Magnera: Mixed 3QFY26, FY EBITDA Guidance Revised to Low End of Previous Range

研报英文原文证据摘录

J P M O R G A N

North America Credit Research

06 August 2026

Overweight

Magnera

Mixed 3QFY26, FY EBITDA Guidance Revised to Low

End of Previous Range

Table 1: MAGN 3QFY26 Earnings Review

$ millions

Revenues

Gross Profit

% margin

Adjusted EBITDA

% margin

LTM Adj EBITDA

Cash

Total Debt

Net Debt

Gross Leverage

Net Leverage

3Q26

857.0

112.0

13.1%

99.0

11.6%

372.0

280.0

1,901.0

1,621.0

5.1x

4.4x

2Q26

796.0

95.0

11.9%

90.0

11.3%

364.0

303.0

1,969.0

1,666.0

5.4x

4.6x

q/q

7.7%

17.9%

120 bp

10.0%

30 bp

3Q25

839.0

90.0

10.7%

91.0

10.8%

438.0

276.0

2,081.0

1,805.0

4.8x

4.1x

y/y

2.1%

24.4%

240 bp

8.8%

80 bp

Source: Company Reports

Earnings Review: MAGN reported mixed 3QFY26 results, with revenues

falling short of consensus estimates but EBITDA coming in a touch ahead of

the street. Revenues grew 2% y/y to $857m (vs $914m est) and EBITDA grew 9%

y/y to $99m (vs $94m est). Americas EBITDA ($71m, +16% y/y) drove strong

margin performance in the quarter as the bottom line benefited from run-rate

synergies and cost savings via Project CORE, along with recovery from the winter

storms. Rest of world EBITDA was down 7% y/y impacted by inflationary

pressure on the cost side which more than offset cost mitigation efforts. Gross and

net leverage were down modestly on a sequential basis (5.1x/4.4x, down ~0.2x)

Outlook: MAGN expects FY26 EBITDA guidance at the low end of the

previous range and reaffirmed FY26 FCF guidance. MAGN had previously

guided to adjusted EBITDA of $380m to $410m for the year (now expecting

EBITDA at the low end of this range, implying $98m EBITDA in Q4, representing

mid-single digit y/y growth). FCF guidance was reaffirmed at $90m to $110m and

the company is still targeting 3x leverage over the next couple years.

Relative Value: We remain Overweight MAGN. We expect cost savings to

continue providing support for the margin story moving into FY27, driving delevering toward 3x. We would point to strong results out of MATV as an indicator

of the potential of an effective cost savings strategy in the business and believe

MAGN’s Americas footprint (~70% of EBITDA) is set up well to benefit from

project CORE initiatives.…