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Dec 31, 2024
Rayonier AM Q4 2024 Earnings Report
Rayonier Advanced Materials reported a net loss for Q4 2024 but saw improvements in operating income and adjusted EBITDA.
Key Takeaways
RYAM reported Q4 2024 net sales of $422 million, matching the prior year's quarter. The company posted a net loss of $16 million, an improvement over the $61 million loss in Q4 2023. Operating income turned positive at $11 million, driven by higher cellulose specialties sales and a better pricing mix. Adjusted EBITDA for the quarter was $51 million, reflecting operational improvements despite higher costs.
Net sales remained flat at $422 million.
Net loss improved to $16 million from $61 million in Q4 2023.
Operating income turned positive at $11 million.
Adjusted EBITDA reached $51 million, up from $37 million in Q4 2023.
Rayonier AM
Rayonier AM
Rayonier AM Revenue by Segment
Revenue by Segment
Paperboard Revenue
CapyFin.comHigh-Yield Pulp Revenue
CapyFin.com Forward Guidance
RYAM expects moderate improvements in pricing and operational efficiencies in 2025 but foresees challenges in certain segments due to increased costs and tariffs.
Positive Outlook
- Expected mid single-digit price increase in cellulose specialties.
- Improved operational efficiencies expected to save $10 million.
- New biomaterials investments to enhance long-term profitability.
- Planned maintenance outages expected to optimize production.
- Continued reduction in net debt through operational cash flow.
Challenges Ahead
- Lower cellulose specialties sales volumes due to accelerated 2024 shipments.
- Rising raw material and logistics costs expected to impact margins.
- Tariffs on paperboard sales may reduce profitability.
- Potential disruptions from extended maintenance outages in early 2025.
- Higher labor costs may offset efficiency improvements.
Revenue & Expenses
Visualization of income flow from segment revenue to net income