Slides
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© 2025 Graphic Packaging Holding CompanyThird Quarter 2025 EarningsNovember 4, 2025
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2 CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTSAny statements of the Company’s expectations in these slides, including, but not limited to, statements regarding full-year 2025 capital expenditures and free cash flow, 2025 Net Sales, volume, Adjusted EBITDA, Adjusted EPS, capital spending and Innovation Sales Growth, interest expense, cash taxes, working capital and pension expense, effective tax rate, and depreciation and amortization, Waco startup costs, and year-end 2025 net leverage and outstanding shares constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on currently available operating, financial and competitive information and are subject to various risks and uncertainties that could cause actual results to differ materially from the Company’s historical experience and its present expectations. These risks and uncertainties include, but are not limited to, inflation of and volatility in raw material and energy costs, changes in consumer buying habits and product preferences, competition with other paperboard manufacturers and product substitution, the Company’s ability to implement its business strategies, including strategic acquisitions, productivity initiatives, cost reduction plans and integration activities, as well as the Company’s debt level, currency movements and other risks of conducting business internationally, the impact of regulatory and litigation matters, including the continued availability of the Company's U.S. federal income tax attributes to offset U.S. federal income taxes and the timing related to the Company’s future U.S. federal income tax payments. Undue reliance should not be placed on such forward-looking statements, as such statements speak only as of the date on which they are made and the Company undertakes no obligation to update such statements, except as may be required by law. Additional information regarding these and other risks is contained in the Company’s periodic filings with the Securities and Exchange Commission.NON-GAAP FINANCIAL MEASURES & RECONCILIATIONSThis presentation includes certain historic financial measures that exclude or adjust for charges or income associated with business combinations, facility shutdowns, extended mill outages, sales of assets and other special charges or income (“Non-GAAP Financial Measures”). The Company’s management believes that the presentation of these Non-GAAP Financial Measures provides useful information to investors because these measures are regularly used by management in assessing the Company’s performance. These Non-GAAP Financial Measures are not calculated in accordance with generally accepted accounting principles in the United States (“GAAP”) and should be considered in addition to results prepared in accordance with GAAP, but should not be considered substitutes for or superior to GAAP results. In addition, these Non-GAAP Financial Measures may not be comparable to similarly-titled measures utilized by other companies, since such other companies may not calculate such measures in the same manner as we do. A reconciliation of these Non-GAAP Financial Measures to the most relevant GAAP measure can be found in the Company’s earnings press releases. Note that a reconciliation of Non-GAAP Financial Measures provided as future performance guidance to the most relevant GAAP measure is not provided, as the Company is unable to reasonably estimate the timing or financial impact of items such as charges associated with business combinations and other special charges. The inability to estimate these future items makes a detailed reconciliation of these forward-looking non-GAAP financial measures impracticable. Forward-Looking Statements
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3 Waco: Commercial Production, October 2025World’s Most Efficient and Highest-Quality Recycled Paperboard Manufacturing Facility
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4 Q3 Net Sales -1% yoy, Packaging Sales -2% yoy; Volume -2%, Price -1%Food and Household steady, Beverage and Foodservice weaker, Health and Beauty remain strongPromotion: Beverage returned to normal patterns; Food and QSR remain targeted with limited impact on overall volume/trafficMass retail/superstores and discount grocers continue to take shareThousands of new US private label food SKUs introduced in the past 24 monthsInnovation continues to open new markets for paperboard packaging solutions; on track to achieve 2% Innovation Sales Growth in 2025 Third Quarter 2025 Update
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5Note: Percentages represent 2024 Sales Mix Health & Beauty4% Household12% Foodservice21% Beverage25%Food38%Graphic Packaging’s products are in the hands of tens of millions of consumers multiple times a day
