Ranpak Holdings Corp. 10-Q Summary: Q2 2026
Business Context and Reporting Period
Ranpak Holdings Corp. (PACK) is a provider of environmentally sustainable, systems-based product protection and end-of-line automation solutions for e-commerce and industrial supply chains. This summary covers the quarterly period ended June 30, 2026. The company operates two reportable segments: North America and Europe/Asia.
Key Financial Metrics
| Metric | Q2 2026 (3 Months) | Q2 2025 (3 Months) | YTD 2026 (6 Months) | YTD 2025 (6 Months) |
|---|---|---|---|---|
| Net Revenue | $105.2 million | $92.3 million | $206.4 million | $183.5 million |
| Gross Profit | $34.5 million | $28.9 million | $69.4 million | $59.8 million |
| Loss from Operations | $(2.4) million | $(9.7) million | $(6.2) million | $(17.7) million |
| Net Loss | $(7.9) million | $(7.5) million | $(18.1) million | $(18.4) million |
| EBITDA (Non-GAAP) | $13.1 million | $15.6 million | $24.8 million | $25.3 million |
| Adjusted EBITDA (Non-GAAP) | $19.1 million | $16.5 million | $38.0 million | $33.8 million |
| Cash and Equivalents | $43.2 million (as of June 30, 2026) | |||
| Total Debt | $410.6 million (including leases/financing) | |||
| Operating Cash Flow (YTD) | $7.1 million (2026) vs $(4.9) million (2025) |
Material Changes vs. Prior Period
- Revenue Growth: Net revenue increased 14.0% in Q2 2026 compared to Q2 2025, driven primarily by a 133.8% surge in Automation equipment sales ($16.6M vs $7.1M) and growth in Void-Fill and Wrapping product lines. This growth was partially offset by a 4.6% decline in Cushioning revenue.
- Profitability Improvement: Operating loss narrowed significantly to $2.4 million in Q2 2026 from $9.7 million in Q2 2025. Adjusted EBITDA improved by 15.8% to $19.1 million.
- Non-Recurring Items: Q2 2025 included a $5.8 million unrealized gain on a strategic investment in Pickle Robot Co., which did not recur in Q2 2026. Excluding this, underlying operational performance improved.
- Currency Impact: Foreign currency fluctuations contributed to a $0.2 million loss in Q2 2026, compared to a $2.6 million gain in Q2 2025, due to Euro volatility.
- Cost Management: SG&A expenses decreased 4.2% year-over-year due to lower facility costs and reduced stock-based compensation.
Outlook, Risks, and Management Commentary
- Installed Base: The total installed base of PPS systems decreased slightly to 141.7 thousand units (down 2.3% YoY), with declines in Cushioning and Void-Fill categories.
- Strategic Investments: The company invested an additional $10.0 million in Pickle Robot Co. via a SAFE note in February 2026. The total carrying value of the Pickle investment is now $32.1 million.
- Liquidity: The company maintains $43.2 million in cash and $47.2 million in available borrowing capacity under its Revolving Facility. Management believes current resources are sufficient for operational needs.
- Risks: Key risks include inflationary pressures on input costs (paper, energy, labor), potential inability to pass costs to customers, geopolitical conflicts affecting supply chains, and foreign currency exchange rate volatility. Tariffs on equipment sourced from China and Europe remain a concern.
- Guidance: The filing does not provide specific numerical guidance for the full year 2026 but notes expectations of continued pressure on gross margins due to input costs and potential economic headwinds.
Investor Verification Checklist
- Verify the sustainability of the 133.8% growth in Automation revenue and its impact on future recurring revenue streams.
- Monitor the trend in the installed base of PPS systems, which declined slightly, to assess long-term consumable demand.
- Review the impact of foreign currency fluctuations on future earnings, given that ~57% of revenue is denominated in non-USD currencies.
- Assess the valuation and potential dilution impact of the strategic investments in Pickle Robot Co. and Creapaper.
- Track the company's ability to maintain compliance with debt covenants, specifically the First Lien Leverage Ratio, amidst ongoing net losses.