Sealed Air Stock Earnings Reports

Q3 2025 highlights: Sealed Air reported resilient results against a soft macro backdrop with Q3 sales of $1.35 billion (flat y/y on a reported basis, -1% constant currency), adjusted EBITDA of $287 million (+4% reported, +3% cc) and adjusted EPS of $0.87 (+10% reported). Volumes were down ~1% year-to-date; Food volumes were roughly flat (foodservice +4% y/y) while Protective volumes improved (materials +1% y/y — the first materials growth since 2021) but equipment lagged. Management emphasized ongoing transformation programs (go-to-market overhaul, R&D refocus, network optimization and productivity initiatives) and noted early commercial wins in Protective fulfillment and share gains in EMEA Food. Headwinds: steeper-than-expected decline in U.S. beef production (pressuring industrial food volumes), softer consumer demand in North America with rotation to value grocery, and near-term pricing pressure. Guidance and liquidity: management reaffirmed a ~$5.3B sales midpoint, raised full-year adjusted EBITDA guidance to $1.12–$1.14B (implying ~$274M for Q4), updated FY EPS to $3.25–$3.35, reaffirmed FY free cash flow at ~$400M, lowered FY CapEx to $175M, and ended Q3 with $1.3B total liquidity. Balance sheet actions include refinancing the revolver with a delayed draw term loan to backstop 2026 note maturities; net leverage was 3.5x with a target of ~3.0x by end-2026. Near-term risks include macro uncertainty, potential impacts from a U.S. government shutdown on SNAP funding, and negative net price realization in Q4; management expects to provide a fuller 2026 outlook in February.