Matt Roberts's questions to GREIF (GEF) leadership • Q3 2025
Question
Matt Roberts of Raymond James Financial asked about the upper leverage range Greif would consider for a potential deal and the appetite for a transformative acquisition. He also requested color on the remaining Fiber business post-divestiture and the cause of margin variance in the Integrated Solutions segment.
Answer
EVP & CFO Larry Hilsheimer stated that while the company targets 2-2.5x leverage, it would exceed that for the right strategic deal, given its ability to deleverage quickly. He noted no transformative deals are currently on the market. Both Hilsheimer and President, CEO & Director Ole Rosgaard emphasized Greif's strong market leadership in the remaining Fiber businesses. Hilsheimer attributed the Integrated Solutions margin pressure to higher OCC costs impacting the recycled fiber business.