.5 |
) |
|
Purchases of properties, plants and equipment |
|
(44.8 |
) |
|
|
(45.3 |
) |
|
|
(141.4 |
) |
|
|
(136.4 |
) |
|
Proceeds from the sale of properties, plant and equipment and
businesses, net of impacts from the purchase of acquisitions |
|
4.6 |
|
|
|
0.8 |
|
|
|
10.5 |
|
|
|
113.3 |
|
|
Payments for deferred purchase price of acquisitions |
|
(0.5 |
) |
|
|
— |
|
|
|
(1.7 |
) |
|
|
(21.7 |
) |
|
Other |
|
(0.5 |
) |
|
|
(1.2 |
) |
|
|
(3.6 |
) |
|
|
(4.4 |
) |
|
Net cash provided by (used in) investing activities |
|
(41.2 |
) |
|
|
(45.7 |
) |
|
|
(703.8 |
) |
|
|
(496.7 |
) |
|
CASH FLOWS FROM FINANCING ACTIVITIES: |
|
|
|
|
|
|
|
|
Proceeds (payments) on long-term debt, net |
|
(9.1 |
) |
|
|
(118.1 |
) |
|
|
661.2 |
|
|
|
243.1 |
|
|
Dividends paid to Greif, Inc. shareholders |
|
(30.1 |
) |
|
|
(28.8 |
) |
|
|
(89.8 |
) |
|
|
(86.7 |
) |
|
Payments for share repurchases |
|
— |
|
|
|
(4.3 |
) |
|
|
— |
|
|
|
(63.9 |
) |
|
Tax withholding payments for stock-based awards |
|
— |
|
|
|
— |
|
|
|
(10.6 |
) |
|
|
(13.7 |
) |
|
Other |
|
(4.0 |
) |
|
|
(2.4 |
) |
|
|
(19.1 |
) |
|
|
(16.8 |
) |
|
Net cash provided by (used in) financing activities |
|
(43.2 |
) |
|
|
(153.6 |
) |
|
|
541.7 |
|
|
|
62.0 |
|
|
Effects of exchange rates on cash |
|
5.8 |
|
|
|
(3.8 |
) |
|
|
6.6 |
|
|
|
(0.7 |
) |
|
Net increase (decrease) in cash and cash equivalents |
|
(1.8 |
) |
|
|
(0.8 |
) |
|
|
13.3 |
|
|
|
10.6 |
|
|
Cash and cash equivalents, beginning of period |
|
196.0 |
|
|
|
158.5 |
|
|
|
180.9 |
|
|
|
147.1 |
|
|
Cash and cash equivalents, end of period |
$ |
194.2 |
|
|
$ |
157.7 |
|
|
$ |
194.2 |
|
|
$ |
157.7 |
|
|
|
|
|
|
GREIF, INC. AND SUBSIDIARY
COMPANIESFINANCIAL HIGHLIGHTS BY
SEGMENTUNAUDITED |
|
|
|
|
Three months ended July 31, |
|
Nine months ended July 31, |
|
(in millions) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
Net sales: |
|
|
|
|
|
|
|
|
Global Industrial Packaging |
$ |
846.0 |
|
$ |
761.8 |
|
$ |
2,337.4 |
|
$ |
2,215.8 |
|
Paper Packaging & Services |
|
603.6 |
|
|
563.9 |
|
|
1,679.0 |
|
|
1,678.9 |
|
Land Management |
|
4.6 |
|
|
4.6 |
|
|
14.6 |
|
|
15.5 |
|
Total net sales |
$ |
1,454.2 |
|
$ |
1,330.3 |
|
$ |
4,031.0 |
|
$ |
3,910.2 |
|
Gross profit: |
|
|
|
|
|
|
|
|
Global Industrial Packaging |
$ |
185.6 |
|
$ |
176.8 |
|
$ |
502.4 |
|
$ |
480.0 |
|
Paper Packaging & Services |
|
102.5 |
|
|
128.1 |
|
|
272.9 |
|
|
383.7 |
|
Land Management |
|
2.3 |
|
|
2.1 |
|
|
6.8 |
|
|
6.7 |
|
Total gross profit |
$ |
290.4 |
|
$ |
307.0 |
|
$ |
782.1 |
|
$ |
870.4 |
|
Operating profit: |
|
|
|
|
|
|
|
|
Global Industrial Packaging |
$ |
131.8 |
|
$ |
