CLW · CLEARWATER Q2 FY2026 earnings call record财报电话会记录

“Our shipment volumes were up this quarter with strong 8% year-over-year growth.”

“SG&A expenses were at 5.6% of net sales in the quarter, remaining below our targeted range of 6%-7%.”

“This is aligned with our strategy to offer a broader product range to our North American converter customers.”

“Net sales were $375 million, with 8% shipment growth offset by a 9% decline in market pricing compared to the prior year.”

“In terms of the balance sheet, we reduced net debt by $59 million in the quarter and $50 million year-to-date, driven by a cash tax refund of $26 million, insurance proceeds of $15 million in the quarter, and a reduction in net working capital.”

“For the full year 2026, our assumptions include revenue of $1.4 billion-$1.5 billion, with moderate shipment growth.”

“We continue to expect a carryover impact from 2025 market-driven price decreases of approximately $70 million, partially offset by approximately $10 million-$20 million of price improvements in the second half of this year.”

“To round out our 2026 assumptions, we expect capital expenditures of $65 million-$75 million, targeted working capital improvements of $20 million-$30 million, and maintaining SG&A toward the bottom of our targeted range of 6%-7% of net sales.”

“Over time, we believe we will deliver cross-cycle EBITDA margins of 13%-14% and generate more than $100 million of annual free cash flow.”

“We have some strategic customers that we are growing with through some new programs, new volumes that we're picking up.”

“We're in the process of talking to our customers about it, and it's going to take a few months for us to get qualified and place volume.”

“To put a bow on it, you're expecting a $10 million-$20 million impact this year from the $50 million-$60 million in total.”