Reynolds Consumer Products Inc. · NASDAQ:REYN
Reynolds Consumer Products — Q4 2023 Earnings Presentation
24 slides from Reynolds Consumer Products's earnings presentation, Feb 7, 2024
Slide 1: Q4 & FY 2023 Earnings Call
Q4 & FY 2023 Earnings Call February 7, 2024
Slide 2: Safe Harbor
Safe Harbor This presentation contains statements reflecting our views about our future performance that constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including our first quarter and full year 2024 guidance. In some cases, you can
Slide 3: At-A-Glance
At-A-Glance Headquarters: Lake Forest, IL Nasdaq: REYN $3,756M ~6,000 IPO January 2020 2023 Net Revenues Employees #1 or #2 US market share position in majority of product categories 95% of households across the US have at least 1 RCP product
Slide 4: Our products simplify daily life so you can enjoy what matters most
Our products simplify daily life so you can enjoy what matters most We make cooking, serving, clean-up and storage simpler and easier, providing people a little more time for the things that matter
Slide 5: Successful Execution Against Our 2023 Priorities
Successful Execution Against Our 2023 Priorities ✓ Maintained strong position of category leadership in all of our business segments • Innovated across our categories • Focused on sustainable solutions ✓ Executed against our Reynolds Cooking & Baking Recovery Plan • Drove major improvements in our m
Slide 6: CEO quote on 2023 performance
“Reynolds Consumer Products is performing very well in a challenging economic environment, and I am extremely proud of all that our team accomplished in 2023. We increased market share in our largest categories, restored operational stability in the Reynolds Cooking & Baking business, outperformed o
Slide 7: Full Year 2023 Financial Highlights
Full Year 2023 Financial Highlights $3,756m $636m 17% Net Revenues Adj. EBITDA1 Adj. EBITDA margin1 Net Revenues By Segment2 Adj EBITDA By Segment1,2 Reynolds Cooking & Baking Reynolds Cooking & Baking Hefty Waste & Storage Hefty Waste & Storage Hefty Tableware Hefty Tableware Presto Products Presto
Slide 8: Q4 2023 Financial Highlights
Q4 2023 Financial Highlights $1,007m $238m 24% Net Revenues Adj. EBITDA1 Adj. EBITDA margin1 Net Revenues By Segment2 Adj EBITDA By Segment1,2 Reynolds Cooking & Baking Reynolds Cooking & Baking Hefty Waste & Storage Hefty Waste & Storage Hefty Tableware Hefty Tableware Presto Products Presto Produc
Slide 9: Reynolds Cooking & Baking
Reynolds Cooking & Baking Segment Results Q4 ’23 Q4 ’22 Net Revenues $357 million $398 million Adj. EBITDA $89 million $45 million % Adj. EBITDA margin 25% 11% Adjusted EBITDA doubled, reflecting execution of the Reynolds Cooking & Baking recovery plan, ongoing work to optimize the retail product po
Slide 10: Hefty Waste & Storage
Hefty Waste & Storage Segment Results Q4 ’23 Q4 ’22 Net Revenues $237 million $242 million Adj. EBITDA $73 million $72 million % Adj. EBITDA margin 31% 30% Adjusted EBITDA increased slightly as lower operational costs were largely offset by investments to support growth. Volume increased 1% as Hefty
Slide 11: Hefty Tableware
Hefty Tableware Segment Results Q4 ’23 Q4 ’22 Net Revenues $259 million $297 million Adj. EBITDA $58 million $62 million % Adj. EBITDA margin 22% 21% Adjusted EBITDA decreased 6% reflecting lower volume. Volume declines moderated to down 7% as improved holiday-related features, displays and promotio
Slide 12: Presto Products
Presto Products Segment Results Q4 ’23 Q4 ’22 Net Revenues $153 million $156 million Adj. EBITDA $34 million $30 million % Adj. EBITDA margin 22% 19% Adjusted EBITDA increased 13% primarily reflecting lower operational costs. Volume decreased 3% driven by initiatives to optimize the retail product p
Slide 13: 2024 Outlook
2024 Outlook
Slide 14: 2024 Priorities
2024 Priorities ✓ Protect and drive volume by leveraging our competitively advantaged business model and investing in our categories and product innovation ✓ Innovate with new sustainable solutions and other new products to further differentiate our offerings in our categories ✓ Continue to optimize
Slide 15: Q1 and Full Year 2024 Outlook
Q1 and Full Year 2024 Outlook Metric Q1 2024 Outlook FY 2024 Outlook Net Revenues $795 to 820 million $3,530 to $3,640 million Net Income $44 to $48 million $331 to $347 million Adjusted EBITDA $115 to $120 million $660 to $680 million Earnings Per Share $0.21 to $0.23 $1.57 to $1.65 Net Debt (at De
Slide 16: Advancing Sustainability Through Innovative Solutions
Advancing Sustainability Through Innovative Solutions Please refer to the Hefty.com and ReynoldsBrands.com for specific product and packaging features
Slide 17: Reconciliation Tables
cree ee Reconciliation Tables
Slide 18: Non-GAAP Financial Measures
Non-GAAP Financial Measures We use non-GAAP financial measures “Adjusted EBITDA,” “Adjusted Net Income,” “Adjusted Earnings Per Share,” “Net Debt,” “Net Debt to Trailing Twelve Months Adjusted EBITDA,” and “Free Cash Flow” in evaluating our past results and future prospects. We define Adjusted EBITD
Slide 19: Reconciliation of Net Income to Adjusted EBITDA
Reconciliation of Net Income to Adjusted EBITDA
Slide 20: Adjusted Net Income and EPS Reconciliation
Adjusted Net Income and EPS Reconciliation
Slide 21: Reconciliation of Total Debt to Net Debt and Net Debt to Adjusted EBITDA
Reconciliation of Total Debt to Net Debt and Calculation of Net Debt to Trailing Twelve Months Adjusted EBITDA
Slide 22: Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
Slide 23: Reconciliation of Q1 2024 and FY2024 Net Income Guidance to Adjusted EBITDA Guidance
Reconciliation of Q1 2024 and FY2024 Net Income Guidance to Adjusted EBITDA Guidance
Slide 24: Reynolds Consumer Products
Reynolds Y) Consumer Products
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