Core Viewpoint - Greif, Inc. reported strong fiscal first quarter 2026 results, demonstrating significant growth in Adjusted EBITDA and net income, despite a challenging demand environment [6][9]. Financial Highlights - Net income increased to $176.6 million or $3.00 per diluted Class A share, compared to $6.6 million or $0.13 per diluted Class A share in the previous year, marking a substantial increase [9]. - Adjusted EBITDA rose by 24.0% to $122.5 million from $98.8 million year-over-year [9]. - Total debt decreased by $1,896.2 million to $944.0 million, primarily due to debt repayment from the divestiture of the Containerboard Business [9]. - The leverage ratio improved to 1.2x from 3.6x in the prior year quarter [9]. Segment Results - **Customized Polymer Solutions**: Net sales increased by $10.7 million to $305.1 million, driven by positive foreign currency translation impacts [15]. - **Durable Metal Solutions**: Net sales decreased by $1.1 million to $354.8 million, primarily due to lower volumes, but gross profit increased by $1.7 million to $70.7 million [17]. - **Sustainable Fiber Solutions**: Net sales decreased by $32.1 million to $311.9 million, largely due to lower volumes, while operating profit surged by $217.4 million to $218.5 million due to a gain from the sale of timberlands [19]. - **Innovative Closure Solutions**: Net sales increased by $0.6 million to $23.0 million, with gross profit rising by $1.4 million to $8.9 million [22]. Strategic Actions - The company executed approximately $130.0 million in share repurchases during the first quarter and obtained authorization for an additional $300.0 million in future repurchases [9]. - Greif reaffirmed its low-end guidance for fiscal 2026, estimating Adjusted EBITDA at $630.0 million and Adjusted Free Cash Flow at $315.0 million [26]. Company Outlook - The company acknowledges a multi-year period of industrial contraction and does not foresee a compelling demand inflection in the near term, maintaining a cautious outlook [25].

Core Viewpoint - Greif, Inc. will report its 2026 first quarter financial results on January 27, 2026, with a conference call scheduled for January 28, 2026, to discuss the results [1]. Group 1: Financial Reporting - The first quarter financial results will be reported after market close on January 27, 2026 [1]. - A conference call to discuss the financial results will take place on January 28, 2026, at 8:30 a.m. ET [1]. Group 2: Conference Call Details - Conference call slides will be provided alongside the earnings press release, including management's prepared remarks and a Q&A session [2]. - Participants can access the call through an online registration link, with phone lines opening at 8:00 a.m. ET on January 28, 2026 [3]. - A digital replay of the conference call will be available two hours after the call on the company's website [3]. Group 3: Company Overview - Greif, founded in 1877, is a global leader in performance packaging, operating in 40 countries [4]. - The company focuses on delivering innovative and tailored solutions for demanding industries, emphasizing customer service, operational excellence, and sustainability [4].

Core Viewpoint - Greif, Inc. will report its 2026 first quarter financial results on January 28, 2026, with a conference call scheduled for January 29, 2026, to discuss the results [1]. Group 1: Financial Reporting - The company will release its Q1 2026 financial results after market close on January 28, 2026 [1]. - A conference call to discuss the results will take place on January 29, 2026, at 8:30 a.m. ET [1]. - Conference call slides will be provided alongside the earnings press release, including management's prepared remarks and a Q&A session [2]. Group 2: Conference Call Access - Participants can access the call through an online registration link, receiving a confirmation with dial-in details and a unique conference call code [3]. - Phone lines will open at 8:00 a.m. ET on January 29, 2026 [3]. - A digital replay of the conference call will be available two hours after the call on the company's website [3]. Group 3: Company Overview - Greif, founded in 1877, is a global leader in performance packaging, operating in 40 countries [4]. - The company focuses on delivering innovative and tailored solutions for demanding and fast-growing industries, emphasizing customer service, operational excellence, and sustainability [4].

