Packaging Corporation of America (PCA) reported Q4 2024 net income of $221 million, or $2.45 per share, and net income of $222 million, or $2.47 per share, excluding special items. Q4 net sales were $2.1 billion in 2024 and $1.9 billion in 2023. Full year 2024 net income was $805 million, or $8.93 per share, and net income of $814 million, or $9.04 per share, excluding special items. Full year net sales were $8.4 billion in 2024 and $7.8 billion in 2023.
In the Packaging segment, total corrugated product shipments and shipments per day were up 9.1% versus last year's Q4. Shipments per day were up 3.2% versus the Q3 2024. Containerboard production was 1,310,000 tons, and containerboard inventory was up 54,000 tons from the Q4 2023 and up 61,000 tons compared to the Q3 2024.
In the Paper segment, sales volume was up 5% compared to the Q4 2023 and down 5% from the seasonally stronger Q3 2024.
Commenting on reported results, Mark W. Kowlzan, Chairman and CEO, said, "As we have seen throughout the year, demand in our Packaging segment during the quarter remained very strong. Our corrugated products plants delivered record fourth quarter total shipments and an all-time record shipments per day. The plants also set new annual records for total shipments and shipments per day.
"Excellent operations throughout our mill containerboard system set new quarterly and annual production records as well. This allowed us to meet our customer's demand needs in a timely manner as well as achieve year-end inventory targets ahead of the mill outages scheduled for the first half of 2025.
"Although seasonally slower, volume and price/mix in the Paper segment were above last year's levels. Throughout the Company, our employees together with the benefits of our capital spending program continued to do a great job to lessen the inflationary impact across most of our cost structure."
"Looking ahead as we move from the fourth and into the Q1," Mr. Kowlzan continued, "in our Packaging segment, although seasonally slower, we expect volume in our corrugated products plants to set new Q1 records for total shipments and shipments-per-day.
"Containerboard volume will be lower with two less operating days and scheduled maintenance outages at our Counce, TN and Valdosta, GA mills. Domestic prices will be higher with an improved product mix together with our previously announced price increases. Export prices are assumed to be stable.”
PCA is the third largest producer of containerboard products and a leading producer of uncoated freesheet paper in North America. PCA operates eight mills and 86 corrugated products plants and related facilities.
