Packaging Corp Of America 8-K, filed Oct 22, 2026
Packaging Corp Of America (PKG)
About this 8-K
Packaging Corp Of America filed this 8-K on October 22, 2026, reporting on events of October 21, 2026.
Packaging Corporation of America reported third quarter 2026 net income of $262 million, or $2.93 per share, and $272 million, or $3.04 per share excluding special items. It expects fourth quarter earnings of $2.81 per share, excluding special items. AI summary
Items reported
- Item 2.02: Financial results
- Item 9.01: Financial statements and exhibits
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT |
Pursuant to Section 13 OR 15(d) |
of The Securities Exchange Act of 1934 |
Date of Report (Date of earliest event reported):
(Exact name of registrant as specified in its charter)
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(State or other jurisdiction |
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(Commission |
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(IRS Employer Identification No.) |
(Address of Principal Executive Offices, including Zip Code)
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(Registrants' Telephone Number, Including Area Code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrants under any of the following provisions:
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
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Pre-commencement communications pursuant to Rule 14d-2 (b) under the Exchange Act (17 CFR 240.14d-2 (b)) |
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Pre-commencement communications pursuant to Rule 13e-4 (c) under the Exchange Act (17 CFR 240.13e-4 (c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Securities registered pursuant to Section 12(b) of the Exchange Act:
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered |
Item 2.02. Results of Operations and Financial Condition.
The information furnished in this Item 2.02, including the exhibit described below, shall not be deemed “filed” hereunder for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Exchange Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
On October 21, 2026, Packaging Corporation of America issued a press release announcing third quarter financial results. The press release is furnished as Exhibit 99.1 and is incorporated into this Item 2.02 by reference.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
99.1 |
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Third Quarter 2026 Earnings Press Release dated October 21, 2026 |
104 |
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Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized.
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PACKAGING CORPORATION OF AMERICA |
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(Registrant) |
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By: |
/s/ FABIAN C. STRAUSS |
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Senior Vice President, Finance, Controller and Treasurer |
Date: October 21, 2026
Exhibit 99.1
PACKAGING CORPORATION OF AMERICA REPORTS THIRD QUARTER 2026 RESULTS
Lake Forest, IL, October 21, 2026 – Packaging Corporation of America (NYSE: PKG) today reported third quarter 2026 net income of $262 million, or $2.93 per share, and net income of $272 million, or $3.04 per share, excluding special items. Third quarter net sales were $2.6 billion in 2026 and $2.3 billion in 2025.
Diluted earnings per share attributable to Packaging Corporation of America shareholders |
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Three Months Ended |
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September 30, |
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2026 |
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2025 |
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Change |
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Reported Diluted EPS |
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$ |
2.93 |
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$ |
2.51 |
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$ |
0.42 |
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Special Items Expense (1) |
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0.11 |
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0.22 |
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(0.11 |
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Diluted EPS excluding Special Items (2) |
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$ |
3.04 |
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$ |
2.73 |
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$ |
0.31 |
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(1) For descriptions and amounts of our special items, see the schedules with this release. |
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(2) Diluted EPS excluding Special Items is a non-GAAP financial measure. For information regarding our use of non-GAAP financial measures and descriptions and amounts of our special items, see the schedules with this release. |
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Reported earnings in the third quarter of 2026 include special items primarily for facility closure costs, acquisition and integration-related costs, the impact of a fire at a corrugated products facility, and restructuring charges relating to the Wallula, WA containerboard mill. Reported earnings in the third quarter of 2025 included special items for costs and charges related to the Greif containerboard business acquisition and closures of corrugated products facilities. Excluding special items, the $.31 per share increase in third quarter 2026 earnings compared to the third quarter of 2025 resulted from $.24 higher earnings from the acquired Greif operations and $.07 higher earnings in the legacy business. The acquired Greif operations generated earnings of $.13 in the third quarter of 2026 compared to a loss of ($.11) in the third quarter of 2025. The higher earnings in the legacy business were driven by favorable price and mix in the Packaging segment $.79, favorable production and sales volume in the Packaging segment, including the benefit of a higher volume of containerboard supplied by the legacy mills to the acquired Greif operations $.12, favorable price and mix in the Paper segment $.05 and a lower share count $.02. These items were partially offset by higher labor and operating expense ($.28), higher freight expense ($.26), higher corporate and other expense ($.13), higher fiber costs ($.12), higher depreciation and amortization expense ($.06), higher maintenance outage expense in the Paper segment ($.04), lower volume in the Paper segment ($.01), and higher interest expense, excluding Greif acquisition indebtedness ($.01).