102.0 |
|
$ |
266.1 |
|
$ |
259.2 |
|
Paper Packaging & Services |
|
37.5 |
|
|
52.1 |
|
|
66.9 |
|
|
228.8 |
|
Land Management |
|
1.7 |
|
|
1.5 |
|
|
5.0 |
|
|
5.1 |
|
Total operating profit |
$ |
171.0 |
|
$ |
155.6 |
|
$ |
338.0 |
|
$ |
493.1 |
|
EBITDA(7): |
|
|
|
|
|
|
|
|
Global Industrial Packaging |
$ |
164.3 |
|
$ |
123.8 |
|
$ |
346.8 |
|
$ |
319.5 |
|
Paper Packaging & Services |
|
71.8 |
|
|
85.1 |
|
|
170.6 |
|
|
328.4 |
|
Land Management |
|
2.1 |
|
|
1.9 |
|
|
6.6 |
|
|
6.7 |
|
Total EBITDA |
$ |
238.2 |
|
$ |
210.8 |
|
$ |
524.0 |
|
$ |
654.6 |
|
Adjusted
EBITDA(8): |
|
|
|
|
|
|
|
|
Global Industrial Packaging |
$ |
122.3 |
|
$ |
126.5 |
|
$ |
311.5 |
|
$ |
319.5 |
|
Paper Packaging & Services |
|
69.4 |
|
|
98.1 |
|
|
173.9 |
|
|
293.7 |
|
Land Management |
|
2.0 |
|
|
1.9 |
|
|
6.2 |
|
|
6.4 |
|
Total adjusted EBITDA |
$ |
193.7 |
|
$ |
226.5 |
|
$ |
491.6 |
|
$ |
619.6 |
|
|
(7) EBITDA is defined as net income, plus
interest expense, net, plus income tax (benefit) expense, plus
depreciation, depletion and amortization. However, because the
Company does not calculate net income by segment, this table
calculates EBITDA by segment with reference to operating profit by
segment, which, as demonstrated in the table of Consolidated
EBITDA, is another method to achieve the same result. See the
reconciliations in the table of Segment EBITDA.
(8) Adjusted EBITDA is defined as net income,
plus interest expense, net, plus income tax (benefit) expense, plus
depreciation, depletion and amortization expense, plus acquisition
and integration related costs, plus restructuring charges, plus
non-cash asset impairment charges, plus (gain) loss on disposal of
properties, plants and equipment, net, plus (gain) loss on disposal
of businesses, net, plus fiscal year-end change costs.
|
|
|
GREIF, INC. AND SUBSIDIARY COMPANIESGAAP
TO NON-GAAP RECONCILIATIONCONSOLIDATED ADJUSTED
EBITDAUNAUDITED |
|
|
|
|
Three months ended July 31, |
|
Nine months ended July 31, |
|
(in millions) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
Net income |
$ |
93.6 |
|
|
$ |
96.7 |
|
|
$ |
219.9 |
|
|
$ |
305.8 |
|
|
Plus: Interest expense, net |
|
41.3 |
|
|
|
25.3 |
|
|
|
95.7 |
|
|
|
71.5 |
|
|
Plus: Income tax (benefit) expense |
|
36.2 |
|
|
|
31.1 |
|
|
|
15.0 |
|
|
|
107.9 |
|
|
Plus: Depreciation, depletion and amortization expense |
|
67.1 |
|
|
|
57.7 |
|
|
|
193.4 |
|
|
|
169.4 |
|
|
EBITDA |
$ |
238.2 |
|
|
$ |
210.8 |
|
|
$ |
524.0 |
|
|
$ |
654.6 |
|
|
Net income |
$ |
93.6 |
|
|
$ |
96.7 |
|
|
$ |
219.9 |
|
|
$ |
305.8 |
|
|
Plus: Interest expense, net |
|
41.3 |
|
|
|
25.3 |
|
|
|
95.7 |
|
