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- **2025 EBITDA Guidance**: $135M-$140M (down from $150M-$160M) due to strategic downtime in non-core assets.
- **Tariff Mitigation**: 10% fluff tariff countered by new dissolving wood pulp fluff product in development.
- **Temiscaming Turnaround**: 2026 initiatives target $30M EBITDA improvement via cost cuts, efficiency gains, and new products.
- **Biomaterials Growth**: AGE project ($500M, 12x ROI) and BioNova ethanol ($64M, 19x ROI) driving 2026-2027 EBITDA expansion.
- **Pricing Reset**: 4-6%+ 2026 price increase to recapture 35% inflation differential since 2014.

**【CEO Summary Section】**
- **Updated 2025 Guidance**: Adjusted EBITDA refined to $135M-$140M (from $150M-$160M) due to strategic downtime in non-core Paperboard and high-yield pulp lines. 
- **Tariff Developments**: 0% tariffs on Cellulose Specialties and dissolving wood pulp into China; 10% fluff tariff mitigation via new dissolving wood pulp fluff product in development. U.S. ITC affirmative injury determination for Brazilian and Norwegian dissolving pulp imports.
- **Operational Stabilization**: French strikes at Tartas resolved; key technical roles filled at Temiscaming and Tartas. Jesup and Fernandina performing to expectations.
- **Temiscaming Turnaround**: 2025 EBITDA loss of $14M vs. historical $30M; 4 initiatives to restore profitability: $10M cost reduction, $10M OEE improvement, $10M new product EBITDA, and strategic divestiture exploration.
- **2027 EBITDA Plan**: Target $300M+ EBITDA through pricing reset, $30M cost reduction, specialty mix shift, and biomaterials growth. 2026 pricing reset targeting 4-6%+ increase to recapture 35% inflation differential since 2014.

**【CFO Financial Commentary】**
- **Q3 2025 Results**: Revenue $353M (-13% YoY); Adjusted EBITDA $42M (-17% YoY). Cellulose Specialties EBITDA $66M (+2% YoY), margins 32% vs. 28% prior year. Paperboard EBITDA $1M (-90% YoY); High-Yield Pulp EBITDA -$9M (-100% YoY). 
- **Segment Performance**: Cellulose Commodities loss narrowed to -$3M (from -$10M); Biomaterials EBITDA $1M (down 75% YoY). 
- **Liquidity**: $140M total liquidity; 2025 free cash flow expected $25M-$30M. $40M green debt available for biomaterials projects.

**【Q&A Key Highlights】**
- **Temiscaming Sale Milestones**: USMCA renewal (July 2026) and positive EBITDA/cash flow required for divestiture. 2026 milestones: $10M cost savings, $10M OEE improvement, and new product commercialization.
- **Refinancing Strategy**: 2026 debt refinancing contingent on 2025 EBITDA recovery. Target leverage below 4x to regain balance sheet flexibility.
- **Pricing Reset Impact**: 1% price increase generates $8M-$9M EBITDA; targeting 4-6%+ increase to recapture $300M inflation differential. 
- **AGE Project Progress**: $500M renewable energy project with 12x ROI on $46M equity. FID pending financing resolution. 
- **Fluff Product Development**: Dissolving wood pulp fluff product in testing; cost reduction efforts underway to justify tariff avoidance.


Rayonier Advanced Materials Inc.(RYAM)-20251105-2025 Q3 Earnings call transcript

- **2025 Challenges**: $59M EBITDA headwinds from tariffs, FX, and operational issues, with Q2 as trough quarter.
- **Growth Ambition**: Target $308M EBITDA by 2027 via cost cuts, market share gains, and biomaterials (e.g., AGE project with 10-12x ROI).
- **Financial Update**: Q2 EBITDA $28M (-58% YoY), 2025 guidance revised to $150-160M, with H2 recovery.
- **Strategic Moves**: Biomaterials projects to generate $39M EBITDA by 2027; tariffs boost U.S. market share and pricing power.

