GREIF Reports Fourth Quarter Fiscal Year 2023 Earnings Results on December 11, 2023
December 13, 2023
🌥️Earnings Overview
On December 11 2023, GREIF ($NYSE:GEF) reported its earnings results for the fourth quarter of fiscal year 2023, which ended on October 31 2023. The total revenue for the quarter was USD 1308.4 million, which was a decline of 12.5% compared to the same quarter of the previous year. Similarly, net income for this quarter was USD 67.8 million, representing a reduction of 31.9% from the same quarter of the previous year.
Share Price
The announcement caused some turbulence in the stock market as on Monday, GREIF stock opened at $64.1 and closed down 1.1% at $63.6 from the last closing price of 64.4. The market clearly reflected some lack of investor confidence in the company’s financial performance. The decrease in net earnings was largely attributed to higher operating costs.
Looking forward, GREIF expects to benefit from a number of strategic initiatives and investments in the upcoming fiscal year, including continued cost reduction efforts and increased focus on product innovation. Management expressed confidence that these initiatives will help improve the company’s financial performance going forward. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Greif. More…
| Total Revenues | Net Income | Net Margin |
| 5.22k | 359.2 | 6.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Greif. More…
| Operations | Investing | Financing |
| 649.5 | -670.2 | 69.7 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Greif. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 5.96k | 3.85k | 33.89 |
Key Ratios Snapshot
Some of the financial key ratios for Greif are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 4.9% | 14.4% | 11.3% |
| FCF Margin | ROE | ROA |
| 8.4% | 19.0% | 6.2% |
Analysis
GoodWhale has conducted an analysis of GREIF‘s financials, and categorised them as ‘rhino’, which indicates a company that has achieved moderate revenue or earnings growth. This suggests that the company may be of interest to investors who have a medium to long-term outlook and are seeking a stable investment with limited growth potential. GREIF also scored highly on the health score, with 8/10 being reported. This suggests that the company is very capable of paying off its debt and funding future operations. Furthermore, our detailed analysis revealed that GREIF is strong in assets, dividends and profitability, presenting a solid investment opportunity for those looking for a more stable option. More…
Peers
In the global market for industrial packaging, there are a few major players. Among them, Greif Inc. competes with Shanghai Xintonglian Packing Co Ltd, SCG Packaging PCL, and Southern Packaging Group Ltd. While each company has its own strengths, Greif Inc. has been able to maintain a leading position in the market.
– Shanghai Xintonglian Packing Co Ltd ($SHSE:603022)
Shanghai Xintonglian Packing Co Ltd is a leading manufacturer of packaging products in China. The company has a market cap of 1.85B as of 2022 and a ROE of 2.72%. The company’s products are used in a wide range of industries, including food, beverage, pharmaceutical, cosmetics, and industrial packaging.
– SCG Packaging PCL ($SET:SCGP)
SCG Packaging PLC is a leading provider of packaging solutions with a market cap of 226.46B as of 2022. The company has a strong focus on innovation and sustainability, and offers a wide range of packaging products and services to meet the needs of its customers. SCG Packaging PLC has a strong commitment to environmental responsibility and is committed to reducing the impact of its operations on the environment. The company has a return on equity of 7.4%.
– Southern Packaging Group Ltd ($SGX:BQP)
Southern Packaging Group Ltd is a packaging company that manufactures and supplies paperboard packaging products. The company has a market cap of 28.13M as of 2022 and a Return on Equity of 1.31%. Southern Packaging Group Ltd operates in two segments: Paperboard Packaging and Flexible Packaging. The Paperboard Packaging segment manufactures and sells paperboard packaging products, including corrugated containers, folding cartons, and solid fiber boxes. The Flexible Packaging segment manufactures and sells flexible packaging products, such as laminated films, laminates, and pouches.
Summary
GREIF reported disappointing quarterly earnings for the fourth quarter of its 2023 fiscal year ending October 31 2023. Investors should monitor the company’s performance closely as it attempts to reverse declining revenues and profits. Analysts should look at the firm’s cost-cutting measures and new investments to gain insight on how it plans to grow its business. Furthermore, the company’s competitive position in the market should be closely watched, as this will provide a better understanding of its ability to sustain any gains.
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