DELAWARE, Ohio, Dec. 8,
2021 /PRNewswire/ -- Greif, Inc. (NYSE: GEF, GEF.B), a world
leader in industrial packaging products and services, today
announced fourth quarter and fiscal 2021 results.
Fourth Quarter Results Include (all results compared to the
fourth quarter 2020 unless otherwise noted)(1):
- Net income of $104.5 million or
$1.74 per diluted Class A share
compared to net income of $44.4
million or $0.74 per diluted
Class A share. Net income, excluding the impact of
adjustments(2), of $115.4
million or $1.93 per diluted
Class A share compared to net income, excluding the impact of
adjustments, of $46.4 million or
$0.78 per diluted Class A share.
Adjusted EBITDA(3) increased by $56.8 million to $211.3
million.
- Net cash provided by operating activities decreased by
$63.1 million to $137.3 million. Adjusted free cash
flow(4) decreased by $79.1
million to $94.8 million
primarily as a result of inflationary raw material costs.
- Total debt decreased by $261.4
million to $2,225.6 million.
Net debt(5) decreased by $280.1
million to $2,101.0 million
and decreased by $66.8 million
sequentially from the third quarter of 2021. The Company's leverage
ratio(6) decreased to 2.49x compared to 3.66x, within
our targeted leverage ratio range of 2.0x - 2.5x.
Fiscal Year Results Include (all results compared to the
fiscal year 2020 unless otherwise noted):
- Net income of $390.7 million or
$6.54 per diluted Class A share
compared to net income of $108.8
million or $1.83 per diluted
Class A share. Net income, excluding the impact of adjustments, of
$334.5 million or $5.60 per diluted Class A share compared to net
income, excluding the impact of adjustments, of $190.9 million or $3.22 per diluted Class A share. Adjusted EBITDA
increased by $121.6 million to
$764.2 million.
- Net cash provided by operating activities decreased by
$58.7 million to $396.0 million. Adjusted free cash flow decreased
by $72.1 million to $274.1 million.
- The Company paid $105.8 million
in cash dividends to stockholders in fiscal 2021.
Announcement:
- Named to Newsweek's Most Loved Workplaces list for 2021,
ranking number 59 among the top 100 companies recognized for
colleague happiness and satisfaction at work.
Pete Watson, Greif's President
and Chief Executive Officer, commented:
"The global Greif team delivered exceptional results in fiscal
2021 and overcame significant external challenges to deliver record
net sales and profits for the full fiscal year," said Pete Watson, Greif's President and Chief
Executive Officer. "In addition, we advanced our financial
priorities, increasing our dividend and reaching our targeted
leverage ratio range, while making notable progress on our ESG
journey. Looking ahead, we remain well positioned to provide
differentiated packaging solutions that generate value for our
customers and shareholders."
(1)
|
As previously
reported, during the first quarter of 2021, the former Rigid
Industrial Packaging & Services and Flexible Products &
Services segments were combined into a single reportable segment
now known as the Global Industrial Packaging segment. On
February 24, 2021 the Company filed a Current Report on Form 8-K
with the SEC to furnish certain historical GAAP and non-GAAP
financial information in a revised presentation aligned with the
Company's new reportable segment
structure.
|
(2)
|
Adjustments that are
excluded from net income before adjustments and from earnings per
diluted Class A share before adjustments are restructuring charges,
acquisition and integration related costs, non-cash asset
impairment charges, non-cash pension settlement charges,
incremental COVID-19 costs, net, (gain) loss on disposal of
properties, plants, equipment and businesses, net and timberland
gains, net.
|
(3)
|
Adjusted EBITDA is
defined as net income, plus interest expense, net, plus income tax
expense, plus depreciation, depletion and amortization expense,
plus restructuring charges, plus acquisition and integration
related costs, plus non-cash asset impairment charges, plus
non-cash pension settlement charges, plus incremental COVID-19
costs, net, plus (gain) loss on disposal of properties, plants,
equipment and businesses, net, less timberland gains,
net.
|
(4)
|
Adjusted free cash
flow is defined as net cash provided by operating activities, less
cash paid for purchases of properties, plants and equipment, plus
cash paid for acquisition and integration related costs, plus cash
paid for incremental COVID-19 costs, net, plus cash paid for
acquisition and integration related Enterprise Resource Planning
(ERP) systems.
|
(5)
|
Net debt is defined
as total debt less cash and cash equivalents.
|
(6)
|
Leverage ratio is
defined as trailing twelve month EBITDA divided by net debt, each
as calculated under the terms of the Company's Amended and Restated
Credit Agreement dated as of February 11, 2019, filed as Exhibit
10.1 on Form 8-K/A on March 26, 2020 (the "2019 Credit
Agreement").
|
|
Note: A
reconciliation of the differences between all non-GAAP financial
measures used in this release with the most directly comparable
GAAP financial measures is included in the financial schedules that
are a part of this release. These non-GAAP financial measures are
intended to supplement and should be read together with our
financial results. They should not be considered an alternative or
substitute for, and should not be considered superior to, our
reported financial results. Accordingly, users of this financial
information should not place undue reliance on these non-GAAP
financial measures.
|
Customer Service
The Company's consolidated CSI(7) score was 93.1
during the fourth quarter 2021 and was 93.2 on a trailing four
quarter basis. Our long term objective is for each business segment
to achieve a CSI score of 95.0 or greater.
CSI for the Global Industrial Packaging and Paper Packaging
& Services segment were both approximately flat to the prior
year quarter at 94.2 and 91.8, respectively.
In addition we completed our eleventh NPS(8) survey
and achieved a score of 60.0 which represents a 7.0 point decline
from our wave ten results. Detailed analysis of customer
comments from wave eleven indicate the decline was largely due to
poor communication about late customer deliveries caused by factors
beyond our control within the supply chain. The Company is
currently taking focused actions to enhance communications to
better assist customers with order delivery planning.
Segment Results (all results compared to the fourth quarter
of 2020 unless otherwise noted)
Net sales are impacted mainly by the volume of primary
products(9) sold, selling prices, product mix and the
impact of changes in foreign currencies against the U.S. Dollar.
The table below shows the percentage impact of each of these items
on net sales for our primary products for the fourth quarter of
2021 as compared to the prior year quarter for the business
segments with manufacturing operations.
Net Sales Impact -
Primary Products
|
Global
Industrial
Packaging
|
|
Paper Packaging &
Services
|
|
%
|
|
%
|
Currency
Translation
|
1.0
|
%
|
|
0.1
|
%
|
Volume
|
2.7
|
%
|
|
1.5
|
%
|
Selling Prices and
Product Mix
|
44.7
|
%
|
|
20.0
|
%
|
Total Impact of
Primary Products
|
48.4
|
%
|
|
21.6
|
%
|
Global Industrial Packaging
Net sales increased by $299.3 million to $951.6 million. Net sales excluding foreign
currency translation increased by $292.0
million due primarily due to higher volumes and higher
average sale prices.
Gross profit increased by $53.5 million to $184.3 million. The change in gross profit was
primarily due to the same factors that impacted net sales,
partially offset by higher raw material, manufacturing and
transportation costs.
Operating profit increased by $38.9 million to $97.8 million. Adjusted EBITDA increased by
$47.3 million to $121.4 million primarily due to the same factors
that impacted gross profit.
Paper Packaging & Services
Net sales increased by $119.4 million to $621.7 million primarily due to higher volumes
and higher published containerboard and boxboard prices.
Gross profit increased by $11.0 million to $109.8 million. The change in gross profit was
primarily due to the same factors that impacted net sales,
partially offset by higher raw material, manufacturing and
transportation costs.
