Quarterly ResultMay 1, 2026, 09:23 AM
GEF Q2 Adj. EBITDA +7.5% to $156.8M; Debt Cut $1.77B; Lowers FY26 Guidance
AI Summary
Greif, Inc. reported fiscal second quarter 2026 results with adjusted EBITDA increasing 7.5% to $156.8 million and adjusted diluted Class A EPS rising 57.5% to $1.10, despite a 32.3% decrease in GAAP net income to $12.6 million. The company significantly strengthened its financial position, reducing total debt by $1.77 billion and improving its leverage ratio to 1.1x, primarily due to divestments. However, Greif lowered its fiscal 2026 Adjusted EBITDA guidance to $610 million, citing ongoing softness in industrial demand and disruptive impacts from the Middle East conflict.
Key Highlights
- Total debt decreased by $1.77 billion to $1.01 billion; leverage ratio improved to 1.1x from 3.3x.
- Adjusted EBITDA increased 7.5% to $156.8 million; adjusted EPS +60% to $1.10/share.
- Completed $150 million share repurchase program, buying 2.2 million Class A and B shares.
- Refinanced long-term debt to 2031, securing $500 million Term Loans at 3.14% rate.
- Lowered FY26 Adjusted EBITDA guidance to $610 million due to Middle East conflict impacts.
- Adjusted free cash flow increased 107% to $179.3 million; FY26 guidance maintained at $315 million.
- Customized Polymer Solutions net sales +$22.3M to $344.8M; Durable Metal Solutions net sales +$7.5M to $380.4M.
- Sustainable Fiber Solutions net sales -$38.9M to $321.8M; Innovative Closure Solutions net sales +$3.5M to $25.8M.