Reynolds Consumer beats profit but misses revenue, as prices rose 14% but volume fell 7%

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Reynolds Consumer Products Inc. reported on Tuesday the profit of the third quarter that raised expectations but the income that came in slowly, and gave the lowest opinion for the fourth quarter, as the number of increases decreases and the effect of inflationary pressure and the behavior of consumers on the increase in prices is not confirmed. The company’s net income fell to $48 million, or 23 cents a share, from $66 million, or 31 cents a share, last year. Excluding non-recurring items, adjusted earnings per share of 24 cents beat the FactSet consensus of 23 cents. Revenue grew 6.9% to $967 million, below the FactSet consensus of $979.2 million, as a 14% increase in prices was not enough to offset a 7-year decline. % by volume. Some of the company’s share prices were down 14% in Reynolds cooking and baking, down 9% in Hefty cookware and storage and down 8% in Presto products, but up 7% in Hefty tableware. For the fourth quarter, the company expects adjusted EPS of 54 cents to 60 cents, compared to the FactSet consensus of 61 cents, and expects revenue to grow about 9%, while the current FactSet consensus of $1.13 billion implies growth of 10.4%. The stock, which remained an underperformer in trading, has gained 5.8% over the past three months while the S&P 500 has lost 8.1%.

– Tommy Kilgore

(END) Dow Jones Newswires

11-08-22 0724ET

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