|
|
71.5 |
|
|
Plus: Other (income) expense, net |
|
0.8 |
|
|
|
3.4 |
|
|
|
9.5 |
|
|
|
9.6 |
|
|
Plus: Income tax (benefit) expense |
|
36.2 |
|
|
|
31.1 |
|
|
|
15.0 |
|
|
|
107.9 |
|
|
Plus: Equity earnings of unconsolidated affiliates, net of tax |
|
(0.9 |
) |
|
|
(0.9 |
) |
|
|
(2.1 |
) |
|
|
(1.7 |
) |
|
Operating profit |
$ |
171.0 |
|
|
$ |
155.6 |
|
|
$ |
338.0 |
|
|
$ |
493.1 |
|
|
Less: Other (income) expense, net |
|
0.8 |
|
|
|
3.4 |
|
|
|
9.5 |
|
|
|
9.6 |
|
|
Less: Equity earnings of unconsolidated affiliates, net of tax |
|
(0.9 |
) |
|
|
(0.9 |
) |
|
|
(2.1 |
) |
|
|
(1.7 |
) |
|
Plus: Depreciation, depletion and amortization expense |
|
67.1 |
|
|
|
57.7 |
|
|
|
193.4 |
|
|
|
169.4 |
|
|
EBITDA |
$ |
238.2 |
|
|
$ |
210.8 |
|
|
$ |
524.0 |
|
|
$ |
654.6 |
|
|
Plus: Acquisition and integration related costs |
|
2.0 |
|
|
|
3.4 |
|
|
|
16.1 |
|
|
|
15.5 |
|
|
Plus: Restructuring charges |
|
2.7 |
|
|
|
8.7 |
|
|
|
1.6 |
|
|
|
13.5 |
|
|
Plus: Non-cash asset impairment charges |
|
0.2 |
|
|
|
1.6 |
|
|
|
1.9 |
|
|
|
3.4 |
|
|
Plus: (Gain) loss on disposal of properties, plants and equipment,
net |
|
(3.4 |
) |
|
|
1.7 |
|
|
|
(6.4 |
) |
|
|
(3.3 |
) |
|
Plus: (Gain) loss on disposal of businesses, net |
|
(46.1 |
) |
|
|
0.3 |
|
|
|
(46.1 |
) |
|
|
(64.1 |
) |
|
Plus: Fiscal year-end change costs |
|
0.1 |
|
|
|
— |
|
|
|
0.5 |
|
|
|
— |
|
|
Adjusted EBITDA |
$ |
193.7 |
|
|
$ |
226.5 |
|
|
$ |
491.6 |
|
|
$ |
619.6 |
|
|
|
| |
|
GREIF, INC. AND SUBSIDIARY COMPANIESGAAP
TO NON-GAAP RECONCILIATIONSEGMENT ADJUSTED
EBITDA(9)UNAUDITED |
| |
| |
Three months ended July 31, |
|
Nine months ended July 31, |
|
(in millions) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
Global Industrial Packaging |
|
|
|
|
|
|
|
|
Operating profit |
|
131.8 |
|
|
|
102.0 |
|
|
|
266.1 |
|
|
|
259.2 |
|
|
Less: Other (income) expense, net |
|
1.2 |
|
|
|
4.0 |
|
|
|
10.7 |
|
|
|
10.9 |
|
|
Less: Equity earnings of unconsolidated affiliates, net of tax |
|
(0.9 |
) |
|
|
(0.9 |
) |
|
|
(2.1 |
) |
|
|
(1.7 |
) |
|
Plus: Depreciation and amortization expense |
|
32.8 |
|
|
|
24.9 |
|
|
|
89.3 |
|
|
|
69.5 |
|
|
EBITDA |
$ |
164.3 |
|
|
$ |
123.8 |
|
|
$ |
346.8 |
|
|
$ |
319.5 |
|
|
Plus: Acquisition and integration related costs |
|
2.0 |
|
|
|
1.3 |
|
|
|
16.1 |
|
|
|
8.8 |
|
|
Plus: Restructuring charges |
|
1.9 |
|
|
|
1.3 |
|
|
|
(5.8 |
) |
|
|
4.2 |
|
|
Plus: Non-cash asset impairment charges |
|
0.1 |
|
|
|
— |
|
|
|
0.5 |
|
|
|
1.5 |
|
|
Plus: (Gain) loss on disposal of properties, plants and equipment,
net |
|
— |
|
|
|
0.1 |
|
|
|
(0.3 |
) |
|
|
(4.6 |
) |
|