Excluding the impact of special items, earnings were $.13 above third quarter guidance of $2.91 per share primarily due to favorable price and mix in the Packaging segment and favorable earnings from the acquired Greif operations, partially offset by higher labor and operating costs and unfavorable corrugated products sales volume.
Financial information by segment is summarized below and in the schedules with this release.
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(dollars in millions) |
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Three Months Ended |
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September 30, |
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2026 |
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2025 |
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Segment operating income (loss) |
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Packaging |
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$ |
397.8 |
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$ |
327.5 |
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Paper |
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29.0 |
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35.6 |
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Corporate and Other |
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(41.5 |
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(38.6 |
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$ |
385.3 |
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$ |
324.5 |
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Segment operating income (loss) excluding special items (1) |
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Packaging |
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$ |
407.7 |
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$ |
347.9 |
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Paper |
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29.0 |
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35.6 |
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Corporate and Other |
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(38.9 |
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(32.7 |
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$ |
397.8 |
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$ |
350.8 |
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EBITDA excluding special items (1) |
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Packaging |
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$ |
577.7 |
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$ |
491.8 |
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Paper |
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33.6 |
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40.1 |
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Corporate and Other |
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(34.1 |
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(28.5 |
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$ |
577.2 |
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$ |
503.4 |
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(1) Segment operating income (loss) excluding special items and EBITDA excluding special items are non-GAAP financial measures. We provide information regarding our use of non-GAAP financial measures and reconciliations of historical non-GAAP financial measures presented in this press release to the most comparable measure reported in accordance with GAAP in the schedules to this press release. |
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Total corrugated products shipments were up 10.6% per day and in total compared to the third quarter of 2025. In the legacy packaging business, corrugated products shipments were down 0.5% per day and in total compared to the third quarter of 2025, with the same number of shipping days in each period. Containerboard production was 1,489,000 tons, and containerboard inventory was up 34,000 tons compared to the second quarter of 2026 and down 29,000 tons compared to the third quarter of 2025. In the Paper segment, sales volume was down 2.5% from the third quarter of 2025.
Commenting on reported results, Mark W. Kowlzan, Chairman and CEO, said, “We executed very well across all aspects of our operations, resulting in very strong earnings performance for the quarter despite continued cost headwinds from freight, recycled fiber and chemicals and some weakness in agricultural end markets in our corrugated business. Our mills ran at full capacity during the quarter, and we are meaningfully realizing production benefits from projects at our Jackson mill as well as improved operating performance at the acquired Greif mills. We managed to build sufficient inventory to put us in position to efficiently supply our corrugated operations in the fourth quarter and help us continue to mitigate escalating freight costs. Our white paper operations turned in another excellent quarter, with higher than expected sales volumes, strong price realization and safe and successful completion of the maintenance outage at the International Falls mill.”
Mr. Kowlzan added, “Looking ahead as we move from the third quarter into the fourth quarter, we expect solid corrugated products demand with some seasonal improvement. Shipments per day are expected to be at or around last year’s fourth quarter level with two fewer shipping days than the third quarter and total shipments are expected to be higher than the third quarter. Prices for containerboard and corrugated products are expected to improve as we continue to implement earlier price increases, but corrugated products mix will be seasonally weaker with higher e-commerce volumes. Containerboard production will be lower with maintenance outages at three of our mills, and mill maintenance outage expenses, including the impact on production volume from fourth quarter outages, will be significantly higher in the fourth quarter. We expect seasonally lower volume and slightly higher prices in the Paper segment. We expect freight costs to increase with diesel fuel prices increasing above third quarter levels. We also expect costs for recycled fiber to continue to increase as well as higher wood fiber costs due to winter yields and mill mix. Costs for chemicals and energy will increase due to higher prices and higher seasonal energy usage. Considering these items, we expect fourth quarter earnings of $2.81 per share, excluding special items.”
