International Paper Reports 1Q 2025 Results

International Paper reported first quarter 2025 sales of $5,901 million during the first quarter of 2025, up from $4,619 million in 1Q 2024. Free cash flow was negative $618 million, down from $144 million in 1Q 2024. Net earnings (loss) were $(105) million, or $(0.24) per diluted share, and adjusted operating earnings (non-GAAP) was $101 million, or $0.23 per diluted share.

First quarter net earnings include a pre-tax charge of $271 million for accelerated depreciation and restructuring charges related to the previously announced closure of the company’s Red River containerboard mill in Campti, LA.

“Reflecting on my first year, I am proud of the International Paper team for embracing transformational change and achieving tremendous progress together,” said CEO Andy Silvernail. “We deployed 80/20, focusing on our most valuable customers and aligning our resources accordingly. We launched key initiatives to drive step-change improvement in our performance, and invested to grow in the most attractive markets. Most recently, we welcomed our DS Smith colleagues and outlined our strategic direction at our Investor Day.

“This year’s first quarter results reflect higher sales and earnings, primarily driven by the DS Smith acquisition, sales price increases, and cost out,” Silvernail added. “We also made good progress on growing our market position in our North American packaging business. Overall market demand, however, was softer than anticipated in both of our regions. As expected, our free cash flow was temporarily impacted by transformation costs and incentive compensation payout.”