Financial Data and Key Metrics Changes - Net sales for Q4 2024 were $1.4 billion, up 1% on a constant currency basis, while full-year sales were $5.4 billion, down 1% at constant currency [36] - Adjusted EBITDA for Q4 was $271 million, down 1% year-over-year, with a full-year adjusted EBITDA of $1.11 billion, relatively flat compared to the prior year [36][39] - Adjusted EPS for Q4 was $0.75, down 15% year-over-year, while full-year adjusted EPS was $3.14, down 1% primarily due to higher tax expenses [37][38] Business Line Data and Key Metrics Changes - Food sales for Q4 were $923 million, up 5% on an organic basis, driven by volume growth in all regions [40] - Protective business net sales for Q4 were $450 million, down 7% from the prior year, with adjusted EBITDA of $67 million, down 26% [42] - Food adjusted EBITDA for Q4 was $208 million, up 7% with a margin of 22.5%, while protective adjusted EBITDA margin was significantly lower due to volume declines [41][42] Market Data and Key Metrics Changes - The Americas region saw a constant dollar growth of 1%, driven by food strength, while EMEA and APAC also reported similar growth rates [43] - The protective segment is expected to face challenges in the first half of 2025, with a projected full-year decline of approximately 2% [48] Company Strategy and Development Direction - The company aims to further unlock potential in each business segment, targeting mid-single-digit earnings growth and high cash flow conversion over the long term [14][15] - A focus on deleveraging the balance sheet to three times is planned, with a return to balanced capital allocation including disciplined M&A and shareholder returns [15] - The company is shifting its culture to become high-performing and accountable, with an emphasis on customer focus and operational excellence [16][17] Management's Comments on Operating Environment and Future Outlook - Management acknowledged increased volatility in the macro environment due to global trade uncertainties, input costs, and foreign exchange movements [17][33] - The food business is expected to continue its growth trajectory, while the protective segment is anticipated to stabilize and inflect in volumes in the second half of 2025 [29][30] - Management expressed confidence in the company's ability to navigate challenges and drive returns for stakeholders [33][54] Other Important Information - The company plans to close two plants by the end of the year to optimize its footprint [31] - Free cash flow for the year totaled $454 million, with a net leverage ratio of 3.6 times, down from a peak of 4.1 times [44][45] - Full-year 2025 free cash flow is expected to be approximately $400 million, reflecting strong cash generation despite higher restructuring payments [51] Q&A Session Summary Question: Are there parts of the protective business that will significantly drag on volumes? - Management indicated that the industrial portfolio is expected to continue underperforming, with some bright spots in shrink films and fulfillment [58][60] Question: Can you discuss the potential impacts of tariffs? - Management noted that most of the business is domestic production, minimizing potential tariff impacts, but adjustments in the supply chain may be necessary [65][66] Question: What are the initial priorities for the new CEO? - The focus will be on accelerating customer focus, stabilizing the protective business, and enhancing cost takeout initiatives [71][75] Question: What is the outlook for the protective segment in 2024? - The protective segment is expected to face challenges in the first half, with a potential inflection in volumes in the second half [80][84] Question: How is the company addressing pricing pressures? - Management acknowledged slight inflation in resin prices and competitive pressures, but they expect to take modest price increases [87][102] Question: What is the expected growth for automation revenue? - Automation remains a critical part of the business, with expectations for growth driven by new placements and innovations in equipment [111][112]