We present our earnings expectation for the upcoming quarter excluding special items as special items are difficult to predict and quantify and may reflect the effect of future events. We currently expect to incur acquisition and integration related costs and costs related to the closure of corrugated products facilities during the fourth quarter; however, additional special items may arise due to fourth quarter events.
PCA is the third largest producer of containerboard products and a leading producer of uncoated freesheet paper in North America. PCA operates ten mills and 90 corrugated products plants and related facilities.
Some of the statements in this press release are forward-looking statements. Forward-looking statements include statements about our future earnings and financial condition, expected benefits from acquisitions and restructuring activities, our industry and our business strategy. Statements that contain words such as “will”, “should”, “anticipate”, “believe”, “expect”, “intend”, “estimate”, “hope” or similar expressions, are forward-looking statements. These forward-looking statements are based on the current expectations of PCA. Because forward-looking statements involve inherent risks and uncertainties, the plans, actions and actual results of PCA could differ materially. Among the factors that could cause plans, actions and results to differ materially from PCA’s current expectations include the following: the impact of general economic conditions; conditions in the paper and packaging industries, including competition, product demand and product pricing; fluctuations in wood fiber and recycled fiber costs; fluctuations in purchased energy costs; the possibility of unplanned outages or interruptions at our principal facilities; and legislative or regulatory requirements, particularly concerning environmental matters, as well as those identified under Item 1A. Risk Factors in PCA’s Annual Report on Form 10-K for the year ended December 31, 2025, and in subsequent quarterly reports on Form 10-Q, filed with the Securities and Exchange Commission and available at the SEC’s website at “www.sec.gov”.
CONTACT:
Barbara Sessions
Packaging Corporation of America
INVESTOR RELATIONS: (877) 454-2509
PCA’s Website: www.packagingcorp.com
Conference Call Information:
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WHAT: |
Packaging Corporation of America’s 3rd Quarter 2026 Earnings Conference Call |
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Conference ID: Packaging Corporation of America |
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WHEN: |
Thursday, October 22, 2026 at 9:00am Eastern Time |
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PRE-REGISTRATION: |
https://dpregister.com/sreg/10205357/102fc34e0c7 |
OR |
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CALL-IN NUMBER: |
(833) 816-1102 (U.S.); (866) 605-3852 (Canada) or (412) 317-0684 (International) |
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Dial in by 8:45am Eastern Time |
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WEBCAST INFO: |
www.packagingcorp.com; |
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REBROADCAST DATES: |
October 22, 2026 through November 5, 2026 |
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REBROADCAST NUMBERS: |
(855) 669-9658 (U.S. and Canada); (412) 317-0088 (International) |
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Passcode: 8981933 |
Packaging Corporation of America
Consolidated Earnings Results
Unaudited
(dollars in millions, except per-share data)
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Three Months Ended |
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Nine Months Ended |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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Net sales |
$ |
2,601.7 |
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$ |
2,313.4 |
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$ |
7,459.3 |
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$ |
6,625.7 |
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Cost of sales |
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(1,997.8 |
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(1) |
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(1,809.1 |
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(2) |
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(5,890.2 |
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(1) |
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(5,183.6 |
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(2) |
Gross profit |
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603.9 |
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504.3 |
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1,569.1 |
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1,442.1 |
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Selling, general, and administrative expenses |
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(182.7 |
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(154.3 |
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(542.3 |
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(468.9 |
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Other expense, net |
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(35.9 |
