Graphic Packaging misses Q4 estimates, guides lower for 2025

Published 04/02/2025, 12:46
Graphic Packaging misses Q4 estimates, guides lower for 2025

Investing.com -- Graphic Packaging Holding Company (NYSE:GPK), a global leader in sustainable consumer packaging, reported fourth-quarter earnings that fell short of analyst expectations and provided guidance for fiscal year 2025 below consensus estimates.

The company reported fourth-quarter earnings per share (EPS) of $0.46, missing the analyst estimate of $0.62 by $0.16. Revenue for the quarter came in at $2.1 billion, below the consensus estimate of $2.16 billion. Compared to the same quarter last year, revenue decreased by approximately 3%.

For the full year 2024, Graphic Packaging reported net sales of $8.807 billion, down from $9.428 billion in 2023. Adjusted EBITDA margin for the year was 19.1%, compared to 19.9% in the previous year.

Looking ahead, the company provided guidance for fiscal year 2025, projecting EPS in the range of $2.53 to $2.78, which falls below the analyst consensus of $2.69. Revenue for 2025 is expected to be between $8.7 billion and $8.9 billion, also below the consensus estimate of $8.931 billion.

Michael Doss, President and CEO of Graphic Packaging, commented on the results: "In 2024, we demonstrated the value of the Graphic Packaging business model, generating a level of consistency and profitability in line with other leading consumer packaging companies."

The company announced a 10% increase in its quarterly dividend to $0.11 per common share, effective for the first quarter of 2025.

Graphic Packaging reported a return to positive packaging volume growth in the second half of 2024 and achieved innovation sales growth of $205 million for the year. The company also executed a Virtual Power Purchase Agreement to increase renewable energy use in Europe.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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