Financial Data and Key Metrics Changes - The company reported an Adjusted EBITDA of $1.172 billion for the fourth quarter and $4.939 billion for the full year, marking the largest outturn by any packaging company globally [5] - Adjusted free cash flow for the quarter was $679 million, totaling over $1.5 billion for the year, highlighting a focus on cash generation [5] - The adjusted margin for the quarter was 15.5%, with a similar figure for the year, providing a strong foundation for future success [6] Business Line Data and Key Metrics Changes - North America reported an adjusted EBITDA of $651 million with a margin of 14.7%, showing a modest year-on-year decline [6] - European margins expanded to over 16% with an adjusted EBITDA of $438 million [6] - Latin America demonstrated strong performance with margins exceeding 24% and an adjusted EBITDA of over $130 million [6] Market Data and Key Metrics Changes - North American volumes saw a sharp decline, while European volumes remained stable, and Latin America experienced stronger growth [7] - The company has successfully reduced leverage to 2.6 times, moving towards a target of 2 times, reflecting improved balance sheet strength [8] Company Strategy and Development Direction - The company is focused on portfolio optimization, including the closure of the SBS machine in La Tuque, Quebec, as part of its strategic initiatives [4] - A medium-term plan has been developed with input from all operating units, aiming for significant profit growth in North America and continued strong performance in EMEA [7][79] - The goal is to achieve an adjusted EBITDA growth to $7 billion by the end of 2030, with a CAGR of 7% and margin expansion of over 300 basis points [79] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging economic environment but expressed confidence in the company's performance and future prospects [13] - The outlook for the first quarter of 2026 is an Adjusted EBITDA between $1.1 billion and $1.2 billion, with a full-year expectation of $5 billion to $5.3 billion [15] - The company anticipates a better industry operating environment in the latter half of the year, driven by new business development and improving economic conditions [15] Other Important Information - The company has been recognized by Forbes, Fortune, and Time Magazine as a leader in the industry, reflecting its strong performance and operational excellence [13] - A progressive dividend policy continues, with a 5% increase noted, emphasizing the importance of returning capital to shareholders [8] Q&A Session Summary Question: Can you talk about the pricing outlook and volume expectations for the year? - Management indicated that pricing has not been baked into forecasts, and they expect volumes to normalize in the latter half of the year, influenced by economic stimuli [17][20] Question: What is the status of lower loss-making contracts and the pipeline? - Management expressed satisfaction with the progress in phasing out underperforming contracts and indicated a robust pipeline for new business opportunities [22][25] Question: How will the company manage downtime and asset utilization? - The company reported $220 million in downtime for the year, with optimal asset utilization rates targeted at mid-90s% for North America and above 92% for Europe [69] Question: What are the expectations for the North American consumer business? - The North American consumer business is performing well, with strong potential for profitability and cash generation, supported by recent large contracts [56][58]

Core Insights - Sealed Air Corporation celebrates National Bubble Wrap® Appreciation Day, highlighting its legacy of innovation in protective packaging [1][4] - The company is launching a limited, fan-focused Big Game "Pop Pack" activation to engage customers and celebrate the brand [7] Company History and Innovation - The BUBBLE WRAP® brand was invented in 1957 by Alfred W. Fielding and Marc Chavannes, initially intended as a textured wall covering, but found its true purpose in protective packaging, leading to the establishment of Sealed Air Corporation in 1960 [3] - Sealed Air has evolved from a single product to a comprehensive protective packaging portfolio, positioning itself as a one-stop shop for end-to-end protection solutions [3] Employee and Customer Engagement - The company acknowledges the contributions of over 16,000 employees who are essential to its manufacturing excellence and customer service [5] - Sealed Air expresses gratitude to its customers and partners for their trust in the company's expertise [5] Cultural Impact - The BUBBLE WRAP® brand is recognized not only for its protective qualities but also for its cultural significance, providing moments of creativity and stress relief [6] Product Features and Market Position - The barrier-bubble technology of BUBBLE WRAP® is designed to retain air longer than non-barrier alternatives, ensuring consistent cushioning during shipping [9] - Sealed Air's portfolio includes 90% recycled content BUBBLE WRAP® packaging, alongside innovations in fiber-based cushioning and void-fill systems [9] - The company's solutions are engineered to enhance operational efficiency, benefiting a range of businesses from global e-commerce to local shops [9] Financial Overview - In 2024, Sealed Air generated $5.4 billion in sales and employs approximately 16,400 people across 117 countries [10]