Pactiv Evergreen reports Q4 EPS 15c, consensus 6c

Reports Q4 revenue $1.48B, consensus $1.51B. Jon Baksht, CFO of Pactiv Evergreen, added, "The Company continues to focus on deleveraging the balance sheet by both improving its operations across the enterprise and managing its cash and outstanding debt levels. The Company took additional actions to de-lever and reduce interest rate risk during the fourth quarter of 2022 by repurchasing a total of $92 million in aggregate principal of its 7.95% and 8.375% debentures due in 2025 and 2027 at 97% of par. As of year-end 2022, the Company’s total debt was $4.1 billion, and its Net Debt2 was $3.6 billion, down from prior year levels. While the path of future interest rates remains uncertain, the Company also executed $1 billion of notional amount in interest rate swaps to lock in certain portions of its variable rate debt thereby reducing cash flow volatility. This focus has continued into 2023 as the Company repaid and repurchased an aggregate of $110 million of its U.S. term loans Tranche B-2 during January and February of 2023."