Business
Reynolds Consumer Products Reports Fourth Quarter and Fiscal Year 2022 Financial Results
Three of Four Segments Report Record Quarterly Profit Comprehensive Recovery Plan Launched for Reynolds Cooking & Baking Anticipate Return to Pre-Pandemic
About this update from Reynolds Consumer Products Inc.
[{"type":"text","content":"\nThree of Four Segments Report Record Quarterly Profit\n\nComprehensive Recovery Plan Launched for Reynolds Cooking & Baking\n\nAnticipate Return to Pre-Pandemic Profitability in 2023\n\n LAKE FOREST, Ill.--(BUSINESS WIRE)--\nReynolds Consumer Products Inc. (“Reynolds,” “RCP” or the “Company”) (Nasdaq: REYN) today reported financial results for the fourth quarter and fiscal year ended December 31, 2022.\n\nFiscal Year 2022 Highlights\n\n\nNet Revenues of $3,817 million, up 7% over prior year net revenues\n\n\nNet Income of $258 million; Adjusted Net Income of $269 million\n\n\nAdjusted EBITDA of $546 million\n\n\nEarnings Per Share of $1.23; Adjusted Earnings Per Share of $1.28\n\n\nNet revenues increased 7% as pricing more than offset a volume decline driven primarily by price elasticity and increased activity outside the home. Net income decreased 20% versus the prior year, while Adjusted EBITDA decreased 9%, due to lower volume and higher advertising costs, partially offset by the timing of pricing actions to recover increased material, manufacturing and logistics costs.\n\n“We reported another year of record net revenues and enter 2023 with increased market share and consumption levels well above pre-pandemic levels in multiple categories,” said Lance Mitchell, President and Chief Executive Officer. “We are encouraged by three of four segments’ recovery to pre-pandemic profitability and record profits in the fourth quarter. However, Reynolds Cooking & Baking performance was disappointing due to a combination of operational inefficiencies and lower volume. We are working to mitigate the impact of these challenges and have launched a comprehensive plan to improve Reynolds Cooking & Baking operations and performance, including organizational changes, redesign of equipment reliability practices and new initiatives aimed at driving operational excellence. We expect our execution of this plan to contribute to our anticipated return to pre-pandemic profitability over the course of 2023.”\n\nFourth Quarter 2022 Highlights\n\n\nNet Revenues of $1,089 million, up 7% over Q4 prior year net revenues\n\n\nNet Income of $107 million; Adjusted Net Income of $111 million\n\n\nAdjusted EBITDA of $200 million\n\n\nEarnings Per Share of $0.51; Adjusted Earnings Per Share of $0.53\n\n\nNet revenues also increased 7% in the quarter as pricing m...