Sylvamo Corporation

Latest Results (19.05.2026):

Sylvamo Corporation's fourth quarter of 2025 results show the company navigating a challenging industry environment: Q4 net income was $33 million with adjusted EBITDA of $125 million (14% margin); cash provided by operating activities was $94 million and free cash flow was $38 million. For full-year 2025 Sylvamo reported net income of $132 million, adjusted EBITDA of $448 million (13% margin), cash from operations of $268 million and free cash flow of $44 million. Management emphasized disciplined capital allocation, a strong balance sheet and continued investments in low‑cost assets despite short‑term headwinds.

Q4 2025 operating and segment results

In the fourth quarter of 2025 Sylvamo reported net sales of $890 million. By segment operating profit (loss): Europe $(29) million, Latin America $37 million, North America $71 million. Adjusted EBITDA for Q4 was $125 million (14% margin).

Full‑year 2025 summary

For the full year 2025 Sylvamo reported net sales of $3.4 billion, net income $132 million, adjusted EBITDA $448 million (13% margin) and a 12% return on invested capital (ROIC).

Cash flow, capital spending and shareholder returns

Cash provided by operations was $94 million in Q4 and $268 million for the year. Free cash flow was $38 million in Q4 and $44 million for 2025. The company invested $224 million in capital projects and forestlands and returned $155 million to shareowners in 2025 ($82 million repurchases, $73 million dividends). A $0.45 quarterly dividend was declared and paid Jan. 23; $150 million remains available under the current buyback authorization.

Balance sheet and leverage

At year‑end Sylvamo reported cash and temporary investments of $135 million, gross debt around $842 million and net debt-to-adjusted EBITDA of 1.6x for 2025.

Regional outlook and near‑term headwinds

Management noted mixed regional conditions: North America and Brazil improving, Europe and other Latin America challenged. Europe posted a loss driven by lower price/mix and higher costs (cutsize prices exited ~€100/ton below 2024); price increases have been communicated with expected realization beginning in Q2 2026. Brazil has begun realizing price increases (Jan–Feb). North America will see transitional constraints (loss of Riverdale supply agreement and an extended Eastover mill outage) that will pressure Q1 volumes.

2026 plans and outlook

Capital spending will peak in 2026 as Sylvamo executes roughly $145 million of high‑return investments at Eastover (machine optimization, new cutsize sheeter, woodyard modernization). Management expects 2025–2026 to be low points for free cash flow while investments and market normalization occur, but targets potential longer‑term results of >$300 million annual free cash flow and >15% ROIC once completed.

Non‑GAAP items and special charges

Q4 2025 included net special items resulting in an after‑tax charge of $11 million ($0.27 per diluted share), including an $11 million pre‑tax impairment of goodwill in the France reporting unit. Reported effective tax rate for Q4 was 43% (36% excluding net special items).