Fourth Quarter Highlights
GAAP: Net sales of $839 million, Operating income of $10 million
Non-GAAP: Adjusted EBITDA of $90 million
Record cash flow with cash from operations of $96 million
$50 million term loan repayment
Fiscal Year Highlights
GAAP: Net sales of $3.2 billion, Operating income of $5 million
Non-GAAP: Adjusted EBITDA of $362 million ($354 million reported and pre-merger $8 million October)
Post-merger adjusted free cash flow $126 million represents a yield of over 30% as of year-end
Year-end leverage of 3.8x
Curt Begle, Magnera's CEO, commented: "I am very proud of what our team has accomplished not only this quarter but over the entire year. More than a year ago, we launched Magnera with a bold vision and a deep belief in what we could build together as an industry leader positioned for growth. I'm inspired by our team's relentless pursuit to perform and deliver results, exemplified by the stability of our cash flows.
We delivered our EBITDA in range of guidance, exceeded our free cash flow target, and took steps to reduce our leverage in the quarter. We accomplished this amidst a soft macroeconomic environment proving the mission critical importance of our products. As we look forward to 2026, we are targeting to improve reported earnings by ~9% by delivering on our cost improvement and capacity optimization actions while working closely with our customers to provide solutions valued by the consumer."
Key Financials
September Quarter
Fiscal Year
GAAP results
2025
2024
2025
2024
Net sales
$ 839
$ 554
$ 3,204
$ 2,187
Operating income
10
(167)
5
(141)
September Quarter
Reported
Comparable(1)
Fiscal Year
Reported
Comparable(1)
Adjusted non-GAAP results
2025
2024
Δ %
Δ %
2025
2024
Δ %
Δ%
Net sales
$839
$554
51%
(6%)
$3,204
$2,187
47%
(4%)
Adjusted EBITDA(1)
90
66
36%
(1%)
354
282
26%
(4%)
(1)
Adjusted non-GAAP results exclude items not considered to be ongoing operations. In addition, comparable change % normalizes the impacts of foreign currency and the recent merger with Glatfelter. Further details related to non-GAAP measures and reconciliations can be found under "Reconciliation of Non-GAAP Financial Measures and Estimates" section or in reconciliation tables in this release. Dollars in millions
Financial Results, Fourth Quarter 2025
Consolidated Overview
The net sales increase of 51% included revenue from the Glatfelter merger of $328 million and favorable foreign currency changes of $10 million that were partially offset by a $35 million decrease in selling prices primarily due to the pass-through of lower raw material costs and a 3% organic volume decline which was attributed to general market softness in Europe and competitive pressures from imports in South America.
The adjusted EBITDA increase of 36% included a contribution from the Glatfelter merger of $28 million partially offset by unfavorable impacts from a $3 million volume decline and $3 million from price/cost spread.
Americas
The net sales increase in the Americas segment included revenue from the Glatfelter merger of $122 million partially offset by decreased selling prices of $28 million due to the pass-through of lower raw material cost and product mix and a 3% organic volume decline, which was primarily attributed to competitive pressures from imports in South America.
The adjusted EBITDA increase included a contribution from the Glatfelter merger of $14 million partially offset by unfavorable impacts from price cost spread of $6 million and volume decline of $2 million.
Rest of World
The net sales increase in the Rest of World segment included revenue from the Glatfelter merger of $206 million and a $9 million favorable impact from foreign currency changes partially offset by a 4% organic volume decline which was primarily attributed to general market softness in Europe.
The adjusted EBITDA increase included a contribution from the Glatfelter merger of $14 million and favorable impacts from price cost spread of $3 million.
Free Cash Flow and Net Debt - Fiscal Year 2025
Magnera is committed to strengthening its credit metrics by paying down debt in the near term.
(in millions)
Fiscal Year
Cash flow from operating activities
$ 103
Pre-merger cash flow from operating activities
90
Additions to property, plant and equipment, net
(67
)
Post-merger adjusted free cash flow(1)
$ 126
Post-merger adjusted free cash flow yield(1)
> 30
%
(1) FCF yield as of 9/26 close of business market cap. Further details related to non-GAAP measures and reconciliations can be found under "Reconciliation of Non-GAAP Financial Measures and Estimates" section or in reconciliation tables in this release.