Core Insights - Greif, Inc. has been recognized on Newsweek's America's Most Responsible Companies 2026 list for the seventh consecutive year, highlighting its commitment to environmental stewardship, social responsibility, and corporate governance [1][2]. Company Commitment - Greif has been included on the list every year since its inception, reflecting its long-standing dedication to responsible operations, which are seen as essential for customer success and sustainable supply chains [2]. - The company emphasizes that responsible operations are core to its heritage and vital for future resilience [2]. Ranking Methodology - The ranking is developed by Newsweek and Statista, evaluating thousands of U.S. companies based on ESG performance data and a consumer survey measuring corporate responsibility and reputation [3]. - The final ranking recognizes the top 300 companies demonstrating measurable progress in sustainability, ethical conduct, and community impact [3]. Leadership Statements - Ole Rosgaard, President and CEO of Greif, stated that the recognition is a testament to the dedication of the global teams and reaffirmed the company's commitment to integrity and operational efficiency [4]. - Aysu Katun, Vice President of Sustainability, expressed pride in the teams' efforts to realize sustainability commitments and build a more responsible future [5]. Sustainability Strategy - Greif's sustainability strategy focuses on helping customers achieve environmental goals through innovative packaging solutions, enhancing reuse and recycling capabilities, and advancing lower-carbon technologies [4]. - The company continues to invest in operational excellence and responsible resource management, which strengthens business performance and positively impacts communities [4]. Company Overview - Founded in 1877, Greif is a global leader in performance packaging, operating in 40 countries and delivering tailored solutions for demanding industries [6]. - The company is committed to customer service, operational excellence, and global sustainability, creating lasting value for stakeholders [6].