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(1) |
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(25.5 |
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(2) |
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(99.1 |
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(1) |
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(34.7 |
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(2) |
Income from operations |
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385.3 |
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324.5 |
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927.7 |
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938.5 |
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Non-operating pension income |
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1.2 |
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— |
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3.5 |
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— |
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Interest expense, net |
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(32.3 |
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(19.3 |
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(98.3 |
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(45.2 |
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Income before taxes |
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354.2 |
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305.2 |
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832.9 |
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893.3 |
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Provision for income taxes |
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(91.9 |
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(78.3 |
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(207.6 |
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(221.0 |
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Net income |
$ |
262.3 |
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$ |
226.9 |
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$ |
625.3 |
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$ |
672.3 |
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Earnings per share: |
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Basic |
$ |
2.94 |
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$ |
2.52 |
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$ |
7.02 |
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$ |
7.48 |
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Diluted |
$ |
2.93 |
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$ |
2.51 |
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$ |
6.98 |
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$ |
7.45 |
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Computation of diluted earnings per share under the two class method: |
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Net income |
$ |
262.3 |
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$ |
226.9 |
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$ |
625.3 |
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$ |
672.3 |
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Less: Distributed and undistributed income available to participating securities |
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(1.5 |
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(1.5 |
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(3.7 |
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(4.5 |
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Net income attributable to PCA shareholders |
$ |
260.8 |
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$ |
225.4 |
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$ |
621.6 |
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$ |
667.8 |
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Diluted weighted average shares outstanding |
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89.0 |
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89.7 |
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89.1 |
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89.7 |
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Diluted earnings per share |
$ |
2.93 |
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$ |
2.51 |
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$ |
6.98 |
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$ |
7.45 |
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Supplemental financial information: |
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Capital spending |
$ |
247.3 |
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$ |
192.1 |
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$ |
617.9 |
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$ |
509.9 |
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Cash, cash equivalents, and marketable debt securities |
$ |
761.8 |
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$ |
806.4 |
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$ |
761.8 |
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$ |
806.4 |
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1
2
Packaging Corporation of America
Segment Information
Unaudited
(dollars in millions)
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Three Months Ended |
