Reynolds Consumer Products Reports Third Quarter 2025 Financial Results

Revenue Increased 2% with Retail Revenue Up 1%

Lifting Full Year Revenue and Adjusted EPS Guide

Effectively Managing Dynamic Cost Environment

Reynolds Consumer Products Inc. (the “Company” or “RCP”) (Nasdaq: REYN) today reported financial results for the third quarter ended September 30, 2025.

“Our people, brands and products are winning in a challenging environment, with all four business units delivering improved results driven by share gains in the majority of our categories,” said Scott Huckins, President and Chief Executive Officer. “We are becoming a more agile organization, while implementing programs that leverage the growth and earnings potential of our US-centric business model.”

Third Quarter 2025 Highlights

• Net Revenues of $931 million vs. $910 million in Q3 2024
  • Retail Net Revenues of $864 million increased 1% versus the prior year
  • Retail volume decreased 2% in total, exceeding category performance and increasing 1% after accounting for a 3-point headwind from foam
  • Non-Retail Revenues, which comprises aluminum sales to food service and industrial customers, increased $13 million to $67 million
• Net Income of $79 million vs. $86 million in Q3 2024; Adjusted Net Income of $88 million vs. $86 million in Q3 2024
• Adjusted EBITDA of $168 million vs. $171 million in Q3 2024
• Earnings Per Share of $0.38 vs. $0.41 in Q3 2024; Adjusted Earnings Per Share of $0.42 vs. $0.41 in Q3 2024

Net Income was $79 million, including $9 million of after-tax CEO transition costs and strategic investments in cost savings and revenue growth initiatives. Adjusted Net Income was $88 million compared to Adjusted Net Income of $86 million for the third quarter of 2024. Adjusted EBITDA was $168 million compared to $171 million in the prior year period, reflecting lower volumes, partially offset by increased alignment of pricing with higher costs.

Reynolds Cooking & Baking

• Net Revenues increased $14 million to $308 million, reflecting increases in both Retail and Non-retail Revenues
• Adjusted EBITDA increased $3 million to $53 million

Retail volume decreased 3% and improved sequentially, driven by Reynolds Wrap share gains and strong growth of Reynolds Kitchens products.

Adjusted EBITDA increased on better alignment of pricing and input costs, as well as lower operating costs.

Hefty Waste & Storage

• Net Revenues increased $13 million to $266 million
• Adjusted EBITDA increased $2 million to $74 million

Retail volume increased 5% driven by strong distribution gains and innovation.

The Adjusted EBITDA increase was driven by higher revenue, partially offset by higher operating costs.

Hefty Tableware

• Net Revenues decreased $22 million to $200 million
• Adjusted EBITDA increased $3 million to $29 million

Retail volume decreased 13%, driven primarily by continued foam declines.

The Adjusted EBITDA increase was driven by better alignment of pricing and input costs, as well as promotional discipline partially offset by lower volume.

Presto Products

• Net Revenues increased $13 million to $163 million
• Adjusted EBITDA increased $2 million to $35 million

Retail volume increased 9% as Presto’s portfolio gained additional share in store brand food bags.

The Adjusted EBITDA increase was driven by volume growth.

Year to Date 2025 Highlights

• Net Revenues of $2,687 million vs. $2,675 million in the comparable prior year period
  • Retail Net Revenues decreased 1%
  • Retail volume decreased 2%, exceeding category performance and flat after accounting for a 2-point headwind from foam
  • Non-retail Revenues increased $39 million to $170 million
• Net Income of $184 million vs. $231 million in the comparable prior year period; Adjusted Net Income of $220 million vs. $231 million in the comparable prior year period, which included a discrete tax benefit of $10 million in the second quarter of 2024
• Adjusted EBITDA of $447 million vs. $465 million in the comparable prior year period
• Earnings Per Share of $0.87 vs. $1.10 in the comparable prior year period; Adjusted Earnings Per Share of $1.05 vs. $1.10 in the comparable prior year period, which included a discrete tax benefit of $0.05 in the second quarter of 2024

Net Income was $184 million, including $10 million of after-tax debt refinancing costs in the first quarter and $26 million of after-tax CEO transition costs and strategic investments in cost savings and revenue growth initiatives. Adjusted Net Income was $220 million compared to Adjusted Net Income of $231 million in the comparable prior year period, which included a discrete tax benefit of $10 million in the second quarter of 2024. Adjusted EBITDA was $447 million, compared to $465 million in the comparable prior year period, driven by lower retail volume, including first quarter retailer inventory destocking, and higher operational costs, partially offset by pricing actions as well as promotional and SG&A discipline driving reductions in spending. Pricing actions fully offset input cost increases.

Balance Sheet and Cash Flow Highlights

Cash and cash equivalents were $53 million at September 30, 2025 and debt was $1,629 million resulting in Net Debt of $1,576 million.

Net Debt to Trailing Twelve Months Adjusted EBITDA ¹ was 2.4x on September 30, 2025 and within the Company’s target leverage range.

Subsequent to quarter end, the Company made a voluntary principal payment of $50 million on its term loan facility.

“We delivered another quarter of results above our previously communicated expectations, demonstrating continued leadership of our categories, pricing, and cost discipline in a challenging environment,” said Nathan Lowe, Chief Financial Officer. “We are becoming more effective pulling all available levers to drive earnings, while also starting to realize financial benefits from initiatives that unlock more of our growth and earnings potential.”

Full Year 2025 and Fourth Quarter Outlook

The Company now expects 2025 Net Revenues to be flat to down 1% by comparison to 2024 Net Revenues of $3,695 million, Net Income of $294 million to $302 million, Adjusted Net Income of $337 million to $345 million, EPS of $1.40 to $1.44, Adjusted EPS of $1.60 to $1.64 and Adjusted EBITDA of $655 million to $665 million.