Financial Performance - Net income for the two-month fourth quarter of fiscal 2025 decreased 227.4% to $(43.3) million or $(0.73) per diluted Class A share compared to $34.0 million or $0.58 per diluted Class A share in the same period last year [4]. - Adjusted EBITDA for the two-month fourth quarter increased 7.4% to $98.9 million compared to $92.1 million in the prior year [4]. - For the two months ended September 30, 2025, net sales were $701.3 million, a decrease of 3.6% from $724.9 million in the same period of 2024 [33]. - Gross profit for the eleven months ended September 30, 2025, was $871.5 million, up 6.5% from $817.8 million in 2024 [33]. - Net income attributable to Greif, Inc. for the eleven months ended September 30, 2025, was $840.0 million, compared to $243.8 million in 2024, representing a significant increase [33]. - The company reported a net income from continuing operations of $38.2 million for the eleven months ended September 30, 2025, down from $246.2 million in 2024 [33]. - Net income for the eleven months ended September 30, 2025, was $863.1 million, significantly higher than $269.5 million for the same period in 2024, marking an increase of approximately 220.5% [37]. - Operating profit for the eleven months ended September 30, 2025, was $167.6 million, compared to $313.1 million for the same period in 2024, indicating a significant decrease [48]. - Net income for the eleven months ended September 30, 2025, was $103.7 million, compared to $262.5 million for the same period in 2024 [52]. Debt and Cash Flow - Total debt decreased by $1,538.1 million to $1,202.5 million, resulting in a leverage ratio decrease to 1.63x from 3.48x [5]. - Net cash provided by operating activities decreased by $376.5 million to a use of $244.7 million in the two-month fourth quarter [4]. - Cash and cash equivalents increased to $256.7 million as of September 30, 2025, compared to $197.7 million at the end of October 2024, reflecting a growth of about 29.8% [37]. - Long-term debt decreased to $914.8 million as of September 30, 2025, from $2,626.2 million in October 2024, a reduction of approximately 65% [35]. - Net cash used in operating activities for the two months ended September 30, 2025, was $(244.7) million, compared to $131.8 million for the same period in 2024 [50]. - Free Cash Flow for the eleven months ended September 30, 2025, was $(85.2) million, a decrease from $124.6 million in 2024 [50]. - Total Debt as of September 30, 2025, was $1,202.5 million, significantly reduced from $2,740.6 million on October 31, 2024 [54]. - Net Debt decreased to $945.8 million as of September 30, 2025, from $2,542.9 million on October 31, 2024 [54]. - The Leverage Ratio improved to 1.63x as of September 30, 2025, down from 3.48x on October 31, 2024 [56]. Cost Optimization and Guidance - The anticipated cost optimization commitment was increased to $120 million from $100 million due to accelerated progress in 2025 [8]. - For fiscal 2026, the company provided low-end guidance of $630 million Adjusted EBITDA and $315 million Adjusted Free Cash Flow [8]. - Fiscal 2026 low-end guidance estimates for Adjusted EBITDA is $630 million and Adjusted free cash flow is $315 million [25]. - The company achieved cost optimization run-rate savings of approximately $50 million by the end of fiscal year 2025 [8]. Business Operations and Divestments - The company completed the divestment of its containerboard business for $1.8 billion, impacting financial results as of August 31, 2025 [2]. - The company has not identified any compelling demand inflection on the horizon, continuing to provide only low-end guidance based on current trends [24]. - The company operates in over 35 countries, focusing on performance packaging solutions for demanding industries [27]. Other Financial Metrics - Selling, general and administrative expenses increased to $601.9 million for the eleven months ended September 30, 2025, compared to $535.5 million in 2024, reflecting a rise of 12.3% [33]. - Interest expense, net for the eleven months ended September 30, 2025, was $56.1 million, an increase from $40.7 million in 2024 [33]. - The company incurred restructuring and other charges amounting to $62.6 million for the eleven months ended September 30, 2025, compared to $2.7 million in the same period of 2024 [48]. - Depreciation, depletion, and amortization expense for the eleven months ended September 30, 2025, totaled $212.7 million, up from $207.6 million in the previous year [48]. - The company recorded a gain on disposal of businesses of $1,097.5 million for the two months ended September 30, 2025, compared to a gain of $0.1 million in the same period of 2024 [37]. - The company experienced a non-cash asset impairment charge of $37.9 million for the eleven months ended September 30, 2025, compared to $2.3 million in the same period of 2024 [48]. - Adjusted EBITDA for the eleven months ended September 30, 2025, was $511.3 million, representing an increase from $495.9 million in the same period of 2024 [45]. - The combined Adjusted EBITDA for the two months ended September 30, 2025, was $122.7 million, slightly down from $127.4 million in the same period of 2024 [45]. - Adjusted EBITDA for the trailing twelve months ended September 30, 2025, was $773.5 million, an increase from $704.4 million for the trailing twelve months ended October 31, 2024 [56]. - Adjusted Free Cash Flow for the two months ended September 30, 2025, was $122.6 million, up from $98.6 million in 2024 [50]. - Earnings from discontinued operations per Class A common stock for the eleven months ended September 30, 2025, was $14.20, compared to $0.40 in 2024 [33]. - The Durable Metal Solutions segment reported net sales of $247.3 million for the two months ended September 30, 2025, down from $259.5 million in the same period of 2024, a decrease of approximately 4.5% [41]. - Operating profit for the Customized Polymer Solutions segment was a loss of $1.9 million for the two months ended September 30, 2025, compared to a profit of $9.1 million in the same period of 2024 [41]. - The company will host a conference call on November 6, 2025, to discuss the fourth quarter and fiscal 2025 results [26].