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Nine Months Ended |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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Segment sales |
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Packaging |
$ |
2,414.0 |
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$ |
2,128.1 |
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$ |
6,913.9 |
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$ |
6,104.4 |
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Paper |
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163.2 |
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161.2 |
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480.4 |
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461.2 |
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Corporate and Other |
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24.5 |
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24.1 |
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65.0 |
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60.1 |
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$ |
2,601.7 |
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$ |
2,313.4 |
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$ |
7,459.3 |
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$ |
6,625.7 |
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Segment operating income (loss) |
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Packaging |
$ |
397.8 |
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$ |
327.5 |
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$ |
971.2 |
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$ |
952.0 |
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Paper |
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29.0 |
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35.6 |
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96.2 |
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96.9 |
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Corporate and Other |
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(41.5 |
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(38.6 |
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(139.7 |
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(110.4 |
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Income from operations |
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385.3 |
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324.5 |
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927.7 |
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938.5 |
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Non-operating pension income |
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1.2 |
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— |
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3.5 |
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— |
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Interest expense, net |
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(32.3 |
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(19.3 |
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(98.3 |
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(45.2 |
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Income before taxes |
$ |
354.2 |
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$ |
305.2 |
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$ |
832.9 |
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$ |
893.3 |
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Segment operating income (loss) excluding special items (1) |
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Packaging |
$ |
407.7 |
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$ |
347.9 |
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$ |
1,052.0 |
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$ |
953.6 |
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Paper |
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29.0 |
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35.6 |
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96.2 |
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96.9 |
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Corporate and Other |
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(38.9 |
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(32.7 |
) |
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(124.6 |
) |
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(102.9 |
) |
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$ |
397.8 |
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$ |
350.8 |
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$ |
1,023.6 |
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$ |
947.6 |
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EBITDA excluding special items (1) |
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Packaging |
$ |
577.7 |
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$ |
491.8 |
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$ |
1,548.0 |
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$ |
1,354.0 |
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Paper |
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33.6 |
