Magnera Q3 sales rise 51% but miss analyst expectations

Magnera

06/08/2025 11:41

Corrects amounts and period in Key Details table

Overview

Magnera fiscal Q3 net sales rise 51% yr/yr, missing analyst expectations

Adjusted EBITDA for fiscal Q3 up 23%, but missed estimates

Company confirms post-merger adjusted free cash flow and EBITDA range

Outlook

Company confirms original free cash flow guidance and adjusted EBITDA range

Company commiteed to strengthen credit metrics by paying down debt

Result Drivers

GLATFELTER MERGER - Merger contributed $320 mln to net sales and $23 mln to adjusted EBITDA

ORGANIC VOLUME DECLINE - 5% decline in organic volume due to market softness in Europe and competitive pressures in South America

PRICE/COST SPREAD - Unfavorable impacts from price/cost spread affected adjusted EBITDA

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$839 mln
$842 mln (2 Analysts)
Q3 Adjusted EBITDA
Miss
$91 mln
$94.50 mln (2 Analysts)

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 "buy."

Wall Street's median 12-month price target for Magnera Corp is $14.00, about 13.1% above its August 5 closing price of $12.16

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nGNX80GJGw

 (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.)