WestRock Reports Strong Fourth Quarter Fiscal 2023 Results

Fourth Quarter Highlights and other notable items:
*Net sales of $5.0 billion
*Net income of $110 million, Adjusted Net Income of $210 million; net income included $344 million ($239 million of which was non-cash) of restructuring and other costs, net and a $239 million gain on sale of the Company’s interior partitions converting operations and Chattanooga, Tennessee uncoated recycled paperboard mill
*Earned $0.43 per diluted share (“EPS”) and $0.81 of Adjusted EPS
*Consolidated Adjusted EBITDA of $736 million; Corrugated Packaging segment Adjusted EBITDA increased 13.0% compared to the fourth quarter of fiscal 2022
*Results negatively impacted by $64 million due to economic downtime and a $40 million increase in non-cash pension costs, each compared to the fourth quarter of fiscal 2022; WestRock’s U.S. qualified and non-qualified pension plans remain overfunded
*Announced 10% dividend increase in October 2023
*Announced proposed business combination with Smurfit Kappa Group plc to create a global leader in sustainable packaging (the “Transaction”)

Full Year 2023 Highlights:
*Net sales of $20.3 billion
*Net loss of $1.6 billion, Adjusted Net Income of $778 million
*Results reflected a $1.9 billion pre-tax, non-cash goodwill impairment and $859 million ($605 million of which was non-cash) of pre-tax restructuring and other costs, net
*Consolidated Adjusted EBITDA of $3.0 billion
*Loss per share of $6.44 and generated $3.02 of Adjusted EPS
*Generated net cash provided by operating activities of $1.8 billion and Adjusted Free Cash Flow of $933 million
*Exceeded cost savings expectations in fiscal 2023, and exited fiscal 2023 with greater than $450 million in run-rate savings
*Invested $1.1 billion in capital expenditures and returned $281 million in capital to stockholders in dividend payments.
*Simplified the Company’s portfolio to streamline its business and improve performance

“The WestRock team delivered another strong quarter, demonstrating the power and resilience of our diversified portfolio, innovative solutions and scale,” said David B. Sewell, chief executive officer. “I’m incredibly proud of our team’s commitment to serving our customers, while executing on and accelerating our transformation actions. Through our portfolio optimization actions, cost savings initiatives and strategic growth plans, we are positioning WestRock well to deliver shareholder value. As we turn to fiscal 2024, we remain committed to unlocking additional cost savings and driving profitable growth.”
details at: https://ir.westrock.com/press-releases/press-release-details/2023/WestRock-Reports-Strong-Fourth-Quarter-Fiscal-2023-Results/default.aspx

Related Posts

O-I Glass to Build New Glass Plant in Bowling Green, KY

O-I Glass, Inc. will build a new greenfield glass plant in Bowling Green, KY. In line with strong consumer trends towards healthy, recyclable, and sustainable food and beverage packaging, the company is adding capacity to support its customers with brand-building premium glass containers. The company plans to invest up to $240 million in multiple expansion waves over time and create approximately 140 new jobs in the region. The new plant will be the first facility purposely-built for O-I’s revolutionary MAGMA technology that is set to redefine the glass production process for the future. MAGMA is expected to further enhance O-I’s capabilities to support multiple product categories and expand in today’s highly differentiated product segments. The production facility is also expected to set new standards in sustainable glass manufacturing. Using renewable electricity, gas-oxy fuel, and other innovative solutions, it will significantly advance O-I’s sustainability roadmap and make glass an even more compelling choice for consumers, customers, and the environment.

Neenah Brings Paper-Based, Radiation-Resistant Medical Packaging to Market

Neenah, Inc. announced a versatile paper-based medical packaging capable of withstanding all three widely used sterilization processes, including radiation, autoclave, and ethylene oxide. This innovative product allows customers to serve multiple markets and explore new opportunities by providing a unique alternative to polymer-based or kraft medical packaging traditionally used for nasal swabs, syringes, bandages, and other single-use applications. "By adding a radiation-resistant product to our medical packaging lineup, Neenah continues to lead the industry in offering the most advanced paper-based options available. We are thrilled to introduce a versatile paper-based medical packaging that is durable, dependable, and value-driven," says Valerie Henderson, Medical Packaging Product Marketing Manager, Neenah Industrial Solutions. Single-use medical devices are gaining popularity as they help lower costs, increase efficiency, and reduce the spread of infection. Gamma radiation is becoming a more commonly used form of sterilization technology for these devices as it quickly kills germs that can cause disease and neutralizes other harmful organisms. It is essential to the radiation sterilization process that the packaging has breathable barrier properties, excellent conformability, printability, and the ability to withstand radiation exposure to prevent risks to patients.

WestRock Reports Fiscal 2021 Fourth Quarter Results: Record Net Sales of $5.1 Billion Up 14%

Notable items in the fourth quarter include: *Record net sales of $5.1 billion increased 14% compared to $4.5 billion in the prior year quarter *Net income of $324 million compared to a net loss of $1,156 million in the prior year quarter, which included a $1,314 million goodwill impairment net of tax. Full Year 2021 Highlights: *Record net sales of $18.7 billion increased 7% compared to $17.6 billion in the prior year *Net income of $838 million compared to a net loss of $691 million in the prior year *Generated net cash provided by operating activities of $2.28 billion and record Adjusted Free Cash Flow of $1.49 billion; ended the year with a net leverage ratio of 2.38x
Back To Top
×Close search
Search