**【CEO Summary Section】**
- **Headwinds and Recovery**: Faced $59M EBITDA headwinds in 2025 due to tariffs ($21M), FX losses ($8M), operational disruptions ($18M), environmental charges ($12M), and non-core segment softness. Q2 2025 is the trough quarter, with normalization expected in H2 2025.
- **EBITDA Growth Strategy**: Aims to nearly double EBITDA to $308M by 2027, driven by cost reductions ($30M+), capturing market share in cellulose specialties, and biomaterials projects (e.g., AGE at Jesup with 10-12x ROI).
- **Biomaterials Initiative**: Bioethanol project at Tartas ($5M equity) generates $8-10M EBITDA annually. Future projects include bioelectricity, prebiotics, and SAF, targeting $39M EBITDA by 2027.

**【CFO Financial Commentary】**
- **Q2 2025 Results**: Revenue $340M (-19% YoY), EBITDA $28M (-58% YoY). CS segment EBITDA $29M (-42% YoY) due to tariffs and labor strikes. Paperboard and high-yield pulp segments underperformed due to soft demand.
- **Guidance Update**: 2025 EBITDA revised to $150-160M (vs. $215-235M), with H2 EBITDA $105-115M. Free cash flow expected to be negative $10-25M for the year.

**【Q&A Highlights】**
- **Product Approval Timeline**: New dissolving wood pulp fluff product trials in China; commercialization expected in 2026.
- **Cost Reduction Execution**: $24M capital spent in 2025, with $30M savings realized in 2026. Temiscaming turnaround initiatives (freezer board, oil/grease-resistant board) to commercialize in 2026.
- **Capital Allocation**: Prioritize high-return biomaterials projects (e.g., AGE) and debt repayment. Share buybacks considered if projects dry up.
- **Tariff Impact**: 15% EU and 50% Brazil tariffs enhance competitive advantage, supporting U.S. market share and pricing strategy.

Rayonier Advanced Materials Inc. (RYAM) Q2 2025 Earnings Conference Call Transcript

- **Q1 2025 Results Miss Expectations:** Revenue down 8%, EBITDA down 67% due to Chinese tariffs and operational challenges.
- **Tariff Mitigation Progress:** Shifting fluff pulp to non-China markets, exploring dissolving wood pulp opportunities in China.
- **Revised Guidance:** 2025 EBITDA $175-185M (vs. prior $220M), free cash flow $5-15M, reflecting $20M tariff impact.
- **Financial Strength:** Liquidity $272M, net debt $624M, leverage 2.9x, maintaining covenant compliance.
- **Key Risk:** High-yield pulp segment EBITDA expected to remain negative due to market oversupply.

**【CEO Performance Overview】**
- Q1 2025 revenue declined 8% YoY to $344 million, with adjusted EBITDA down 67% to $47 million, primarily due to tariffs on U.S. cellulose commodities in China.
- Key challenges included customer destocking, operational setbacks (e.g., Jesup plant cold weather issues), higher energy costs (+$3 million), and $12 million non-cash environmental reserves.
- Full-year 2025 guidance revised to $175-185 million EBITDA (vs. prior $220 million midpoint) and $5-15 million free cash flow, reflecting $20 million tariff impact and $15 million Q1 operational underperformance.

**【CFO Financial Breakdown】**
- **Cellulose Specialty (CS):** Q1 net sales $201 million (-2% YoY), operating income $31 million (-21%), EBITDA margin 23% (vs. 27% prior).
- **Cellulose Commodities (CC):** Net sales $75 million (-20%), operating loss $13 million (improved $6 million YoY) due to reduced negative margin grades.
- **Biomaterials:** Steady at $7 million sales, $2 million operating income, 29% EBITDA margin.
- **Paperboard:** Sales $49 million (-8%), operating loss $2 million (vs. $10 million profit prior), driven by European imports and price declines.
- **High Yield Pulp:** Sales $31 million (-10%), operating loss $7 million (worsened $2 million YoY).
- **Liquidity:** $272 million (cash $130M, ABL $131M), net debt $624 million, leverage 2.9x covenant EBITDA.

**【Tariff Mitigation & Strategy】**
- **Customer Advocacy:** Engaging directly with Chinese authorities to clarify CS product tariff exemptions.
- **Market Diversification:** Shifting fluff pulp sales to India, Africa, Middle East; exploring dissolving wood pulp (viscose) opportunities in China.
- **Operational Adjustments:** Idling one high-yield pulp line for 11 weeks to reduce oversupply; resuming CC production of non-tariff-affected grades.
- **Strategic Pauses:** Delaying debt reduction and non-core CC investments; maintaining biomaterials strategy despite tariffs.

