Revenue growth has contracted by 8.0% year-over-year as of 2026Q1, with gross margins compressing sharply to 11.1% from a 2024Q3 peak of 27.5%.
| Sales/Revenue | 3.29B | 3.35B | 3.77B | 3.72B | 3.63B | 2.83B | 2.38B | 4.02B |
| Revenue Growth % | -10.95% | -11.18% | 1.4% | 2.56% | 28.29% | 18.57% | -40.63% | - |
| Cost of Goods Sold | 2.64B | 2.62B | 2.83B | 2.81B | 2.62B | 2.14B | 1.93B | 2.64B |
| COGS % of Revenue | - | 78.07% | 75.09% | 75.49% | 72.19% | 75.78% | 80.88% | 65.67% |
| Gross Profit | 649M | 735M | 940M | 912M | 1.01B | 685M | 456M | 1.38B |
| Gross Margin % | 19.76% | 21.93% | 24.91% | 24.51% | 27.81% | 24.22% | 19.12% | 34.33% |
| Gross Profit Growth % | - | -21.81% | 3.07% | -9.61% | 47.3% | 50.22% | -66.93% | - |
| Operating Expenses | 440M | 486M | 496M | 509M | 473M | 358M | 365M | 880M |
| OpEx % of Revenue | - | 14.5% | 13.15% | 13.68% | 13.04% | 12.66% | 15.3% | 21.91% |
| Selling, General & Admin | 368M | 281M | 311M | 343M | 325M | 207M | 202M | 655M |
| SG&A % of Revenue | - | 8.39% | 8.24% | 9.22% | 8.96% | 7.32% | 8.47% | 16.31% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 3M | 205M | 185M | 166M | 148M | 151M | 163M | 225M |
| Operating Income | 209M | 249M | 444M | 403M | 536M | 327M | 91M | 499M |
| Operating Margin % | 6.36% | 7.43% | 11.77% | 10.83% | 14.77% | 11.56% | 3.82% | 12.42% |
| Operating Income Growth % | - | -43.92% | 10.17% | -24.81% | 63.91% | 259.34% | -81.76% | - |
| EBITDA | 389M | 428M | 603M | 546M | 642M | 453M | 226M | 691M |
| EBITDA Margin % | 11.84% | 12.77% | 15.98% | 14.67% | 17.7% | 16.02% | 9.48% | 17.2% |
| EBITDA Growth % | -37.86% | -29.02% | 10.44% | -14.95% | 41.72% | 100.44% | -67.29% | - |
| D&A (Non-Cash Add-back) | 180M | 179M | 159M | 143M | 106M | 126M | 135M | 192M |
| EBIT | 201M | 244M | 458M | 429M | 539M | 359M | 99M | 506M |
| Net Interest Income | -39M | -39M | -39M | -34M | -69M | 1M | 4M | 9M |
| Interest Income | 3M | 6M | 14M | 26M | 8M | 32M | 8M | 13M |
| Interest Expense | 42M | 45M | 53M | 60M | 77M | 31M | 4M | 4M |
| Other Income/Expense | -49M | -50M | -39M | -34M | -69M | 1M | 4M | 3M |
| Pretax Income | 160M | 199M | 405M | 369M | 467M | 328M | 95M | 502M |
| Pretax Margin % | 4.87% | 5.94% | 10.73% | 9.92% | 12.87% | 11.6% | 3.98% | 12.5% |
| Income Tax | 58M | 67M | 103M | 116M | 131M | 101M | 8M | 125M |
| Effective Tax Rate % | 36.25% | 33.67% | 25.43% | 31.44% | 28.05% | 30.79% | 8.42% | 24.9% |
| Net Income | 102M | 132M | 302M | 253M | 118M | 331M | 170M | 377M |
| Net Margin % | 3.1% | 3.94% | 8% | 6.8% | 3.25% | 11.7% | 7.13% | 9.39% |
| Net Income Growth % | -64.34% | -56.29% | 19.37% | 114.41% | -64.35% | 94.71% | -54.91% | - |
| Net Income (Continuing) | 102M | 132M | 302M | 253M | 336M | 227M | 87M | 377M |
| Discontinued Operations | 0 | 0 | 0 | 0 | -218M | 104M | 83M | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 2.55 | 3.22 | 7.18 | 5.93 | 2.66 | 7.52 | 3.85 | 8.55 |
| EPS Growth % | -62.9% | -55.15% | 21.08% | 122.93% | -64.63% | 95.32% | -54.97% | - |
| EPS (Basic) | - | 3.29 | 7.35 | 6.02 | 2.68 | 7.52 | 3.85 | 8.55 |
| Diluted Shares Outstanding | 40M | 41M | 42M | 42.7M | 44.4M | 44M | 44.11M | 44.11M |
| Basic Shares Outstanding | 40M | 40.12M | 41.1M | 42.03M | 43.9M | 44M | 44.11M | 44.11M |
| Dividend Payout Ratio | - | 55.3% | 20.53% | 22.53% | 8.47% | - | - | - |
Secular Uncoated Freesheet Decline
According to the provided quarterly financial data, Sylvamo has experienced a consistent downward trajectory in top-line performance, culminating in an 8.0% year-over-year revenue decline in 2026Q1, which underscores the structural challenges facing the company's core uncoated freesheet business segments across its primary geographic markets.
The persistent revenue decay suggests that the company is struggling to offset secular volume declines with pricing actions. This trend appears to be accelerating, as the magnitude of quarterly revenue drops has become more pronounced compared to the relative stability observed in early 2024.
As reported in the company's income statements, gross margins plummeted to 11.1% in 2026Q1 from a peak of 27.5% in 2024Q3, indicating that the firm's high fixed-cost structure is failing to absorb the impact of lower production volumes and softening market pricing environments.
The sharp contraction in gross profitability suggests that Sylvamo lacks the pricing power necessary to pass through input cost volatility during periods of weak demand. Investors should monitor whether these margin levels represent a cyclical trough or a permanent reset in the company's ability to generate unit-level returns.
Based on the latest financial disclosures, Sylvamo's operating income has eroded significantly, falling to a marginal $3.0 million in 2026Q1, which highlights the dangerous negative operating leverage inherent in a capital-intensive manufacturing model when revenue growth turns negative and fixed costs remain largely static.
The collapse in operating margins from 16.1% in 2024Q4 to just 0.4% in 2026Q1 implies that management's current cost-reduction initiatives are insufficient to mitigate the impact of declining throughput. This trend warrants further investigation into the company's ability to maintain profitability if volume trends do not stabilize.
While the company maintains a relatively clean balance sheet, the recent shift to a net loss of $3.0 million in 2026Q1 suggests that the 'last man standing' strategy may be reaching a point of diminishing returns as market demand for paper products continues to deteriorate.
Short-term observers may focus on the potential for further asset impairment or the necessity of additional mill closures to right-size the cost base. The current earnings profile appears increasingly fragile, and the lack of R&D investment may limit the company's ability to pivot toward higher-growth fiber-based alternatives.
Quick answers to the most common questions about buying SLVM stock.
For fiscal year 2025, Sylvamo Corporation (SLVM) reported total revenue of $3.35B. This represents a 16.6% decline compared to $4.02B in 2019.
Sylvamo Corporation (SLVM) is profitable, generating $132.0M in net income for the fiscal year ending 2025 with a net profit margin of 3.9%.
Sylvamo Corporation (SLVM) reported an operating income of $249.0M, resulting in an operating profit margin of 7.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Sylvamo Corporation (SLVM) generated $735.0M in gross profit for the year, representing a gross profit margin of 21.9%. This demonstrates the company's core pricing power and production efficiency.