Glatfelter Corporation reported a net loss of $15.2 million for the three months ended September 30, 2024, compared to a loss of $19.9 million in the same period of 2023. For the nine months ended September 30, 2024, the net loss was $57.9 million, a slight improvement from a loss of $70.4 million in the prior year. The company’s comprehensive income for the third quarter was $160, while for the nine months, it was a loss of $52.5 million.
Total revenue for the third quarter of 2024 was $332.1 million, a marginal increase from $329.9 million in the same quarter of 2023. For the nine months ended September 30, 2024, revenue totaled $988.8 million, down from $1.065 billion in the same period of 2023. The decline in revenue was primarily attributed to a decrease in Airlaid Materials sales, which fell by $58.5 million year-over-year, despite a 3.6% increase in Composite Fibers and an 8.7% increase in Spunlace sales.
Operating income for the third quarter of 2024 was $2.97 million, compared to $2.65 million in the same period of 2023. For the nine months, the operating income was $8.72 million, a significant improvement from a loss of $1.72 million in the previous year. The gross profit for the nine months ended September 30, 2024, was $106.8 million, compared to $98.8 million in 2023.
Glatfelter's strategic developments include a merger agreement with Berry Global Group, Inc., announced on February 7, 2024, to form a new entity named Magnera, expected to close on November 4, 2024. Following the merger, Berry shareholders will own 90% of the new company, while Glatfelter shareholders will retain 10%. The company incurred $20.7 million in costs related to the merger, including consulting and legal fees.
In terms of cash flow, Glatfelter reported net cash used by operating activities of $8.4 million for the nine months ended September 30, 2024, a decrease from $42 million in the same period of 2023. The company had $41.6 million in cash and cash equivalents at the end of the reporting period, with a leverage ratio of 3.8x.
The company also recognized a $6.5 million gain from a legal dispute settlement in Q3 2024, which was included in discontinued operations. The ongoing challenges include higher interest expenses due to debt refinancing and macroeconomic conditions affecting overall performance.
About Glatfelter Corp
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