International Paper reports first quarter 2024 results
Mark Sutton announces business progress and expectations of change with the arrival of Andy Silvernail, as company unveils financial results and acquisition plans
International Paper has announced progress on its strategic initiatives during the first quarter of 2024, according to statements from Mark Sutton, the company’s president and chief executive officer. Business and cost benefits were noted despite persistent challenges in terms of high costs and seasonally lower volumes. In addition, a change in leadership is expected with the arrival of Andy Silvernail as the new CEO on May 1.
In operating results, Industrial Packaging reported operating earnings of $216 million in North America, benefiting from higher selling prices, although offset by lower volumes and higher costs. In EMEA, earnings were lower due to the non-recurrence of one-time benefits from the previous quarter.
Overall pulp fiber operating profit was ($47) million, an improvement over the previous quarter. Higher pulp prices and system optimization contributed to this result, despite higher operating costs.
Net corporate expenses were $24 million, compared to a net income of $9 million in the prior quarter.
International Paper also announced an offer to acquire the entire share capital of DS Smith Plc, with an implied enterprise value of approximately $9.9 billion. The transaction is expected to close in the fourth quarter of 2024, subject to regulatory and shareholder approvals.
