Rayonier Advanced Materials Q3 net sales miss estimates hurt by customer destocking and tariff impacts

Rayonier Advanced Materials

04/11/2025 22:00

Overview

Rayonier Advanced Materials Q3 net sales of $353 mln missed analyst expectations

Company reports Q3 loss from continuing operations improved by $29 mln year-over-year

Adjusted EBITDA for Q3 down $9 mln from prior year quarter

Outlook

Company expects full-year 2025 Adjusted EBITDA of $135 mln to $140 mln

Company anticipates $25 mln to $30 mln Adjusted Free Cash Flow in Q4 2025

Co aims for over $300 mln in run-rate EBITDA by end of 2027

Result Drivers

CELLULOSE SPECIALTIES - Sales decreased due to customer destocking and tariff impacts, but higher prices and lower fixed costs improved operating income

BIOMATERIALS - Sales remained flat with operational challenges and strikes affecting bioethanol sales

CELLULOSE COMMODITIES - Improved operating loss due to past impairments and cost reductions, despite lower sales volumes

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Net Sales
Miss
$353 mln
$373.70 mln (3 Analysts)
Q3 EPS
-$0.07
Q3 Net Income
-$4 mln
Q3 Operating Income
$9 mln


Analyst Coverage

The one available analyst rating on the shares is "buy"

The average consensus recommendation for the specialty chemicals peer group is "buy"

Wall Street's median 12-month price target for Rayonier Advanced Materials Inc is $6.00, about 11.7% below its November 3 closing price of $6.70

Press Release: ID:nBw52zSRRa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@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.)