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2025FY2024FY2023Q3Q2Q12024Q4Q3Q2Q12023Q4Q3FoodBeverageFoodserviceHouseholdHealth & BeautyTotal6 Note: YoY unadjusted; excludes sales from Russian subsidiary divested in 2023. Consumer Packaging Sales by MarketQ3: Bifurcated market; most consumers focused on price and value
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7 Strength Packaging$2.0B Paperboard Canisters$2.5B Multipacks$1.5B Cups & Containers$4.0B Trays & Bowls$5.0BInnovation is Expanding the Market for Paperboard PackagingAddressable Market Opportunity $15 Billion
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GPI INNOVATIONOLD PACKAGEInnovation: ProducePackTMTop-Sealing Punnet 8 •$5B global trays and bowls addressable market opportunity•Tens of billions of unit opportunity in NA and Europe•Part of a growing family of GPI innovation for produce marketsMore CircularUp to 95% plastic reduction Scrap incorporated into design adds strength while reducing wasteRecyclable in most recycling programsMore Functional✔Drop-in solution - runs on existing equipment at comparable speed✔Propriety moisture barrier coating (where applicable)✔Versatile and strong - for in-field, pack house, and blast chilled environments✔Validated for import and long/complex supply chains✔Multiple paperboard options – for flexibility and surety of supply✔Available in all common sizes and shapesMore Convenient✔Proven shelf-life and quality advantages through condensation management (tomatoes)1✔Print-capable interior and exterior surfaces - for superior branding, product tiering, and enhanced consumer information✔Outstanding top-view visibility versus clamshell and corrugated✔Peel and re-seal options in development1. In one study, a 3+ day improvement in tomato shelf life was documented. In another study, paperboard dramatically outperformed plastic in slowing mold growth at refrigerator temperature (plastic 61% more mold) and room temperature (plastic 320% more mold). ADDRESSABLE OPPORTUNITY
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9 With an exceptional team, unmatched capabilities, and a clear and compelling vision, Graphic Packaging is positioned to deliver Consistently execute for customers, shareholdersand all stakeholdersLeverage unmatched global capabilities for customers and consumersDeliver consistent and strong financial results across all economic conditionsInvest in team & innovation capabilities to be the global leader in sustainable consumer packagingResultsSteadily and measurably improve the environmental footprint of consumer packaging Achieve approved 2032 SBT for Scope 1, 2, and 3 GHG reductions90% renewable fuel use in wood fiber paperboard manufacturing facilities50% purchased renewable electricity100% purchased forest products sustainably sourcedPlanet Enable a safe, engaged, customer-focusedcultureZero life injuries75thpercentile in employee engagementWorkforce representative of consumers and our communitiesEnhance the communities in which we operateCulture Build the leading sustainability-focused consumer packaging innovation platform2% annual sales growth from innovationEvery new product innovation more circular, more functional and more convenient than existing alternativesCreate multi-generational portfolio of solutions leverageable across products and geographiesInnovationGlobal Leader in Sustainable Consumer Packaging
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10 1. Foreign exchange (F/X) impact measured as the increase/decrease in results after applying prior period rates to make a constant currency comparison. 2. Adjusted figures and Net Leverage represent Non-GAAP Financial Measures. Please refer to earnings press release for reconciliations to GAAP measures.3. Net Performance includes cost and productivity initiatives, production efficiencies/disruptions, and other operating impacts.4. Net Leverage Ratio calculated as Net Debt divided by twelve months trailing Adjusted EBITDA. SalesPackaging sales: -2%Volume: -2%Price: -1%F/X1 +1%Adjusted EBITDA2Input and other cost inflation was partially offset by Net Performance3F/X: flat∆ YoYQ3’24Q3’25($M excl EPS)-1%$2,216$2,190Net Sales-$23$165$142Net Income-$50$433$383Adj. EBITDA2-200bps19.5%17.5%Adj. EBITDA Margin2-$0.07$0.55$0.48EPS-$0.06$0.64$0.58Adj. EPS2+0.8x3.1x3.9xNet Leverage Ratio2,4 Third Quarter 2025 Financials
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11 Customer Destocking Consumer Affordability-7%-5%-3%-1%1%3%5%7%Volume11 YoY Customer Destocking19% *** Planned maintenance quartersAdj EBITDA Margin 21%Consistent results across a wide range of market conditionsConsumer affordability keeping pressure on volumeConsumer Affordability*
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YTD$ in millions except per share data$98Cash Dividends$150+ Share Repurchase$248= Capital Returned to StockholdersShare Repurchase Results:~6.8M# of Shares Repurchased$22.17Average Price per Share(2.3%)Reduction in Shares1 12 Return of Capital to Stockholders Every use of capital is compared against share repurchase 1. Includes compensation-related stock awards.