Operating profit increased by $11.2 million to $41.9 million. Adjusted EBITDA increased by
$10.3 million to $87.7 million primarily due to the same
factors that impacted gross profit.
Land Management
Net sales decreased by $1.8 million to $4.9
million due primarily to reduced timber available for sale
as a result of acreage sold in the second quarter.
Operating profit decreased by $0.4 million to $1.8
million. Adjusted EBITDA decreased by $0.8 million to $2.2
million.
Tax Summary
During the fourth quarter, the Company recorded an income tax
rate of 10.7 percent and a tax rate excluding the impact of
adjustments of 11.3 percent. As previously disclosed, the
application of FIN 18 often causes fluctuations in our quarterly
effective tax rates. For the full year, the Company recorded an
income tax rate of 14.5 percent and a tax rate excluding the impact
of adjustments of 18.1 percent.
Dividend Summary
On December 7, 2021, the Board of
Directors declared quarterly cash dividends of $0.46 per share of Class A Common Stock and
$0.68 per share of Class B Common
Stock. Dividends are payable on January 1,
2022, to stockholders of record at the close of business on
December 17, 2021.
Company Outlook
(in millions,
except per share amounts)
|
Fiscal 2022
Outlook
|
Class A earnings per
share before adjustments
|
$5.85 -
$6.45
|
Adjusted free cash
flow
|
$400 -
$460
|
Note: Fiscal 2022 Class A earnings per share guidance on a GAAP
basis is not provided in this release due to the potential for one
or more of the following, the timing and magnitude of which we are
unable to reliably forecast: gains or losses on the disposal of
businesses, timberland or properties, plants and equipment, net;
non-cash asset impairment charges due to unanticipated changes in
the business; restructuring-related activities; non-cash pension
settlement (income) charges; or acquisition and integration related
costs, and the income tax effects of these items and other income
tax-related events. No reconciliation of the fiscal 2022 Class A
earnings per share before adjustments guidance, a non-GAAP
financial measure which excludes restructuring charges, acquisition
and integration related costs, non-cash asset impairment charges,
non-cash pension settlement charges, (gain) loss on the disposal of
properties, plants, equipment and businesses, net and timberland
gains, net, is included in this release because, due to the high
variability and difficulty in making accurate forecasts and
projections of some of the excluded information, together with some
of the excluded information not being ascertainable or accessible,
we are unable to quantify certain amounts that would be required to
be included in the most directly comparable GAAP financial measure
without unreasonable efforts. A reconciliation of 2022
adjusted free cash flow guidance to forecasted net cash provided by
operating activities, the most directly comparable GAAP financial
measure, is included in this release.
(7)
|
Customer satisfaction
index (CSI) tracks a variety of internal metrics designed to
enhance the customer experience in dealing with Greif.
|
(8)
|
Net Promoter Score
(NPS) is derived from a survey conducted by a third party that
measures how likely a customer is to recommend Greif as a business
partner. NPS scores are calculated by subtracting the
percentage of detractors a business has from the percentage of its
promoters.
|
(9)
|
Primary products are
manufactured steel, plastic and fibre drums; new and reconditioned
intermediate bulk containers; linerboard, containerboard,
corrugated sheets and corrugated containers, boxboard and tube and
core products; and 1&2 loop and 4 loop flexible intermediate
bulk containers.
|
Conference Call
The Company will host a conference call to discuss the fourth
quarter of 2021 results on December 9,
2021, at 8:30 a.m. Eastern
Time (ET). Participants may access the call using the
following online registration link:
https://conferencingportals.com/event/BDwosPDa. Registrants will
receive a confirmation email containing dial in details and a
unique conference call code for entry. Phone lines will open at
8:00 a.m. ET on December 9, 2021. A digital replay of the
conference call will be available two hours following the call on
the company's web site at http://investor.greif.com. To access
the recording, guests can call (800) 770-2030 or (647) 362-9199 and
use conference ID 32605.
About Greif
Greif is a global leader in industrial packaging products and
services and is pursuing its vision: in industrial packaging, be
the best performing customer service company in the world. The
Company produces steel, plastic and fibre drums, intermediate bulk
containers, reconditioned containers, flexible products,
containerboard, uncoated recycled paperboard, coated recycled
paperboard, tubes and cores and a diverse mix of specialty
products. The Company also manufactures packaging accessories and
provides filling, packaging and other services for a wide range of
industries. In addition, Greif manages timber properties in the
southeastern United States. The
Company is strategically positioned in 40 countries to serve global
as well as regional customers. Additional information is on the
Company's website at www.greif.com.
Forward-Looking Statements
This release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
The words "may," "will," "expect," "intend," "estimate,"
"anticipate," "aspiration," "objective," "project," "believe,"
"continue," "on track" or "target" or the negative thereof and
similar expressions, among others, identify forward-looking
statements. All forward-looking statements are based on
assumptions, expectations and other information currently available
to management. Such forward-looking statements are subject to
certain risks and uncertainties that could cause the Company's
actual results to differ materially from those forecasted,
projected or anticipated, whether expressed or implied. The
most significant of these risks and uncertainties are described in
Part I of the Company's Annual Report on Form 10-K for the fiscal
year ended October 31, 2021. The Company undertakes no
obligation to update or revise any forward-looking statements.
Although the Company believes that the expectations reflected in
forward-looking statements have a reasonable basis, the Company can
give no assurance that these expectations will prove to be correct.
Forward-looking statements are subject to risks and uncertainties
that could cause the Company's actual results to differ materially
from those forecasted, projected or anticipated, whether expressed
in or implied by the statements. Such risks and uncertainties that
might cause a difference include, but are not limited to, the
following: (i) historically, our business has been sensitive to
changes in general economic or business conditions, (ii) our global
operations subject us to political risks, instability and currency
exchange that could adversely affect our results of operations,
(iii) the COVID-19 pandemic could have a material adverse effect on
our business, financial condition, results of operations and cash
flows, (iv) the current and future challenging global economy and
disruption and volatility of the financial and credit markets may
adversely affect our business, (v) the continuing consolidation of
our customer base and suppliers may intensify pricing pressure,
(vi) we operate in highly competitive industries, (vii) our
business is sensitive to changes in industry demands and customer
preferences, (viii) raw material, energy and transportation price
fluctuations and shortages may adversely impact our manufacturing
operations and costs, (ix) the frequency and volume of our timber
and timberland sales will impact our financial performance, (x) we
may not successfully implement our business strategies, including
achieving our growth objectives, (xi) we may encounter difficulties
or liabilities arising from acquisitions or divestitures, (xii) we
may incur additional restructuring costs and there is no guarantee
that our efforts to reduce costs will be successful, (xiii) several
operations are conducted by joint ventures that we cannot operate
solely for our benefit, (xiv) certain of the agreements that govern
our joint ventures provide our partners with put or call options,
(xv) our ability to attract, develop and retain talented and
qualified employees, managers and executives is critical to our
success, (xvi) our business may be adversely impacted by work
stoppages and other labor relations matters, (xvii) we may be
subject to losses that might not be covered in whole or in part by
existing insurance reserves or insurance coverage and general
insurance premium and deductible increases, (xiii) our business
depends on the uninterrupted operations of our facilities, systems
and business functions, including our information technology and
other business systems, (xix) a security breach of customer,
employee, supplier or Company information and data privacy risks
and costs of compliance with new regulations may have a material
adverse effect on our business, financial condition, results of
operations and cash flows, (xx) changes in U.S. generally accepted
accounting principles (GAAP) and SEC rules and regulations
concerning the maintenance of effective internal controls could
materially impact our reported financial results, (xxi) we could be
subject to changes to our tax rates, the adoption of new U.S. or
foreign tax legislation or exposure to additional tax liabilities,
(xxii) full realization of our deferred tax assets may be affected
by a number of factors, (xxiii) our level of indebtedness could
adversely affect our liquidity, limit our flexibility in responding
to business opportunities, and increase our vulnerability to
adverse changes in economic and industry conditions, (xxiv) we have
a significant amount of goodwill and long-lived assets which, if
impaired in the future, would adversely impact our results of
operations, (xxv) our pension and postretirement plans are
underfunded and will require future cash contributions and our
required future cash contributions could be higher than we expect,
each of which could have a material adverse effect on our financial
condition and liquidity, (xxvi) legislation/regulation related to
environmental and health and safety matters and corporate social
responsibility could negatively impact our operations and financial
performance, (xxvii) product liability claims and other legal
proceedings could adversely affect our operations and financial
performance, (xxiii) we may incur fines or penalties, damage to our
reputation or other adverse consequences if our employees, agents
or business partners violate, or are alleged to have violated,
anti-bribery, competition or other laws, (xxix) changing climate,
global climate change regulations and greenhouse gas effects may
adversely affect our operations and financial performance, (xxx) we
may be unable to achieve out greenhouse gas emission reduction
targets by 2030. The risks described above are not
all-inclusive, and given these and other possible risks and
uncertainties, investors should not place undue reliance on
forward-looking statements as a prediction of actual results. For a
detailed discussion of the most significant risks and uncertainties
that could cause our actual results to differ materially from those
forecasted, projected or anticipated, see "Risk Factors" in Part I,
Item 1A of our most recently filed Form 10-K and our other filings
with the Securities and Exchange Commission. All forward-looking
statements made in this news release are expressly qualified in
their entirety by reference to such risk factors. Except to the
limited extent required by applicable law, we undertake no
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or
otherwise.