Plus: (Gain) loss on disposal of businesses, net |
|
(46.1 |
) |
|
|
— |
|
|
|
(46.1 |
) |
|
|
(9.9 |
) |
|
Plus: Fiscal year-end change costs |
|
0.1 |
|
|
|
— |
|
|
|
0.3 |
|
|
|
— |
|
|
Adjusted EBITDA |
$ |
122.3 |
|
|
$ |
126.5 |
|
|
$ |
311.5 |
|
|
$ |
319.5 |
|
|
Paper Packaging & Services |
|
|
|
|
|
|
|
|
Operating profit |
|
37.5 |
|
|
|
52.1 |
|
|
|
66.9 |
|
|
|
228.8 |
|
|
Less: Other (income) expense, net |
|
(0.4 |
) |
|
|
(0.6 |
) |
|
|
(1.2 |
) |
|
|
(1.3 |
) |
|
Plus: Depreciation and amortization expense |
|
33.9 |
|
|
|
32.4 |
|
|
|
102.5 |
|
|
|
98.3 |
|
|
EBITDA |
$ |
71.8 |
|
|
$ |
85.1 |
|
|
$ |
170.6 |
|
|
$ |
328.4 |
|
|
Plus: Acquisition and integration related costs |
|
— |
|
|
|
2.1 |
|
|
|
— |
|
|
|
6.7 |
|
|
Plus: Restructuring charges |
|
0.8 |
|
|
|
7.4 |
|
|
|
7.4 |
|
|
|
9.3 |
|
|
Plus: Non-cash asset impairment charges |
|
0.1 |
|
|
|
1.6 |
|
|
|
1.4 |
|
|
|
1.9 |
|
|
Plus: (Gain) loss on disposal of properties, plants and equipment,
net |
|
(3.3 |
) |
|
|
1.6 |
|
|
|
(5.7 |
) |
|
|
1.6 |
|
|
Plus: (Gain) loss on disposal of businesses, net |
|
— |
|
|
|
0.3 |
|
|
|
— |
|
|
|
(54.2 |
) |
|
Plus: Fiscal year-end change costs |
|
— |
|
|
|
— |
|
|
|
0.2 |
|
|
|
— |
|
|
Adjusted EBITDA |
$ |
69.4 |
|
|
$ |
98.1 |
|
|
$ |
173.9 |
|
|
$ |
293.7 |
|
|
Land Management |
|
|
|
|
|
|
|
|
Operating profit |
|
1.7 |
|
|
|
1.5 |
|
|
|
5.0 |
|
|
|
5.1 |
|
|
Plus: Depreciation and depletion expense |
|
0.4 |
|
|
|
0.4 |
|
|
|
1.6 |
|
|
|
1.6 |
|
|
EBITDA |
$ |
2.1 |
|
|
$ |
1.9 |
|
|
$ |
6.6 |
|
|
$ |
6.7 |
|
|
Plus: (Gain) loss on disposal of properties, plants and equipment,
net |
|
(0.1 |
) |
|
|
— |
|
|
|
(0.4 |
) |
|
|
(0.3 |
) |
|
Adjusted EBITDA |
$ |
2.0 |
|
|
$ |
1.9 |
|
|
$ |
6.2 |
|
|
$ |
6.4 |
|
|
Consolidated EBITDA |
$ |
238.2 |
|
|
$ |
210.8 |
|
|
$ |
524.0 |
|
|
$ |
654.6 |
|
|
Consolidated adjusted EBITDA |
$ |
193.7 |
|
|
$ |
226.5 |
|
|
$ |
491.6 |
|
|
$ |
619.6 |
|
|
|
(9) Adjusted EBITDA is defined as net income,
plus interest expense, net, plus income tax (benefit) expense, plus
depreciation, depletion and amortization expense, plus acquisition
and integration related costs, plus restructuring charges, plus
non-cash asset impairment charges, plus (gain) loss on disposal of
properties, plants and equipment, net, plus (gain) loss on disposal
of businesses, net, plus fiscal year-end change costs. However,
because the Company does not calculate net income by segment, this
table calculates adjusted EBITDA by segment with reference to
operating profit by segment, which, as demonstrated in the table of
consolidated adjusted EBITDA, is another method to achieve the same
result.
