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Mar 31, 2024
PCA Q1 2024 Earnings Report
PCA's first quarter results for 2024 were reported, showcasing a mix of strong demand and strategic operational adjustments.
Key Takeaways
Packaging Corporation of America reported a net income of $147 million, or $1.63 per share, for the first quarter of 2024. Excluding special items, net income was $155 million, or $1.72 per share. Net sales remained consistent at $2.0 billion compared to the same period in 2023. The company benefited from strong demand in both the Packaging and Paper segments, which helped offset lower prices and increased operating costs.
Net income reached $147 million, or $1.63 per share, in Q1 2024.
Excluding special items, net income was $155 million, or $1.72 per share.
Net sales remained stable at $2.0 billion compared to Q1 2023.
Corrugated products shipments increased by 9.2%, with shipments per day up by 11.0%.
PCA
PCA
PCA Revenue by Segment
Revenue by Segment
Packaging Revenue
CapyFin.comPaper Revenue
CapyFin.comCorporate and Other Revenue
CapyFin.com Forward Guidance
PCA anticipates second quarter earnings of $2.07 per share.
Positive Outlook
- Continued strong demand in the Packaging segment.
- Higher corrugated products and containerboard shipments expected.
- Prices and mix will increase due to announced price increases and higher index prices.
- Higher export prices expected.
- Operating and converting costs should be slightly lower due to seasonal weather improvements and wage/benefit timing.
Challenges Ahead
- Volume in the Paper segment will be lower due to a scheduled maintenance outage.
- Average paper prices and mix are expected to be slightly lower due to published decreases in index prices.
- Rail rate increases at six mills will result in higher freight and logistics expenses.
- Depreciation expense will be higher.
- The tax rate will be sequentially higher due to the tax-related benefit of share-based compensation vests in the first quarter.
Revenue & Expenses
Visualization of income flow from segment revenue to net income