Packaging Corporation of America (PCA) reported 3Q
2018 net income of $207 million, or $2.18 per share, and net income of $211
million, or $2.23 per share, excluding special items. 3Q 2018 net sales were
$1.8 billion in 2018 and $1.6 billion in 2017, as the company said in the press
release received by Lesprom Network.
Commenting
on reported results,Mark
W. Kowlzan, Chairman and CEO, said, “Our containerboard and corrugated
products price increases continued to be implemented as planned, and demand in
our Packaging segment remained strong. Our containerboard mills ran very well,
and we set an all-time quarterly containerboard sales volume record. Our
containerboard inventory levels were higher due to the addition of ourSacramentoContainer
acquisition, along with the need to maintain appropriate inventory in certain
areas of the country to help minimize the transportation and freight challenges
we continue to experience.
"In addition, higher inventory levels were required
to prepare for the fourth quarter extended outage at ourWallula
Millto complete the containerboard conversion work that we
have spoken about previously. Market conditions in our Paper segment remained
very tight as we continue to have good volume along with low inventories, and
our prices and mix were slightly better than anticipated. The benefits of the
strong market conditions in both of our segments helped us offset higher
inflation in many of our operating and converting costs as well as higher
freight and logistics expenses.”
PCA is
the third largest producer of containerboard products and the third largest
producer of uncoated freesheet paper inNorth
America. PCA operates eight mills and 95 corrugated products plants
and related facilities.