GREIF, INC. AND
SUBSIDIARY COMPANIES
CONDENSED
CONSOLIDATED STATEMENTS OF INCOME
UNAUDITED
|
|
Three Months
Ended
October
31,
|
|
Twelve Months
Ended
October
31,
|
(in millions,
except per share amounts)
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Net sales
|
$
|
1,578.2
|
|
|
$
|
1,161.3
|
|
|
$
|
5,556.1
|
|
|
$
|
4,515.0
|
|
Cost of products
sold
|
1,282.1
|
|
|
929.6
|
|
|
4,463.1
|
|
|
3,600.3
|
|
Gross
profit
|
296.1
|
|
|
231.7
|
|
|
1,093.0
|
|
|
914.7
|
|
Selling, general and
administrative expenses
|
142.2
|
|
|
139.1
|
|
|
565.9
|
|
|
516.0
|
|
Restructuring
charges
|
4.3
|
|
|
11.9
|
|
|
23.1
|
|
|
38.7
|
|
Acquisition and
integration related costs
|
2.9
|
|
|
3.5
|
|
|
9.1
|
|
|
17.0
|
|
Non-cash asset
impairment charges
|
7.4
|
|
|
1.6
|
|
|
8.9
|
|
|
18.5
|
|
Gain on disposal of
properties, plants and equipment, net
|
(2.4)
|
|
|
(17.1)
|
|
|
(3.7)
|
|
|
(19.2)
|
|
Loss on disposal of
businesses, net
|
0.2
|
|
|
0.9
|
|
|
0.2
|
|
|
38.8
|
|
Timberland gains,
net
|
—
|
|
|
—
|
|
|
(95.7)
|
|
|
—
|
|
Operating
profit
|
141.5
|
|
|
91.8
|
|
|
585.2
|
|
|
304.9
|
|
Interest expense,
net
|
16.9
|
|
|
26.0
|
|
|
92.7
|
|
|
115.8
|
|
Non-cash pension
settlement charges
|
0.1
|
|
|
0.4
|
|
|
9.1
|
|
|
0.3
|
|
Other expense
(income), net
|
2.6
|
|
|
(0.8)
|
|
|
4.8
|
|
|
2.7
|
|
Income before income
tax expense and equity earnings
of unconsolidated affiliates, net
|
121.9
|
|
|
66.2
|
|
|
478.6
|
|
|
186.1
|
|
Income tax
expense
|
13.1
|
|
|
18.5
|
|
|
69.6
|
|
|
63.3
|
|
Equity earnings of
unconsolidated affiliates, net of tax
|
(1.1)
|
|
|
(0.3)
|
|
|
(4.2)
|
|
|
(1.5)
|
|
Net income
|
109.9
|
|
|
48.0
|
|
|
413.2
|
|
|
124.3
|
|
Net income
attributable to noncontrolling interests
|
(5.4)
|
|
|
(3.6)
|
|
|
(22.5)
|
|
|
(15.5)
|
|
Net income
attributable to Greif, Inc.
|
$
|
104.5
|
|
|
$
|
44.4
|
|
|
$
|
390.7
|
|
|
$
|
108.8
|
|
Basic earnings per
share attributable to Greif, Inc.
common shareholders:
|
|
|
|
|
|
|
|
Class A common
stock
|
$
|
1.76
|
|
|
$
|
0.74
|
|
|
$
|
6.57
|
|
|
$
|
1.83
|
|
Class B common
stock
|
$
|
2.63
|
|
|
$
|
1.12
|
|
|
$
|
9.84
|
|
|
$
|
2.74
|
|
Diluted earnings
per share attributable to Greif, Inc.
common shareholders:
|
|
|
|
|
|
|
|
Class A common
stock
|
$
|
1.74
|
|
|
$
|
0.74
|
|
|
$
|
6.54
|
|
|
$
|
1.83
|
|
Class B common
stock
|
$
|
2.63
|
|
|
$
|
1.12
|
|
|
$
|
9.84
|
|
|
$
|
2.74
|
|
Shares used to
calculate basic earnings per share
attributable to Greif, Inc. common shareholders:
|
|
|
|
|
|
|
|
Class A common
stock
|
26.6
|
|
|
26.4
|
|
|
26.5
|
|
|
26.4
|
|
Class B common
stock
|
22.0
|
|
|
22.0
|
|
|
22.0
|
|
|
22.0
|
|
Shares used to
calculate diluted earnings per share
attributable to Greif, Inc. common shareholders:
|
|
|
|
|
|
|
|
Class A common
stock
|
26.7
|
|
|
26.5
|
|
|
26.7
|
|
|
26.4
|
|
Class B common
stock
|
22.0
|
|
|
22.0
|
|
|
22.0
|
|
|
22.0
|
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
CONDENSED
CONSOLIDATED BALANCE SHEETS
UNAUDITED
|
|
|
|
|
(in
millions)
|
October 31,
2021
|
|
October 31,
2020
|
ASSETS
|
|
|
|
CURRENT
ASSETS
|
|
|
|
Cash and cash
equivalents
|
$
|
124.6
|
|
|
$
|
105.9
|
|
Trade accounts
receivable
|
889.5
|
|
|
636.6
|
|
Inventories
|
499.2
|
|
|
293.6
|
|
Assets held by
special purpose entities
|
—
|
|
|
50.9
|
|
Other current
assets
|
150.8
|
|
|
215.8
|
|
|
1,664.1
|
|
|
1,302.8
|
|
LONG-TERM
ASSETS
|
|
|
|
Goodwill
|
1,515.4
|
|
|
1,518.4
|
|
Intangible
assets
|
648.4
|
|
|
715.3
|
|
Operating lease
assets
|
289.4
|
|
|
307.5
|
|
Other long-term
assets
|
177.3
|
|
|
140.0
|
|
|
2,630.5
|
|
|
2,681.2
|
|
PROPERTIES, PLANTS
AND EQUIPMENT
|
1,521.2
|
|
|
1,526.9
|
|
|
$
|
5,815.8
|
|
|
$
|
5,510.9
|
|
LIABILITIES AND
EQUITY
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
Accounts
payable
|
$
|
704.5
|
|
|
$
|
450.7
|
|
Short-term
borrowings
|
50.5
|
|
|
28.4
|
|
Current portion of
long-term debt
|
120.3
|
|
|
123.1
|
|
Current portion of
operating lease liabilities
|
54.0
|
|
|
52.3
|
|
Current portion of
liabilities held by special purpose entities
|
—
|
|
|
43.3
|
|
Other current
liabilities
|
384.8
|
|
|
302.3
|
|
|
1,314.1
|
|
|
1,000.1
|
|
LONG-TERM
LIABILITIES
|
|
|
|
Long-term
debt
|
2,054.8
|
|
|
2,335.5
|
|
Operating lease
liabilities
|
239.5
|
|
|
257.7
|
|
Other long-term
liabilities
|
607.7
|
|
|
696.9
|
|
|
2,902.0
|
|
|
3,290.1
|
|
REDEEMABLE
NONCONTROLLING INTERESTS
|
24.1
|
|
|
20.0
|
|
EQUITY
|
|
|
|
Total Greif, Inc.
