Sonoco net sales grow by 30% in 2022
Sonoco Products Company, one of the largest sustainable global packaging companies, reported financial results for its fourth quarter and full year, which ended December 31, 2022.
Sonoco achieved record fourth quarter and annual financial results. In the fourth quarter, revenue grew 16%, GAAP EPS grew by 48% and Base EPS grew by 28% year-over-year
The company successfully integrated the Metal Packaging acquisition to expand rigid packaging in North America, while also completing Skjern Paper acquisition in Denmark in the fourth quarter to expand sustainable paper packaging products in Europe
Net sales increased 30% year over year to $7.3 billion driven by strategic pricing performance and strong results from the Sonoco Metal Packaging (“Metal Packaging”) acquisition. These increases were partially offset by lower volumes in industrial paper products and the impact of foreign currency exchange.
GAAP operating profit and base operating profit increased year-over-year from strategic pricing performance and acquisitions.
“2022 was a year of record performance and meaningful change at Sonoco. We are executing our focused portfolio strategy and are investing in our businesses to drive growth and profitability,” said Sonoco’s President and CEO, Howard Coker. ”
Our talented teams executed well in dedication to our customers despite a challenging macro environment. We made further progress on our portfolio simplification strategy and invested in organic growth and accretive acquisitions in our larger, core businesses. This progress coupled with effective commercial excellence enabled a positive step change improvement in profitability for the company.
“We carry sustained momentum from our strategy and operating model into 2023 which we believe positions us well to navigate near term volatility. Our continued focus on portfolio optimisation, improving price/cost through strategic pricing, and productivity positions us to expand profits and increase free cash flow, to increase long-term returns for our shareholders.”
You can read the full results here.