Packaging Corp of America

PKG

Equity

ISIN US6951561090 / Valor 1011163

New York Stock Exchange, Inc (2024-12-26)

USD 229.45+0.28%

Packaging Corp of America
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About company

Packaging Corp of America (PCA) is a leading manufacturer and supplier of corrugated packaging products. The company's Performance Packaging Group (PPG) focuses on enhancing customer operations by identifying efficiencies in the production and distribution of boxes. PCA's offerings are centered around corrugated packaging, a sustainable option made from renewable resources cultivated in managed forests, highlighting the company's commitment to environmental sustainability. This material is also noted for being the most recycled packaging option available, aligning with broader industry and consumer demands for eco-friendly packaging solutions. PCA's business model is built on providing innovative packaging solutions that meet the evolving needs of its customers, leveraging the inherent sustainability of its primary material to offer products that are both functional and environmentally responsible.

Summarized from source with an LLMView SourceSector: Industrials

Net Income

Packaging Corporation of America reported a net income of $212 million, or $2.31 per share, for the fourth quarter of 2022. When excluding special items, the net income was slightly higher at $215 million, or $2.35 per share. For the full year 2022, the company achieved a net income of $1.03 billion, or $11.03 per share, and $1.04 billion, or $11.14 per share, excluding special items.

Net Sales

The company's net sales for the fourth quarter of 2022 were $1.98 billion, a slight decrease from $2.04 billion in the same quarter of 2021. For the full year 2022, Packaging Corporation of America reported net sales of $8.5 billion, an increase from $7.7 billion in 2021.

Earnings Per Share

Packaging Corporation of America's diluted earnings per share (EPS) for the fourth quarter of 2022 was $2.31, compared to $2.28 in the fourth quarter of 2021. Excluding special items, the diluted EPS was $2.35, down from $2.76 in the previous year. For the full year 2022, the diluted EPS was $11.03, up from $8.83 in 2021, and $11.14 excluding special items, compared to $9.39 in 2021.

Segment Performance

In the fourth quarter of 2022, the Packaging segment reported an income of $282.4 million, down from $365.8 million in the same period of 2021. The Paper segment, however, saw an increase in income to $31.9 million from $16.7 million in the fourth quarter of 2021. For the full year, the Packaging segment's income was $1.42 billion, and the Paper segment's income was $103 million.

Outlook

Looking ahead to the first quarter of 2023, Packaging Corporation of America expects box demand to remain similar to the fourth quarter levels, with higher total volume due to additional shipping days. The company anticipates lower prices in the Packaging segment due to recent decreases in containerboard prices, while Paper segment prices are expected to rise slightly. The company projects first-quarter earnings of $2.23 per share.

Summarized from source with an LLMView Source

Key figures

39.9%1Y

74.8%3Y

104%5Y

Performance

18.3%1Y

24.8%3Y

29.4%5Y

Volatility