Magnera Q3 net sales rise 2%, adjusted EBITDA up 9%
Magnera Q3 net sales rise 2%, adjusted EBITDA up 9%
Overview
U.S. material solutions provider's Q3 net sales rose 2% yr/yr to $857 mln
Adjusted EBITDA for Q3 grew 9% to $99 mln
Company cites organic volume growth and synergy savings as key drivers for Q3 results
Outlook
Magnera reaffirms full-year free cash flow outlook
Company maintains adjusted EBITDA guidance at lower end of range
Magnera says it remains focused on strategic objectives amid dynamic macro-economic environment
Result Drivers
ORGANIC VOLUME GROWTH - Co said Q3 volume rose 1%, mainly in consumer solutions and North America recovery from prior storm disruptions
SYNERGY INITIATIVES - Cost savings from merger synergies and Project Core helped improve results, per CEO Curt Begle
INFLATION MANAGEMENT - Commercial team managed spike in inflationary raw material costs, according to CEO Curt Begle
Company press release: ID:nGNX19WgFZ
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Sales |
| $857 mln | $889.90 mln (2 Analysts) |
Q3 Adjusted EBITDA |
| $99 mln | $97.94 mln (2 Analysts) |
Q3 Operating Income |
| $22 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the textiles & leather goods peer group is "hold"
Wall Street's median 12-month price target for Magnera Corporation is $16.00, about 16.9% above its August 4 closing price of $13.69
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 18 three months ago
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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)