v3.25.2
Segments
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segments Segments
The Company currently reports its financial results in two reportable segments, Food and Protective.
The Company’s Food and Protective segments are considered reportable segments under FASB ASC Topic 280. Our Food and Protective segments are aligned with similar groups of products. The following is a brief description of our reportable segments:
Food — Food solutions are sold to industrial food processors in fresh red meat, poultry, smoked and processed meats, seafood, fluids and liquids, cheese, and other food markets worldwide. Food offers integrated packaging materials and automated
equipment solutions to increase food safety, extend shelf life, reduce food waste, automate processes and optimize total cost. Its materials, automated equipment and service enable customers to reduce costs and enhance their brands. Food solutions are utilized by food service businesses (such as restaurants and entertainment venues) and food retailers (such as grocery stores and supermarkets), among others.
Protective — Protective packaging solutions are utilized across many global markets to protect goods during transit and are especially valuable to e-commerce, consumer goods, pharmaceutical and medical devices and industrial manufacturing. With automated equipment, high-performance materials, and services, our solutions are designed to increase our customers' packaging velocity, minimize packaging waste, reduce labor dependencies and address dimensional weight challenges. Our product breadth combined with our global scale and reach helps support our customers' needs for sustainability, performance excellence, consistency and reliability of supply wherever they operate around the world. Protective solutions are sold through a strategic network of distributors as well as directly to our customers, including, but not limited to, fabricators, original equipment manufacturers, contract manufacturers, logistics partners and e-commerce/fulfillment operations.
Sealed Air evaluates the performance of its segments and allocates resources based on Gross profit, which is our measure of segment profitability most closely aligned with the consolidated financial statements.
The Company allocates certain expenses within Cost of sales to each segment based on various factors including direct usage of resources, square footage occupied, allocation of headcount, or, in cases where costs are not clearly delineated, costs may be allocated on portion of net trade sales.
The Company allocates and discloses total depreciation and amortization expense to our segments, although only cost of sales depreciation and amortization is included in the measure of segment profitability, Gross profit. We also allocate and disclose restructuring charges by segment, although they are not included in the measure of segment profitability, Gross profit.
The following table shows Net sales by reportable segment:
Three Months Ended
June 30,		Six Months Ended
June 30,
(In millions)2025202420252024
Net sales    
Food$896.1 $893.8 $1,748.2 $1,762.2 
As a % of Consolidated net sales67.1 %66.4 %67.0 %65.9 %
Protective438.9 451.3 859.3 912.5 
As a % of Consolidated net sales32.9 %33.6 %33.0 %34.1 %
Consolidated Net sales$1,335.0 $1,345.1 $2,607.5 $2,674.7 

The following tables show segment Gross profit and a reconciliation to earnings before income tax provision and discontinued operations:
Three Months Ended
June 30,
2025
FoodProtectiveTotal
Net sales$896.1 $438.9 $1,335.0 
Cost of sales616.4 310.7 927.1 
Segment Gross profit$279.7 $128.2 $407.9 
Other unallocated cost of sales1.7 
Selling, general and administrative expenses184.2 
Loss on disposal of long-lived assets, net(6.0)
Amortization expense of intangible assets14.9 
Restructuring charges2.8 
Operating profit198.3 
Interest expense, net(55.7)
Other expense, net(11.3)
Earnings before income tax provision and discontinued operations$131.3 
Six Months Ended
June 30,
2025
FoodProtectiveTotal
Net sales$1,748.2 $859.3 $2,607.5 
Cost of sales1,200.4 607.0 1,807.4 
Segment Gross profit$547.8 $252.3 $800.1 
Other unallocated cost of sales2.2 
Selling, general and administrative expenses370.8 
Loss on disposal of long-lived assets, net(9.9)
Amortization expense of intangible assets30.1 
Restructuring charges5.4 
Operating profit381.7 
Interest expense, net(112.5)
Other expense, net(10.8)
Earnings before income tax provision and discontinued operations$258.4 
Three Months Ended
June 30,
2024
FoodProtectiveTotal
Net sales$893.8 $451.3 $1,345.1 
Cost of sales615.2 313.8 929.0 
Segment Gross profit$278.6 $137.5 $416.1 
Other unallocated cost of sales0.1 
Selling, general and administrative expenses190.3 
Loss on disposal of long-lived assets, net(1.3)
Amortization expense of intangible assets16.3 
Restructuring charges2.5 
Operating profit205.6 
Interest expense, net(63.3)
Other expense, net(6.8)
Earnings before income tax provision and discontinued operations$135.5 

Six Months Ended
June 30,
2024
FoodProtectiveTotal
Net sales$1,762.2 $912.5 $2,674.7 
Cost of sales1,224.1 633.7 1,857.8 
Segment Gross profit$538.1 $278.8 $816.9 
Other unallocated cost of sales0.1 
Selling, general and administrative expenses376.7 
Loss on disposal of long-lived assets, net(0.4)
Amortization expense of intangible assets31.1 
Restructuring charges18.0 
Operating profit390.6 
Interest expense, net(128.4)
Other expense, net(7.6)
Earnings before income tax provision and discontinued operations$254.6 

 The following table shows depreciation and amortization by segment:

Three Months Ended
June 30,		Six Months Ended
June 30,
(In millions)2025202420252024
Food$47.6 $46.3 $96.5 $93.2 
Protective22.4 21.5 44.8 43.0 
Total Company depreciation and amortization(1)
$70.0 $67.8 $141.3 $136.2 
(1)    Includes share-based incentive compensation of $10.7 million and $22.6 million for the three and six months ended June 30, 2025, respectively, and $7.2 million and $15.9 million for the three and six months ended June 30, 2024, respectively.
Restructuring charges by segment were as follows:
Three Months Ended
June 30,		Six Months Ended
June 30,
(In millions)2025202420252024
Food$0.8 $2.0 $2.5 $10.6 
Protective2.0 0.5 2.9 7.4 
Total Company restructuring charges$2.8 $2.5 $5.4 $18.0 

Assets by Reportable Segments

The following table shows assets allocated by reportable segment. Assets allocated by reportable segment include: trade receivables, net; inventory, net; property and equipment, net; goodwill; intangible assets, net; and leased systems, net.

(In millions)June 30, 2025December 31, 2024
Assets allocated to segments:  
Food$3,487.8 $3,301.4 
Protective2,613.3 2,599.6 
Total segments6,101.1 5,901.0 
Assets not allocated:
Cash and cash equivalents$354.4 $371.8 
Income tax receivables35.5 25.0 
Other receivables109.9 135.9 
Deferred taxes140.6 112.0 
Other505.9 476.4 
Total assets$7,247.4 $7,022.1