Sonoco Products Company (“Sonoco” or the “Company”) (NYSE: SON), a global leader in high-value sustainable packaging, today reported financial results for the fourth quarter and full year ended December 31, 2025.
Summary:
Grew fourth quarter net sales to $1.8 billion, up 29.7 percent from the prior-year quarter, primarily from acquisition activity
Reported fourth quarter U.S. generally accepted accounting principles (“GAAP”) net income attributable to Sonoco of $332.2 million, up from a loss of $(43.0) million in the same period in 2024, GAAP operating profit of $520.2 million, up from $56.1 million in the same period in 2024, and diluted earnings/(loss) per share (“EPS”) attributable to Sonoco of $3.33, up from $(0.44) in the same period in 2024, primarily due to the gain on the sale of business
Improved quarterly adjusted net income attributable to Sonoco by 5.1 percent year-over-year to $104.7 million, and reported adjusted diluted earnings per share of $1.05
Achieved fourth quarter adjusted operating profit of $187 million, up 47.1 percent, and adjusted EBITDA of $272 million, up 10.2 percent from the prior-year quarter
Generated $413 million and $690 million of operating cash flow in the fourth quarter and full year, respectively, which included $196 million in one-time taxes paid during the year on gains from the sale of the divested TFP business
Completed the sale of the ThermoSafe business unit (“ThermoSafe”), a leading provider of temperature-assured packaging, to Arsenal Capital Partners on November 3, 2025, and received $656 million in gross cash proceeds at closing
Reduced net debt by $965 million and $2.7 billion in the fourth quarter and full year 2025, respectively, ending the year with net leverage of approximately 3.0x. (Net debt/adjusted EBITDA)
2026 Guidance:
Targeting full-year adjusted diluted earnings per share of $5.80 to $6.20. Full-year adjusted EBITDA is expected to be $1.25 billion to $1.35 billion. Cash flows from operating activities are expected to be $700 million to $800 million.
The Company will continue to simplify its operating and reporting structure in 2026 and will only report its results in two segments, Consumer Packaging and Industrial Paper Packaging. The Company’s industrial plastics packaging business, which was the only remaining business in All Other, will be included in the Industrial Paper Packaging segment. The Company believes this reporting structure appropriately represents the management of its business portfolio going forward.
The full report can be found here.
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