Packaging Corp. reports Q2 EPS ex-items $2.48, consensus $2.42

Reports Q2 revenue $2.2B, consensus $2.18B. CEO Mark Kowlzan said, “We operated very well during the quarter, delivering strong earnings and cash flows as well as higher margins in the Packaging segment…We continued to successfully manage costs across all of our operations, executing our capital projects and efficiency initiatives, which have helped offset inflation. Looking ahead into the third quarter, while our corrugated products customers have remained cautious into July as economic uncertainty persists, we expect higher corrugated shipments, which will drive increased containerboard production. Export containerboard sales will be lower due to the effects of the global trade environment. We will build some containerboard inventory ahead of our fourth quarter maintenance outage at the DeRidder mill….Considering these items, we expect Q3 earnings of $2.80 per share, excluding special items. Our guidance does not include any possible impact from the pending acquisition of the Greif containerboard business, which is subject to satisfaction of certain conditions, including regulatory approval.”