equity
|
1,514.3
|
|
|
1,152.2
|
|
Noncontrolling
interests
|
61.3
|
|
|
48.5
|
|
|
1,575.6
|
|
|
1,200.7
|
|
|
$
|
5,815.8
|
|
|
$
|
5,510.9
|
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
UNAUDITED
|
|
|
|
|
Three Months
Ended
October
31,
|
|
Twelve Months
Ended
October
31,
|
(in
millions)
|
2021
|
|
2020
|
|
2021
|
|
2020
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
Net income
|
$
|
109.9
|
|
|
$
|
48.0
|
|
|
$
|
413.2
|
|
|
$
|
124.3
|
|
Depreciation,
depletion and amortization
|
58.2
|
|
|
60.1
|
|
|
234.4
|
|
|
242.5
|
|
Asset
impairments
|
7.4
|
|
|
1.6
|
|
|
8.9
|
|
|
18.5
|
|
Pension settlement
charges
|
0.1
|
|
|
0.4
|
|
|
9.1
|
|
|
0.3
|
|
Timberland gains,
net
|
—
|
|
|
—
|
|
|
(95.7)
|
|
|
—
|
|
Deferred income tax
expense
|
(5.6)
|
|
|
22.0
|
|
|
(47.2)
|
|
|
16.7
|
|
Other non-cash
adjustments to net income
|
(1.2)
|
|
|
(7.0)
|
|
|
35.1
|
|
|
69.8
|
|
Operating working
capital changes
|
(83.9)
|
|
|
43.3
|
|
|
(222.7)
|
|
|
56.1
|
|
Increase (decrease)
in cash from changes in other assets and
liabilities
|
52.4
|
|
|
32.0
|
|
|
60.9
|
|
|
(73.5)
|
|
Net cash provided by
operating activities
|
137.3
|
|
|
200.4
|
|
|
396.0
|
|
|
454.7
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
Purchases of
properties, plants and equipment
|
(46.5)
|
|
|
(32.6)
|
|
|
(140.7)
|
|
|
(131.4)
|
|
Purchases of and
investments in timber properties
|
0.8
|
|
|
(1.4)
|
|
|
(6.6)
|
|
|
(5.4)
|
|
Proceeds on the sale
of timberlands, net
|
—
|
|
|
—
|
|
|
145.1
|
|
|
—
|
|
Collections of
receivables held in special purpose entities
|
—
|
|
|
—
|
|
|
50.9
|
|
|
—
|
|
Payments for issuance
of loans receivable
|
—
|
|
|
—
|
|
|
(15.0)
|
|
|
—
|
|
Proceeds from the
sale of properties, plants and equipment
and businesses
|
6.4
|
|
|
23.6
|
|
|
18.9
|
|
|
114.3
|
|
Other
|
(0.1)
|
|
|
—
|
|
|
(5.8)
|
|
|
(2.7)
|
|
Net cash used in
investing activities
|
(39.4)
|
|
|
(10.4)
|
|
|
46.8
|
|
|
(25.2)
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
Payments on long-term
debt, net
|
(40.8)
|
|
|
(152.3)
|
|
|
(266.0)
|
|
|
(287.6)
|
|
Dividends paid to
Greif, Inc. shareholders
|
(27.4)
|
|
|
(26.1)
|
|
|
(105.8)
|
|
|
(104.3)
|
|
Payments for
liabilities held in special purpose entities
|
—
|
|
|
—
|
|
|
(43.3)
|
|
|
—
|
|
Other
|
(0.6)
|
|
|
(1.3)
|
|
|
(7.8)
|
|
|
(13.4)
|
|
Net cash provided by
(used for) financing activities
|
(68.8)
|
|
|
(179.7)
|
|
|
(422.9)
|
|
|
(405.3)
|
|
Reclassification of
cash to assets held for sale
|
0.5
|
|
|
—
|
|
|
0.5
|
|
|
—
|
|
Effects of exchange
rates on cash
|
(4.8)
|
|
|
(2.9)
|
|
|
(1.7)
|
|
|
4.4
|
|
Net increase
(decrease) in cash and cash equivalents
|
24.8
|
|
|
7.4
|
|
|
18.7
|
|
|
28.6
|
|
Cash and cash
equivalents, beginning of period
|
99.8
|
|
|
98.5
|
|
|
105.9
|
|
|
77.3
|
|
Cash and cash
equivalents, end of period
|
$
|
124.6
|
|
|
$
|
105.9
|
|
|
$
|
124.6
|
|
|
$
|
105.9
|
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
FINANCIAL
HIGHLIGHTS BY SEGMENT
UNAUDITED
|
|
|
Three Months
Ended
October
31,
|
|
Twelve Months
Ended
October
31,
|
(in
millions)
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Net
sales:
|
|
|
|
|
|
|
|
Global Industrial
Packaging
|
$
|
951.6
|
|
|
$
|
652.3
|
|
|
$
|
3,316.7
|
|
|
$
|
2,571.8
|
|
Paper
Packaging & Services
|
621.7
|
|
|
502.3
|
|
|
2,218.4
|
|
|
1,916.9
|
|
Land
Management
|
4.9
|
|
|
6.7
|
|
|
21.0
|
|
|
26.3
|
|
Total net
sales
|
$
|
1,578.2
|
|
|
$
|
1,161.3
|
|
|
$
|
5,556.1
|
|
|
$
|
4,515.0
|
|
Gross
profit:
|
|
|
|
|
|
|
|
Global Industrial
Packaging
|
$
|
184.3
|
|
|
$
|
130.8
|
|
|
$
|
684.1
|
|
|
$
|
522.8
|
|
Paper
Packaging & Services
|
109.8
|
|
|
98.8
|
|
|
401.3
|
|
|
382.7
|
|
Land
Management
|
2.0
|
|
|
2.1
|
|
|
7.6
|
|
|
9.2
|
|
Total gross
profit
|
$
|
296.1
|
|
|
$
|
231.7
|
|
|
$
|
1,093.0
|
|
|
$
|
914.7
|
|
Operating
profit:
|
|
|
|
|
|
|
|
Global Industrial
Packaging
|
$
|
97.8
|
|
|
$
|
58.9
|
|
|
$
|
350.2
|
|
|
$
|
225.4
|
|
Paper
Packaging & Services
|
41.9
|
|
|
30.7
|
|
|
131.0
|
|
|
71.0
|
|
Land
Management
|
1.8
|
|
|
2.2
|
|
|
104.0
|
|
|
8.5
|
|
Total operating
profit
|
$
|
141.5
|
|
|
$
|
91.8
|
|
|
$
|
585.2
|
|
|
$
|
304.9
|
|
EBITDA(10):
|
|
|
|
|
|
|
|
Global Industrial
Packaging
|
$
|
116.8
|
|
|
$
|
80.5
|
|
|
$
|
432.7
|
|
|
$
|
307.0
|
|
Paper
Packaging & Services
|
78.8
|
|
|
68.5
|
|
|
269.9
|
|
|
225.9
|
|
Land
Management
|
2.5
|
|
|
3.6
|
|
|
107.3
|
|
|
13.0
|
|
Total
EBITDA
|
$
|
198.1
|
|
|
$
|
152.6
|
|
|
$
|
809.9
|
|
|
$
|
545.9
|
|
Adjusted
EBITDA(11):
|
|
|
|
|
|
|
|
Global Industrial
Packaging
|
$
|
121.4
|
|
|
$
|
74.1
|
|
|
$
|
453.3
|
|
|
$
|
324.3
|
|
Paper
Packaging & Services
|
87.7
|
|
|
77.4
|
|
|
302.0
|
|
|
306.4
|
|
Land
Management
|
2.2
|
|
|
3.0
|
|
|
8.9
|
|
|
11.9
|
|
Total Adjusted
EBITDA
|
$
|
211.3
|
|
|
$
|
154.5
|
|
|
$
|
764.2
|
|
|
$
|
642.6
|
|
|
|
(10)
|
EBITDA is defined as
net income, plus interest expense, net, plus income tax expense,
plus depreciation, depletion and amortization. However, because the
Company does not calculate net income by segment, this table
calculates EBITDA by segment with reference to operating profit by
segment, which, as demonstrated in the table of Consolidated
EBITDA, is another method to achieve the same result. See the
reconciliations in the table of Segment EBITDA.