(in millions)
September 27, 2025
Term Loan
$ 731
4.75% First Priority Senior Secured Notes
500
7.25% First Priority Senior Secured Notes
800
Debt discount, deferred fees and other (net)
(79
)
Total debt
$ 1,952
Cash and cash equivalents
305
Total net debt
$ 1,647
Leverage
3.8
x
Fiscal Year 2026 Guidance
Adjusted EBITDA of $380 - $410 million
Free cash flow of $90 - $110 million; cash flow from operation of $170 - $190 million
Investor Conference Call
The Company will host a conference call tomorrow, November 20, 2025, at 10:00 AM U.S. Eastern Time to discuss the September 2025 quarter results. The webcast can be accessed here. A replay of the webcast will be available via the same link on the Company's website after the completion of the call.
By TelephoneParticipants may register for the call here now or any time up to and during the time of the call and will immediately receive the dial-in number and a unique pin to access the call. While you may register at any time up to and during the time of the call, you are encouraged to join the call 15 minutes prior to the start of the event.
About Magnera
Magnera Corporation (NYSE:MAGN) serves 1,000+ customers worldwide, offering a wide range of material solutions, including components for absorbent hygiene products, protective apparel, wipes, specialty building and construction products, and products serving the food and beverage industry. Operating across 45 global facilities, Magnera is supported by approximately 8,500 employees. Magnera's purpose is to better the world with new possibilities made real. For more than 160 years, the Company has delivered the material solutions their partners need to thrive. Through economic upheaval, global pandemics and changing end-user needs, we have consistently found ways to solve problems and exceed expectations. The distinct scale and comprehensive portfolio of products brings customers more materials and choices. Magnera builds personal partnerships that withstand an ever-changing world.
Visit Magnera.com for more information and follow @MagneraCorporation on social platforms.
Non-GAAP Financial Measures and EstimatesThis press release includes non-GAAP financial measures including, but not limited to, Adjusted EBITDA, free cash flow, and comparable basis net sales and adjusted EBITDA. A reconciliation of these non-GAAP financial measures to comparable measures determined in accordance with accounting principles generally accepted in the United States of America (GAAP) is set forth at the end of this press release. Information reconciling forward-looking adjusted EBITDA and adjusted free cash flow are not provided because such information is not available without unreasonable effort due to high variability, complexity, and low visibility with respect to certain items, including debt refinancing activity or other non-comparable items. These items are uncertain, depend on various factors, and could be material to our results computed in accordance with U.S. GAAP.
Forward Looking Statements
Information included or incorporated by reference in Magnera Corporation's filings with the U.S. Securities and Exchange Commission (the "SEC") and press releases or other public statements contains or may contain "forward-looking" statements within the meaning of the federal securities laws and are presented pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such "forward-looking" statements include, but are not limited to, statements with respect to our financial condition, results of operations and business, our expectations or beliefs concerning future events, statements about the benefits of the transaction between Glatfelter Corporation and Berry Global Group, Inc., including future financial and operating results, the combined company's plans, objectives, expectations and intentions, and other statements that are not historical facts. These statements contain words such as "believes," "expects," "may," "will," "should," "would," "could," "seeks," "approximately," "intends," "plans," "estimates," "projects," "outlook," "anticipates" or "looking forward" or similar expressions that relate to our strategy, plans, intentions, or expectations. All statements we make relating to our estimated and projected earnings, margins, costs, expenditures, cash flows, growth rates, and financial results or to our expectations regarding future industry trends are forward-looking statements. In addition, we, through our senior management, from time to time make forward-looking public statements concerning our expected future operations and performance and other developments. These forward-looking statements are based upon the current beliefs and expectations of the management of Magnera and are subject to risks and uncertainties that may change at any time, and, therefore, our actual results may differ materially from those that we expected. These risks and other risk factors are detailed from time to time in Magnera's reports filed with the Securities and Exchange Commission (the "SEC"), including annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, including our Form 8-K/A filed on January 31, 2025, and other documents filed with the SEC. These risk factors may not contain all of the material factors that are important to you. New factors may emerge from time to time, and it is not possible to either predict new factors or assess the potential effect of any such new factors. Accordingly, readers should not place undue reliance on those statements. All forward-looking statements are based upon information available as of the date hereof. All forward-looking statements are made only as of the date hereof, and we undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law.
Consolidated and Combined Statements of Operations (unaudited)
Quarterly Period Ended
Fiscal Year Ended
(in millions of dollars)
September 27, 2025
September 28, 2024
September 27, 2025
September 28, 2024
Net sales
$
839
$
554
$
3,204
$
2,187
Cost of goods sold
751
496
2,867
1,950
Selling, general and administrative
49
25
190
107
Amortization of intangibles
9
12
50
48
Transaction and other activities
20
