Packaging Corp Q3 adjusted EPS beats estimates on acquired Greif operations
PKG•PKG•PKG•PKG•Packaging Corp reported third-quarter adjusted EPS of $3.04, above the $2.92 estimate, while sales of $2.60 billion slightly missed expectations. It expects fourth-quarter earnings of $2.81 per share, excluding special items, as maintenance outages and higher costs weigh on results.
Packaging Corp reported third-quarter sales of $2.60 billion, slightly below the $2.61 billion estimate. Adjusted EPS was $3.04, compared with the $2.92 estimate, and EPS was $2.93.
The company expects fourth-quarter earnings of $2.81 per share, excluding special items, and anticipates solid corrugated products demand with some seasonal improvement. It expects earnings to decline because of higher maintenance outage and freight costs, as well as higher costs for recycled fiber, wood fiber, chemicals and energy. Favorable price and mix in Packaging and earnings from acquired Greif operations contributed to year-over-year earnings growth, while higher labor, freight, fiber and energy costs partly offset gains.
