Business
Reynolds Consumer Products Reports First Quarter Financial Results
Continued Pricing to Offset Cost Increases Market Share Remains Strong Prioritizing Reyvolution Cost Savings Initiatives LAKE FOREST, Ill.--(BUSINESS WIRE)--
About this update from Reynolds Consumer Products Inc.
[{"type":"text","content":"\nContinued Pricing to Offset Cost Increases\n\nMarket Share Remains Strong\n\nPrioritizing Reyvolution Cost Savings Initiatives\n\n LAKE FOREST, Ill.--(BUSINESS WIRE)--\nReynolds Consumer Products Inc. (“Reynolds,” “RCP” or the “Company”) (Nasdaq: REYN) today reported results for the first quarter ended March 31, 2022.\n\nFirst Quarter 2022 Highlights\n\n\nNet Revenues of $845 million, up 12% over Q1 prior year net revenues\n\n\nNet Income of $52 million; Adjusted Net Income of $55 million\n\n\nAdjusted EBITDA of $112 million\n\n\nEarnings Per Share of $0.25; Adjusted Earnings Per Share of $0.26\n\n\nNet revenues increased 12% on top of record first quarter net revenues in 2021, primarily driven by price increases. Net income was $52 million, down 30% versus last year’s first quarter net income, and Adjusted EBITDA was $112 million, down 20% versus last year’s first quarter Adjusted EBITDA, driven by higher material, manufacturing, logistics and advertising costs as well as lower volume, which were significantly offset by price increases.\n\n“We continue growing share in most of our categories and began 2022 with another solid quarter demonstrating our commitment to price leadership,” said Lance Mitchell, President and Chief Executive Officer. “We are innovating and investing in our categories while also recovering profitability in a dynamic environment. I remain exceptionally proud of the RCP team and see tremendous potential for our business.”\n\nReynolds Cooking & Baking\n\n\nNet revenues decreased $4 million, or -1%\n\n\nAdjusted EBITDA decreased $25 million, or -47%\n\n\nNet revenues decreased 1% as price increases were more than offset by lower volume. Adjusted EBITDA decreased 47% driven by lower volume and material cost increases in excess of price increases.\n\nVolume decreased 14% driven by timing of retailer inventory replenishment as well as lower consumption and reroll sales.\n\nThe Company continues to see significant benefits from recent product introductions, including Reynolds Wrap Everyday Non-stick Foil, Reynolds Kitchens Unbleached Parchment and Reynolds Kitchens Butcher Paper. International also continued to grow driven by product portfolio expansion.\n\nHefty Waste & Storage\n\n\nNet revenues increased $34 million, or 18%\n\n\nAdjusted EBITDA increased $1 million, or 2%\n\n\nNet revenues increased 18% driv...