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q4 was $99 million, a 7.4% increase year-over-year, with EBITDA margins expanding by 140 basis points due to better price-cost dynamics across all segments and cost optimization efforts [15][17] - Adjusted free cash flow improved by over 24.3% year-over-year, driven by increased EBITDA and strong working capital management [15] - Adjusted EPS for the quarter was $0.01 compared to $0.59 in the prior year quarter, impacted by non-recurring tax items and the nature of continuing operations after removing discontinued operations [16] Business Line Data and Key Metrics Changes - In the polymers segment, small containers showed positive volume momentum, while IBC and large polymer drums experienced mid-single-digit declines due to softness in industrial markets [11][12] - Durable metals volumes declined by 6.6%, reflecting weakness in industrial end markets [12] - Sustainable fiber volumes decreased by 7.7%, impacted by URB economic downtime and soft fiber drum demand [12] - Integrated solutions saw volume improvements driven by closures, with these products generating over 30% gross margin [12] Market Data and Key Metrics Changes - The company reported a Net Promoter Score of 72, an improvement of 3 points from the previous year, indicating enhanced customer service performance [5] - The macro environment remains challenging, with demand softness in construction and manufacturing affecting customer volumes [27] Company Strategy and Development Direction - The company is focused on a "Build to Last" strategy, emphasizing cost optimization, portfolio reshaping, and sustainable growth [6][24] - The divestiture of the containerboard and land management businesses has allowed the company to concentrate on areas with the greatest opportunity for EBITDA growth and margin expansion [5][24] - The cost optimization program has exceeded initial commitments, with anticipated cumulative savings raised from $50 million-$60 million to $80 million-$90 million for fiscal 2026 [9][10] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the ongoing challenges in the macro environment but expressed confidence in the company's ability to generate cash and manage costs effectively [36] - The company anticipates a low-end guidance for fiscal 2026, assuming flat to low single-digit volume declines in metals and fiber, with low single-digit improvements in polymers and closures [18][19] - Management remains optimistic about capturing value as demand returns, supported by a strong balance sheet and cash flow generation [24][70] Other Important Information - The company plans to execute a $150 million open market repurchase plan and seeks board approval for a new stock repurchase authorization [22][23] - The anticipated capital expenditures for the year are approximately $155 million, with maintenance CapEx needs reduced by about $25 million [20] Q&A Session Summary Question: Can you provide more details on the growth in polymers and target markets? - Management noted that the agrochemicals market has been a significant growth area, particularly for small containers, despite overall demand softness in other sectors [27] Question: How should we think about EBITDA guidance for fiscal 2026? - Management indicated that the first quarter is expected to be the weakest, with subsequent quarters showing improvement [29] Question: If volumes come in weaker, can cost optimization offset that? - Management confirmed that cost optimization remains a lever to pull in response to volume weakness, with ongoing improvements in the program [33] Question: What are the expectations for the durable metals business in Europe? - Management highlighted that North American steel business has been down similarly to EMEA, but EMEA steel has shown consistent performance [66] Question: What is the outlook for M&A activity? - Management stated that while there is a solid pipeline for M&A, the focus remains on organic growth, with no transformational M&A expected [41][68]

Financial Performance & Divestments - The company divested its Containerboard Business for $1.8 billion[4] and Land Management for $462 million[8], resulting in gross proceeds of $2.3 billion[8] - Adjusted EBITDA increased by 7.4% from $92.1 million in Q4 2024 to $98.9 million in Q4 2025[23, 25] - Adjusted Free Cash Flow improved by 24.3% from $98.6 million to $122.6 million[23, 25] - The company initiates share repurchases of $150 million[34] Cost Optimization & Savings - The company is accelerating its cost optimization program, targeting $80-90 million in run-rate cost savings by the end of FY26[11] - The company is increasing its savings commitment to $120 million by the end of FY27[13, 14] - SG&A rationalization has yielded $35 million in cumulative savings[14] Segment Performance - Customized Polymer Solutions net sales increased from $199.0 million to $205.4 million, with gross profit margin improving from 20.0% to 22.2%[26] - Durable Metal Solutions net sales decreased from $259.5 million to $247.3 million, but gross profit margin improved from 19.2% to 20.3%[26] - Sustainable Fiber Solutions net sales decreased from $208.2 million to $196.6 million, but gross profit margin improved from 19.6% to 24.9%[26] FY26 Guidance - The company provides low-end 2026 guidance for Adjusted EBITDA of $630 million[29] and Adjusted Free Cash Flow of $315 million[29]