|
(11)
|
Adjusted EBITDA is
defined as net income, plus interest expense, net, plus income tax
expense, plus depreciation, depletion and amortization expense,
plus restructuring charges, plus acquisition and integration
related costs, plus non-cash impairment charges, plus non-cash
pension settlement charges, plus incremental COVID-19 costs, net,
plus gain (loss) on disposal of properties, plants, equipment and
businesses, net, less timberland gains, net.
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
GAAP TO NON-GAAP
RECONCILIATION
CONSOLIDATED
ADJUSTED EBITDA
UNAUDITED
|
|
|
Three Months
Ended
October
31,
|
|
Twelve Months
Ended
October
31,
|
(in
millions)
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Net income
|
$
|
109.9
|
|
|
$
|
48.0
|
|
|
$
|
413.2
|
|
|
$
|
124.3
|
|
Plus: Interest
expense, net
|
16.9
|
|
|
26.0
|
|
|
92.7
|
|
|
115.8
|
|
Plus: Income tax
expense
|
13.1
|
|
|
18.5
|
|
|
69.6
|
|
|
63.3
|
|
Plus: Depreciation,
depletion and amortization expense
|
58.2
|
|
|
60.1
|
|
|
234.4
|
|
|
242.5
|
|
EBITDA
|
$
|
198.1
|
|
|
$
|
152.6
|
|
|
$
|
809.9
|
|
|
$
|
545.9
|
|
Net income
|
$
|
109.9
|
|
|
$
|
48.0
|
|
|
$
|
413.2
|
|
|
$
|
124.3
|
|
Plus: Interest
expense, net
|
16.9
|
|
|
26.0
|
|
|
92.7
|
|
|
115.8
|
|
Plus: Income tax
expense
|
13.1
|
|
|
18.5
|
|
|
69.6
|
|
|
63.3
|
|
Plus: Other expense
(income), net
|
2.6
|
|
|
(0.8)
|
|
|
4.8
|
|
|
2.7
|
|
Plus: Non-cash pension
settlement charges
|
0.1
|
|
|
0.4
|
|
|
9.1
|
|
|
0.3
|
|
Plus: Equity earnings
of unconsolidated affiliates, net of tax
|
(1.1)
|
|
|
(0.3)
|
|
|
(4.2)
|
|
|
(1.5)
|
|
Operating
profit
|
141.5
|
|
|
91.8
|
|
|
585.2
|
|
|
304.9
|
|
Less: Other expense
(income), net
|
2.6
|
|
|
(0.8)
|
|
|
4.8
|
|
|
2.7
|
|
Less: Non-cash pension
settlement charges
|
0.1
|
|
|
0.4
|
|
|
9.1
|
|
|
0.3
|
|
Less: Equity earnings
of unconsolidated affiliates, net of tax
|
(1.1)
|
|
|
(0.3)
|
|
|
(4.2)
|
|
|
(1.5)
|
|
Plus: Depreciation,
depletion and amortization expense
|
58.2
|
|
|
60.1
|
|
|
234.4
|
|
|
242.5
|
|
EBITDA
|
$
|
198.1
|
|
|
$
|
152.6
|
|
|
$
|
809.9
|
|
|
$
|
545.9
|
|
Plus: Restructuring
charges
|
$
|
4.3
|
|
|
$
|
11.9
|
|
|
$
|
23.1
|
|
|
$
|
38.7
|
|
Plus: Acquisition and
integration related costs
|
2.9
|
|
|
3.5
|
|
|
9.1
|
|
|
17.0
|
|
Plus: Non-cash asset
impairment charges
|
7.4
|
|
|
1.6
|
|
|
8.9
|
|
|
18.5
|
|
Plus: Non-cash pension
settlement charges
|
0.1
|
|
|
0.4
|
|
|
9.1
|
|
|
0.3
|
|
Plus: Incremental
COVID-19 costs, net(12)
|
0.7
|
|
|
0.7
|
|
|
3.3
|
|
|
2.6
|
|
Plus: (Gain) loss on
disposal of properties, plants,
equipment, and businesses, net
|
(2.2)
|
|
|
(16.2)
|
|
|
(3.5)
|
|
|
19.6
|
|
Less: Timberland
gains, net
|
—
|
|
|
—
|
|
|
95.7
|
|
|
—
|
|
Adjusted
EBITDA
|
$
|
211.3
|
|
|
$
|
154.5
|
|
|
$
|
764.2
|
|
|
$
|
642.6
|
|
|
|
(12)
|
Incremental COVID-19
costs, net includes costs directly attributable to COVID-19 such as
costs incurred for incremental cleaning and sanitation efforts and
employee safety measures, offset by economic relief received from
foreign governments.