Financial Data and Key Metrics Changes - Net sales for Q4 2024 were $1.4 billion, up 1% on a constant currency basis, while full-year sales were $5.4 billion, down 1% at constant currency [36] - Adjusted EBITDA for Q4 was $271 million, down 1% year-over-year, with a full-year adjusted EBITDA of $1.11 billion, relatively flat compared to the prior year [36][39] - Adjusted EPS for Q4 was $0.75, down 15% year-over-year, while full-year adjusted EPS was $3.14, down 1% primarily due to higher tax expenses [37][38] Business Line Data and Key Metrics Changes - Food sales for Q4 were $923 million, up 5% on an organic basis, driven by volume growth in all regions [40] - Protective business net sales for Q4 were $450 million, down 7% from the prior year, with adjusted EBITDA of $67 million, down 26% [42] - Food adjusted EBITDA for Q4 was $208 million, up 7%, with a margin of 22.5%, while protective adjusted EBITDA margin was significantly lower due to volume declines [41][42] Market Data and Key Metrics Changes - The Americas region saw a constant dollar growth of 1%, driven by food strength, while EMEA and APAC also reported 1% growth, reflecting solid volume performance in food [43] - The protective segment's performance was impacted by weakness in certain industrial portfolios and pressure within specific product lines [42] Company Strategy and Development Direction - The company aims to unlock underlying potential in each business segment, targeting mid-single-digit earnings growth and high cash flow conversion over the long term [14][15] - A focus on deleveraging the balance sheet to three times net debt to adjusted EBITDA is planned, with a return to balanced capital allocation including M&A and shareholder returns [15] - The company is shifting its culture to become high-performing and accountable, with an emphasis on customer focus and operational excellence [16][33] Management's Comments on Operating Environment and Future Outlook - Management acknowledged increased volatility in the macro environment due to global trade uncertainties, input costs, and foreign exchange movements [17][33] - The food business is expected to continue its growth trajectory, while the protective segment is anticipated to stabilize and inflect in volumes in the second half of 2025 [29][30] - The company is committed to enhancing customer service and improving operational execution across both business segments [33][54] Other Important Information - The company generated free cash flow of $454 million in 2024, slightly down from $467 million the previous year, while maintaining a strong liquidity position of $1.4 billion [44][45] - Capital expenditures for 2025 are expected to be approximately $220 million, with free cash flow projected at around $400 million [51][52] Q&A Session Summary Question: Are there parts of the protective business that will significantly drag on volumes? - Management indicated that the industrial portfolio is expected to continue underperforming, with some bright spots in shrink films and fulfillment areas [58][60] Question: Can you discuss the potential impacts of tariffs on the business? - Management noted that most of the business is domestic production, minimizing tariff impacts, but acknowledged potential challenges with cross-border trade [65][66] Question: What are the initial priorities for the new CEO? - The CEO emphasized a relentless focus on customer needs, accelerating cost takeout initiatives, and ensuring the right leadership is in place [71][78] Question: What is the outlook for the protective segment in 2025? - Management expects a second-half inflection in volumes, with ongoing efforts to stabilize the business and improve customer relationships [29][30] Question: How is the company addressing pricing pressures in the food segment? - Management highlighted the benefits of formula pricing and the ability to take modest price increases due to stable market conditions [101][102] Question: What is the expected growth for automation revenue in 2025? - Management remains optimistic about automation as a growth vector, focusing on new customer placements and product innovations [111][113]

Core Insights - Sealed Air Corporation (SEE) reported fourth-quarter 2024 adjusted earnings per share of 75 cents, exceeding the Zacks Consensus Estimate of 67 cents, although it represented a 14.8% decline year over year due to increased adjusted tax expenses [1] - Total sales for the quarter were $1.37 billion, slightly above the Zacks Consensus Estimate of $1.36 billion, but down 0.3% from $1.38 billion in Q4 2023 [2] - The company expects net sales for 2025 to be between $5.1 billion and $5.5 billion, with adjusted EBITDA projected at $1.075 billion to $1.175 billion [12] Financial Performance - Gross profit for Q4 was $407 million, a 0.5% increase from $405 million in the same quarter last year, with a gross margin improvement to 29.6% from 29.4% [4] - Adjusted EBITDA for the quarter was approximately $271 million, down 1.3% year over year, with an adjusted EBITDA margin of 19.7% compared to 19.9% in the previous year [5] - Cash flow from operating activities