Core Insights - Greif, Inc. reported significant financial results for the two-month fourth quarter and eleven-month fiscal year 2025, highlighting a substantial decrease in net income and changes in operational performance due to the divestment of its Containerboard Business [1][2][3]. Financial Performance - For the two-month fiscal fourth quarter of 2025, net income decreased by 227.4% to $(43.3) million, or $(0.73) per diluted Class A share, compared to $34.0 million, or $0.58 per diluted Class A share in the same period of 2024 [6]. - Adjusted EBITDA for the fourth quarter increased by 7.4% to $98.9 million, while combined Adjusted EBITDA decreased by 3.7% to $122.7 million [6]. - For the eleven-month fiscal year, net income decreased by 93.2% to $15.1 million, or $0.28 per diluted Class A share, compared to $220.5 million, or $3.81 per diluted Class A share in the previous year [6]. - Adjusted EBITDA for the eleven-month period increased by 3.1% to $511.3 million, while combined Adjusted EBITDA rose by 10.9% to $702.6 million [6]. Operational Changes - The company divested its Containerboard Business for $1.8 billion, which is now classified as discontinued operations starting in Q3 2025 [2][3]. - The fiscal year-end was changed to September 30, resulting in an 11-month fiscal year for 2025 [3]. Debt and Cash Flow - Total debt decreased by $1,538.1 million to $1,202.5 million, and net debt decreased by $1,597.1 million to $945.8 million, leading to a leverage ratio reduction to 1.63x from 3.48x [7]. - Net cash provided by operating activities decreased by $376.5 million to a use of $244.7 million for the fourth quarter, while adjusted free cash flow increased by $24.0 million to $122.6 million [6]. Strategic Actions - The company achieved cost optimization run-rate savings of approximately $50 million by the end of fiscal year 2025 and increased its anticipated cost optimization commitment to $120 million [15]. - Plans for share repurchases in 2026 reflect confidence in the company's earnings power and operational leverage [9]. Market Outlook - The company noted a multi-year period of industrial contraction with no compelling demand inflection identified, leading to conservative guidance for fiscal 2026 [31][32]. - The low-end guidance for fiscal 2026 includes an estimated Adjusted EBITDA of $630 million and Adjusted Free Cash Flow of $315 million [32].

Core Insights - Greif, Inc. has been recognized as one of America's Top 100 Most Loved Workplaces for the fifth consecutive year, ranking 51st on the list [1][2] - The recognition highlights the company's commitment to employee experience and retention strategies in the current economy [1][2] Company Recognition - The honor reflects the values of empathy, integrity, and commitment that Greif promotes among its employees [2] - The recognition is seen as a testament to the spirit of the workforce, emphasizing a unified global team with a common purpose [2] Methodology of Rankings - The rankings were determined through research conducted by Best Practice Institute (BPI), utilizing the Love of Workplace Index and advanced sentiment analysis [3] - This methodology assesses various factors such as emotional connection, collaboration, respect, alignment of values, and achievement [3] Survey Details - Over 2.8 million U.S. employees were surveyed across diverse companies and industries, with hundreds of executives interviewed for additional context [4] - The companies represented span more than 50 industries, including Financial Services, Healthcare, Technology, and Construction [4] Validation of Rankings - The rankings are independently validated to reflect both employee experiences and a thorough external assessment of workplace practices [5] - This validation is crucial in an era where employees seek tangible proof of workplace quality rather than mere promises [5]

Core Insights - Greif, Inc. has successfully completed the sale of its timberlands business to Molpus Woodlands Group for $462 million, which will aid in debt reduction and enhance capital efficiency [1][2][7] Group 1: Timberlands Sale - The sale involves approximately 173,000 acres of timberlands located in the Southeastern United States [2][7] - This divestiture is part of Greif's ongoing portfolio optimization strategy, allowing the company to concentrate on its core business and invest in higher-margin markets [2][4] Group 2: Portfolio Optimization - In September, Greif also sold its containerboard business to Packaging Corporation of America, which includes two mills with a production capacity of 800,000 tons [3] - The cash proceeds from both sales are expected to reduce Greif's leverage ratio to below 1.2X, strengthening its balance sheet and generating interest savings [5][7] Group 3: Strategic Goals - The timberlands sale aligns with Greif's "Build to Last" strategy, marking a significant step towards improved capital efficiency and accelerated growth [4] - The company aims to reduce recurring capital expenditures, thereby unlocking value-creation opportunities [4] Group 4: Stock Performance - Greif's stock has increased by 0.7% over the past year, contrasting with a 14.3% decline in the industry [6]