Greif Inc. · NYSE:GEF
Greif — Q3 2024 Earnings Presentation
21 slides from Greif's earnings presentation, Aug 29, 2024
Slide 1: Fiscal Third Quarter 2024 Earnings Conference Call
Fiscal Third Quarter 2024 Earnings Conference Call August 29, 2024
Slide 2: Safe Harbor
Safe Harbor August 29, 2024 P.2
Slide 3: Build to Last: Solidifying Our Core Competitive Advantages
Build to Last: Solidifying Our Core Competitive Advantages OUR PURPOSE We create packaging solutions for life’s essentials OUR VISION Be the best performing customer service company in the world OUR BUILD TO LAST CREATING DELIVERING PROTECTING ENSURING STRATEGIC THRIVING COMMUNITIES LEGENDARY OUR FU
Slide 4: Global Markets: Capturing Value Through Customer Relationships
Global Markets: Capturing Value Through Customer Relationships Regional volume performance (year-over-year) and current market trends Our core competitive advantage of legendary customer service is resulting in outperformance when demand recovers North GIP 0.5% America PPS 2.9% EMEA 8.6% ▪ GIP: Mixe
Slide 5: Fiscal Third Quarter 2024 Key Highlights
Fiscal Third Quarter 2024 Key Highlights Executing effectively on our long-term strategy, while managing the present diligently ▪ Nearing completion of ongoing operating model change; Structured playbook in place to capitalize on our core competitive advantages, maximize value in our go-to-market ap
Slide 6: Global Industrial Packaging (GIP) Review
Global Industrial Packaging (GIP) Review FINANCIAL PERFORMANCE ($M) Q3 FY23 Q3 FY24 Net sales $761.8 $846.0 Gross profit $176.8 $185.6 Adjusted EBITDA1 $126.5 $122.3 Adjusted EBITDA % 16.6% 14.5% FQ3 ‘24 TAKEAWAYS ▪ End markets remained mixed globally, however positive momentum occurred with volumes
Slide 7: Paper Packaging & Services (PPS) Review
Paper Packaging & Services (PPS) Review FINANCIAL PERFORMANCE ($M) Q3 FY23 Q3 FY24 Net sales $563.9 $603.6 Gross profit $128.1 $102.5 Adjusted EBITDA1 $98.1 $69.4 Adjusted EBITDA % 17.4% 11.5% FQ3 ‘24 TAKEAWAYS ▪ Corrugated volumes improved year-over-year; margin profile improved sequentially due to
Slide 8: Reaffirming Fiscal 2024 Guidance
Reaffirming Fiscal 2024 Guidance FISCAL 2024 GUIDANCE ($M) KEY GUIDANCE ASSUMPTIONS Provided Provided Change Q2’24 Q3’24 (Midpoint) Financial assumptions ($M) 1 Adjusted EBITDA Range DD&A $260 - $270 $260 - $270 $- $675 – $725 Adj. Capital expenditures Cash interest expense $175 - $195 $138 - $144 $
Slide 9: Ensuring Financial Strength Through Disciplined Capital Allocation
Ensuring Financial Strength Through Disciplined Capital Allocation ▪ Fund critical maintenance and safety capex to protect the business Growth and ensure continuity of cash generation Maintenance CAPEX Maintain a Strong ▪ Manage the balance sheet and debt levels appropriately CAPEX Foundation throug
Slide 10: Evolving Our Organization to Better Pursue Market-Aligned Growth
We Are in the Process of Evolving Our Organization to Better Pursue Market-Aligned Growth and Maximize Effectiveness of our Business System Core Material Solution Verticals Underlying Products POLYMERS METALS PAPER INTEGRATED PRODUCTS LAND Boxboard and Small Plastics Steel Closures and Accessories L
Slide 11: Portfolio Transformation Toward a Larger Polymer-Based Product Mix
Our Portfolio Transformation Continues to Obtain a Larger Polymer-Based Product Mix with Strong Secular Growth & Margins Sales Dollars by Material Solution POLYMERS METALS C-BOARD B-BOARD FIBRE OTHER ~10% ~20% ~15% FY 2015 FY 2022 FY 2024 YTD Our investments in polymer-based products are EBITDA & FC
Slide 12: Driving Long-Term Value Creation Through Strategic Execution
Driving Long-Term Value Creation Through Strategic Execution Utilizing the Build to Last Strategy to set up Greif for the next wave of accelerated growth ▪ Build to Last leverages our competitive advantages and core competencies to maintain our global leading positions while driving accelerated grow
Slide 13: Appendix
Fiscal Third Quarter 2024 Earnings Conference Call Appendix August 29, 2024 P.13
Slide 14: Save the Date: Investor Day 2024
GREIF F\ aes SAVE THE DATE INVESTOR DAY 2024 WEDNESDAY, DECEMBER 11 Join Ole Rosgaard, President & CEO, Larry Hilsheimer, EVP & CFO and our Executive Leadership Team to discuss the next evolution of the Build to Last Strategy. Convene Event Center or by Webcast 75 Rockefeller Plaza | New York, NY Fo
Slide 15: Sales Breakdown for Primary Products
Sales Breakdown for Primary Products August 29, 2024 P.15
Slide 16: GAAP to Non-GAAP Reconciliation: Net Income to Adjusted EBITDA
GAAP to Non-GAAP Reconciliation: Reconciliation of Net Income to Adjusted EBITDA Non-GAAP 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
Slide 17: GAAP to Non-GAAP Reconciliation: Segment Operating Profit to Adjusted EBITDA
GAAP to Non-GAAP Reconciliation: Reconciliation of Segment Operating Profit to Adjusted EBITDA Non-GAAP 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
Slide 18: GAAP to Non-GAAP Reconciliation: Adjusted Free Cash Flow
GAAP to Non-GAAP Reconciliation: Reconciliation of Adjusted Free Cash Flow Non-GAAP 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 finan
Slide 19: GAAP to Non-GAAP Reconciliation: Net Income and Class A EPS
GAAP to Non-GAAP Reconciliation: Reconciliation of Net Income and Class A Earnings Per Share Excluding Adjustments Non-GAAP 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 co
Slide 20: GAAP to Non-GAAP Reconciliation: Compliance Leverage Ratio and Net Debt
GAAP to Non-GAAP Reconciliation: Reconciliation of Compliance Leverage Ratio and Net Debt Non-GAAP 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
Slide 21: GAAP to Non-GAAP Reconciliation: 2024 Adjusted Free Cash Flow Guidance
GAAP to Non-GAAP Reconciliation: Reconciliation of 2024 Adjusted Free Cash Flow Guidance Non-GAAP 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