The Company expects fourth quarter 2025 Net Revenues to be down 1% to down 5% by comparison to fourth quarter 2024 Net Revenues of $1,021 million, Net Income of $110 million to $118 million, Adjusted Net Income of $117 million to $125 million, EPS of $0.52 to $0.56, Adjusted EPS of $0.56 to $0.60 and Adjusted EBITDA of $208 million to $218 million.

Full-year 2025 expected Adjusted Net Income reflects the following estimated adjustments from Net Income: $13 million of debt refinancing costs recognized in the first quarter of 2025 and approximately $40 million of pre-tax CEO transition costs and strategic investments in cost savings and revenue growth initiatives recognized in the full year.

Quarterly Dividend

The Company’s Board of Directors has approved a quarterly dividend of $0.23 per common share. The Company expects to pay this dividend on November 28, 2025, to shareholders of record as of November 14, 2025.

Earnings Webcast

The Company will host a live webcast this morning at 7:00 a.m. CT (8:00 a.m. ET). A link to the webcast and all related earnings materials will be available on the Company’s Investor Relations website at https://investors.reynoldsconsumerproducts.com .

About Reynolds Consumer Products Inc.

Reynolds Consumer Products is a leading provider of household essentials designed to simplify daily life, so consumers can enjoy what matters most. Found in 95% of U.S. homes, the Company offers trusted solutions for cooking, cleanup, food storage, and more. Its portfolio features iconic brands like Reynolds Wrap® aluminum foil and Hefty® trash bags and disposable tableware, along with store brand products tailored to retail partners. Reynolds holds the No. 1 or No. 2 market share in most of the categories it serves. Learn more at: investors.reynoldsconsumerproducts.com

Forward Looking Statements

This press release contains statements reflecting our views about our future performance that constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on information available to us on the date of this release. These forward-looking statements include, but are not limited to, our ability to implement programs and make progress to drive additional growth, margin and returns, and our anticipated Net Revenue, Net Income, Adjusted Net Income, EPS, Adjusted EPS and Adjusted EBITDA for full year and fourth quarter 2025. In some cases, you can identify these statements by forward-looking words such as “anticipate,” “believe,” “estimate,” “expect,” “will,” “should,” “may,” “might,” “intends,” “outlook,” “forecast”, “position,” “committed,” “plans,” “predicts,” “model,” “assumes,” “confident,” “look forward,” “potential,” “on track,” or “continue,” the negative of these terms and other comparable terminology. These forward-looking statements, which are subject to risks, uncertainties and assumptions about us, may include projections of our future financial performance, our anticipated growth and recovery of profitability, management of costs and other disruptions and other strategies, the impact of the imposition of tariffs, and anticipated trends in our business, including expected levels of commodity costs and volume. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements, including but not limited to the risk factors set forth in our most recent Annual Report on Form 10-K and in our Quarterly Reports on Form 10-Q.

For additional information on these and other factors that could cause our actual results to materially differ from those set forth herein, please see our filings with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K and subsequent filings. Investors are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date they are made. The Company undertakes no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise.

REYN-F

Use of Non-GAAP Financial Measures

We use non-GAAP financial measures “Adjusted EBITDA,” “Adjusted Net Income,” “Adjusted Earnings Per Share,” “Net Debt,” and “Net Debt to Trailing Twelve Months Adjusted EBITDA” in evaluating our past results and future prospects. We define Adjusted EBITDA as net income calculated in accordance with GAAP, plus the sum of income tax expense, net interest expense, debt refinancing expense, depreciation and amortization, costs to execute strategic initiatives and CEO transition costs. We define Adjusted Net Income and Adjusted Earnings Per Share (“Adjusted EPS”) as Net Income and Earnings Per Share (“EPS”) calculated in accordance with GAAP, plus the after-tax impact of debt refinancing expense, costs to execute strategic initiatives and CEO transition costs. We define Net Debt as the current portion of long-term debt plus long-term debt less cash and cash equivalents. We define Net Debt to Trailing Twelve Months Adjusted EBITDA as Net Debt (as defined above) as of the end of the period to Adjusted EBITDA (as defined above) for the period.

We present Adjusted EBITDA because it is a key measure used by our management team to evaluate our operating performance, generate future operating plans and make strategic decisions. In addition, our chief operating decision maker uses Adjusted EBITDA of each reportable segment to evaluate the operating performance of such segments. We use Adjusted Net Income and Adjusted EPS as supplemental measures to evaluate our business’ performance in a way that also considers our ability to generate profit without the impact of certain items. We use Net Debt as we believe it is a more representative measure of our liquidity. We use Net Debt to Trailing Twelve Months Adjusted EBITDA because it reflects our ability to service our debt obligations. Accordingly, we believe presenting these measures provide useful information to investors and others in understanding and evaluating our operating results in the same manner as our management team and board of directors.

Non-GAAP information should be considered as supplemental in nature and is not meant to be considered in isolation or as a substitute for the related financial information prepared in accordance with GAAP. In addition, our non-GAAP financial measures may not be the same as or comparable to similar non-GAAP financial measures presented by other companies.

Guidance for fiscal year and fourth quarter 2025, where adjusted, is provided on a non-GAAP basis. Please see reconciliations of non-GAAP measures used in this release to the most directly comparable GAAP measures, beginning on the following page.

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Investor Contact
Mark Swartzberg
Mark.Swartzberg@reynoldsbrands.com
(847) 482-4081