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CurrentPrevious$8.4B to $8.6B$8.4B to $8.6BNet Sales-1% to Flat+/- FlatAssumed Volume$1.4B to $1.45B$1.45B to $1.55BAdjusted EBITDA$1.80 to $2.00$1.90 to $2.20Adjusted EPS~$850M~$850MCapital Spending≥2% of sales≥2% of salesInnovation Sales Growth 13 2025 Guidance and Commentary
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© 2024 Graphic Packaging International, LLC.14 Appendix
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15 1. Excludes one-time cash payments and receipts for facility closures and sales, and Waco startup costs.2. Excludes accelerated depreciation and amortization related to purchased intangibles.3. Including the impact of any share repurchase activity or other capital deployment initiatives.4. Includes approximately 0.6M year-to-date diluted shares. 2025in millions except tax rate~$850Capital Spending$215-$225Interest Expense$150-$200Cash Taxes, Working Capital, Pension1~25%Effective Tax Rate$445-$455Depreciation & Amortization23.5 - 3.7xNet Leverage, Year-End 20253297.1Ending Q3 2025 Shares, Diluted4$65-$75Waco Startup Costs Supplemental Guidance Information
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16 StrongerNeutralWeaker54321Legend:Total Company: Relatively weaker Q1, relatively stronger Q3Stronger Months: March, August, OctoberWeaker Months: February, July, DecemberQ4Q3Q2Q1Seasonality3423Food2452Beverage5331Foodservice3333Household3235Health & Beauty3432TotalTypical PatternsSeasonality, Experience, and Expectations
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2602803003203403603804002017 2018 2019 2020 2021 2022 2023 2024 9M 25GPK Shares OutstandingIP Stake GPK Share Repurchase IP Stake RepurchaseGraphic Packaging has repurchased ~24% of the Company since 2018while doubling sales and EBITDA, investing in advantaged assets, and keeping leverage modest390295 millions of shares(5.1)(5.9)(1.1)-38.1/(47.4)(55.1)(9.6)79.9/(9.9)M Shares Issued/(Repurchased)1,2 $112M$163M$24M-$800M$742M$120M$112MShare/Stake Repurchase1,3 $22.17$27.61$22.80-$16.89$13.48$12.55$11.35Average Price3.9x3.0x2.8x3.2x5.4x3.3x2.6x3.0x3.0xNet Leverage1. IP stake represented proforma, as if all 79.9M partnership units were GPK shares issued and outstanding at the time of the closing of thebusiness combination and treating all reductions in the IP stake as share repurchase.2. Excludes compensation-related stock award shares issued and repurchased in the same calendar year.3. Net of repurchase to offset compensation-related stock awards.17 310
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18 1. Reinvestment spending included in normalized capex target.Graphic Packaging has the assets, the capabilities, and the team needed to achieve Vision 2030 goals, and to generate cash well in excess of reinvestment needsCapital Priorities:Reinvest to Expand Capabilities1Grow the DividendRepurchase SharesAchieve Investment Grade RatingsPursue Tuck-under M&A Normalized Capex (% of sales)~5% After 2025Annual Adj EPS GrowthHigh-Single DigitsAnnual Adj EBITDA GrowthMid-Single DigitsAnnual Sales GrowthLow-Single DigitsBase Model:Vision 2030 Base Financial Model and Capital Allocation Priorities
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~$2.0B Free Cash Flow (~$7/share)2024-2027~$5B Free Cash Flow (~$16/share)2024-2030 2025CapEx Cycle Wind Down Begins2026Incremental $80M Waco EBITDA~$700-800M Free Cash Flow2027 2nd incremental $80M Waco EBITDA~$900M to ~$1B Free Cash Flow2028~$1B FreeCash Flow2029~$1B FreeCash Flow19 Vision 2030 2024PeakCapEx Significant Free Cash Flow to Deploy for Value Creation
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Graphic Packaging Holding Company