Sylvamo 2025 Q3 Earnings Revenue Beats Estimates but Net Income Falls 40%

Sylvamo (SLVM) reported Q3 2025 earnings on Nov 8, 2025, with revenue exceeding analyst expectations despite a decline in net income. The company’s adjusted EBITDA of $151 million aligned with its guidance range of $145–165 million, but Q4 outlook was tempered by price/mix headwinds.

Revenue

Sylvamo’s total revenue fell 12.3% year-over-year to $846 million, driven by regional dynamics. Europe’s sales declined due to unfavorable pricing and mix, while Latin America faced lower volumes and prices. North America’s revenue was impacted by decreased volumes but partially offset by higher pricing.

Earnings/Net Income

The company’s net income dropped to $57 million in Q3 2025, a 40% decrease from $95 million in Q3 2024. EPS fell 38.4% to $1.43, reflecting sustained profitability over five years amid challenging market conditions.

Price Action

Sylvamo’s stock edged up 2.69% during the latest trading day, climbed 6.08% for the week, and dipped 0.23% month-to-date.

Post-Earnings Price Action Review

Following the earnings release, Sylvamo’s shares rose 2% as investors reacted to the revenue beat and $150 million share repurchase authorization. However, the EPS shortfall and cautious Q4 guidance limited gains, with analysts citing mixed sentiment due to European price pressures and supply chain transitions.

CEO Commentary

CEO Jean-Michel Ribiéras highlighted 7% QoQ sales volume growth and $60 million in shareholder returns, stating, “Our teams executed well, and we remain confident in brighter days ahead.” He emphasized strategic investments in operational efficiency and uncoated freesheet markets.

Guidance

Sylvamo projects Q4 adjusted EBITDA of $115–130 million, with price/mix expected to decline $20–25 million due to European challenges. Volume is forecast to improve $15–20 million from stronger Latin American and North American performance.

Additional News

1. Share Repurchase Authorization: The board approved a $150 million share repurchase program, its third since 2022, underscoring disciplined capital allocation.

2. Leadership Transition: John Sims, current COO, will become CEO in January 2026, succeeding Ribiéras, who retires.

3. Riverdale Supply Agreement: The company confirmed the phased-out supply agreement with International Paper will reduce 2026 EBITDA by $30 million, with strategic investments in North American mills to mitigate the impact.