Sonoco Products | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 1.885 B

Revenue: As of FY2026 Q2, the actual value is USD 1.885 B, beating the estimate of USD 1.877 B.

EPS: As of FY2026 Q2, the actual value is USD 1.05, beating the estimate of USD 1.0477.

EBIT: As of FY2026 Q2, the actual value is USD 234.25 M.

Financial Results Reporting

Sonoco Products Company issued a news release on July 22, 2026, reporting its financial results for the quarter ended June 28, 2026, and providing full-year 2026 guidance, with details attached as an exhibit .

Second Quarter 2026 Consolidated Results

• Net Sales: Net sales were $1,885 million, a -1.3% decrease compared to $1,910 million in the same period of 2025 .
• GAAP Net Income: GAAP net income was $105 million, a significant decrease from $493 million in the second quarter of 2025, which included a $425 million gain from a business sale .
• Adjusted Net Income: Adjusted net income improved by 10.6% to $151 million, up from $136 million in the prior-year period .
• GAAP Operating Profit: GAAP operating profit increased by 9.8% to $193 million, from $176 million in the same period of 2025 .
• Adjusted Operating Profit: Adjusted operating profit was $242 million, a -1.8% decrease from $247 million in the second quarter of 2025 .
• Adjusted EBITDA: Adjusted EBITDA for the second quarter was $324 million, a -1.2% decrease from $328 million in the prior-year period .

Year-to-Date (Six Months Ended June 28, 2026) Consolidated Results

• Net Sales: Year-to-date net sales were $3,562 million, a -1.6% decrease from $3,620 million in the same period of 2025 .
• GAAP Net Income Attributable to Sonoco: Net income attributable to Sonoco was $172 million, a -68.5% decrease from $548 million in the prior-year period .
• Adjusted Operating Profit: Adjusted operating profit was $443 million, a -3.6% decrease from $460 million in the prior-year period .
• Adjusted EBITDA: Adjusted EBITDA was $601 million, a -9.8% decrease from $666 million in the prior-year period .
• Operating Cash Flow: Net cash used by operating activities was - $67 million, compared to - $15 million in the same period of 2025, including approximately $103 million in one-time taxes .
• Free Cash Flow: Free cash flow improved to - $191 million, compared to - $201 million in the same period in 2025 .
• Capital Expenditures: Capital expenditures, net of proceeds from sales of fixed assets, were $124 million, down from $186 million last year .
• Dividends: The company returned $106 million to shareholders through dividends, compared to $104 million in the prior-year period .

Second Quarter 2026 Segment Results

Consumer Packaging Segment

• Net Sales: Net sales grew 1.2% to $1,242 million .
• Segment Operating Profit: Segment operating profit declined approximately -5.4% to $152 million, from $160 million in the prior year .
• Segment Operating Profit Margin: The segment operating profit margin was 12.2%, down from 13.1% in the prior year .
• Segment Adjusted EBITDA: Segment Adjusted EBITDA was $207 million, a -3.1% decrease from $213 million .
• Segment Adjusted EBITDA Margin: The segment Adjusted EBITDA margin was 16.6%, down from 17.4% .
• Operational Metrics: Paper can volumes were up 9% in EMEA/APAC, while overall segment volumes were down -1.8% .

Industrial Paper Packaging Segment

• Net Sales: Net sales increased 4.2% to $643 million .
• Segment Operating Profit: Segment operating profit increased 4.0% to $89 million, from $86 million in the prior year .
• Segment Operating Profit Margin: The segment operating profit margin remained resilient at 13.9%, consistent with the prior year .
• Segment Adjusted EBITDA: Segment Adjusted EBITDA was $122 million, a 2.9% increase from $119 million .
• Segment Adjusted EBITDA Margin: The segment Adjusted EBITDA margin was 19.0% .
• Operational Metrics: North America uncoated recycled paperboard (URB) trade tons grew 6%, boosting mill utilization to 95%, while the segment’s volume/mix was flat .

Balance Sheet Highlights (as of June 28, 2026)

• Liquidity: The company maintained strong liquidity of $1.3 billion, consisting of $1.1 billion of available borrowing capacity and cash on hand .
• Cash and Cash Equivalents: Cash and cash equivalents were $169 million, compared to $378 million as of December 31, 2025 .
• Total Debt: Total debt was $4.5 billion .
• Net Debt: Net debt was $4.3 billion .

2026 Guidance

Sonoco Products Company reaffirmed its full-year 2026 guidance . Net Sales are expected to be between $7.25 billion and $7.75 billion, with Adjusted EBITDA guidance remaining at $1.25 billion to $1.35 billion . Cash flow from operating activities is anticipated to be between $700 million and $800 million .