JACKSONVILLE, Fla. (News release) -- Rayonier Advanced Materials Inc., the global leader in High Purity Cellulose, announced unaudited preliminary financial results for the fiscal year ended December 31, 2024, and provided an update on tariffs. These preliminary 2024 results remain subject to completion of the company's fiscal year financial audit.

Financial Highlights:

• Net Sales: $1,639 million, a decline of $4 million from the prior year
• Loss from Continuing Operations: $43 million, an improvement of $59 million from the prior year
• Adjusted EBITDA: $222 million, a 60% increase from $139 million in 2023, reflecting operational improvements, a supportive supply/demand environment in the core Cellulose Specialties business, and particularly strong shipments at the end of 2024
• Adjusted EBITDA Margin: 13.5%, an improvement from 8.5% in 2023 primarily reflecting the improved High Purity Cellulose sales mix towards Cellulose Specialties, lower unit production costs, and enhanced operational efficiencies driven by targeted cost-saving initiatives
• Cash Provided by Operating Activities: $205 million, an increase of $69 million from the prior year
• Adjusted Free Cash Flow: $130 million, an increase of $77 million from the prior year
• Net Secured Leverage: 2.7x covenant EBITDA versus the covenant of 5.0x. Net secured debt was reduced by $73 million in 2024
• 2025 Cellulose Specialties Outlook: 2025 Cellulose Specialties average sales prices are projected to increase mid-single-digit percentage from 2024 levels, in line with RYAM's "value over volume" strategy. 2025 Cellulose Specialties sales volumes are expected to decline versus 2024 levels due to the indefinite suspension of the Temiscaming High Purity Cellulose plant; however, 2025 revenue is expected to be flat to 2024 levels

While the situation is dynamic, RYAM is actively assessing the impact of tariffs, particularly on its Canadian derived revenues. In 2024, approximately 11% of RYAM's total revenues were generated from Canadian Paperboard exports to the U.S. The Company has been proactively pursuing mitigation actions since late 2024 to partially offset these impacts. If the proposed 25% tariff on Canadian shipments to the U.S. is enacted, the Company would expect an impact of up to $3.5 million per month while in place. Even with these potential tariffs at currently announced levels, the Company expects to cover all fixed charges, including maintenance capital and interest expenses.