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• Consolidated Net Revenue: Increased 17% on a constant currency basis for Q4 2024.

• Full Year Net Revenue: Up 10% on a constant currency basis for 2024.

• North America Revenue: Sales up 36% in Q4, with full year net revenue growth of 19%.

• Europe and APAC Revenue: Increased 1% on a constant currency basis for Q4, with full year net revenue up 3%.

• Automation Revenue: Grew by more than 40% in 2024, expected to grow another 50% in 2025.

• Adjusted EBITDA: Increased 8% for Q4 and 14% for the year on a constant currency basis.

• Gross Margin: Improved to 39.4% for Q4, up 170 basis points year-over-year.

• CapEx: Declined by 40% in 2024, totaling $33.1 million.

• Cash Balance: $76.1 million at the end of 2024.

• Net Leverage: Reduced to four times on an LTM basis.

• Guidance for 2025: Forecasting net revenue growth of 5% to 11% and adjusted EBITDA growth of 5% to 16% on a constant currency basis.

• Expected Cash Generation: Approximately $20 million in 2025.

• Warning! GuruFocus has detected 4 Warning Signs with PACK.

Release Date: March 06, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Ranpak Holdings Corp (NYSE:PACK) achieved its best quarter of the year and second-best quarterly revenue in its history, driven by strong e-commerce activity in North America.

• The company experienced double-digit volume growth for the year, with automation revenue growing by more than 40% and expected to grow another 50% in 2025.

• Ranpak Holdings Corp (NYSE:PACK) successfully reduced its CapEx by 40% as major investment cycles concluded, allowing the company to return to cash generation mode.

• The company opened a new facility in Malaysia to serve the APAC market, reducing production and logistics costs.

• Ranpak Holdings Corp (NYSE:PACK) secured a strategic partnership with the largest e-commerce company in the world, enhancing its market position and validating its solutions.

Negative Points

• The European market remains challenging, with muted industrial activity and uncertainty about tariffs impacting performance.

• The North American paper market experienced tightness, leading to short-term inefficiencies in freight and logistics, temporarily impacting margins.

• Ranpak Holdings Corp (NYSE:PACK) faces potential upward pressure on pricing in Europe due to volatile energy markets.

• The company's automation segment, while growing, is still a drag on profitability, contributing a negative $7 million to adjusted EBITDA for the year.

• The company anticipates a non-cash revenue reduction related to Amazon warrants, which will impact reported GAAP figures.