**【Q&A Highlights】**
- **Tariff Impact on CS:** Orders resumed post-April pause, but customers accelerating destocking; 2025 CS EBITDA guided to $237-245 million (midpoint -6% YoY).
- **Paperboard Pricing:** 5% YoY decline expected due to new SAFI capacity, but long-term demand growth driven by sustainable packaging trends.
- **Liquidity Confidence:** CFO emphasizes $272M liquidity, disciplined cash management, and ability to meet debt covenant compliance.
- **Bioethanol Expansion:** Fernandina plant permit challenges ongoing, but confident in project benefits; Tartas plant operational issues resolved post-Q1.

Rayonier Advanced Materials (RYAM)-7 May 25-2025 Q1 Earnings call transcript

- **Record EBITDA Growth**: 2024 adjusted EBITDA up 60% to $222 million, driven by HPC specialty pricing and cost savings. 
- **Debt Reduction**: Net secured debt down $73 million to $625 million, leverage at 2.7x (target 2.5x). 
- **Tariff Mitigation**: 25% U.S. paperboard tariffs expected to impact $35 million EBITDA, but 30,000 metric tons of Canadian sales conversions to offset. 
- **Biomaterials Expansion**: AGE project EBITDA potential $25-$30 million/year, with full production by 2028. 
- **CS Strategy**: Value over volume in acetate, ethers demand strong in pharma/food, construction recovery possible. 


**【CEO Summary Section】**
- **2024 Financial Highlights**: Revenue of $1.63 billion (-$13 million YoY), operating income of $39 million (+$104 million YoY), adjusted EBITDA of $222 million (+$83 million YoY, 60% growth). Free cash flow reached $128 million (+$75 million YoY). Net secured debt reduced by $73 million to $625 million, with leverage at 2.7x covenant EBITDA (target 2.5x). 
- **Key Drivers**: High-purity cellulose (HPC) EBITDA grew $93 million (65% YoY) due to higher specialty pricing, volumes, and cost savings from Temiscaming suspension. Paperboard EBITDA declined $4 million due to lower prices and labor costs, while high-yield pulp EBITDA fell $4 million due to tariffs and custodial site costs. 
- **2025 Outlook**: EBITDA guidance of $215-$235 million, including 25% U.S. paperboard tariffs. Focus on value over volume in CS, biomaterials expansion, and debt reduction. 

**【CFO Financial Commentary】**
- **Segment Performance**: 
  - **HPC**: Sales $1.3 billion (-3% YoY), EBITDA $237 million (+$93 million YoY). CS volumes up 19% due to competitor closure, demand recovery, and Temiscaming suspension benefits. 
  - **Paperboard**: Sales $228 million (+$9 million YoY), EBITDA $48 million (-$4 million YoY). Higher volumes offset by tariffs and custodial costs. 
  - **High-Yield Pulp**: Sales $127 million (-7% YoY), EBITDA loss $1 million (vs. $1 million loss YoY). Pricing down 9% due to Chinese oversupply. 
- **Liquidity**: $276 million (cash $125 million, undrawn ABL $141 million). 2024 capex $108 million ($33 million strategic). 
- **Debt**: Reduced to $653 million (-$68 million YoY). Term loan net secured leverage 2.7x covenant EBITDA. 

**【Q&A Key Highlights】**
- **Capital Allocation**: 2025 capex $194 million (maintenance $85 million, strategic $109 million). Strategic capex focused on CS cost efficiency ($19 million) and biomaterials ($14 million). 
- **Tariff Mitigation**: 25% U.S. paperboard tariffs expected to impact $175 million in sales. Plan to replace 30,000 metric tons of U.S. exports with Canadian domestic sales. AGE project EBITDA potential $25-$30 million/year. 
- **CS Volumes**: Acetate destocking global, mid-single-digit demand decline. Ethers demand strong in food/pharma, construction recovery possible. 
- **Biomaterials**: 2025 EBITDA guidance $8-$10 million. AGE project FID in late 2025, full production by 2028. Bioethanol delays push $40 million EBITDA target to 2028. 


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