Greif Reports Strong Fiscal Third Quarter 2026 Results as Earnings Rise and Balance Sheet Strengthens

Greif Inc. (NYSE: GEF, GEF.B), a global manufacturer of industrial packaging products and services, reported higher earnings and profitability for the third quarter of fiscal 2026, supported by margin expansion, disciplined cost management, and strategic capital allocation despite continued weakness in the industrial market.

Net income from continuing operations increased 156.7% year over year to $78.8 million, or $1.37 per diluted Class A share, compared with $30.7 million, or $0.53 per share, in the third quarter of fiscal 2025. Net income excluding adjustments rose 87% to $93.3 million, while Adjusted EBITDA increased 24.7% to $183.4 million. Quarterly net sales reached $1.17 billion, up from $1.13 billion in the prior-year period.
Greif significantly strengthened its financial position during the quarter. Total debt declined by $1.69 billion to $1.03 billion, largely following the sale of its Containerboard Business and timberlands business. Net debt fell to $741.9 million, reducing the company's leverage ratio to 1.1x, compared with 3.1x a year earlier.
The company announced a 10.7% increase in its quarterly dividend and said it intends to begin executing share repurchases under its existing authorization. Greif also reported achieving $90 million in cumulative annual run-rate savings through its cost optimization programme, meeting the high end of its fiscal 2026 target, while reaffirming its goal of reaching at least $120 million in cumulative savings by the end of fiscal 2027.

During the quarter, Greif completed the acquisition of Envaplast on June 2, 2026. The acquisition expands the company's presence in agrochemical packaging markets and aligns with its strategy of pursuing disciplined bolt-on acquisitions with strong EBITDA margins and free cash flow generation.

Chief Executive Officer Ole Rosgaard said the company continues to improve operational performance despite subdued industrial demand and geopolitical uncertainty. He said Greif expanded margins, strengthened its balance sheet, increased its dividend, continued cost optimisation initiatives and completed another strategic acquisition during the quarter. Rosgaard added that the company's focus remains on operational excellence, disciplined investment and long-term value creation rather than waiting for broader industrial markets to recover.

By business segment, Customized Polymer Solutions reported net sales of $383.8 million, up 13.6% year over year, driven by higher selling prices, favourable currency translation and increased volumes. Durable Metal Solutions recorded sales of $405.6 million, while Sustainable Fiber Solutions posted sales of $346.5 million, reflecting lower selling prices and reduced volumes. Innovative Closure Solutions increased sales to $29.7 million, supported by pricing improvements and higher volumes.

Looking ahead, Greif maintained its fiscal 2026 outlook, forecasting Adjusted EBITDA of $615 million to $635 million and adjusted free cash flow of $305 million to $325 million.

The company noted that the Containerboard Business has been reported as discontinued operations following the divestiture agreement announced in 2025, and all current-period financial comparisons relate to continuing operations unless otherwise stated.