Sonoco Products Reports Strong Q1 2025 Results

Sonoco Products Company ( (SON) ) has released its Q1 earnings. Here is a breakdown of the information Sonoco Products Company presented to its investors.

Sonoco Products Company is a global leader in sustainable packaging solutions, serving both consumer and industrial sectors with innovative and eco-friendly products. In its latest earnings report for the first quarter of 2025, Sonoco announced a significant 30.6% increase in net sales, reaching a record $1.7 billion. The company also completed the sale of its Thermoformed and Flexibles Packaging business, using the proceeds to reduce debt significantly.

Key financial highlights include a 38% rise in adjusted EBITDA to $338 million and a 22.7% increase in adjusted net income to $137 million. Despite a 16.5% decrease in GAAP net income to $54 million, Sonoco’s strategic focus on its core businesses has driven substantial growth in its Consumer Packaging segment, with an 83% increase in net sales.

The company’s strategic initiatives, such as the integration of Eviosys and the divestment of non-core assets, have strengthened its financial position. Sonoco’s Consumer Packaging segment saw a 127% increase in adjusted EBITDA, while the Industrial Paper Packaging segment improved its EBITDA margin by 200 basis points.

Looking ahead, Sonoco remains committed to its growth and productivity goals for 2025, with expectations to increase adjusted net income by approximately 20% and adjusted EBITDA by 30%. The company is well-positioned to navigate economic uncertainties, focusing on local market operations and resilient consumer food packaging sales.