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Mar 31, 2022
PCA Q1 2022 Earnings Report
Reported strong first quarter results driven by record box shipments and effective price increases.
Key Takeaways
Packaging Corporation of America reported a strong first quarter in 2022, with net income of $254 million, or $2.70 per share. Excluding special items, net income was $256 million, or $2.72 per share. Net sales for the quarter reached $2.1 billion, compared to $1.8 billion in the same period last year. The company saw record box shipments and implemented price increases in both Packaging and Paper segments.
Set a new all-time record for total box shipments.
Achieved new first quarter records for box shipments per day and containerboard volume.
Successfully implemented previously announced price increases in both Packaging and Paper segments.
Containerboard inventory remained below targeted levels due to strong demand.
PCA
PCA
PCA Revenue by Segment
Revenue by Segment
Packaging Revenue
CapyFin.comPaper Revenue
CapyFin.com Forward Guidance
The company expects second quarter earnings of $2.83 per share.
Positive Outlook
- Packaging segment demand is expected to remain very strong.
- The company will continue implementing previously announced price increases in both the Packaging and Paper segments.
- Recycled fiber prices should be slightly lower.
Challenges Ahead
- Scheduled outage costs will be higher compared to the first quarter, including an outage at the International Falls mill.
- The outage at International Falls mill will result in lower Paper segment sales volume.
- Continued inflation is anticipated with freight and logistics expenses.
- Continued inflation is anticipated with most operating costs.
- Special items in the second quarter of 2022 to include accounting charges, fees, and expenses for paper-to-containerboard conversion related activities at the Jackson, AL mill.
Revenue & Expenses
Visualization of income flow from segment revenue to net income