Rayonier Advanced Materials Inc. (NYSE: RYAM) reported a fourth‑quarter 2025 loss of $21 million, or $(0.32) per diluted share, and a full‑year net loss of $420 million, or $(6.33) per share. Revenue for the year totaled $1.5 billion, a decline from $1.63 billion in 2024. Adjusted EBITDA reached $133 million, down from $222 million a year earlier, while adjusted free cash flow was negative $88 million, compared with a positive $203 million in 2024.
The quarter’s loss of $21 million followed a $16 million loss in Q4 2024, and the diluted‑share loss of $(0.32) was a sharp decline from $(0.25) in the prior year’s fourth quarter. Full‑year 2025 revenue fell 8.5 % from $1.63 billion in 2024, and the company’s adjusted EBITDA margin contracted from 13.6 % to 8.9 %.
Revenue was driven primarily by the high‑purity cellulose segment, which remains the company’s largest revenue generator. The paperboard and high‑yield pulp segments saw modest declines, reflecting competitive pressure from Chinese producers in Europe and new U.S. capacity. The company’s biomaterials and cellulose commodities units continued to grow, but their contribution was insufficient to offset the downturn in legacy segments.
CEO Scott Sutton said the company was not satisfied with the 2025 results, noting that “various disruptions and a difficult demand environment pressured volumes, earnings and cash generation.” He added that the focus for 2026 would be “positive free cash flow, disciplined execution and a value‑based pricing strategy in cellulose specialties.” CFO Marcus Moeltner highlighted the company’s plan to improve EBITDA across all business units as a foundation for stronger 2026 performance.
Management reiterated its guidance that 2026 will see a return to positive free cash flow and a substantial improvement in EBITDA. The company expects near‑zero EBITDA in the first quarter of 2026, with sequential gains expected as pricing actions take effect and volumes recover. The guidance signals confidence that the company’s cost‑control and pricing initiatives will translate into stronger profitability over the next year.
Investors reacted negatively to the earnings release, with the primary focus on the significant EPS miss. The company’s revenue beat of 14 % over consensus was outweighed by the $0.32 per share loss, which underscored ongoing profitability challenges and the need for continued operational improvements.
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