Reynolds Consumer Products Inc. (NASDAQ: REYN)

Reynolds Consumer Products Inc. is a market leading consumer products company with a presence in approximately 95% of households across the United States. The company produces and sells products that people use in their homes for cooking, serving, cleanup, and storage. It sells these products under iconic brands such as Reynolds and Hefty as well as under store brands that are strategically important to retail partners. Reynolds Consumer Products Inc. holds the number one or number two US market share position in the majority of product categories in which it participates and over 50% of its revenue comes from products that are number one in their respective categories. The company’s mission is to simplify daily life so consumers can enjoy what matters most.

The company generates revenue primarily through the sale of branded and store brand consumer products across four main product groups: cooking products, waste products, tableware products, and storage products. For the fiscal year ended December 31 2025 net revenues were approximately $1,259 million from cooking products, $936 million from waste products, $850 million from tableware products, and $681 million from storage products. Waste and storage products are comprised of the Hefty Waste & Storage and Presto Products segments. Sales are made to a diverse set of retail partners including grocery stores, mass merchants, warehouse clubs, discount chains, dollar stores, drug stores, home improvement stores, military outlets, and eCommerce retailers.

The company operates through the following segments: Reynolds Cooking & Baking, Hefty Waste & Storage, Hefty Tableware, and Presto Products.

• Reynolds Cooking & Baking: This segment sells both branded and store brand aluminum foil, disposable aluminum pans, parchment paper, freezer paper, wax paper, butcher paper, plastic wrap, baking cups, oven bags, and slow cooker liners. Branded products are sold under the Reynolds Wrap, Reynolds Kitchens, and EZ Foil brands in the United States and select international markets, under the ALCAN brand in Canada, and under the Diamond brand outside of North America. The segment holds the number one market position in the US consumer foil market measured by retail sales and volume and the number one position in the Canadian branded foil market under the ALCAN brand. It also offers sustainable solutions such as Reynolds Wrap 100% recycled aluminum, unbleached parchment paper made with a chlorine free process, and coreless wax paper that uses less packaging material than traditional wax paper rolls.

• Hefty Waste & Storage: This segment produces both branded and store brand trash and food storage bags. Branded products are sold under the Hefty Ultra Strong and Hefty Strong brands for trash bags in the United States and select international markets, and as the Hefty brand for food storage bags in the United States. Food storage bags are sold internationally as Reynolds, Diamond, or Hefty Basics brands based on the region. The segment has the number one branded market share in the US large black trash bag segment and the number two branded market share in the food storage bag and tall kitchen trash bag segments. Its robust product portfolio includes a full suite of products including sustainable solutions such as compostable bags and bags made from recycled materials.

• Hefty Tableware: This segment sells both branded and store brand disposable and compostable plates, bowls, platters, containers, cups, and cutlery. Hefty branded products include dishes, party cups, cutlery, and containers. Hefty branded party cups are the number one party cup in America measured by market share. In 2025 the segment launched the line of Hefty ECOSAVE Cutlery, a high quality compostable offering.

• Presto Products: This segment primarily sells store brand products in three main consumer categories: food storage bags, trash bags, and plastic wrap. Presto Products is a market leader in food storage bags and differentiates itself by providing access to category management, consumer insights, marketing, merchandising, and research and development resources. The segment was the first in the US market to offer a store branded sandwich bag made with an approximately 20% proprietary blend of plant and ocean renewable materials. Presto Products also includes a specialty business that serves other consumer products companies by providing Fresh Lock and Slide Rite resealable closure systems.

The US household consumer products market is mature and highly competitive. Competitors include The Clorox Company, S. C. Johnson & Son, Inc., Poly America, Handi Foil Corporation, Republic Plastics, Ltd., Trinidad Benham Corporation, and Inteplast Group, Ltd. The company benefits from the strength of its brands, a differentiated portfolio of quality branded and store brand products, and significant capital investment in its manufacturing facilities. Strong recognition of the Reynolds and Hefty brands among US consumers gives a competitive advantage. Largest customers choose the company for its customer service, category management services, and commitment to Made in the USA products.

The company’s customer base includes leading grocery stores, mass merchants, warehouse clubs, discount chains, dollar stores, drug stores, home improvement stores, military outlets, and eCommerce retailers. It sells both branded and store brand products across this base. In fiscal year 2025 three customers each accounted for sales greater than 10% of total net revenue. Customer A represented 31%, Customer B 17%, and Customer C 11% of total net revenue. Customer A and Customer B are affiliated entities. Sales to Customer A are concentrated more heavily in the Hefty Waste & Storage segment, sales to Customer B are concentrated more heavily in the Hefty Tableware segment, and sales to Customer C are spread across the Reynolds Cooking & Baking, Hefty Tableware, and Presto Products segments.