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
GAAP TO NON-GAAP
RECONCILIATION
SEGMENT ADJUSTED
EBITDA(13)
UNAUDITED
|
|
|
Three Months
Ended
October
31,
|
|
Twelve Months
Ended
October
31,
|
(in
millions)
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Global Industrial
Packaging
|
|
|
|
|
|
|
|
Operating
profit
|
$
|
97.8
|
|
|
$
|
58.9
|
|
|
$
|
350.2
|
|
|
$
|
225.4
|
|
Less: Other expense
(income), net
|
2.4
|
|
|
(0.7)
|
|
|
4.5
|
|
|
4.0
|
|
Less: Non-cash pension
settlement charges
|
—
|
|
|
0.4
|
|
|
0.3
|
|
|
0.4
|
|
Less: Equity earnings
of unconsolidated affiliates, net of tax
|
(1.1)
|
|
|
(0.3)
|
|
|
(4.2)
|
|
|
(1.5)
|
|
Plus: Depreciation and
amortization expense
|
20.3
|
|
|
21.0
|
|
|
83.1
|
|
|
84.5
|
|
EBITDA
|
$
|
116.8
|
|
|
$
|
80.5
|
|
|
$
|
432.7
|
|
|
$
|
307.0
|
|
Plus: Restructuring
charges
|
2.5
|
|
|
8.1
|
|
|
17.1
|
|
|
28.8
|
|
Plus: Non-cash asset
impairment charges
|
1.2
|
|
|
1.5
|
|
|
2.7
|
|
|
6.0
|
|
Plus: Non-cash pension
settlement charges
|
—
|
|
|
0.4
|
|
|
0.3
|
|
|
0.4
|
|
Plus: Incremental
COVID-19 costs, net
|
0.5
|
|
|
0.1
|
|
|
1.8
|
|
|
0.7
|
|
Plus: Loss (gain) on
disposal of properties, plants, equipment, and
businesses, net
|
0.4
|
|
|
(16.6)
|
|
|
(1.3)
|
|
|
(18.6)
|
|
Adjusted
EBITDA
|
$
|
121.4
|
|
|
$
|
74.0
|
|
|
$
|
453.3
|
|
|
$
|
324.3
|
|
Paper
Packaging & Services
|
|
|
|
|
|
|
|
Operating
profit
|
$
|
41.9
|
|
|
$
|
30.7
|
|
|
$
|
131.0
|
|
|
$
|
71.0
|
|
Less: Other expense
(income), net
|
0.2
|
|
|
(0.1)
|
|
|
0.3
|
|
|
(1.3)
|
|
Less: Non-cash pension
settlement charges (income)
|
0.1
|
|
|
—
|
|
|
8.8
|
|
|
(0.1)
|
|
Plus: Depreciation and
amortization expense
|
37.2
|
|
|
37.7
|
|
|
148.0
|
|
|
153.5
|
|
EBITDA
|
$
|
78.8
|
|
|
$
|
68.5
|
|
|
$
|
269.9
|
|
|
$
|
225.9
|
|
Plus: Restructuring
charges
|
1.8
|
|
|
3.8
|
|
|
5.9
|
|
|
9.9
|
|
Plus: Acquisition and
integration related costs
|
2.9
|
|
|
3.5
|
|
|
9.1
|
|
|
17.0
|
|
Plus: Non-cash asset
impairment charges
|
5.0
|
|
|
0.1
|
|
|
5.0
|
|
|
12.5
|
|
Plus: Non-cash pension
settlement charges (income)
|
0.1
|
|
|
—
|
|
|
8.8
|
|
|
(0.1)
|
|
Plus: Incremental
COVID-19 costs, net
|
0.2
|
|
|
0.6
|
|
|
1.5
|
|
|
1.9
|
|
Plus: (Gain) loss on
disposal of properties, plants, equipment, and
businesses, net
|
(1.1)
|
|
|
0.9
|
|
|
1.8
|
|
|
39.3
|
|
Adjusted
EBITDA
|
$
|
87.7
|
|
|
$
|
77.4
|
|
|
$
|
302.0
|
|
|
$
|
306.4
|
|
Land
Management
|
|
|
|
|
|
|
|
Operating
profit
|
$
|
1.8
|
|
|
$
|
2.2
|
|
|
$
|
104.0
|
|
|
$
|
8.5
|
|
Plus: Depreciation,
depletion and amortization expense
|
0.7
|
|
|
1.4
|
|
|
3.3
|
|
|
4.5
|
|
EBITDA
|
$
|
2.5
|
|
|
$
|
3.6
|
|
|
$
|
107.3
|
|
|
$
|
13.0
|
|
Plus: Restructuring
charges
|
—
|
|
|
—
|
|
|
0.1
|
|
|
—
|
|
Plus: Non-cash asset
impairment charges
|
1.2
|
|
|
—
|
|
|
1.2
|
|
|
—
|
|
Plus: Gain on disposal
of properties, plants, equipment, and
businesses, net
|
(1.5)
|
|
|
(0.6)
|
|
|
(4.0)
|
|
|
(1.1)
|
|
Less: Timberland
gains, net
|
—
|
|
|
—
|
|
|
95.7
|
|
|
—
|
|
Adjusted
EBITDA
|
$
|
2.2
|
|
|
$
|
3.0
|
|
|
$
|
8.9
|
|
|
$
|
11.9
|
|
Consolidated
EBITDA
|
$
|
198.1
|
|
|
$
|
152.6
|
|
|
$
|
809.9
|
|
|
$
|
545.9
|
|
Consolidated Adjusted
EBITDA
|
$
|
211.3
|
|
|
$
|
154.4
|
|
|
$
|
764.2
|
|
|
$
|
642.6
|
|
|
|
(13)
|
Adjusted EBITDA is
defined as net income, plus interest expense, net, plus income tax
expense, plus depreciation, depletion and amortization expense,
plus restructuring charges, plus acquisition and integration
related costs, plus non-cash impairment charges, plus non-cash
pension settlement charges, plus incremental COVID-19 costs, net,
plus (gain) loss on disposal of properties, plants, equipment and
businesses, net, less timberland gains, net. However, because the
Company does not calculate net income by segment, this table
calculates adjusted EBITDA by segment with reference to operating
profit by segment, which, as demonstrated in the table of
consolidated adjusted EBITDA, is another method to achieve the same
result.
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
GAAP TO NON-GAAP
RECONCILIATION
ADJUSTED FREE CASH
FLOW(14)
UNAUDITED
|
|
Three Months
Ended
October
31,
|
|
Twelve Months
Ended
October
31,
|
(in
millions)
|
2021
|
|
2020
|
|
2021
|
|
2020
|
Net cash provided
by operating activities
|
$
|
137.3
|
|
|
$
|
200.4
|
|
|
$
|
396.0
|
|
|
$
|
454.7
|
|
Cash paid for
purchases of properties, plants and equipment
|
(46.5)
|
|
|
(32.6)
|
|
|
(140.7)
|
|
|
(131.4)
|
|
Free Cash
Flow
|
$
|
90.8
|
|
|
$
|
167.8
|
|
|
$
|
255.3
|
|
|
$
|
323.3
|
|
Cash paid for
acquisition and integration related costs
|
2.9
|
|
|
3.5
|
|
|
9.1
|
|
|
17.0
|
|
Cash paid for
incremental COVID-19 costs, net
|
0.7
|
|
|
0.7
|
|
|
3.3
|
|
|
2.6
|
|
Cash paid for
acquisition and integration related ERP systems
|
0.4
|
|
|
1.9
|
|
|
6.4
|
|
|
3.3
|
|
Adjusted Free Cash
Flow
|
$
|
94.8
|
|
|
$
|
173.9
|
|
|
$
|
274.1
|
|
|
$
|
346.2
|
|
|
|
(14)
|
Adjusted free cash
flow is defined as net cash provided by operating activities, less
cash paid for purchases of properties, plants and equipment, plus
cash paid for acquisition and integration related costs, plus cash
paid for incremental COVID-19 costs, net, plus cash paid for
acquisition and integration related ERP systems.
