Graphic Packaging Holding Co. Comments On Operating Conditions And Updates FY024 Outlook; Says "Severe Weather And An Electrical Substation Damage At Paperboard Manufacturing Facilities Led To Disruptions, Reducing Q3 Adj EBITDA By $20M-$25M And Causing FY24 Results To Fall Below The Midpoint Of Previously Announced Adj EBITDA And EPS Guidance Range Of $2.65-$2.85

Author: Benzinga Newsdesk | September 03, 2024 04:36pm

Graphic Packaging Holding Company (NYSE: GPK), ("Graphic Packaging", the "Company"), a global leader in sustainable consumer packaging, today provided an update on operating conditions in the third quarter and on its full-year 2024 outlook.

During July, severe weather conditions led to modestly reduced production at two paperboard manufacturing facilities. In August, an electrical substation was damaged at a third facility, resulting in additional disruption, lost production, and restart costs. While not material individually, as a group these events and added costs are expected to reduce Adjusted EBITDA by approximately $20 million to $25 million in the third quarter. As a result, the Company now expects full-year 2024 results will fall below the midpoint of the previously announced $1,730 million to $1,830 million Adjusted EBITDA guidance range and the $2.65 to $2.85 Adjusted EPS guidance range.

Each of the affected facilities resumed normal operations, and customer service levels were not affected

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