Graphic Packaging Holding Company (GPK) announced on Tuesday that it now anticipates its full-year 2024 results to be below the midpoint of its initial guidance.
The company explained that severe weather conditions in July led to a slight reduction in production at two of its paperboard manufacturing facilities. Additionally, in August, an electrical substation at a third facility sustained damage, causing further disruptions, lost production, and restart expenses.
These issues, coupled with the associated costs, are projected to decrease Adjusted EBITDA by approximately $20 million to $25 million in the third quarter.
Consequently, the company now expects its full-year 2024 results to fall below the midpoint of its previously announced adjusted EBITDA guidance range of $1,730 million to $1,830 million, as well as its adjusted EPS guidance range of $2.65 to $2.85.