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40.1 |
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110.4 |
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110.7 |
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Corporate and Other |
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(34.1 |
) |
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(28.5 |
) |
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(110.1 |
) |
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(89.4 |
) |
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$ |
577.2 |
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$ |
503.4 |
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$ |
1,548.3 |
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$ |
1,375.3 |
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____________
3
Packaging Corporation of America
Reconciliation of Non-GAAP Financial Measures
Unaudited
(dollars in millions)
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Three Months Ended |
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Nine Months Ended |
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September 30, |
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September 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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Packaging |
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Segment operating income |
$ |
397.8 |
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$ |
327.5 |
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$ |
971.2 |
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$ |
952.0 |
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Facilities closure and other costs (income) |
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5.9 |
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1.3 |
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17.1 |
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(17.5 |
) |
Acquisition and integration-related costs |
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0.7 |
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19.1 |
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0.7 |
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19.1 |
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Corrugated products facility fire |
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3.0 |
|
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|
— |
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3.0 |
|
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|
— |
|
Wallula mill restructuring |
|
0.3 |
|
|
|
— |
|
|
|
60.0 |
|
|
|
— |
|
Segment operating income excluding special items (1) |
$ |
407.7 |
|
|
$ |
347.9 |
|
|
$ |
1,052.0 |
|
|
$ |
953.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Paper |
|
|
|
|
|
|
|
|
|
|
|
||||
Segment operating income |
$ |
29.0 |
|
|
$ |
35.6 |
|
|
$ |
96.2 |
|
|
$ |
96.9 |
|
Segment operating income excluding special items (1) |
$ |
29.0 |
|
|
$ |
35.6 |
|
|
$ |
96.2 |
|
|
$ |
96.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Corporate and Other |
|
|
|
|
|
|
|
|
|
|
|
||||
Segment operating loss |
$ |
(41.5 |
) |
|
$ |
(38.6 |
) |
|
$ |
(139.7 |
) |
|
$ |
(110.4 |
) |
Acquisition and integration-related costs |
|
2.3 |
|
|
|
5.9 |
|
|
|
9.1 |
|
|
|
7.5 |
|
Facilities closure and other costs |
|
0.3 |
|
|
|
— |
|
|
|
6.0 |
|
|
|
— |
|
Segment operating loss excluding special items (1) |
$ |
(38.9 |
) |
|
$ |
(32.7 |
) |
|
$ |
(124.6 |
) |
|
$ |
(102.9 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Income from operations |
$ |
385.3 |
|
|
$ |
324.5 |
|
|
$ |
927.7 |
|
|
$ |
938.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Income from operations, excluding special items (1) |
$ |
397.8 |
|
|
$ |
350.8 |
|
|
$ |
1,023.6 |
|
|
$ |
947.6 |
|
____________
4
Packaging Corporation of America
Reconciliation of Non-GAAP Financial Measures
Unaudited
(dollars in millions)
Net Income Excluding Special Items and EPS Excluding Special Items (1)
|
Three Months Ended |
|
|||||||||||||||||||||||||||||
|
September 30, |
|
|||||||||||||||||||||||||||||
|
2026 |
|
|
2025 |
|
||||||||||||||||||||||||||
|
Income before Taxes |
|
|
Income Taxes |
|
|
Net Income |
|
|
Diluted EPS |
|
|
Income before Taxes |
|
|
Income Taxes |
|
|
Net Income |
|
|
Diluted EPS |
|
||||||||
As reported in accordance with GAAP |
$ |
354.2 |
|
|
$ |
(91.9 |
) |
|
$ |
262.3 |
|
|
$ |
2.93 |
|
|
$ |
305.2 |
|
|
$ |
(78.3 |
) |
|
$ |
226.9 |
|
|
$ |
2.51 |
|
Special items (2): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Facilities closure and other costs |
|
6.2 |
|
|
|
(1.3 |
) |
|
|
4.9 |
|
|
|
0.05 |
|
|
|
1.3 |
|
|
|
(0.3 |
) |
|
|
1.0 |
|
|
|
0.01 |
|
Acquisition and integration-related costs |
|
3.0 |
|
|
|
(0.7 |
) |
|
|
2.3 |
|
|
|
0.03 |
|
|
|
25.0 |
|
|
|
(6.2 |
) |
|
|
18.8 |
|
|
|
0.21 |
|
Corrugated products facility fire |
|
3.0 |
|
|
|
(0.7 |
) |
|
|
2.3 |
|
|
|
0.03 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Wallula mill restructuring |
|
0.3 |
|
|
|
(0.1 |
) |
|
|
0.2 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total special items |
|
12.5 |
|
|
|
(2.8 |
) |
|
|
9.7 |
|
|
|
0.11 |
|
|
|
26.3 |
|
|
|
(6.5 |
) |
|
|
19.8 |
|
|
|
0.22 |
|
Excluding special items |
$ |
366.7 |
|
|
$ |
(94.7 |
) |
|
$ |
272.0 |
|
|
$ |
3.04 |
|
|
$ |
331.5 |
|
|
$ |
(84.8 |
) |
|
