Sealed Air has reported net profits of $44 million for the fourth quarter of 2025, a turnaround from a net loss of less than $1 million in the same period a year earlier.
The bubble wrap maker’s net sales rose 2% in the quarter to $1.4 billion, with its protection segment rising 3% and its food segment rising 2%.
The quarter’s results were affected by $69 million of special item expenses, up from $110 million in the prior-year quarter.
The reduction was primarily attributable to lower income tax-related special item charges and lower restructuring costs, partially offset by transaction-related expenses linked to the pending acquisition by CD&R.
Adjusted EBITDA for the quarter reached $278 million, representing 19.8% of net sales, compared to $271 million or 19.7% of net sales in the same period last year.
The improvement was primarily attributed to reduced operating costs due to productivity gains and favorable currency effects, although these were partially offset by unfavorable net pricing realizations and lower food segment volumes.
Food segment sales during the fourth quarter totaled $937 million, an increase of 2% year-over-year, with currency impacts contributing a positive $28 million (3%).
Protection segment sales totaled $464 million, an increase of 3%, including a favorable currency impact of $10 million (2%).
Sealed Air will go private in an acquisition by funds affiliated with CD&R.
Valued at $10.3 billion, the transaction was agreed to in November 2025 and shareholders were entitled to receive $42.15 per share in cash.
Shareholders approved the merger at a special meeting last month. Closing is expected to occur in mid-2026, pending regulatory approvals and other customary closing conditions.
For full year 2025, Sealed Air posted net sales of $5.36 billion, a decrease of less than 1% compared to 2024. Sales in the food segment were essentially flat, while sales in the protection segment fell 2%.
Full-year net profits reached $441 million, up from $270 million in 2024.
Adjusted EBITDA was recorded at $1.1 billion, representing 21.2% of net sales.
Dividend payments for the year totaled $119 million versus $118 million last year, while net debt fell to $3.7 billion at year-end from $4 billion a year earlier.
“Sealed Air Returns to Profit in Q4 2025” was created and originally published by Packaging Gateway, a brand owned by GlobalData.
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