Reynolds Consumer Products Expects Q2 Revenue of $875M-$900M Vs $890.43M Est, Adj EPS of $0.420-$0.46 Vs $0.37 Est
Portfolio Pulse from Benzinga Newsdesk
Reynolds Consumer Products Inc. (REYN) has updated its fiscal year 2024 outlook, maintaining its net revenue forecast at $3,530 to $3,640 million but increasing its net income projection from $331-$347 million to $341-$357 million. The EPS forecast has also been raised from $1.57-$1.65 to $1.62-$1.70. For Q2 2024, REYN expects revenues of $875-$900 million, adjusted EPS of $0.42-$0.46, and highlights a $10 million tax benefit impacting net income. The company anticipates stable commodity rates, retail volume growth at or above category forecasts, and cost savings from the Reyvolution initiative to drive EBITDA and net income growth.

May 08, 2024 | 11:23 am
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POSITIVE IMPACT
Reynolds Consumer Products Inc. maintains its FY 2024 revenue forecast but increases net income and EPS projections, expecting a positive Q2 with revenue between $875-$900 million and adjusted EPS of $0.42-$0.46.
REYN's updated financial outlook, particularly the increase in net income and EPS projections, signals strong performance and operational efficiency. The introduction of Q2 2024 outlook with expected revenue and EPS above estimates, coupled with a $10 million tax benefit, suggests potential for stock appreciation in the short term. The company's focus on retail volume growth, product mix improvements, and cost savings initiatives like Reyvolution further support a positive outlook.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100