NEW YORK, Feb 4, 2026, 13:10 (EST) — Regular session
- REYN jumped roughly 15% following the foil and trash-bag maker’s Q4 earnings release and its 2026 outlook
- The company projects adjusted EBITDA for 2026 between $660 million and $675 million, with EPS forecasted at $1.57 to $1.63.
- The board greenlit a $0.23 dividend for the quarter, set to be paid on Feb. 27
Shares of Reynolds Consumer Products Inc surged 14.6% to $25.00 on Wednesday following the company’s fourth-quarter earnings report and its 2026 outlook. Earlier in the day, the stock fluctuated between $21.24 and $25.36.
Investors are scrambling for clear signs of pricing power and demand in everyday household goods, a sector where promotions shift fast and private-label offers spike when shoppers pull back. Reynolds has pushed price hikes and tightened costs, aiming to maintain market share in key brands like Reynolds Wrap and Hefty.
Reynolds reported fourth-quarter net revenues climbed to $1.034 billion, up from $1.021 billion a year ago, while adjusted EBITDA, a key profitability metric, rose to $220 million. The company projects 2026 net revenues to fall between a 3% decline and a 1% increase compared to 2025’s $3.721 billion. Adjusted EBITDA is expected in the range of $660 million to $675 million, with earnings per share forecasted between $1.57 and $1.63. (Business Wire)
Retail net revenues slipped to $964 million from $975 million, dragged down by a 2% drop in retail volumes, the company reported. On the flip side, non-retail revenues surged to $70 million, up from $46 million, boosted by aluminum sales to food service and industrial clients. Hefty Tableware revenue took a hit as foam volumes declined, but Presto Products hit record revenue, and Hefty Waste & Storage revenue held steady. (Business Wire)
Chief Executive Scott Huckins described the current macro environment as “challenging,” but highlighted gains in market share and strong service levels despite rising input costs. (Business Wire)
On the earnings call, management pointed out the significant cost pressures they’ve been tackling. Reynolds noted that pricing and cost measures were designed to counter roughly $100 million in increased tariffs and commodity expenses. It also reported $316 million in full-year free cash flow — defined as cash from operations minus capital expenditures — and a net leverage ratio of 2.1 times following debt refinancing and a voluntary principal paydown. (Investing)
Still, the company signaled that competition is heating up in crucial segments. Huckins noted “the dynamics have intensified” specifically in waste and food bags, pointing to increased promotional and pricing pressure. Reynolds said this was already factored into their outlook. (The Motley Fool)
That’s the catch for traders. Reynolds can hike prices, but it comes at the cost of volume—particularly in segments hit by aluminum prices and in tableware, where foam usage keeps declining and consumer demand remains unpredictable.
Reynolds said it plans to realign its category organization starting in the first quarter, merging waste bags into one business unit and grouping food bags and storage into another. The move aims to boost accountability and maintain momentum in innovation.
Reynolds goes head-to-head with both branded competitors and store brands like Clorox’s Glad in trash bags. It also wrestles with retailer bidding cycles that often shuffle the private-label mix.
Investors are set to focus on early-2026 volumes to see if they align with the company’s first-quarter goals and if promotional pressure remains in check. The next key date on the calendar is the Feb. 13 shareholder record date for the quarterly dividend.
