Quad/Graphics, Inc. (QUAD) SEC Filings & Earnings Calls

Print volume decline

“Product sales decreased $34.8 million, or 3.7%, for the six months ended June 30, 2026, compared to the six months ended June 30, 2025, primarily due to a $42.3 million decrease in net sales from lower print product volumes” · word for word

Postal rate increases

“Postal rate increases, along with the previously described industry challenges, have led to reduced demand for printed products and has caused clients to move more aggressively into other delivery methods” · word for word

Restructuring execution

“The Company expects to incur additional restructuring and integration costs in future reporting periods in connection with eliminating excess manufacturing capacity” · word for word

Debt leverage

“The Company’s consolidated debt and finance lease obligations increased by $30.3 million during the six months ended June 30, 2026” · word for word

Net debt increased significantly from year-end, indicating higher leverage.

“Net Debt $394M at June 30, 2026 vs $308M at Dec 31, 2025.”

Year-to-date net sales decline reflects ongoing print volume and agency solutions headwinds.

“YTD Net Sales down 4% (2% ex-divestiture) due to lower print volumes and lower agency solutions sales.”

Declining Print Demand

“Product sales decreased $38.6 million, or 7.8%, for the three months ended March 31, 2026, compared to the three months ended March 31, 2025, primarily due to a $34.7 million decrease in sales in the Company’s print product lines” · word for word

Postal Rate Increases

“the USPS announced an 8% temporary increase on Ground Advantage and Priority Mail that started on April 26, 2026 and will continue until January 17, 2027” · word for word

Leverage Increase

“The Net Debt Leverage Ratio at March 31, 2026, increased 0.62x, compared to December 31, 2025, primarily due to a $119.5 million increase in Net Debt” · word for word

Restructuring Costs

“Restructuring, impairment and transaction-related charges, net increased $1.8 million, or 27.3%, for the three months ended March 31, 2026, compared to the three months ended March 31, 2025” · word for word

Postage rate increases and supply chain cost pressures from Middle East conflict.

“continued postage rate increases and cost pressures in our supply chain stemming from the ongoing conflict in the Middle East.” · word for word

Macroeconomic uncertainty and cautious business spending.

“persistent inflationary pressures, evolving global trade dynamics, geopolitical tensions and cautious business spending.” · word for word

Postage Rate Increases

“Postage is the most significant client cost to manufacture and deliver printed marketing materials, representing up to 70% of costs for some clients, and Quad believes that these high costs directly influence clients’ print and mail quantities.” · word for word

Digital Substitution

“The Company and the overall printing industry continue to experience a reduction in demand for printed materials and overcapacity due to various factors including the sustained and increasing shift of digital substitution by marketers and advertisers.” · word for word

Paper Supply and Cost Volatility

“The price and availability of paper has been, and may continue to be, adversely affected by paper mills’ permanent or temporary closures; paper mills’ access to raw materials, conversion to produce other types of paper that are not usable by the Company in its operations.” · word for word

Macroeconomic Conditions

“Macroeconomic conditions, including elevated interest rates, postal rate increases, tariffs, trade restrictions, cost pressures and the price and availability of paper, have had, and may continue to have, a negative impact on the Company’s business, financial condition, cash flows and results of operations.” · word for word

Client Consolidation

“Certain industries in which the Company’s clients operate have experienced, and in the future may experience consolidation. When client consolidation occurs, it is possible that the volume of work performed by the Company for a client after the consolidation will be less than it was before the consolidation or that the client’s work will be completely moved ” · word for word

Ongoing sales decline, though moderating; exposure to print volume and paper sales headwinds.

“Net Sales decline of 9.4% in FY2025 (4.8% ex-divestiture); Q4 decline 11.0% (5.7% ex-divestiture).”

Loss of large grocery client in 2024 annualized in March 2025.

“lower logistics and agency sales, including the loss of a large grocery client in 2024, which annualized at the beginning of March 2025.” · word for word

Pension annuitization resulted in non-cash settlement charge.

“a non-cash settlement charge from defined benefit pension plan annuitization.” · word for word

Continued print demand decline and postal rate increases

“Postal rate increases, along with the previously described industry challenges, have led to reduced demand for printed products and has caused clients to move more aggressively into other delivery methods” · word for word

Excess manufacturing capacity and competitive pricing pressure

“The commercial printing industry has moved toward a demand for shorter print runs... This — combined with increases in postage and paper costs as well as marketers’ increasing use of online marketing and communication channels — has led to excess manufacturing capacity.” · word for word

Continued sales decline driven by structural headwinds in print and paper markets.

“The decline in Net Sales was primarily due to lower paper sales, lower print volumes, and lower logistics and agency solutions sales.” · word for word

Macroeconomic uncertainties could impact demand and cost structure.

“We continue to closely monitor uncertainties in the macroeconomic environment and will follow our disciplined approach to how we manage all aspects of our business” · word for word