Core Viewpoint - Sodexo Inc. plans to issue benchmark-sized US dollar-denominated notes and conduct a cash tender offer for its existing 1.634% senior notes due 2026 to refinance existing debt and extend its debt maturity profile [1][3]. Group 1: Debt Issuance and Tender Offer - The new notes will be guaranteed by Sodexo S.A. and the tender offer is expected to expire on May 22, 2025, unless extended or terminated earlier [1]. - The allocation of the new notes will prioritize holders of the 2026 notes who participate in the tender offer [2]. - The tender offer is contingent upon the successful completion of the new notes issuance [2]. Group 2: Company Overview - Sodexo, founded in 1966, is a global leader in sustainable food and facilities management services, aiming to improve quality of life and contribute to social and environmental progress [4]. - As of August 31, 2024, Sodexo reported consolidated revenues of €23.8 billion and employed 423,000 people across 45 countries, serving 80 million consumers daily [7]. - The company has a market capitalization of €8.5 billion as of April 3, 2025 [7].

Group 1 - Sodexo conducted a share buyback program from May 5 to May 8, 2025, purchasing a total of 100,000 shares at a weighted average price of €55.3597 [1] - The share buyback was authorized by the Shareholders' Meeting held on December 17, 2024, to fulfill obligations related to free shares award plans [1] - The transactions were executed across multiple trading platforms, including XPAR, CEUX, TQEX, and AQEU, with varying volumes and prices [1] Group 2 - Sodexo, founded in 1966, is a global leader in sustainable food and facilities management services, emphasizing independence and a responsible business model [2] - The company aims to improve the quality of life for employees and consumers while contributing to economic, social, and environmental progress [2] - As of August 31, 2024, Sodexo had consolidated revenues of €23.8 billion and served 80 million consumers daily, with a market capitalization of €8.5 billion as of April 3, 2025 [5]

Financial Performance - Net sales for Q1 2025 reached $7,656 million, a significant increase from $2,930 million in Q1 2024, representing a growth of approximately 161%[18] - Gross profit for the quarter was $1,577 million, compared to $710 million in the same period last year, indicating a gross margin improvement[18] - Net income attributable to common shareholders was $384 million, up from $191 million in Q1 2024, reflecting a year-over-year increase of 101%[20] - Comprehensive income for Q1 2025 was $749 million, a substantial rise from $88 million in Q1 2024, highlighting improved overall financial performance[22] - Net income for Q1 2025 was $382 million, a 100% increase from $191 million in Q1 2024[9] - Basic earnings per share remained stable at $0.74 for both Q1 2025 and Q1 2024, despite the significant increase in net income[20] - Adjusted EBITDA for the three months ended March 31, 2025, was $1,252 million, compared to $475 million in 2024, indicating strong operational performance[195] Assets and Liabilities - Total assets increased to $44,649 million as of March 31, 2025, compared to $43,759 million at the end of 2024, showing a growth of approximately 2%[17] - Total liabilities rose to $26,760 million from $26,372 million, indicating an increase of about 1.5%[17] - Total equity increased to $17,889 million by March 31, 2025, up from $17,387 million at the end of 2024[25] - Total debt increased to $14,219 million as of March 31, 2025, compared to $13,595 million at December 31, 2024, representing a rise of 4.6%[82] - The outstanding payment obligations under supplier finance programs were $389 million as of March 31, 2025, down from $450 million at the end of 2024[36] Cash Flow and Investments - Cash provided by operating activities increased to $235 million in Q1 2025 from $42 million in Q1 2024[9] - Capital expenditures rose significantly to $477 million in Q1 2025, compared to $208 million in Q1 2024[9] - Net cash used for investing activities was $476 million in Q1 2025, primarily due to capital expenditures of $477 million[186] - Net cash provided by financing activities was $151 million in Q1 2025, driven by a net increase in debt of $444 million[187] Acquisitions and Mergers - The integration of Smurfit Kappa and WestRock is expected to yield significant synergies, although specific financial benefits were not quantified in the report[8] - The aggregate merger consideration for the acquisition of Smurfit Kappa was $13,461 million, completed on July 5, 2024[42] - Net income attributable to common shareholders rose by $193 million to $384 million in Q1 2025, up from $191 million in Q1 2024, primarily due to the acquisition of WestRock[139] - The company anticipates continued growth and operational improvements as it integrates the two businesses and leverages its expanded scale and geographic reach[8] Segment Performance - For the three months ended March 31, 2025, North America segment net sales were $4,578 million, Europe, MEA and APAC segment net sales were $2,576 million, and LATAM segment net sales were $502 million[54] - Adjusted EBITDA for the North America segment increased by $726 million to $785 million in Q1 2025, primarily due to the WestRock acquisition[168] - The LATAM segment's net sales increased by $172 million to $513 million in Q1 2025, primarily due to the WestRock acquisition[172] - The Europe, MEA and APAC segment's net sales increased by $388 million to $2,582 million in Q1 2025, with a $378 million impact from the WestRock acquisition[169] Operational Changes - The company plans to permanently close its coated recycled board mill in St. Paul, Minnesota, and discontinue production at its containerboard mill in Forney, Texas, impacting approximately 650 employees and reducing capacity by over 500,000 tons annually[123][135] - Smurfit Westrock expects to incur approximately $287 million in pre-tax charges related to the closures, including $188 million in non-cash asset impairment charges[136][125] Tax and Legal Matters - The effective tax rate for the three months ended March 31, 2025, was 2.1%, influenced by a tax benefit of $72 million from the resolution of unrecognized tax benefits[91] - The total amount in dispute regarding tax claims in Brazil was R$761 million ($132 million) as of March 31, 2025, which could materially affect cash flows depending on the resolution[100] - The company has estimated liabilities of $69 million related to asbestos-related litigation as of March 31, 2025, with expected insurance recoveries of $45 million[102] - An international arbitration award granted the company compensation exceeding $469 million from Venezuela, with legal costs of $5 million, pending enforcement proceedings[108] Miscellaneous - The company is currently evaluating the impact of new accounting standards on its disclosures, including ASU 2023-09 and ASU 2024-03[39][40] - The company has no off-balance sheet arrangements as of March 31, 2025, ensuring transparency in its financial obligations[190] - There have been no material changes to the contractual obligations and commitments since the last fiscal year, maintaining consistency in financial planning[189]

