Greif shares fall almost 7% as This autumn earnings disappoint

NEW YORK – Greif Inc. (NYSE:GEF) reported fourth quarter earnings that fell wanting analyst expectations, sending shares down 6.7% in after-hours buying and selling on Wednesday.

The economic packaging firm posted adjusted earnings per share of $0.85 for the quarter ended October 31, lacking the consensus estimate of $1.09. Income got here in at $1.42 billion, up from $1.31 billion in the identical quarter final 12 months.

“I’m happy to report a strong fourth quarter and full 12 months 2024 end result, notably in mild of the continuation of this prolonged interval of commercial contraction,” mentioned CEO Ole Rosgaard in a press release.

Web earnings for the quarter decreased 6.5% year-over-year to $63.4 million. Adjusted EBITDA fell 2% to $197.6 million in comparison with $201.6 million in This autumn 2023.

For the complete fiscal 12 months 2024, Greif reported web earnings of $262.1 million, down 27% from $359.2 million in 2023. Annual income elevated to $5.45 billion from $5.22 billion the earlier 12 months.

Trying forward, the corporate offered low-end steering for fiscal 2025, projecting adjusted EBITDA of $675 million and adjusted free money movement of $225 million. Administration cited ongoing industrial contraction and lack of “compelling demand inflection on the horizon” for the conservative outlook.

Greif will host an investor day on December 11 in New York Metropolis to supply extra particulars on its strategic initiatives and 2025 outlook. The corporate additionally introduced plans to remove $100 million in structural prices by means of varied optimization efforts.

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