Sealed Air — Q4 2024 Earnings Presentation
21 slides from Sealed Air's earnings presentation, Feb 25, 2025
Slide 1: Q4 and FY 2024 Earnings and 2025 Outlook
Q4 and FY 2024 Earnings and 2025 Outlook Dustin Semach, President & CEO Roni Johnson, Interim CFO Mark Stone, Investor Relations February 25, 2025 - Conference Call Supplement (Unaudited Results) © 2024 Sealed Air | 1
Slide 2: Safe Harbor and Regulation G Statement
Safe Harbor and Regulation G Statement Forward-looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by such words as “anticipate,” “believe,” “plan,” “assume,”
Slide 3: Sealed Air business and market update
Sealed Air business and market update Dustin Semach Roni Johnson President & CEO Interim CFO © 2025 Sealed Air | 3
Slide 4: Financial performance Q4 2024 FY 2024
Financial performance Q4 2024 FY 2024 Revenue Net Sales $1.37B $5.39B Flat as reported Down 2% as reported Up 1% constant dollar Down 1% constant dollar Earnings Adj. EBITDA $271M $1.11B Down 1% as reported Flat as reported Earnings/Share Adj. EPS $0.75 $3.14 Down 15% as reported Down 1% as reported
Slide 5: Q4 2024 performance
1% Net Sales Flat Q4 2024 performance $1,377M $1,373M (1%) Sealed Air Q4 sales flat as reported. Organic growth of 1% due to higher volumes partially offset by unfavorable Constant Dollar 1% price Q4 2023 Organic FX Q4 2024 Q4 Adj. EBITDA of $271M, down 1% as reported Net Price Realization1, unfavor
Slide 6: Q4 2024 segment performance
Q4 2024 segment performance Food Protective Q4 organic sales up 5% driven by volume growth in Q4 organic sales down 7% driven by lower volumes all regions and unfavorable pricing across all regions Q4 Adj. EBITDA of $208M, up 7% as reported Q4 Adj. EBITDA of $67M, down 26% as reported Adj. EBITDA ma
Slide 7: Q4 2024 sales performance
Q4 2024 sales performance Segments Regions ($M) Sealed Air Food Protective Americas EMEA Asia Pacific Q4 Sales $1,373 $923 $450 $875 $288 $210 As Reported Change (0%) 3% (7%) (1%) 1% 0% Constant Dollar Change 1% 5% (7%) 1% 1% 1% Volume/Mix 1% 5% (5%) 1% 2% 2% Price (0%) 0% (1%) 0% (1%) (1%) % of Sal
Slide 8: Free cash flow Capital allocation
Full Year Free cash flow1 (3%) Free cash flow $467M $454M Working capital discipline, reduced incentive compensation payments and lower capital spending Cash Cash conversion conversion 101% 99% Continue to drive high adj. earnings to cash conversion 2023 2024 Net Debt / Adj. EBITDA Capital allocatio
Slide 9: 2025 outlook
2025 outlook Range Constant currency △% Net Sales $5.1 – $5.5B (3%) – 4% Adj. EBITDA $1.075 – $1.175B (1%) – 8% Adj. EPS $2.90 – $3.30 (4%) – 9% Free Cash Flow $350 – $450M © 2025 Sealed Air | 9
Slide 10: Combines industry leading material science, best-in-class service and differentiated automation solutions
Combines industry leading material science, best-in-class service and differentiated automation solutions to deliver world-class packaging solutions…. …. that solve our customers’ most critical packaging challenges © 2024 Sealed Air | 10
Slide 11: Appendix
Appendix U.S. GAAP Summary & Reconciliations © 2025 Sealed Air | 11
Slide 12: Disciplined Capital Allocation Model