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
GAAP TO NON-GAAP
RECONCILIATION
NET INCOME, CLASS
A EARNINGS PER SHARE, AND TAX RATE BEFORE
ADJUSTMENTS
UNAUDITED
|
(in millions, except
for per share amounts)
|
Income before
Income Tax
Expense and
Equity
Earnings of
Unconsolidated
Affiliates, net
|
|
Income
Tax
(Benefit)
Expense
|
|
Equity
Earnings
|
|
Noncontrolling
Interest
|
|
Net Income
Attributable
to Greif, Inc.
|
|
Diluted
Class A
Earnings
Per
Share
|
Tax
Rate
|
Three Months Ended
October 31, 2021
|
$
|
121.9
|
|
|
$
|
13.1
|
|
|
$
|
(1.1)
|
|
|
$
|
5.4
|
|
|
$
|
104.5
|
|
|
$
|
1.74
|
|
10.7
|
%
|
Restructuring
charges
|
4.3
|
|
|
0.7
|
|
|
—
|
|
|
—
|
|
|
3.6
|
|
|
0.07
|
|
|
Acquisition and
integration related costs
|
2.9
|
|
|
0.7
|
|
|
—
|
|
|
—
|
|
|
2.2
|
|
|
0.04
|
|
|
Non-cash asset
impairment charges
|
7.4
|
|
|
1.1
|
|
|
—
|
|
|
—
|
|
|
6.3
|
|
|
0.10
|
|
|
Non-cash pension
settlement charges
|
0.1
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
0.1
|
|
|
—
|
|
|
Incremental COVID-19
costs, net
|
0.7
|
|
|
0.3
|
|
|
—
|
|
|
—
|
|
|
0.4
|
|
|
0.01
|
|
|
Gain on disposal of
properties, plants,
equipment and businesses, net
|
(2.2)
|
|
|
(0.6)
|
|
|
—
|
|
|
0.1
|
|
|
(1.7)
|
|
|
(0.03)
|
|
|
Excluding
Adjustments
|
$
|
135.1
|
|
|
$
|
15.3
|
|
|
$
|
(1.1)
|
|
|
$
|
5.5
|
|
|
$
|
115.4
|
|
|
$
|
1.93
|
|
11.3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
October 31, 2020
|
$
|
66.2
|
|
|
$
|
18.5
|
|
|
$
|
(0.3)
|
|
|
$
|
3.6
|
|
|
$
|
44.4
|
|
|
$
|
0.74
|
|
27.9
|
%
|
Restructuring
charges
|
11.9
|
|
|
2.9
|
|
|
—
|
|
|
0.6
|
|
|
8.4
|
|
|
0.14
|
|
|
Acquisition and
integration related costs
|
3.5
|
|
|
0.9
|
|
|
—
|
|
|
—
|
|
|
2.6
|
|
|
0.05
|
|
|
Non-cash asset
impairment charges
|
1.6
|
|
|
0.4
|
|
|
—
|
|
|
—
|
|
|
1.2
|
|
|
0.02
|
|
|
Non-cash pension
settlement charges
|
0.4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
0.4
|
|
|
0.01
|
|
|
Incremental COVID-19
costs, net
|
0.7
|
|
|
0.3
|
|
|
—
|
|
|
—
|
|
|
0.4
|
|
|
0.01
|
|
|
Gain on disposal of
properties, plants,
equipment and businesses, net
|
(16.2)
|
|
|
(5.2)
|
|
|
—
|
|
|
—
|
|
|
(11.0)
|
|
|
(0.19)
|
|
|
Excluding
Adjustments
|
$
|
68.1
|
|
|
$
|
17.8
|
|
|
$
|
(0.3)
|
|
|
$
|
4.2
|
|
|
$
|
46.4
|
|
|
$
|
0.78
|
|
26.1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended October 31, 2021
|
$
|
478.6
|
|
|
$
|
69.6
|
|
|
$
|
(4.2)
|
|
|
$
|
22.5
|
|
|
$
|
390.7
|
|
|
$
|
6.54
|
|
14.5
|
%
|
Restructuring
charges
|
23.1
|
|
|
5.2
|
|
|
—
|
|
|
1.3
|
|
|
16.6
|
|
|
0.26
|
|
|
Acquisition and
integration related costs
|
9.1
|
|
|
2.2
|
|
|
—
|
|
|
—
|
|
|
6.9
|
|
|
0.12
|
|
|
Non-cash asset
impairment charges
|
8.9
|
|
|
1.6
|
|
|
—
|
|
|
0.1
|
|
|
7.2
|
|
|
0.12
|
|
|
Non-cash pension
settlement charges
|
9.1
|
|
|
2.1
|
|
|
—
|
|
|
—
|
|
|
7.0
|
|
|
0.12
|
|
|
Incremental COVID-19
costs, net
|
3.3
|
|
|
0.9
|
|
|
—
|
|
|
0.3
|
|
|
2.1
|
|
|
0.04
|
|
|
Gain on disposal of
properties, plants,
equipment and businesses, net
|
(3.5)
|
|
|
(0.3)
|
|
|
—
|
|
|
0.1
|
|
|
(3.3)
|
|
|
(0.06)
|
|
|
Timberland gains,
net
|
(95.7)
|
|
|
(3.0)
|
|
|
—
|
|
|
—
|
|
|
(92.7)
|
|
|
(1.54)
|
|
|
Excluding
Adjustments
|
$
|
432.9
|
|
|
$
|
78.3
|
|
|
$
|
(4.2)
|
|
|
$
|
24.3
|
|
|
$
|
334.5
|
|
|
$
|
5.60
|
|
18.1
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve Months
Ended October 31, 2020
|
$
|
186.1
|
|
|
$
|
63.3
|
|
|
$
|
(1.5)
|
|
|
$
|
15.5
|
|
|
$
|
108.8
|
|
|
$
|
1.83
|
|
34.0
|
%
|
Restructuring
charges
|
38.7
|
|
|
9.0
|
|
|
—
|
|
|
1.0
|
|
|
28.7
|
|
|
0.48
|
|
|
Acquisition and
integration related costs
|
17.0
|
|
|
4.1
|
|
|
—
|
|
|
—
|
|
|
12.9
|
|
|
0.22
|
|
|
Non-cash asset
impairment charges
|
18.5
|
|
|
3.9
|
|
|
—
|
|
|
—
|
|
|
14.6
|
|
|
0.25
|
|
|
Non-cash pension
settlement charges
|
0.3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
0.3
|
|
|
0.01
|
|
|
Incremental COVID-19
costs, net
|
2.6
|
|
|
0.7
|
|
|
—
|
|
|
—
|
|
|
1.9
|
|
|
0.03
|
|
|
Loss on disposal of
properties, plants,
equipment and businesses, net
|
19.6
|
|
|
(4.7)
|
|
|
—
|
|
|
0.6
|
|
|
23.7
|
|
|
0.40
|
|
|
Excluding
Adjustments
|
$
|
282.8
|
|
|
$
|
76.3
|
|
|
$
|
(1.5)
|
|
|
$
|
17.1
|
|
|
$
|
190.9
|
|
|
$
|
3.22
|
|
27.0
|
%
|
|
The impact of income
tax expense and noncontrolling interest on each adjustment is
calculated based on tax rates and ownership percentages specific to
each applicable entity.
