Packaging Corporation of America (PCA) reported 2Q 2016 net income of $116 million, or $1.23 per share and $1.25 per share excluding special items. 2Q net sales were $1.42 billion in 2016 and $1.45 billion in 2015, as the company said in the press release received by Lesprom Network.
The $.07 per share increase in 2Q 2016 earnings, compared to the 2Q 2015, was driven primarily by higher corrugated products volumes ($.04), lower costs for energy ($.06), fiber ($.05), freight ($.04) and a lower share count resulting from share repurchases ($.04).
Commenting on reported results, Mark W. Kowlzan, Chairman and CEO, said, “We achieved record 2Q earnings despite lower pricing in packaging and paper products. Our corrugated products volume for the quarter set all-time records for both total shipments as well as shipments per day, and corrugated prices and mix were up compared to 1Q 2016 levels. White paper prices and mix showed positive trends towards the end of the quarter as a result of the previously announced price increases. Operationally, we had another exceptional quarter as manufacturing and freight costs across our packaging and paper mills were outstanding and we successfully completed four annual outages.”
PCA is the fourth largest producer of containerboard and corrugated packaging products in the United States and the third largest producer of uncoated freesheet paper in North America.
