Sealed Air Corporation (NYSE:SEE) reported fourth-quarter results on Monday that came in ahead of analyst expectations, with both revenue and earnings exceeding consensus forecasts.
The company posted adjusted earnings per share of $0.77, surpassing the analyst estimate of $0.73. Shares were little changed following the announcement, edging up 0.05% in premarket trading.
Quarterly revenue totaled $1.4 billion, beating expectations of $1.34 billion and rising 2.1% from $1.37 billion recorded in the same period a year earlier.
Adjusted EBITDA increased to $278 million, representing 19.8% of net sales, compared with $271 million, or 19.7% of net sales, in the fourth quarter of 2024.
The improvement was mainly attributed to reduced operating expenses driven by productivity gains and favorable currency movements, partly offset by weaker net pricing across both business segments and lower volumes in the Food division.
For the full year 2025, Sealed Air generated revenue of $5.36 billion, slightly below the $5.39 billion reported in 2024. Adjusted earnings per share rose to $3.34 from $3.14 in the prior year, supported primarily by lower interest costs and higher adjusted EBITDA.
Within the business segments, the Food division recorded fourth-quarter sales of $937 million, up 2% on a reported basis but down 1% in constant currency terms due to reduced volumes. The Protective segment posted revenue of $464 million, increasing 3% as reported and 1% on a constant currency basis.
“The increase in Adjusted EBITDA was primarily due to lower operating costs driven by productivity benefits and cost reduction initiatives,” the company stated.
Full-year free cash flow reached $459 million, compared with $454 million in 2024 when excluding a tax refund. Net debt declined to $3.7 billion from $4.0 billion, reducing the company’s net leverage ratio to 3.2x from 3.6x.
Sealed Air is currently in the process of being acquired by funds affiliated with CD&R in an all-cash transaction valued at $10.3 billion. Shareholders approved the merger agreement on February 25, 2026, and the deal is expected to close by mid-2026.