Packaging Corp Q2 adjusted EPS falls less than expected, helped by strong demand
PKG•Key figures
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Sales | Slight Miss* | $2.49 bln | $2.50 bln (8 Analysts) |
| Q2 Adjusted EPS | Beat | $2.35 | $2.31 (8 Analysts) |
| Q2 EPS | $2.15 |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
What drove results
- Record corrugated shipments — The company said legacy corrugated operations achieved an all-time quarterly record for shipments, driven by strong demand.
- Greif acquisition — The acquired Greif business contributed to earnings with strong volumes at corrugated plants and improved mill performance.
- Higher costs — Significantly higher freight and recycled fiber costs, as well as increased corporate and other expenses, weighed on legacy business earnings.
Outlook for Q3 2026
Packaging Corp expects third-quarter 2026 earnings of $2.91 per share, excluding special items.
The company expects continued strong demand and higher corrugated products volume in Q3 2026. Freight and recycled fiber costs are expected to remain elevated or increase in Q3 2026.