Disciplined Capital Allocation Model Debt Reduction Returning Capital to Shareholders Focus on deleverage Dividend payout ratio2 Q4'24 ~25% Q4’24 net debt / adj. EBITDA ~3.6x Q4’24 Cash dividend $29M or $0.20 per share Target net debt / adj. EBITDA to ~3.0x in 2026 No shares repurchased Continue to
Slide 13: FY 2024 performance
(2%) Net Sales $5,489M FY 2024 performance 0% $5,393M (2%) (1%) 2024 sales down 2% as reported due to lower Constant Dollar (1%) pricing in both segments partially offset by favorable 2023 Organic FX Acquisition 2024 volumes 2024 Adj. EBITDA of $1.11B, flat as reported Net Price Realization1, unfavo
Slide 14: FY 2024 segment performance
FY 2024 segment performance Food Protective 2024 organic sales up 2% driven by volume growth in 2024 organic sales down 8% all regions 2024 Adj. EBITDA of $313M, down 13% as reported 2024 Adj. EBITDA of $808M, up 4% as reported Adj. EBITDA margin of 17.3%, down 110 bps Adj. EBITDA margin of 22.5%, u
Slide 15: FY 2024 sales performance
FY 2024 sales performance Segments Regions ($M) Sealed Air Food Protective Americas EMEA Asia Pacific 2024 Sales $5,393 $3,583 $1,810 $3,526 $1,108 $759 As Reported Change (2%) 2% (8%) (1%) (4%) (0%) Constant Dollar Change (1%) 3% (8%) (1%) (4%) 2% Acquisition 0% 1% 0% 0% 0% 0% Volume/Mix 1% 4% (5%)
Slide 16: Q4 and FY 2024 YoY Sales Trends
Q4 and FY 2024 YoY Sales Trends 2023 Organic % Volume/Mix % Price % Excluding FX & M&A Excluding M&A Excluding M&A 2024 Q4 FY Q1 Q2 Q3 Q4 FY Q4 FY Q1 Q2 Q3 Q4 FY Q4 FY Q1 Q2 Q3 Q4 FY Food (3) 0 (1) 2 1 5 2 (3) (2) 3 5 2 5 4 1 2 (4) (3) (1) 0 (2) Protective (10) (15) (7) (9) (8) (7) (8) (5) (14) (4)
Slide 17: Free Cash Flow
Free Cash Flow Twelve Months Ended Dec. 31, ($M) 20241 20231 Adjusted EBITDA 1,111 1,107 Interest payments, net (249) (254) Income tax payments, net of refunds (164) (163) Restructuring & assoc. payments (58) (19) Change in trade working capital, net 2 (10) 87 Change in other assets/liabilities 44 (
Slide 18: Adjusted EBITDA and Adjusted Tax Rate
Adjusted EBITDA and Adjusted Tax Rate Three Months Ended Last Twelve Months Ended ($M) Dec 31, 2024 Dec 31, 2023 Jun 30, 2023 Sep 30, 2023 Dec 31, 2023 Mar 31, 2024 Jun 30, 2024 Sep 30, 2024 Dec 31, 2024 GAAP Net earnings from continuing operations (0.4) 124.9 384.1 309.1 339.3 359.8 363.7 394.8 269
Slide 19: U.S. GAAP Summary & Reconciliations
U.S. GAAP Summary & Reconciliations Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 ($M, except per share data) Net Earnings Diluted EPS Net Earnings Diluted EPS Net Earnings Diluted EPS Net Earnings Diluted EPS U.S. GAAP net earnings and diluted EPS from cont. operations
Slide 20: Components of Change in Net Sales
Components of Change in Net Sales Year Ended December 31, By region ($M) Americas EMEA APAC Total 2023 Net Sales $ 3,578.3 65.2% $ 1,149.3 20.9% $ 761.3 13.9% $ 5,488.9 100.0% Price (76.1) (2.1)% (36.4) (3.2)% (6.3) (0.8)% (118.8) (2.1)% Volume1 27.8 0.8% (9.1) (0.8)% 16.0 2.1% 34.7 0.6% Total organ
Slide 21: Components of Change in Net Sales
Components of Change in Net Sales By segment ($M) Food Year Ended December 31, Protective Total Company 2023 Net Sales $ 3,519.7 64.1% $ 1,969.2 35.9% $ 5,488.9 100.0% Price (69.5) (2.0)% (49.3) (2.5)% (119.1) (2.1)% Volume1 136.5 3.9% (101.8) (5.2)% 34.7 0.6% Total organic change (non-GAAP) 67.0 1.