Sonoco reports Q2 adjusted EPS $1.37, consensus $1.49

Reports Q2 revenue $1.91B, consensus $1.92B. “We continued to make progress on our transformation journey in the second quarter with the successful divestiture of TFP and the utilization of proceeds to substantially reduce leverage. We achieved strong growth in top-line and bottom-line performance along with margin expansion in the quarter even though results were impacted by global macroeconomic pressures and seasonal factors which affected consumer and industrial demand and higher than expected interest costs,” said Howard Coker, Sonoco (SON) President and Chief Executive Officer. “Consumer Packaging segment sales grew 110% and adjusted EBITDA jumped 115%. Most of the improvement came from the addition of Metal Packaging EMEA (Eviosys acquisition) along with strong performance from our Metal Packaging U.S. business which achieved greater than 10% growth in volume/mix in the quarter. Our Industrial Paper Packaging segment improved adjusted EBITDA by 16% and EBITDA margin by approximately 300 basis points driven by year-over-year improvement in price/cost and productivity.”