05.02.22
Graphic Packaging Holding Company reported net income for first quarter 2022 of $107 million, or $0.35 per share, based upon 309.7 million weighted average diluted shares. This compares to first quarter 2021 net income of $54 million, or $0.19 per share, based upon 277.2 million weighted average diluted shares.
Net sales increased 36% to $2,245 million in the first quarter of 2022, compared to $1,649 million in the prior year period. The $596 million increase was driven by $222 million of positive price and $385 million of improved volume/mix related to organic growth from conversions to fiber-based packaging solutions and acquisitions, partially off-set by $11 million of unfavorable foreign exchange.
EBITDA for the first quarter of 2022 was $335 million, or $107 million higher than the first quarter of 2021. After adjusting both periods for business combinations and other special charges, Adjusted EBITDA was $350 million in the first quarter of 2022 versus $240 million in the first quarter of 2021.
When comparing against the prior year quarter, adjusted EBITDA in the first quarter of 2022 was positively impacted by $222 million in pricing, $68 million in volume/mix, $14 million in net productivity and $1 million of favorable foreign exchange. This was partially offset by $176 million of commodity input cost inflation and $19 million of other inflation.
“During the first quarter we achieved important milestones on the journey to realize our enhanced Vision 2025 goals,” said Michael Doss, the company's president and CEO. “While executing another solid quarter with 3% net organic sales growth, we continued to integrate our recently expanded European platform and began operating the new K2 CRB machine in Kalamazoo, Michigan. In addition, we successfully implemented pricing actions to offset an unprecedented inflationary environment. Our business is expanding into new market segments and geographies, and we are executing at a high level as a global team."
Net sales increased 36% to $2,245 million in the first quarter of 2022, compared to $1,649 million in the prior year period. The $596 million increase was driven by $222 million of positive price and $385 million of improved volume/mix related to organic growth from conversions to fiber-based packaging solutions and acquisitions, partially off-set by $11 million of unfavorable foreign exchange.
EBITDA for the first quarter of 2022 was $335 million, or $107 million higher than the first quarter of 2021. After adjusting both periods for business combinations and other special charges, Adjusted EBITDA was $350 million in the first quarter of 2022 versus $240 million in the first quarter of 2021.
When comparing against the prior year quarter, adjusted EBITDA in the first quarter of 2022 was positively impacted by $222 million in pricing, $68 million in volume/mix, $14 million in net productivity and $1 million of favorable foreign exchange. This was partially offset by $176 million of commodity input cost inflation and $19 million of other inflation.
“During the first quarter we achieved important milestones on the journey to realize our enhanced Vision 2025 goals,” said Michael Doss, the company's president and CEO. “While executing another solid quarter with 3% net organic sales growth, we continued to integrate our recently expanded European platform and began operating the new K2 CRB machine in Kalamazoo, Michigan. In addition, we successfully implemented pricing actions to offset an unprecedented inflationary environment. Our business is expanding into new market segments and geographies, and we are executing at a high level as a global team."