| |
|
GREIF, INC. AND SUBSIDIARY COMPANIESGAAP
TO NON-GAAP RECONCILIATIONADJUSTED FREE CASH
FLOW(10)UNAUDITED |
| |
| |
Three months ended July 31, |
|
Nine months ended July 31, |
|
(in millions) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
|
Net cash provided by operating activities |
$ |
76.8 |
|
|
$ |
202.3 |
|
|
$ |
168.8 |
|
|
$ |
446.0 |
|
|
Cash paid for purchases of properties, plants and equipment |
|
(44.8 |
) |
|
|
(45.3 |
) |
|
|
(141.4 |
) |
|
|
(136.4 |
) |
|
Free cash flow |
$ |
32.0 |
|
|
$ |
157.0 |
|
|
$ |
27.4 |
|
|
$ |
309.6 |
|
|
Cash paid for acquisition and integration related costs |
|
2.0 |
|
|
|
3.4 |
|
|
|
16.1 |
|
|
|
15.5 |
|
|
Cash paid for integration related ERP systems and
equipment(11) |
|
0.2 |
|
|
|
1.3 |
|
|
|
1.1 |
|
|
|
3.6 |
|
|
Cash paid for taxes related to Tama, Iowa mill divestment |
|
— |
|
|
|
5.4 |
|
|
|
— |
|
|
|
16.3 |
|
|
Cash paid for fiscal year-end change costs |
|
0.1 |
|
|
|
— |
|
|
|
0.5 |
|
|
$ |
— |
|
|
Adjusted free cash flow |
$ |
34.3 |
|
|
$ |
167.1 |
|
|
$ |
45.1 |
|
|
$ |
345.0 |
|
|
|
(10) Adjusted free cash flow is defined as net
cash provided by operating activities, less cash paid for purchases
of properties, plants and equipment, plus cash paid for acquisition
and integration related costs, plus cash paid for integration
related ERP systems and equipment, plus cash paid for taxes related
to Tama, Iowa mill divestment, plus cash paid for fiscal year-end
change costs.
(11) Cash paid for integration related ERP
systems and equipment is defined as cash paid for ERP systems and
equipment required to bring the acquired facilities to Greif’s
standards.
|
|
|
GREIF, INC. AND SUBSIDIARY COMPANIESGAAP
TO NON-GAAP RECONCILIATIONNET INCOME, CLASS A
EARNINGS PER SHARE AND TAX RATE BEFORE
ADJUSTMENTSUNAUDITED |
|
|
|
(in millions, except for per share amounts) |
Income before Income Tax (Benefit) Expense and Equity
Earnings of Unconsolidated Affiliates, net |
|
Income Tax (Benefit) Expense |
|
Equity Earnings |
|
Non-Controlling Interest |
|
Net Income (Loss) Attributable to Greif, Inc. |
|
Diluted Class A Earnings Per Share |
|
Tax Rate |
|
Three months ended July 31, 2024 |
$ |
128.9 |
|
|
$ |
36.2 |
|
|
$ |
(0.9 |
) |
|
$ |
6.5 |
|
$ |
87.1 |
|
|
$ |
1.50 |
|
|
28.1 |
% |
|
Acquisition and integration related costs |
|
2.0 |
|
|
|
0.5 |
|
|
|
— |
|
|
|
— |
|
|
1.5 |
|
|
|
0.04 |
|
|
|
|
Restructuring charges |
|
2.7 |
|
|
|
0.6 |
|
|
|
— |
|
|
|
— |
|
|
2.1 |
|
|
|
0.03 |
|
|
|
|
Non-cash asset impairment charges |
|
0.2 |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
|
0.1 |
|
|
|