was around $728 million in 2024, an increase from $516 million in the prior year, with total debt reduced to $4.40 billion from $4.69 billion [10] Segment Performance - In the Food segment, net sales increased 3.3% year over year to $922.5 million, driven by a 4.9% volume growth, despite a 1.8% unfavorable impact from foreign currency [6] - The Protective segment saw net sales decline by 7.1% year over year to $450 million, with volumes falling 5.4% due to market pressures [7] - Adjusted EBITDA for the Protective segment decreased 26% year over year to $67 million, impacted by lower volumes and unfavorable net price realization [8] Market Context - Sealed Air's shares have decreased by 8.9% over the past year, contrasting with the industry's growth of 12.3% [13] - The company’s adjusted earnings per share for 2023 was $3.14, down 1.3% year over year, while total sales for 2024 edged down 1.8% to $5.39 billion [11]

Core Insights - Sealed Air reported revenue of $1.37 billion for the quarter ended December 2024, a slight decline of 0.3% year-over-year, with EPS at $0.75 compared to $0.88 in the same quarter last year [1] - The revenue matched the Zacks Consensus Estimate, showing a surprise of +0.55%, while the EPS exceeded expectations by +11.94% [1] Financial Performance - Net Sales in the Food segment reached $922.50 million, surpassing the average estimate of $916.38 million, reflecting a year-over-year increase of +3.4% [4] - Net Sales in the Protective segment were $450.30 million, slightly below the estimated $454.51 million, marking a year-over-year decline of -7.1% [4] - Adjusted EBITDA for the Food segment was $207.60 million, exceeding the average estimate of $195.59 million [4] - Adjusted EBITDA for Corporate expenses and unallocated costs was -$3.50 million, better than the average estimate of -$11.24 million [4] - Adjusted EBITDA for the Protective segment was $66.70 million, below the average estimate of $75.42 million [4] Stock Performance - Sealed Air's shares have declined by -9.9% over the past month, contrasting with the Zacks S&P 500 composite's decline of -1.8% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - Sealed Air (SEE) reported quarterly earnings of $0.75 per share, exceeding the Zacks Consensus Estimate of $0.67 per share, but down from $0.88 per share a year ago, indicating an earnings surprise of 11.94% [1][2] Financial Performance - The company achieved revenues of $1.37 billion for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 0.55%, although this is a slight decrease from year-ago revenues of $1.38 billion [2] - Over the last four quarters, Sealed Air has consistently surpassed consensus EPS estimates [2] Stock Performance and Outlook - Sealed Air shares have declined approximately 5% since the beginning of the year, contrasting with the S&P 500's gain of 1.7% [3] - The company's current Zacks Rank is 4 (Sell), indicating expectations of underperformance in the near future [6] Earnings Estimates - The current consensus EPS estimate for the upcoming quarter is $0.71 on revenues of $1.31 billion, and for the current fiscal year, it is $3.05 on revenues of $5.38 billion [7] Industry Context - The Containers - Paper and Packaging industry, to which Sealed Air belongs, is currently ranked in the bottom 32% of over 250 Zacks industries, suggesting potential challenges ahead [8]

Financial Performance - Net sales for Q4 2024 were $1.37 billion, flat compared to Q4 2023, with a 3% increase in the Food segment and a 7% decrease in the Protective segment[6]. - Full year 2024 net sales decreased by 2% to $5.39 billion, with the Food segment increasing by 2% and the Protective segment decreasing by 8%[10]. - Adjusted EBITDA for Q4 2024 was $271 million, or 19.7% of net sales, compared to $274 million, or 19.9% in Q4 2023[9]. - Full year 2024 adjusted EBITDA increased slightly to $1.11 billion, or 20.6% of net sales, from $1.11 billion, or 20.2% in the prior year[14]. - Operating profit for Q4 2024 was $159.0 million, a decrease of 24.7% compared to $211.2 million in Q4 2023[32]. - Net loss for Q4 2024 was $7.3 million, compared to net earnings of $124.0 million in Q4 2023[32]. - Basic net loss per share for Q4 2024 was $(0.05), while basic earnings per share for Q4 2023 was $0.86[32]. - The company reported a GAAP net earnings from continuing operations of $(0.4) million for Q4 2024, compared to $124.9 million in Q4 2023[46]. - For the year ended December 31, 2024, GAAP earnings before income tax from continuing operations was $458.4 million, compared to $429.7 million in 2023, reflecting a 