Packaging Corporation of America (PKG) FY2024 10-K Annual Report

Filed: Feb 27, 2025
Materials
Paperboard Containers & BoxesSEC EDGAR

Packaging Corporation of America (PKG) 10-K annual report for fiscal year 2024, filed with SEC EDGAR on Feb 27, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

Packaging Corporation of America FY2024 10-K Analysis

Business Overview

  • Core business model centered on manufacturing and selling containerboard and corrugated packaging products
  • No new products, services, or segments introduced or emphasized in 2025 filing
  • Continued emphasis on corporate governance with insider trading policy updates, including blackout period restrictions for officers and directors
  • Equity compensation plan authorizes issuance of 2,753,954 shares for future employee incentives as of December 31, 2024
  • Adoption of a clawback policy as of December 1, 2023, disclosed for the first time in this filing year

Management Discussion & Analysis

  • Revenue $8,383M, up 7.4% YoY from $7,802M; Packaging segment up $555M (7.8%), Paper segment up $29M (4.9%)
  • Gross profit increased $84M; includes $3M special items vs $15M in 2023; impact of higher volumes and higher costs blended
  • Packaging best performer: $7,691M revenue with 16.1% containerboard shipment increase; Paper worst: $625M revenue with lower prices offsetting volume gains
  • SG&A expenses up $29M due to higher employee-related and bad debt expenses
  • Other expense net $71.5M in 2024 vs $42.9M in 2023; includes litigation and asset write-offs; no specific forward-looking guidance provided

Risk Factors

  • Regulatory risk related to compliance with Private Securities Litigation Reform Act of 1995 affecting disclosure and forward-looking statements
  • Geopolitical risk from macroeconomic uncertainty impacting liquidity and earnings expectations for fiscal year 2025
  • Operational risk of achieving environmental, social, and governance (ESG) goals amid evolving regulations and market pressures
  • Competitive risk from packaging industry peers influencing market share and price competition in fiber-based products
  • Financial risk due to uncertainties in future liquidity and expenditures affecting overall financial condition and results

Packaging Corporation of America FY2024 Key Financial Metrics
XBRL

Revenue

$8.4B

+7.4% YoY

Net Income

$805M

+5.2% YoY

Gross Margin

21.3%

-50bp YoY

Operating Margin

13.1%

-64bp YoY

Net Margin

9.6%

-20bp YoY

ROE

18.3%

-86bp YoY

Total Assets

$8.8B

+1.8% YoY

EPS (Diluted)

$8.93

+5.3% YoY

Operating Cash Flow

$1.2B

-9.4% YoY

Source: XBRL data from Packaging Corporation of America FY2024 10-K filing on SEC EDGAR. All figures in USD.

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