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Jun 30
Ranpak Q2 2025 Earnings Report
Ranpak reported its second quarter 2025 financial results, showing increased net revenue and packaging system placements, despite a net loss and a decline in Adjusted EBITDA.
Key Takeaways
Ranpak Holdings Corp. reported a 6.8% year-over-year increase in net revenue to $92.3 million for the second quarter of 2025, driven by volume growth and strength in North American e-commerce. However, the company experienced a net loss of $7.5 million compared to a net income in the prior year, and Adjusted EBITDA declined by 15.8% due to lower volumes in Europe and APAC and higher production costs in North America.
Net revenue increased by 6.8% year-over-year to $92.3 million, including a $1.2 million non-cash reduction for warrants.
The company reported a net loss of $7.5 million for the quarter, a significant decrease from a net income of $5.5 million in the prior year period.
Adjusted EBITDA for the second quarter was $16.5 million, down 15.8% year-over-year, impacted by lower volumes and higher production costs.
Packaging system placements increased by 2.7% year-over-year, reaching approximately 145.0 thousand machines as of June 30, 2025.
Ranpak
Ranpak
Ranpak Revenue by Segment
Revenue by Segment
Cushioning Revenue
CapyFin.comVoid-Fill Revenue
CapyFin.comWrapping Revenue
CapyFin.comOther Net Revenue
CapyFin.com Forward Guidance
Ranpak is updating its forward-looking guidance for the second half of 2025, forecasting net revenue between $216 million and $230 million and Adjusted EBITDA between $44.5 million and $54.5 million. This implies total 2025 net revenue of $406.5 million and Adjusted EBITDA of $83.3 million at the midpoint, reflecting an estimated $4 million to $6 million reduction from warrant expense.
Positive Outlook
- Anticipated strong and profitable growth going forward due to differentiated solutions and strong customer execution.
- Robust Automation backlog for the second half of 2025, with expected Automation net revenue of $40 - $45 million for the full year.
- Cost reduction and margin improvement initiatives are expected to take hold in Q3, leading to an improved financial profile in the second half.
- Expectation of a three to five gross margin point improvement in North America in the second half of the year.
- Cemented strategic and economic partnerships, including with a major player in protective packaging and warehouse automation, indicating strong confidence in Ranpak's innovation.
Challenges Ahead
- Challenging start to the year and movements in currency necessitated an update to forward-looking guidance.
- Uncertainty across the globe weighed on the exclusive distribution channel in the second quarter, leading to a less robust May and June globally.
- Industrial activity continues to be subdued.
- Margin pressures experienced in the first quarter persisted into the second quarter.
- Guidance reflects an estimated $4 million to $6 million non-cash net revenue and AEBITDA reduction in 2025 related to the recognition of warrant expense.
Revenue & Expenses
Visualization of income flow from segment revenue to net income