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Sep 29, 2024

Sonoco Q3 2024 Earnings Report

Sonoco's Q3 2024 performance reflected strong productivity and seasonal demand, with earnings within expectations.

Key Takeaways

Sonoco reported a GAAP net income attributable to Sonoco of $51 million and an adjusted EBITDA of $281 million. The company saw increased consumer and industrial volumes, offset by price/cost headwinds. They reaffirmed full year 2024 guidance for Adjusted EBITDA and operating cash flow.

GAAP net income attributable to Sonoco was $51 million, with diluted earnings per share of $0.51 and Adjusted diluted earnings per share of $1.49.

Productivity improvements generated $39 million during the third quarter of 2024.

An agreement was entered into on June 24, 2024, to acquire Eviosys for approximately $3.9 billion, with completion expected in the fourth quarter of 2024.

A strategic review of the Thermoformed and Flexible Packaging business was announced to accelerate portfolio simplification, with the review expected to be completed in the fourth quarter of 2024.

Total Revenue
$1.68B
Previous year: $1.71B
-2.0%
EPS
$1.49
Previous year: $1.46
+2.1%
Gross Profit
$359M
Previous year: $364M
-1.5%
Cash and Equivalents
$1.93B
Previous year: $258M
+648.3%
Free Cash Flow
$75M
Previous year: $257M
-70.8%
Total Assets
$9.04B
Previous year: $7.27B
+24.4%

Sonoco

Sonoco

Sonoco Revenue by Segment

Forward Guidance

Sonoco provided fourth quarter 2024 Adjusted EPS guidance of $1.15 to $1.35 and full year 2024 Adjusted EPS guidance of $5.05 to $5.25. Full year 2024 cash flow from operating activities is expected to be $650 million to $750 million, and Adjusted EBITDA is expected to be $1,050 to $1,090.

Revenue & Expenses

Visualization of income flow from segment revenue to net income