— |
|
|
|
|
(Gain) loss on disposal of properties, plants and equipment,
net |
|
(3.4 |
) |
|
|
(0.9 |
) |
|
|
— |
|
|
|
— |
|
|
(2.5 |
) |
|
|
(0.04 |
) |
|
|
|
(Gain) loss on disposal of businesses, net |
|
(46.1 |
) |
|
|
(17.3 |
) |
|
|
— |
|
|
|
— |
|
|
(28.8 |
) |
|
|
(0.50 |
) |
|
|
|
Fiscal year-end change costs |
|
0.1 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
0.1 |
|
|
|
— |
|
|
|
|
Excluding adjustments |
$ |
84.4 |
|
|
$ |
19.2 |
|
|
$ |
(0.9 |
) |
|
$ |
6.5 |
|
$ |
59.6 |
|
|
$ |
1.03 |
|
|
22.7 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended July 31, 2023 |
$ |
126.9 |
|
|
$ |
31.1 |
|
|
$ |
(0.9 |
) |
|
$ |
6.4 |
|
$ |
90.3 |
|
|
$ |
1.55 |
|
|
24.5 |
% |
|
Acquisition and integration related costs |
|
3.4 |
|
|
|
0.9 |
|
|
|
— |
|
|
|
— |
|
|
2.5 |
|
|
|
0.04 |
|
|
|
|
Restructuring charges |
|
8.7 |
|
|
|
2.1 |
|
|
|
— |
|
|
|
— |
|
|
6.6 |
|
|
|
0.11 |
|
|
|
|
Non-cash asset impairment charges |
|
1.6 |
|
|
|
0.4 |
|
|
|
— |
|
|
|
— |
|
|
1.2 |
|
|
|
0.02 |
|
|
|
|
(Gain) loss on disposal of properties, plants and equipment,
net |
|
1.7 |
|
|
|
(0.2 |
) |
|
|
— |
|
|
|
— |
|
|
1.9 |
|
|
|
0.03 |
|
|
|
|
(Gain) loss on disposal of businesses, net |
|
0.3 |
|
|
|
0.7 |
|
|
|
— |
|
|
|
— |
|
|
(0.4 |
) |
|
|
— |
|
|
|
|
Excluding adjustments |
$ |
142.6 |
|
|
$ |
35.0 |
|
|
$ |
(0.9 |
) |
|
$ |
6.4 |
|
$ |
102.1 |
|
|
$ |
1.75 |
|
|
24.5 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended July 31, 2024 |
$ |
232.8 |
|
|
$ |
15.0 |
|
|
$ |
(2.1 |
) |
|
$ |
21.2 |
|
$ |
198.7 |
|
|
$ |
3.44 |
|
|
6.4 |
% |
|
Acquisition and integration related costs |
|
16.1 |
|
|
|
4.0 |
|
|
|
— |
|
|
|
— |
|
|
12.1 |
|
|
|
0.21 |
|
|
|
|
Restructuring charges |
|
1.6 |
|
|
|
0.3 |
|
|
|
— |
|
|
|
— |
|
|
1.3 |
|
|
|
0.02 |
|
|
|
|
Non-cash asset impairment charges |
|
1.9 |
|
|
|
0.5 |
|
|
|
— |
|
|
|
— |
|
|
1.4 |
|
|
|
0.02 |
|
|
|
|
(Gain) loss on disposal of properties, plants and equipment,
net |
|
(6.4 |
) |
|
|
(1.6 |
) |
|
|
— |
|
|
|
— |
|
|
(4.8 |
) |
|
|
(0.08 |
) |
|
|
|
(Gain) loss on disposal of businesses, net |
|
(46.1 |
) |
|
|
(17.3 |
) |
|
|
— |
|
|
|
— |
|
|
(28.8 |
) |
|
|
(0.50 |
) |
|
|
|
Fiscal year-end change costs |
|
0.5 |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
|
0.4 |
|
|
|
0.01 |
|
|
|
|
Excluding adjustments |
$ |
200.4 |
|
|
$ |
1.0 |
|
|
$ |
(2.1 |
) |
|
$ |
21.2 |
|
$ |
180.3 |
|
|
$ |
3.12 |
|
|
0.5 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended July 31, 2023 |
$ |
412.0 |
|
|
$ |
107.9 |
|
|
$ |
(1.7 |
) |
|
$ |
14.4 |
|
$ |
291.4 |
|
|
$ |
4.99 |
|
|
26.2 |
% |
|
