04.24.15
Graphic Packaging Holding reported net income for first quarter 2015 of $55.1 million, or $0.17 per share, based upon 331.9 million weighted average diluted shares. This compares to first quarter 2014 net income of $35.2 million, or $0.11 per share, based on 330.3 million weighted average diluted shares.
Net sales decreased 6.0% to $1,008.2 million in the first quarter of 2015, compared to $1,072.7 million in the prior year period. Excluding $113.9 million of sales in the prior year period from divested businesses, adjusted net sales increased $49.4 million or 5.2%. The increase was driven by $76.2 million of improved volume/mix and $2.2 million of higher pricing. The sales increase was partially offset by $29.0 million of unfavorable foreign exchange rates.
“We continue to perform well in a difficult operating environment, as demand in some of our key end-use markets remains challenged,” said David Scheible, chairman, president and CEO. “We produced over 20,000 more tons in our U.S. mills and sold nearly 57,000 more net tons through our global system as compared to the first quarter last year. The sales volume growth was driven through acquisitions, new product launches and substrate substitution. Overall, we achieved a $24 million increase in adjusted EBITDA over last year’s first quarter primarily driven from our global performance initiatives and a $15 million favorable year-over-year weather benefit, resulting in a 4 cent increase in adjusted earnings per diluted share to 17 cents.”
EBITDA for first quarter 2015 was $179.1 million, or $29.3 million higher than the first quarter of 2014. Adjusted EBITDA increased 15.0% to $181.3 million in the first quarter of 2015 from $157.6 million in the first quarter of 2014. When comparing against the prior year quarter, adjusted EBITDA in the first quarter of 2015 was positively impacted by $28.4 million of improved net operating performance vs. the weather impacted first quarter of 2014, $10.8 million of favorable volume/mix, $2.2 million of higher pricing and $2.7 million of commodity cost deflation.
Total net debt at the end of the first quarter 2015 was $2,062.5 million, or $169.8 million higher than at the end of 2014. In addition to a normal first quarter seasonal build in working capital, the company used funds in the first quarter to acquire the folding carton converting and paperboard mill assets of Cascades’ Norampac Division and Rose City Printing and Packaging, Inc.
Net sales decreased 6.0% to $1,008.2 million in the first quarter of 2015, compared to $1,072.7 million in the prior year period. Excluding $113.9 million of sales in the prior year period from divested businesses, adjusted net sales increased $49.4 million or 5.2%. The increase was driven by $76.2 million of improved volume/mix and $2.2 million of higher pricing. The sales increase was partially offset by $29.0 million of unfavorable foreign exchange rates.
“We continue to perform well in a difficult operating environment, as demand in some of our key end-use markets remains challenged,” said David Scheible, chairman, president and CEO. “We produced over 20,000 more tons in our U.S. mills and sold nearly 57,000 more net tons through our global system as compared to the first quarter last year. The sales volume growth was driven through acquisitions, new product launches and substrate substitution. Overall, we achieved a $24 million increase in adjusted EBITDA over last year’s first quarter primarily driven from our global performance initiatives and a $15 million favorable year-over-year weather benefit, resulting in a 4 cent increase in adjusted earnings per diluted share to 17 cents.”
EBITDA for first quarter 2015 was $179.1 million, or $29.3 million higher than the first quarter of 2014. Adjusted EBITDA increased 15.0% to $181.3 million in the first quarter of 2015 from $157.6 million in the first quarter of 2014. When comparing against the prior year quarter, adjusted EBITDA in the first quarter of 2015 was positively impacted by $28.4 million of improved net operating performance vs. the weather impacted first quarter of 2014, $10.8 million of favorable volume/mix, $2.2 million of higher pricing and $2.7 million of commodity cost deflation.
Total net debt at the end of the first quarter 2015 was $2,062.5 million, or $169.8 million higher than at the end of 2014. In addition to a normal first quarter seasonal build in working capital, the company used funds in the first quarter to acquire the folding carton converting and paperboard mill assets of Cascades’ Norampac Division and Rose City Printing and Packaging, Inc.