RYAM · Rayonier Advanced Materials Inc.

Rayonier Advanced Materials reported first quarter 2026 results with net sales declining to $319 million from $353 million in the prior year quarter, driven by lower volumes and pricing across segments. High Purity Cellulose net sales fell $16 million or 6% due to a 5% cellulose volume increase skewed toward commodities (up 58%) offsetting a 35% drop in specialties volumes amid inventory and demand issues, coupled with an 11% average price decline partially offset by 17% higher specialties pricing from new contracts. Paperboard & High Yield Pulp sales dropped $18 million or 24% from 26% volume declines and mixed pricing. Operating loss widened to $65 million from $15 million, with High Purity Cellulose swinging to $(43) million loss primarily from $41 million non-cash charges for permanently idling dissolving wood pulp at Temiscaming, lower variable margins, and higher labor/maintenance costs, offset by lower wood/energy costs and $4 million insurance recovery. Paperboard & H YP operating loss edged up to $10 million from reduced sales and logistics costs tied to geopolitical freight rates. Corporate & Other improved $14 million on lower remediation and favorable FX. Despite low earnings, cash generation remained solid at $32 million operating cash flow and $12 million adjusted free cash flow, supporting $160 million liquidity. Management highlighted pricing/mix progress in Cellulose Specialties, a fire at Jesup HPC plant with under $5 million impact, and an ongoing strategic review of alternatives including standalone execution to maximize value, while affirming full-year 2026 EBITDA above 2025 and positive free cash flow.