Core Insights - Reynolds Consumer Products reported Q2 2025 GAAP revenue of $938 million, exceeding analyst expectations of $902.8 million, with a modest year-over-year increase of 0.9% [1][2] - Adjusted earnings per share were $0.39, slightly above the estimate of $0.38 but down from $0.46 in Q2 2024, reflecting a year-over-year decline of 15.2% [1][2] - The company faced challenges from rising input costs, lower retail volumes, and CEO transition-related expenses, impacting profit margins [1][6] Financial Performance - GAAP revenue increased by 0.9% from $930 million in Q2 2024 to $938 million in Q2 2025 [2] - Adjusted EBITDA decreased by 5.2% from $172 million in Q2 2024 to $163 million in Q2 2025 [2][6] - Net income fell by 24.7% to $73 million compared to $97 million in Q2 2024, influenced by $10 million in after-tax CEO transition costs [2][6] Business Overview - Reynolds Consumer Products specializes in food storage, cooking, waste management, and tableware products, with leading brands like Reynolds and Hefty found in 95% of U.S. homes [3] - The company focuses on maintaining category leadership, driving product innovation, and investing in sustainability [4] Segment Performance - The Cooking & Baking unit saw a revenue increase of $4 million but a $5 million decline in adjusted EBITDA due to weaker retail volume [7] - Hefty Waste & Storage achieved an $11 million rise in GAAP net revenues with a 6% increase in retail volume, though adjusted EBITDA remained flat [7] - The Hefty Tableware segment experienced a $9 million sales decline, attributed to a 5% drop in retail volume [7] Product Innovation - Recent product launches include Hefty Fabuloso scented trash bags, Hefty Press to Close food bags, and new compostable cutlery, reflecting ongoing investment in innovation and sustainability [8] - The company aims to align international operations with domestic product categories to support future growth opportunities [8] Dividend and Guidance - The quarterly dividend was maintained at $0.23 per share, consistent with the prior year [9] - Management reiterated full-year 2025 guidance, expecting net revenues to decline by low single digits compared to FY2024, with adjusted EBITDA projected between $650 million and $670 million [10]