Rayonier Advanced Materials Inc. (RYAM) reports net sales for 2024 of $1,630 million, down $13 million from the prior year. Loss from continuing operations for 2024 was $42 million, a $60 million improvement over the prior year.
Adjusted EBITDA from continuing operations for 2024 was $222 million, up $83 million from the prior year.
Q4 2024 Financial Results
Rayonier Advanced Materials Inc. reported a net loss of $39 million, or $0.59 per diluted share, for the year ended December 31, 2024, compared to a net loss of $102 million, or $1.57 per diluted share, for the prior year. Loss from continuing operations for the year ended December 31, 2024 was $42 million, or $0.64 per diluted share, compared to a loss from continuing operations of $102 million, or $1.57 per diluted share, for the prior year.
Operating loss for the quarter and year ended December 31, 2024 increased $1 million and $3 million, respectively, compared to the same prior year periods. The increase in the quarter loss was driven by higher variable and other compensation expense, partially offset by favorable foreign exchange rates in the current quarter compared to unfavorable rates in the prior year quarter and lower discounting and financing fees. The increase in the year loss was driven by higher variable and other compensation expense, higher discounting and financing fees and higher costs related to the Company’s ERP transformation project, partially offset by favorable foreign exchange rates in the current year compared to unfavorable rates in the prior year.
“2024 marked a transformative chapter in our journey at RYAM, with the achievement of several strategic milestones that will position us well for the future,” stated De Lyle Bloomquist, President and CEO of RYAM. “We continued to strengthen our core High Purity Cellulose business and reduced our exposure to commodity markets. We made significant strides towards executing on our biomaterials strategy, and we improved our balance sheet while delivering outstanding financial results.”
“We took decisive action to reduce our exposure to commodity markets in 2024, including the indefinite suspension of our High Purity Cellulose operations in Temiscaming. As a result, we reduced our commodity viscose, paper pulp and High-Yield Pulp sales from 22% in 2023 to 13% in 2024. With respect to our biomaterials strategy, we secured Euro 67 million of capital commitments for future investments in our biomaterials strategy. Of this capital, Euro 30 million came in the form of equity, which valued these biomaterials investments at approximately $180 million. In November, we finalized the refinancing of the majority of the Company’s debt with a new five-year loan, which provides the runway and flexibility for us to execute on our strategies. Lastly, we emphasized value over volume in our core cellulose specialties markets, which was the primary driver of increasing our Adjusted EBITDA by 60% to $222 million and generating $128 million of Adjusted Free Cash Flow, reducing net debt by $73 million.”
RYAM is a global leader of cellulose-based technologies.The Company also manufactures products for paper and packaging markets.
