GEF: FY26 EBITDA grew 11.7%; FY27 guidance targets $645M adjusted EBITDA

What happened

Greif reported FY26 adjusted EBITDA, meaning operating earnings before interest, taxes, depreciation and amortization, rose 11.7% to $625.7M, with borrowed money at 1.2 times EBITDA. For FY27, its low-end guidance targets $645M adjusted EBITDA and $290M adjusted free cash flow, meaning cash left after operating costs and investment, alongside a $150M cost-savings commitment.

Confirmed

Global impact / market context

The FY27 targets imply higher operating earnings and cash generation than the FY26 figures, while the larger savings commitment points to cost reductions as part of the plan. If achieved, more cash could support debt reduction or other company priorities, but the article does not specify its intended use.

Analyst inference

The reported 11.7% rise in FY26 adjusted EBITDA provides a recent earnings comparison, while FY27 figures are guidance rather than results. Investors will need to distinguish the low-end targets from realized performance, especially because savings commitments do not by themselves establish how much will reach earnings or cash.

Analyst inference

What to watch

1. Compare future FY27 adjusted EBITDA with the $645M low-end target; falling short would weaken the earnings outlook, while exceeding it would indicate stronger operating results. Analyst inference
2. Track adjusted free cash flow against the $290M target, because cash generated after adjustments can affect Greif’s capacity to reduce borrowed money or fund priorities. Analyst inference
3. Check whether Greif delivers the higher $150M cost-savings commitment and whether those savings appear in reported earnings, rather than remaining only a stated goal. Analyst inference

Evidence

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