Reynolds Consumer Products — Third Quarter 2026 Earnings Summary

Financial Performance:

• Net revenues for Q3 2026 were $944 million, up from $931 million in Q3 2025.
• Retail net revenues were $865 million compared to $864 million in Q3 2025; Non-Retail net revenues were $79 million compared to $67 million in Q3 2025.
• Net income decreased to $58 million in Q3 2026 from $79 million in Q3 2025.
• Adjusted net income was $83 million in Q3 2026, compared to $88 million in Q3 2025.
• Adjusted EBITDA was $163 million in Q3 2026, down $5 million from $168 million in Q3 2025.
• Earnings per share (EPS) were $0.28 in Q3 2026, compared to $0.38 in Q3 2025; Adjusted EPS was $0.39, compared to $0.42 in Q3 2025.
• Year-to-date 2026 net revenues were $2,765 million, up from $2,687 million in the comparable 2025 period.
• Year-to-date 2026 net income was $206 million, up from $184 million in 2025; Adjusted net income was $231 million, up from $220 million in 2025.
• Year-to-date 2026 Adjusted EBITDA was $464 million, up from $447 million in 2025.
• Year-to-date 2026 EPS was $0.97, up from $0.87 in 2025; Adjusted EPS was $1.09, up from $1.05 in 2025.
• Gross profit was $236 million in Q3 2026 compared to $233 million in Q3 2025.
• Selling, general and administrative expenses were $106 million in Q3 2026 compared to $99 million in Q3 2025.
• Cash and cash equivalents were $25 million as of September 30, 2026; debt was $1,531 million, resulting in Net Debt of $1,506 million.
• Net Debt to Trailing Twelve Months Adjusted EBITDA was 2.2x as of September 30, 2026.
• Net cash provided by operating activities for the nine months ended September 30, 2026, was $224 million, compared to $240 million in 2025.
• Capital expenditures were $143 million for the nine months ended September 30, 2026, compared to $124 million in 2025.
• Dividends paid were $145 million for the nine months ended September 30, 2026, compared to $144 million in 2025.

Guidance and Future Outlook:

• The Company is reiterating full-year 2026 Net Revenues guidance of +1% to +3% compared to 2025 Net Revenues of $3,721 million.
• Full-year 2026 Net Income is expected to be in the range of $307 million to $320 million, with EPS of $1.45 to $1.51.
• Full-year 2026 Adjusted Net Income is expected to be in the range of $332 million to $345 million.
• Full-year 2026 Adjusted EPS guidance remains unchanged at $1.57 to $1.63.
• Full-year 2026 Adjusted EBITDA guidance is reiterated at $660 million to $675 million.
• Implied fourth quarter 2026 Net Revenues are expected to be -3% to +3% compared to Q4 2025 Net Revenues of $1,034 million.
• Fourth quarter 2026 Net Income and Adjusted Net Income are expected to be in the range of $101 million to $114 million.
• Fourth quarter 2026 EPS and Adjusted EPS are expected to be in the range of $0.48 to $0.54.
• Fourth quarter 2026 Adjusted EBITDA is expected to be in the range of $196 million to $211 million.

Business Segments and Product Lines:

• Effective January 1, 2026, the Company realigned its Hefty Waste & Storage and Presto Products segments into Reynolds Cooking & Kitchen Essentials, Hefty Waste & Clean-Up, Hefty Home & Tableware, and Hefty Storage & Organization.
• Reynolds Cooking & Kitchen Essentials net revenues increased 9% to $337 million in Q3 2026, driven by an 18% price increase to recover input costs; Adjusted EBITDA decreased $4 million to $49 million due to lower volumes.
• Hefty Waste & Clean-Up net revenues increased 5% to $248 million in Q3 2026, including a 5% price increase; Adjusted EBITDA increased $4 million to $76 million due to supply chain productivity gains.
• Hefty Home & Tableware net revenues decreased 14% to $186 million in Q3 2026, driven by lower volumes from elasticities and foam declines; Adjusted EBITDA decreased $4 million to $25 million.
• Hefty Storage & Organization net revenues decreased 8% to $172 million in Q3 2026, reflecting volume timing after strong Q2 promotions; Adjusted EBITDA decreased $6 million to $30 million.
• Total retail volumes were 7% lower in Q3 2026 compared to Q3 2025.
• Total retail volumes were 3% lower for the nine months ended September 30, 2026, compared to the prior year period.

Market and Competitive Landscape:

• Reynolds holds the No. 1 or No. 2 market share in most categories it serves.
• The Company operates in a volatile environment characterized by significant commodity inflation.
• The Company continues to reinvest in brands, innovation, and strategic initiatives.

Risks and Challenges:

• The Company faces challenges from significant commodity inflation and increased SG&A costs.
• Volume declines are attributed to price elasticities and continued foam declines in specific categories.
• Forward-looking statements are subject to risks including consumer demand trends, retailer inventory and promotional decisions, inflationary pressures, and the ability to recover commodity cost increases through pricing actions.
• Risks also include the ability to successfully integrate acquired businesses, environmental liabilities, and anticipated trends in commodity costs.

Management Commentary and Tone:

• Scott Huckins, President and CEO, stated the Company delivered a solid third quarter in a volatile operating environment, acting decisively to address commodity inflation and delivering earnings in-line with guidance.
• Management noted that productivity gains are fueling reinvestment in brands and innovation.
• Nathan Lowe, CFO, highlighted that Adjusted EBITDA grew to $464 million for the first nine months of 2026, improving profitability through strong productivity gains.
• Management expressed confidence in being well-positioned to continue investing across the business while supporting long-term cash generation and returns to shareholders.

Other Key Points:

• Subsequent to the quarter end, the Company completed the acquisition of Owl's Head Alloys ("OHA") for $110 million on a cash-free, debt-free basis, paid for via borrowings under the Revolving Credit Facility.
• OHA adds specialized aluminum processing capabilities and expands the Company's vertically integrated capabilities.
• The Board of Directors approved a quarterly dividend of $0.23 per common share, payable on November 30, 2026, to shareholders of record as of November 16, 2026.
• The Company realigned its business segments to enhance efficiency and sharpen innovation focus, with all prior periods recast to conform with current presentation.