Graphic Packaging Holding Company reported net income for 3Q 2020 of $63.7 million, or $0.23 per share, based on 278 million weighted average diluted shares. This compares to 3Q 2019 net income of $52.1 million, or $0.18 per share, based on 293.7 million weighted average diluted shares.
Michael Doss, the Company’s President and CEO said, “We continue to deliver excellent results in 2020 consistent with our Vision 2025 goals and we are capturing organic sales growth as we answer the call from consumers for more sustainable packaging solutions. Net organic sales growth accelerated on a sequential basis to over 4% in the third quarter. Our business pipeline remains robust and we are uniquely positioned to capture growth with our innovative fiber-based packaging solutions.”
Net sales increased 7.3% to $1,697.7 million in the 3Q 2020, compared to $1,581.6 million in the prior year period. The $116.1 million increase was driven by $118.8 million of improved volume/mix related to organic growth and acquisitions and $6.9 million in favorable foreign exchange. These benefits were partially offset by $9.6 million in unfavorable pricing.
EBITDA for the 3Q 2020 was $241.2 million. After adjusting both periods for charges associated with business combinations and other special charges, Adjusted EBITDA increased $5.9 million to $250.2 million in the 3Q 2020 from $244.3 million in the 3Q 2019. When comparing against the prior year quarter, Adjusted EBITDA in the 3Q 2020 was positively impacted by $14.8 million of favorable volume/mix, $3 million of commodity input cost deflation, $6.7 million of improved net operating performance and $3.4 million of foreign exchange.
Graphic Packaging Holding Company is a leading provider of paper-based packaging solutions for a wide variety of products to food, beverage, foodservice, and other consumer products companies.