Group 1 - The market has not fully recognized the strategic value of the Smurfit Westrock Plc merger, presenting a buying opportunity [1] - Current market weakness is viewed as a strong opportunity to buy the dip [1] Group 2 - Analysts have a beneficial long position in the shares of Smurfit Westrock Plc and related entities [2]

Group 1 - The core business of Sodexo includes Food and Facilities Management Services, focusing on improving quality of life and contributing to social and environmental progress [3] - Sodexo operates in 45 countries and serves 80 million consumers daily, highlighting its global reach and impact [6] - The company reported consolidated revenues of 23.8 billion euros for Fiscal 2024, indicating strong financial performance [6] Group 2 - As of April 3, 2025, Sodexo's market capitalization stands at 8.5 billion euros, reflecting its valuation in the market [6] - The company employs 423,000 individuals, making it the largest private employer based in France [6] - Sodexo is recognized in various indices, including CAC Next 20 and FTSE 4 Good, showcasing its commitment to sustainable practices [3]

Group 1 - Sodexo conducted a share buyback program, purchasing a total of 100,000 shares from April 28 to April 29, 2025, at an average purchase price of €55.6481 [1] - The shares were acquired to fulfill obligations related to free shares award plans as authorized by the Shareholders' Meeting on December 17, 2024 [1] - The transactions included various trading venues, with the highest volume on April 29, 2025, where 29,800 shares were purchased at €55.6191 [1] Group 2 - Sodexo, founded in 1966, is a global leader in sustainable food and facilities management services, emphasizing independence and a responsible business model [2] - The company aims to improve the quality of life for employees and consumers while contributing to economic, social, and environmental progress [2] - As of fiscal 2024, Sodexo reported consolidated revenues of €23.8 billion and served 80 million consumers daily [3]

Group 1 - The conference call is focused on the Q1 2025 results of Smurfit Westrock, with key participants including the CEO and CFO [1][2] - Ciaran Potts, the Group VP of Investor Relations, is leading the presentation and will address forward-looking statements and non-GAAP financial measures [3][4]

Smurfit Westrock Plc (SW) reported earnings of 73 cents per share in first-quarter 2025, beating the Zacks Consensus Estimate of 65 cents by a margin of 12%. The bottom line was flat compared with the year-ago quarter. Smurfit Westrock was formed by the merger of two major paper and packaging industry players, Smurfit Kappa and WestRock, on July 5, 2024. Results for Smurfit Westrock are being reported from the third quarter of 2024 as a unified company. In the current first-quarter 2025 earnings release, th ...

For the quarter ended March 2025, Smurfit Westrock (SW) reported revenue of $7.66 billion, up 62% over the same period last year. EPS came in at $0.73, compared to $0.39 in the year-ago quarter.The reported revenue represents a surprise of -2.47% over the Zacks Consensus Estimate of $7.85 billion. With the consensus EPS estimate being $0.65, the EPS surprise was +12.31%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine thei ...

Smurfit Westrock (SW) came out with quarterly earnings of $0.73 per share, beating the Zacks Consensus Estimate of $0.65 per share. This compares to earnings of $0.39 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 12.31%. A quarter ago, it was expected that this paper and packaging company would post earnings of $0.68 per share when it actually produced earnings of $0.34, delivering a surprise of -50%.Over the last four quart ...