Sonoco Reports First Quarter 2024 Results

Summary:
*Generated $166 million of operating cash flow and $80 million of Free Cash Flow
*Achieved net income attributable to Sonoco of $65 million, Adjusted EBITDA of $245 million, diluted earnings per share of $0.66 and diluted Adjusted earnings per share of $1.12; higher productivity of $51 million partially offset price/cost pressures and lower volumes
*Completed the sale of Protective Solutions on April 1, 2024, as part of our strategy to simplify our portfolio and used the majority of the $82 million cash proceeds to pay down debt
*Revised Adjusted EPS and Adjusted EBITDA guidance to reflect the completed sale of Protective Solutions and reaffirmed operating cash flow guidance
*Increased the quarterly dividend on April 17, 2024 for the 41st consecutive year to $0.52 per share
*Entered a Virtual Power Purchase Agreement (“VPPA”) to contract a significant portion of Sonoco’s expected U.S. electricity consumption in 2025 and support Sonoco’s emissions reduction goals
*Released our 2023 Corporate Sustainability Report detailing progress on sustainability initiatives

“Sonoco delivered first quarter results in line with our expectations”, said Sonoco’s President and CEO, Howard Coker. “While the overall demand environment remains muted and price/cost headwinds persist, focused execution and operating discipline delivered $51 million of productivity from value creating capital investments and business simplification initiatives over the past several years. On the strategic front, we continued to make notable progress on portfolio alignment with the sale of our Protective Solutions business, integration of our flexibles and thermoformed businesses, and strengthening our strategic pipeline of both organic and inorganic investment opportunities.”
details at: https://investor.sonoco.com/news-releases/news-release-details/sonoco-reports-first-quarter-2024-results

Related Posts

Diamond Packaging Installs Fourth Speedmaster XL 106 Featuring HEIDELBERG’s 20,000th XL Printing Unit

Heidelberger Druckmaschinen AG (HEIDELBERG), the largest supplier and technology leader for the folding carton market, expects the segment to grow worldwide by more than two percent annually over the next few years. According to a study by the US market research institute Smithers, the total value of folding carton production will reach 160 billion US dollars by 2026. For HEIDELBERG, folding carton represents a strategic growth segment and already accounts for nearly half of the company’s sales. An important driver in the market is the growing environmental awareness of consumers, who are increasing their preference for more sustainable paperboard packaging over plastic.

Flexible packaging manufacturer ceases trading after sale unsuccessful

Nottinghamshire-based Surepak Limited is ceasing to trade despite appointed administrators at PKF Smith Cooper being hopeful of a sale following the interest of 96 parties. Surepak Limited’s financial concerns became apparent during the global energy crisis when its electricity costs increased by more than 425%. This increase, coupled with the loss of two significant contracts, decreased the company’s turnover by c.£1m, due to customers’ packaging requirements changing and the relocation of a customer abroad. The Nottinghamshire-based organisation sought a buyer after sole director Stuart Yorston filed for administration on 9th February 2024. This was to safeguard the company’s business, assets, and employees from a winding-up petition served by a creditor, which was due to be heard on 14th February.

Cascades launches a 100% recycled and recyclable thermoformed cardboard food tray, a North American first

Cascades is launching the first 100% recycled and recyclable thermoformed cardboard tray designed for fresh food packers using automated equipment in North America. This thermoformed tray delivers a unique innovative food packaging solution that was developed entirely using a circular economy approach and ecodesign principles. The tray is composed of 100% recycled fibres, mostly sourced from post-consumer sources certified "Recycled" under the Forest Stewardship Council® (FSC®) standard.1 In addition, it is designed with a patented water-based coating that protects it from moisture without compromising the recyclability of the cardboard. Unlike traditional containers coated with a thin layer of plastic or other non-recyclable coatings, this food tray is easily recyclable and can be placed in the recycling bin. Its SurfSHIELD® water-based coating also helps preserve the integrity and freshness of food, reducing food waste.
Back To Top
×Close search
Search