6.5% increase[47]. - Non-GAAP adjusted net earnings for the year ended December 31, 2024, were $458.9 million, with diluted EPS of $3.14, compared to $461.3 million and diluted EPS of $3.18 in 2023, indicating a slight decrease in earnings[48]. Cash Flow and Leverage - Free cash flow for full year 2024 was $454 million, compared to $467 million in the prior year[18]. - The net leverage ratio improved to 3.6x as of December 31, 2024, down from 3.9x a year earlier[20]. - Free cash flow for the year ended December 31, 2024, was $507.8 million, an increase from $272.0 million in 2023[38]. - The total debt as of December 31, 2024, was $4,403.9 million, down from $4,690.3 million in 2023, resulting in a non-GAAP net debt of $4,032.1 million[51]. Segment Performance - The company completed a reorganization into two market-focused businesses: Food and Protective, aiming to maximize growth in respective end-markets[3]. - The food segment's adjusted EBITDA for 2024 was $807.7 million, reflecting a margin of 22.5%, up from 21.8% in 2023[46]. - The protective segment's adjusted EBITDA decreased to $313.5 million in 2024, with a margin of 17.3%, down from 18.4% in 2023[46]. - The company anticipates 2024 net sales to be $5,392.6 million, with food segment projected at $3,526.1 million (65.4%) and protective segment at $1,107.9 million (20.5%) [44]. Restructuring and Costs - Cost take-out initiatives generated $89 million in incremental savings for full year 2024, contributing to improved operational efficiency[5]. - The company incurred restructuring charges of $33.0 million in Q4 2024, compared to $6.4 million in Q4 2023[32]. - Restructuring charges for the year ended December 31, 2024, totaled $57.8 million, up from $15.6 million in 2023, reflecting increased costs associated with restructuring efforts[49]. Assets and Liabilities - Total assets decreased to $7,022.1 million as of December 31, 2024, from $7,200.6 million as of December 31, 2023[34]. - Total liabilities decreased to $6,397.6 million as of December 31, 2024, from $6,651.1 million as of December 31, 2023[34]. - Cash and cash equivalents increased to $371.8 million as of December 31, 2024, from $346.1 million as of December 31, 2023[34]. Taxation - The GAAP effective income tax rate for the year ended December 31, 2024, was 41.2%, significantly higher than 21.0% in 2023[47]. - Non-GAAP adjusted income tax rate for the year ended December 31, 2024, was 25.9%, compared to 23.6% in 2023, indicating an increase in the effective tax burden[47]. Currency Impact - Foreign currency translation negatively impacted total change (GAAP) by $(35.7) million (-0.7%) for the year ended December 31, 2023[42]. - The company incurred a foreign currency exchange loss of $9.9 million for the year ended December 31, 2024, compared to $23.1 million in 2023, indicating a reduction in losses from currency fluctuations[49].

Core Viewpoint - Sealed Air Corporation (SEE) is expected to report a decline in both revenue and earnings for the fourth quarter of 2024, with challenges in its Protective segment impacting overall performance [2][6]. Financial Performance Estimates - The Zacks Consensus Estimate for SEE's fourth-quarter revenues is $1.37 billion, reflecting a 0.9% decrease from the previous year [2]. - The consensus estimate for earnings is 67 cents per share, indicating a year-over-year decline of 23.9% [2]. - The earnings estimate has decreased by 1.5% over the past 60 days [2]. Earnings Surprise History - Sealed Air has a history of beating Zacks Consensus Estimates, with an average surprise of 34.6% over the last four quarters [3]. Segment Performance - The Protective segment has faced lower volumes for 11 consecutive quarters, with a projected year-over-year volume decline of 5% for Q4 [6]. - The Food segment, after experiencing lower volumes for seven quarters, is expected to see a 4.8% year-over-year volume increase in Q4, driven by demand for bags and automated solutions [7]. - The estimated net sales for the Food segment in Q4 are $912 million, representing a 2.2% growth from the prior year, despite a negative pricing impact of 2.1% [9]. - The Protective segment's estimated net sales for Q4 are $445 million, indicating an 8.2% year-over-year decline due to volume and pricing impacts [10]. Operational Efficiency - Savings from the company's Reinvent SEE Strategy are expected to enhance productivity and mitigate supply-chain challenges, positively influencing operating margins in Q4 [11]. Stock Performance - Over the past year, SEE shares have decreased by 3.6%, contrasting with the industry's growth of 15.5% [12].