Acquisition and integration related costs |
|
15.5 |
|
|
|
3.8 |
|
|
|
— |
|
|
|
— |
|
|
11.7 |
|
|
|
0.20 |
|
|
|
|
Restructuring charges |
|
13.5 |
|
|
|
3.2 |
|
|
|
— |
|
|
|
0.1 |
|
|
10.2 |
|
|
|
0.17 |
|
|
|
|
Non-cash asset impairment charges |
|
3.4 |
|
|
|
0.8 |
|
|
|
— |
|
|
|
— |
|
|
2.6 |
|
|
|
0.04 |
|
|
|
|
(Gain) loss on disposal of properties, plants and equipment,
net |
|
(3.3 |
) |
|
|
(0.6 |
) |
|
|
— |
|
|
|
— |
|
|
(2.7 |
) |
|
|
(0.05 |
) |
|
|
|
(Gain) loss on disposal of businesses, net |
|
(64.1 |
) |
|
|
(18.7 |
) |
|
|
— |
|
|
|
— |
|
|
(45.4 |
) |
|
|
(0.77 |
) |
|
|
|
Excluding adjustments |
$ |
377.0 |
|
|
$ |
96.4 |
|
|
$ |
(1.7 |
) |
|
$ |
14.5 |
|
$ |
267.8 |
|
|
$ |
4.58 |
|
|
25.6 |
% |
|
|
The impact of income tax (benefit) expense and
non-controlling interest on each adjustment is calculated based on
tax rates and ownership percentages specific to each applicable
entity.
|
|
|
GREIF, INC. AND SUBSIDIARY COMPANIES GAAP
TO NON-GAAP RECONCILIATION NET
DEBTUNAUDITED |
|
|
|
(in millions) |
July 31, 2024 |
|
April 30, 2024 |
|
July 31, 2023 |
|
Total debt |
$ |
2,909.5 |
|
|
$ |
2,916.1 |
|
|
$ |
2,171.5 |
|
|
Cash and cash equivalents |
|
(194.2 |
) |
|
|
(196.0 |
) |
|
|
(157.7 |
) |
|
Net debt |
$ |
2,715.3 |
|
|
$ |
2,720.1 |
|
|
$ |
2,013.8 |
|
|
|
|
|
|
GREIF, INC. AND SUBSIDIARY COMPANIES GAAP
TO NON-GAAP RECONCILIATION LEVERAGE
RATIOUNAUDITED |
|
|
|
Trailing twelve month Credit Agreement EBITDA(in
millions) |
Trailing Twelve Months Ended
7/31/2024(15) |
Trailing Twelve Months Ended 7/31/2024 |
Trailing Twelve Months Ended 4/30/2024 |
Trailing Twelve Months Ended 7/31/2023 |
|
Net income |
$ |
293.2 |
|
$ |
293.2 |
|
$ |
296.3 |
|
$ |
408.4 |
|
|
Plus: Interest expense, net |
|
120.5 |
|
|
120.5 |
|
|
104.5 |
|
|
88.4 |
|
|
Plus: Income tax expense |
|
24.9 |
|
|
24.9 |
|
|
19.8 |
|
|
139.6 |
|
|
Plus: Depreciation, depletion and amortization expense |
|
254.6 |
|
|
254.6 |
|
|
245.2 |
|
|
220.6 |
|
|
EBITDA |
$ |
693.2 |
|
$ |
693.2 |
|
$ |
665.8 |
|
$ |
857.0 |
|
|
Plus: Acquisition and integration related costs |
|
19.6 |
|
|
19.6 |
|
|
21.0 |
|
|
18.4 |
|
|
Plus: Restructuring charges |
|
6.8 |
|
|
6.8 |
|
|
12.8 |
|
|
16.2 |
|
|
Plus: Non-cash asset impairment charges |
|
18.8 |
|
|
18.8 |
|
|
20.2 |
|
|
11.3 |
|
|
Plus: (Gain) loss on disposal of properties, plants and equipment,
net |
|
(5.6 |
) |
|
(5.6 |
) |
|
(0.5 |
) |
|
(3.3 |
) |
|
Plus: (Gain) loss on disposal of businesses, net |
|
(46.0 |
) |
|
(46.0 |
) |
|
0.4 |
|
|
(61.3 |
) |
|
Plus: Non-cash pension settlement charges |
|
3.5 |
|
|
3.5 |
|
|
3.5 |