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
GAAP TO NON-GAAP
RECONCILIATION
NET SALES TO NET
SALES EXCLUDING THE IMPACT OF
CURRENCY
TRANSLATION
UNAUDITED
|
|
Three Months
Ended
October
31,
|
|
|
|
|
(in
millions)
|
2021
|
|
2020
|
|
Increase
(Decrease) in
Net Sales
($)
|
|
Increase
(Decrease) in
Net Sales (%)
|
Consolidated
|
|
|
|
|
|
|
|
Net Sales
|
$
|
1,578.2
|
|
|
$
|
1,161.3
|
|
|
$
|
416.9
|
|
|
35.9
|
%
|
Currency
Translation
|
7.7
|
|
|
N/A
|
|
|
|
|
Net Sales Excluding
the Impact of Currency Translation
|
$
|
1,570.5
|
|
|
$
|
1,161.3
|
|
|
$
|
409.2
|
|
|
35.2
|
%
|
Global Industrial
Packaging
|
|
|
|
|
|
|
|
Net Sales
|
$
|
951.6
|
|
|
$
|
652.3
|
|
|
$
|
299.3
|
|
|
45.9
|
%
|
Currency
Translation
|
7.3
|
|
|
N/A
|
|
|
|
|
Net Sales Excluding
the Impact of Currency Translation
|
$
|
944.3
|
|
|
$
|
652.3
|
|
|
$
|
292.0
|
|
|
44.8
|
%
|
Paper Packaging
& Services
|
|
|
|
|
|
|
|
Net Sales
|
$
|
621.7
|
|
|
502.3
|
|
|
$
|
119.4
|
|
|
23.8
|
%
|
Currency
Translation
|
0.4
|
|
|
N/A
|
|
|
|
|
Net Sales Excluding
the Impact of Currency Translation
|
$
|
621.3
|
|
|
$
|
502.3
|
|
|
$
|
119.0
|
|
|
23.7
|
%
|
|
|
|
|
|
|
Twelve Months
Ended
October
31,
|
|
|
|
|
(in
millions)
|
2021
|
|
2020
|
|
Increase
in
Net Sales
($)
|
|
Increase in
Net Sales (%)
|
Consolidated
|
|
|
|
|
|
|
|
Net Sales
|
$
|
5,556.1
|
|
|
$
|
4,515.0
|
|
|
$
|
1,041.1
|
|
|
23.1
|
%
|
Currency
Translation
|
82.7
|
|
|
N/A
|
|
|
|
|
Net Sales Excluding
the Impact of Currency Translation
|
$
|
5,473.4
|
|
|
$
|
4,515.0
|
|
|
$
|
958.4
|
|
|
21.2
|
%
|
Global Industrial
Packaging
|
|
|
|
|
|
|
|
Net Sales
|
$
|
3,316.7
|
|
|
$
|
2,571.8
|
|
|
$
|
744.9
|
|
|
29.0
|
%
|
Currency
Translation
|
80.3
|
|
|
N/A
|
|
|
|
|
Net Sales Excluding
the Impact of Currency Translation
|
$
|
3,236.4
|
|
|
$
|
2,571.8
|
|
|
$
|
664.6
|
|
|
25.8
|
%
|
Paper Packaging
& Services
|
|
|
|
|
|
|
|
Net Sales
|
$
|
2,218.4
|
|
|
1,916.9
|
|
|
$
|
301.5
|
|
|
15.7
|
%
|
Currency
Translation
|
2.4
|
|
|
N/A
|
|
|
|
|
Net Sales Excluding
the Impact of Currency Translation
|
$
|
2,216.0
|
|
|
$
|
1,916.9
|
|
|
$
|
299.1
|
|
|
15.6
|
%
|
GREIF INC. AND
SUBSIDIARY COMPANIES
GAAP TO
NON-GAAP RECONCILIATION
NET
DEBT
UNAUDITED
|
|
(in
millions)
|
October 31,
2021
|
|
July 31,
2021
|
|
October 31,
2020
|
Total Debt
|
$
|
2,225.6
|
|
|
$
|
2,267.6
|
|
|
$
|
2,487.0
|
|
Cash and cash
equivalents
|
(124.6)
|
|
|
(99.8)
|
|
|
(105.9)
|
|
Net
Debt
|
$
|
2,101.0
|
|
|
$
|
2,167.8
|
|
|
$
|
2,381.1
|
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
GAAP TO
NON-GAAP RECONCILIATION
LEVERAGE
RATIO
UNAUDITED
|
|
Trailing Twelve
Month Credit Agreement EBITDA
(in
millions)
|
Trailing
Twelve
Months Ended
10/31/2021
|
Trailing
Twelve
Months Ended
10/31/2020
|
Net income
|
$
|
413.2
|
|
$
|
124.3
|
|
Plus: Interest expense,
net
|
92.7
|
|
115.8
|
|
Plus: Income tax
expense
|
69.6
|
|
63.3
|
|
Plus: Depreciation,
depletion and amortization expense
|
234.4
|
|
242.5
|
|
EBITDA
|
$
|
809.9
|
|
$
|
545.9
|
|
Plus: Restructuring
charges
|
23.1
|
|
38.7
|
|
Plus: Acquisition and
integration related costs
|
9.1
|
|
17.0
|
|
Plus: Non-cash asset
impairment charges
|
8.9
|
|
18.5
|
|
Plus: Non-cash pension
settlement charges
|
9.1
|
|
0.3
|
|
Plus: Incremental
COVID-19 costs, net
|
3.3
|
|
2.6
|
|
Plus: (Gain) loss on
disposal of properties, plants, equipment, and businesses,
net
|
(3.5)
|
|
19.6
|
|
Less: Timberland gains,
net
|
95.7
|
|
—
|
|
Adjusted
EBITDA
|
$
|
764.2
|
|
$
|
642.6
|
|
Credit Agreement
adjustments to EBITDA(15)
|
33.6
|
|
(4.3)
|
|
Credit Agreement
EBITDA
|
$
|
797.8
|
|
$
|
638.3
|
|
|
|
|
Adjusted Net
Debt
(in
millions)
|
For the Period
Ended
10/31/2021
|
For the Period
Ended
10/31/2020
|
Total debt
|
$
|
2,225.6
|
|
$
|
2,487.0
|
|
Cash and cash
equivalents
|
(124.6)
|
|
(105.9)
|
|
Net debt
|
$
|
2,101.0
|
|
$
|
2,381.1
|
|
Credit Agreement
adjustments to debt(16)
|
(115.9)
|
|
(47.3)
|
|
Adjusted net
debt
|
$
|
1,985.1
|
|
$
|
2,333.8
|
|
|
|
|
Leverage
Ratio
|
2.49x
|
|
3.66x
|
|
|
|
(15)
|
Adjustments to EBITDA
are specified by the 2019 Credit Agreement and include certain
timberland gains, equity earnings of unconsolidated affiliates, net
of tax, certain acquisition savings, deferred financing costs,
capitalized interest, and other items.
|
(16)
|
Adjustments to net
debt are specified by the 2019 Credit Agreement and include the
European accounts receivable program, letters of credit, deferred
financing costs, and derivative balances.
|
GREIF, INC. AND
SUBSIDIARY COMPANIES
PROJECTED 2022
GUIDANCE RECONCILIATION
ADJUSTED
FREE CASH FLOW
UNAUDITED
|
|
|
Fiscal 2022
Guidance Range
|
(in
millions)
|
Scenario
1
|
|
Scenario
2
|
Net cash provided
by operating activities
|
$
|
536.0
|
|
|
$
|
612.0
|
|
Cash paid for
purchases of properties, plants and equipment
|
(150.0)
|
|
|
(170.0)
|
|
Free cash
flow
|
$
|
386.0
|
|
|
$
|
442.0
|
|
Cash paid for
acquisition and integration related costs
|
10.0
|
|
|
12.0
|
|
Cash paid for
acquisition and integration related ERP systems
|
4.0
|
|
|
6.0
|
|
Adjusted free cash
flow
|
$
|
400.0
|
|
|
$
|
460.0
|
|
Contact:
Matt Eichmann
740-549-6067
matt.eichmann@greif.com
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SOURCE Greif, Inc.