Ranpak Holdings Corp.

Hello and welcome to the RAMPAC Holdings fourth quarter and full year 2021 earnings call. My name is Emily and I'll be coordinating the call today. During the presentation, you will have the opportunity to ask a question by pressing star and then one on your telephone keypads. I will now hand the call over to our host, Sarah Horvath, General Counsel. Please go ahead.

Thank you and good morning, everyone. Before we begin, I'd like to remind you that we will discuss forward-looking statements as defined under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those forward-looking statements as a result of various factors, including those discussed in our press release and the risk factors identified in our Form 10-K and our other filings filed with the SEC. Some of the statements and responses to your questions in this conference call may include forward-looking statements that are subject to future events and uncertainties that could cause our actual results to differ materially from these statements. RAMPAC assumes no obligation and does not intend to update any such forward-looking statements. You should not place undue reliance on these forward-looking statements, all of which speak to the company only as of today. The earnings release we issued this morning and the presentation for today's call are posted on the investor relations section of our website. A copy of the release has been included in a Form 8K that we submitted to the SEC before this call. We will also make a replay of this conference call available via webcast on the company website. For financial information that is presented on a non-GAAP basis, we have included reconciliations to the comparable GAAP information. please refer to the table and slide presentation accompanying today's earnings release. Lastly, we'll be filing our 10-K with the SEC for the period ending December 31st, 2021. The 10-K will be available through the SEC or on the investor relations section of our website. With me today, I have Omar Asli, our chairman and CEO, and Bill Drew, our CFO. Omar will summarize our fourth quarter results provide an update on our growth strategies, and issue our outlook for 2022. Bill will provide additional detail on the financial results before we open up the call for questions. With that, I'll turn the call over to Omar.

Thank you, Sarah, and good morning, everyone. I hope everybody is staying safe and healthy. Rampak had a strong fourth quarter and robust results for the calendar year 2021. I'm extremely pleased with our overall results and the execution of our team members. who delivered strong growth in our top line and meaningfully grew our profitability against a tough Q4 2020 comparison. We've accomplished a tremendous amount this year, not only in the financial results, but also in advancing key initiatives for our company. We had a number of significant projects going on in 2021. In prior calls, we mentioned our digital transformation and investment in technology. the most impactful component of which was upgrading to our new ERP platform, SAP. This is a project that stretched across the entire organization and took one year for us to implement. We went live with the new system in January of this year, and I'm genuinely impressed with the hard work and dedication I witnessed by our global team to accomplish this gargantuan task. It took buy-in and dedication from all involved, working late nights, weekends, and holidays to accomplish. As we get up the learning curve associated with an ERP system as sophisticated as this one, we expect that the benefits to the organization will be tremendous in terms of better processes, access to data, and visibility into the business. It also significantly improves our ability to scale the business globally and onboard acquired companies as we pursue a more robust M&A strategy going forward. IT infrastructure does not always get the limelight, but given the critical role it can play in a successful growing organization, improving this area has been a priority of mine. I'm pleased to report RAMPAC now has world-class ERP, CRM, financial planning, human resources, and data analytics software and information systems. It's been a tremendous undertaking to get all of these systems implemented and talking to each other. and most of this activity has taken place in the past year, while the team has also been focused on executing and growing the business. I could not be more excited about our new systems and processes, as well as the efficiencies we will hopefully extract due to our additional insights. My hat is off to the global team that really drove these processes. Overall, the theme for us the past couple of years has remained the same, stay focused on executing in the short term while investing in the business for the long term. Capital allocation decisions are critical to the long-term success of any company and creating shareholder value. Our mindset is always focused on maximizing value for the long-term, but we are also cognizant of maintaining strong performance along the way. It's a balancing act as we weigh the sequencing and depth of investments due to their impact on near-term results, while making sure we are being aggressive enough to really pursue the opportunities that provide maximum upside for shareholders in the next five years. We feel we have been very prudent in our strategic decision-making the past two years. And as we will discuss later in the call, our guidance for 2022 shows that this year we plan to continue to take a more aggressive approach to investing in the business to support our growth objectives. We finished the year with solid momentum in the business and with the acquisition of Reticold, a manufacturer of sustainable gel packs. These drain-safe and plant-based gel packs are a great addition to our cold chain offerings, and we're excited to plug Resicold into the RAMPAC network to help expand the business and bring these solutions to the United States. Now, a few words on the quarter. I'm pleased to report consolidated net sales on a constant currency basis increased 21%, driven by broad-based growth in all product lines, bringing full-year sales to up 26% on a constant currency basis. Europe and APAC experienced exceptional demand in the quarter, exiting the year with good momentum. Net revenue on a constant currency basis was up 24% driven by strong growth across all product lines. Our North America business also delivered excellent top line results at 18% for the quarter, marking the third quarter in a row of double digit growth. Overall, I'm really pleased with the activity levels we see in the region and believe that in 2022, North America is on a real path to sustainable growth. Adjusted EBITDA of $35.7 million was up 8.2% in constant currency terms year over year and resulted in a very strong margin of 32.6%. Our growth in adjusted EBITDA was due to higher sales compared to a year ago, offset somewhat by increased input costs and investment in personnel. For the year, constant currency adjusted EBITDA was up 26% to 117.8 million and in line with our revenue growth. Overall, really excellent performance to finish the year in the face of a challenging supply chain environment and inflationary headwinds. I'm very proud of what we have accomplished in 2021, and I'm even more excited about 2022 and beyond. We continue to navigate well and believe we are well positioned for further success. The additional investments in the business are beginning to pay off, and we look forward to an even greater impact going forward. The backdrop for 2022 is a positive one for RAMPAC, as RAMPAC's three key structural tailwinds remain in place. E-commerce activity remains robust, as the share gain from brick and mortar appears structural. Sustainability continues to gain momentum globally, and increased wages and labor shortages drive the need for further automation and efficiencies. We'll take you through our guidance for 2022 after Bill's remarks, but to summarize, we're focused on achieving double-digit growth again this year, and we'll further invest in the business to position ourselves to maximize the opportunity over the long term. With that, let me turn the call over to Bill. He'll give you further details related to the quarter and full year 2021. Thank you, Omar.