|
|
— |
|
|
Plus: Fiscal year-end change costs |
|
0.5 |
|
|
0.5 |
|
|
0.4 |
|
|
— |
|
|
Adjusted EBITDA |
$ |
690.8 |
|
$ |
690.8 |
|
$ |
723.6 |
|
$ |
838.3 |
|
|
Credit Agreement adjustments to EBITDA(12) |
|
10.7 |
|
|
21.4 |
|
|
38.2 |
|
|
13.5 |
|
|
Credit Agreement EBITDA |
$ |
701.5 |
|
$ |
712.2 |
|
$ |
761.8 |
|
$ |
851.8 |
|
| |
|
|
|
|
|
Adjusted net debt(in millions) |
For the Period Ended
7/31/2024(15) |
For the Period Ended 7/31/2024 |
For the Period Ended 4/30/2024 |
For the Period Ended 7/31/2023 |
|
Total debt |
$ |
2,909.5 |
|
$ |
2,909.5 |
|
$ |
2,916.1 |
|
$ |
2,171.5 |
|
|
Cash and cash equivalents |
|
(283.2 |
) |
|
(194.2 |
) |
|
(196.0 |
) |
|
(157.7 |
) |
|
Net debt |
$ |
2,626.3 |
|
$ |
2,715.3 |
|
$ |
2,720.1 |
|
$ |
2,013.8 |
|
|
Credit Agreement adjustments to debt(13) |
|
(106.8 |
) |
|
(106.8 |
) |
|
(97.0 |
) |
|
(166.3 |
) |
|
Adjusted net debt |
$ |
2,519.5 |
|
$ |
2,608.5 |
|
$ |
2,623.1 |
|
$ |
1,847.5 |
|
| |
|
|
|
|
|
Leverage
ratio(14) |
3.59x |
|
3.66x |
|
3.44x |
|
2.17x |
|
|
|
(12) Adjustments to EBITDA are specified by the
2022 Credit Agreement and include equity earnings of unconsolidated
affiliates, net of tax, certain acquisition savings, deferred
financing costs, capitalized interest, income and expense in
connection with asset dispositions, and other items.
(13) Adjustments to net debt are specified by
the 2022 Credit Agreement and include the European accounts
receivable program, letters of credit, balances for swap contracts,
and other items.
(14) Leverage ratio is defined as Credit
Agreement adjusted net debt divided by Credit Agreement adjusted
EBITDA.
(15) Assumes the divestment of Delta net cash
proceeds had been received in the third quarter and included in
cash and cash equivalents as of July 31, 2024.
| |
|
GREIF, INC. AND SUBSIDIARY COMPANIES
PROJECTED 2024 GUIDANCE
RECONCILIATION ADJUSTED FREE CASH
FLOWUNAUDITED |
| |
| |
Fiscal 2024 Guidance
Range |
|
(in millions) |
Scenario 1 |
Scenario 2 |
|
Net cash provided by operating activities |
$ |
322.0 |
|
$ |
388.0 |
|
|
Cash paid for purchases of properties, plants and equipment |
|
(178.0 |
) |
|
(200.0 |
) |
|
Free cash flow |
$ |
144.0 |
|
$ |
188.0 |
|
|
Cash paid for acquisition and integration related costs |
|
26.8 |
|
|
30.8 |
|
|
Cash paid for integration related ERP systems and equipment |
|
3.0 |
|
|
5.0 |
|
|
Cash paid for fiscal year-end change costs |
|
1.2 |
|
|
1.2 |
|
|
Adjusted free cash flow |
$ |
175.0 |
|
$ |
225.0 |
|
|
|
Greif (NYSE:GEF.B)
過去 株価チャート
から 11 2024 まで 12 2024
Greif (NYSE:GEF.B)
過去 株価チャート
から 12 2023 まで 12 2024