Core Viewpoint - Sealed Air Corporation has appointed Dustin Semach as the new President and Chief Executive Officer, effective immediately, following the mutual agreement for Patrick Kivits to step down from his role [1][2][4]. Leadership Transition - Dustin Semach, previously the President and Chief Financial Officer, will now lead the company, while Veronika "Roni" Johnson has been appointed as the Interim Chief Financial Officer [3]. - The company is actively searching for a new Chief Financial Officer with the assistance of a leading executive search firm [3]. Strategic Focus - The Board of Directors emphasizes the need for a leader with a deep understanding of the business and a strong sense of urgency to drive the next phase of transformation [4]. - The company aims to enhance customer focus, drive profitable growth, streamline operations, and effectively deploy capital to maximize shareholder value [4]. Business Segmentation - Sealed Air has reorganized into two distinct business segments: Food and Protective, which is expected to enhance growth prospects through better customer partnerships and innovation [4]. Financial Outlook - Sealed Air reaffirms its financial guidance for the full year 2024, with further discussions on financial results scheduled for February 25, 2025 [5]. Company Overview - Sealed Air Corporation is a leading global provider of packaging solutions, generating $5.5 billion in sales in 2023 and employing approximately 17,000 people across 115 countries [6].

Company Overview - Sealed Air Corporation (NYSE: SEE) is a leading global provider of packaging solutions that integrate sustainable, high-performance materials, automation, equipment, and services [2] - The company designs, manufactures, and delivers packaging solutions for various end markets, including food preservation, goods protection, and automated packaging processes [2] - In 2023, Sealed Air generated $5.5 billion in sales and employs approximately 17,000 people serving customers in 115 countries/territories [2] Upcoming Financial Results - Sealed Air will release its fourth quarter and full year 2024 results and 2025 outlook on February 25, 2025, at approximately 7:00 a.m. EST [1] - A conference call and webcast will follow at 10:00 a.m. EST, which will be available live on Sealed Air's Investors homepage [1]

Company Overview - Seeing Machines Limited is an advanced computer vision technology company specializing in AI-powered operator monitoring systems to enhance transport safety [1] - The company develops and licenses proprietary technology to leading automotive manufacturers and partners with major automotive and aviation industry brands [7] - Its technology precisely measures and analyzes head pose, eyelid movements, and eye gaze under various lighting conditions, including through sunglasses [7] - The data is processed to interpret driver attention state, drowsiness, and impairment levels, providing real-time inputs to advanced driver assistance systems (ADAS) and vehicle cockpit systems [7] CES 2025 Participation - Seeing Machines will showcase its world-leading interior sensing technology at CES 2025 in Las Vegas [1] - The company will demonstrate its next-generation software and algorithm developments for its FOVIO driver and occupant monitoring system (DMS/OMS) technology [2] - Demonstrations will be held in a private suite at the Westgate Las Vegas Resort and Casino and in a purpose-built test car [2] - The company will also present growth opportunities created by its recent collaboration with Mitsubishi [2] Technology and Partnerships - Seeing Machines' DMS and OMS technology is integrated into Tier 1 customer and partner demonstrations at CES [3] - The company's Guardian Generation 3 software will be featured at Ambarella's invitation-only exhibition, leveraging Ambarella's CV25 AI SoC for industry-leading AI performance per watt [3] - The company is integrating its interior sensing technology with QNX® Cabin, enabling OEMs to monitor driver drowsiness and distraction, ensuring compliance with international safety regulations [4] Regulatory and Market Impact - New laws mandating in-vehicle technology to monitor driver distraction and fatigue are driving regulatory momentum [5] - Seeing Machines has won 18 automotive programs for 11 individual OEMs, supported by over 18 billion kilometers of driving data [5] - The company collaborates with regulators and consumer safety bodies globally, leveraging its human factors team and AI-powered data to reduce road fatalities [5] Future Outlook - Seeing Machines' leadership and technical experts will explain how new regulations are driving innovation toward enhanced road safety at CES [6] - The company continues to expand its occupant monitoring features as Tier-1 and OEM customers adopt higher resolution wide field of view cameras [7]