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For more than 30 years, Cabling Installation & Maintenance has provided useful, practical information to professionals responsible for the specification, design, installation and management of structured cabling systems serving enterprise, data center and other environments. These professionals are challenged to stay informed of constantly evolving standards, system-design and installation approaches, product and system capabilities, technologies, as well as applications that rely on high-performance structured cabling systems. Our editors synthesize these complex issues into multiple information products. This portfolio of information products provides concrete detail that improves the efficiency of day-to-day operations, and equips cabling professionals with the perspective that enables strategic planning for networks’ optimum long-term performance.

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Rayonier Advanced Materials (NYSE: RYAM) Reports Q3 2022 Financial Results Showing 25% Y/Y Revenue Growth and Net Income of $30 Million

Rayonier Advanced Materials, Inc. (NYSE: RYAM) is engaged as a global manufacturer of cellulose-based technologies, as well as paper and packaging products. Shares of the industrial technology company are soaring 42% through early trading on Wednesday, November 2, 2022. Over the past three months, Rayonier Advanced Materials has seen average daily volume of 312,820 shares. However, volume of 1.26 million shares or dollar volume of around $8.01 million, has already exchanged hands through early trading.

Shares of Rayonier Advanced Materials are surging after the company reported third quarter 2022 financial results. Net sales for the quarter came in at $466 million, which was up 25% year-over-year. Income from continuing operations for the quarter totaled $18 million. Adjusted EBITDA surged 106% y/y to $68 million and net income was $30 million or $0.45 per diluted share.

Rayonier Advanced Materials operates three major business segments: high purity cellulose, paperboard, and high-yield pulp. High purity cellulose is the cash cow for the company, as it generated $369 million of net revenue during the quarter. This compares to the high purity cellulose revenue results from Q2 2022, which came in at $302 million. Paperboard and high-yield pulp generated net revenues of $66 million and $40 million, respectively, during Q3.

On a forward-looking basis, management increased the company’s adjusted EBITDA guidance for the rest of 2022 to exceed $175 million. Furthermore, Rayonier Advanced Materials is on track to reduce its debt level to $725 million by the end of the year. The company’s net leverage ratio came in at 5.1 as of the end of Q3 2022. Management believes they are well on rack to reduce the net leverage ratio even further to 4.0.

“The quarter’s improved financial results are evidence of the significant earnings power of RYAM. Increased productivity in the third quarter led to higher sales volumes in High Purity Cellulose and stronger financial results,” said De Lyle W. Bloomquist, President and Chief Executive Officer. “Though the global economy appears to be slowing, we remain optimistic about capturing additional productivity gains and value for our key products. As such, we are confident about our business and have increased our full year Adjusted EBITDA guidance to exceed $175 million for 2022. We also continue to reduce debt, including net repayments of $59 million year to date. As our credit metrics continue to improve, we are actively monitoring debt markets for an opportune time to refinance our 2024 debt maturities.”

Disclosure: No position. Spotlight Growth has no relationships with any of the companies mentioned in this article and did not receive payment in any form for its creation. This is an opinion article and is not meant to be financial advise. We are not broker-dealers or investment professionals. Please conduct your own due diligence. For more information on our disclosures, please visit: https://spotlightgrowth.com/disclosures/

The post Rayonier Advanced Materials (NYSE: RYAM) Reports Q3 2022 Financial Results Showing 25% Y/Y Revenue Growth and Net Income of $30 Million appeared first on Spotlight Growth.

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