$ |
246.7 |
|
|
$ |
2.73 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Nine Months Ended |
|
|||||||||||||||||||||||||||||
|
September 30, |
|
|||||||||||||||||||||||||||||
|
2026 |
|
|
2025 |
|
||||||||||||||||||||||||||
|
Income before Taxes |
|
|
Income Taxes |
|
|
Net Income |
|
|
Diluted EPS |
|
|
Income before Taxes |
|
|
Income Taxes |
|
|
Net Income |
|
|
Diluted EPS |
|
||||||||
As reported in accordance with GAAP |
$ |
832.9 |
|
|
$ |
(207.6 |
) |
|
$ |
625.3 |
|
|
$ |
6.98 |
|
|
$ |
893.3 |
|
|
$ |
(221.0 |
) |
|
$ |
672.3 |
|
|
$ |
7.45 |
|
Special items (2): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Facilities closure and other costs (income) |
|
23.1 |
|
|
|
(5.8 |
) |
|
|
17.3 |
|
|
|
0.19 |
|
|
|
(17.5 |
) |
|
|
4.3 |
|
|
|
(13.2 |
) |
|
|
(0.15 |
) |
Acquisition and integration-related costs |
|
9.8 |
|
|
|
(2.4 |
) |
|
|
7.4 |
|
|
|
0.08 |
|
|
|
26.6 |
|
|
|
(6.6 |
) |
|
|
20.0 |
|
|
|
0.22 |
|
Wallula mill restructuring |
|
60.0 |
|
|
|
(14.9 |
) |
|
|
45.1 |
|
|
|
0.50 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Corrugated products facility fire |
|
3.0 |
|
|
|
(0.7 |
) |
|
|
2.3 |
|
|
|
0.03 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total special items |
|
95.9 |
|
|
|
(23.8 |
) |
|
|
72.1 |
|
|
|
0.80 |
|
|
|
9.1 |
|
|
|
(2.3 |
) |
|
|
6.8 |
|
|
|
0.07 |
|
Excluding special items |
$ |
928.8 |
|
|
$ |
(231.4 |
) |
|
$ |
697.4 |
|
|
$ |
7.78 |
|
|
$ |
902.4 |
|
|
$ |
(223.3 |
) |
|
$ |
679.1 |
|
|
$ |
7.52 |
|
____________
5
Packaging Corporation of America
Reconciliation of Non-GAAP Financial Measures
Unaudited
(dollars in millions)
EBITDA and EBITDA Excluding Special Items (1)
EBITDA represents income before non-operating pension income, interest, income taxes, and depreciation, amortization, and depletion. The following table reconciles net income to EBITDA and EBITDA excluding special items:
|
Three Months Ended |
|
|
Nine Months Ended |
|
||||||||||
|
September 30, |
|
|
September 30, |
|
||||||||||
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net income |
$ |
262.3 |
|
|
$ |
226.9 |
|
|
$ |
625.3 |
|
|
$ |
672.3 |
|
Non-operating pension income |
|
(1.2 |
) |
|
|
— |
|
|
|
(3.5 |
) |
|
|
— |
|
Interest expense, net |
|
32.3 |
|
|
|
19.3 |
|
|
|
98.3 |
|
|
|
45.2 |
|
Provision for income taxes |
|
91.9 |
|
|
|
78.3 |
|
|
|
207.6 |
|
|
|
221.0 |
|
Depreciation, amortization, and depletion |
|
181.3 |
|
|
|
152.6 |
|
|
|
582.8 |
|
|
|
431.2 |
|
EBITDA (1) |
$ |
566.6 |
|
|
$ |
477.1 |
|
|
$ |
1,510.5 |
|
|
$ |
1,369.7 |
|
Special items: |
|
|
|
|
|
|
|
|
|
|
|
||||
Facilities closure and other costs (income) |
|
5.0 |
|
|
|
1.3 |
|
|
|
16.4 |
|
|
|
(21.0 |
) |
Acquisition and integration-related costs |
|
2.3 |
|
|
|
25.0 |
|
|
|
9.1 |
|
|
|
26.6 |
|
Corrugated products facility fire |
|
3.0 |
|
|
|
— |
|
|
|
3.0 |
|
|
|
— |
|
Wallula mill restructuring |
|
0.3 |
|
|
|
— |
|
|
|
9.3 |
|
|
|
— |
|
EBITDA excluding special items (1) |
$ |
577.2 |
|
|
$ |
503.4 |
|
|
$ |
1,548.3 |
|
|
$ |
1,375.3 |
|
____________
6
Packaging Corporation of America
Reconciliation of Non-GAAP Financial Measures
Unaudited
(dollars in millions)
The following table reconciles segment operating income (loss) to segment EBITDA and segment EBITDA excluding special items:
|
Three Months Ended |
|
|
Nine Months Ended |
|
||||||||||
|
September 30, |
|
|
September 30, |
|
||||||||||
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Packaging |
|
|
|
|
|
|
|
|
|
|
|
||||
Segment operating income |
$ |
397.8 |
|
|
$ |
327.5 |
|
|
$ |
971.2 |
|
|
$ |
952.0 |
|
Depreciation, amortization, and depletion |
|
171.9 |
|
|
|
143.9 |
|
|
|
554.1 |
|
|
|
403.9 |
|
EBITDA (1) |
|
569.7 |
|
|
|
471.4 |
|
|
|
1,525.3 |
|
|
|
1,355.9 |
|
Facilities closure and other costs (income) |
|
4.7 |
|
|
|
1.3 |
|
|
|
10.4 |
|
|
|
(21.0 |
) |
Corrugated products facility fire |
|
3.0 |
|
|
|
— |
|
|
|
3.0 |
|
|
|
— |
|
Wallula mill restructuring |
|
0.3 |
|
|
|
— |
|
|
|
9.3 |
|
|
|
— |
|
Acquisition and integration-related costs |
|
— |
|
|
|
19.1 |
|
|
|
— |
|
|
|
19.1 |
|
EBITDA excluding special items (1) |
$ |
577.7 |
|
|
$ |
491.8 |
|
|
$ |
1,548.0 |
|
|
$ |
1,354.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Paper |
|
|
|
|
|
|
|
|
|
|
|
||||
Segment operating income |
$ |
29.0 |
|
|
$ |
35.6 |
|
|
$ |
96.2 |
|
|
$ |
96.9 |
|
Depreciation, amortization, and depletion |
|
4.6 |
|
|
|
4.5 |
|
|
|
14.2 |
|
|
|
13.8 |
|
EBITDA (1) |
|
33.6 |
|
|
|
40.1 |
|
|
|
110.4 |
|
|
|
110.7 |
|
EBITDA excluding special items (1) |
$ |
33.6 |
|
|
$ |
40.1 |
|
|
$ |
110.4 |
|
|
$ |
110.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Corporate and Other |
|
|
|
|
|
|
|
|
|
|
|
||||
Segment operating loss |
$ |
(41.5 |
) |
|
$ |
(38.6 |
) |
|
$ |
(139.7 |
) |
|
$ |
(110.4 |
) |
Depreciation, amortization, and depletion |
|
4.8 |
|
|
|
4.2 |
|
|
|
14.5 |
|
|
|
13.5 |
|
EBITDA (1) |
|
(36.7 |
) |
|
|
(34.4 |
) |
|
|
(125.2 |
) |
|
|
(96.9 |
) |
Acquisition and integration-related costs |
|
2.3 |
|
|
|
5.9 |
|
|
|
9.1 |
|
|
|
7.5 |
|
Facilities closure and other costs |
|
0.3 |
|
|
|
— |
|
|
|
6.0 |
|
|
|
— |
|
EBITDA excluding special items (1) |
$ |
(34.1 |
) |
|
$ |
(28.5 |
) |
|
$ |
(110.1 |
) |
|
$ |
(89.4 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
||||
EBITDA excluding special items (1) |
$ |
577.2 |
|
|
$ |
503.4 |
|
|
$ |
1,548.3 |
|
|
$ |
1,375.3 |
|
____________
7