Edwyn
| Metric | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Revenue | $6,658 | $7,730 | $8,478 | $7,802 | $8,383 |
| Gross Profit | $1,369 | $1,873 | $2,091 | $1,699 | $1,783 |
| Operating Income | $724 | $1,241 | $1,421 | $1,075 | $1,101 |
| Net Income | $461 | $841 | $1,030 | $765 | $805 |
Over the analyzed five-year period, Packaging Corp of America demonstrated strong performance improvements initially before experiencing a significant downturn in 2023. From 2020 to 2022, the company’s revenue grew steadily from US$6.66 billion to US$8.48 billion, with gross profit expanding from US$1.37 billion to US$2.09 billion. Operating income and net income followed a similar upward trend—operating income increased from US$723.9 million in 2020 to US$1,420.7 million in 2022, while net income rose from US$461 million to US$1,029.8 million. Notable year-over-year growth was observed between 2020 and 2021, where net income jumped by over 82%, pointing to efficient operational performance and potentially improved pricing or cost management in an industry characterized by steady demand for packaging solutions. However, 2023 marked a reversal, with revenue declining to US$7.80 billion, a gross profit drop to US$1.70 billion, operating income falling to US$1,075.1 million, and net income dipping by more than 25% to US$765.2 million compared to 2022. This significant swing—exceeding the 20% threshold in key metrics—could be linked to market pressures such as rising raw material costs, supply chain challenges, or shifts in customer demand common within the packaging industry. The slight recovery in 2024, with revenue climbing back to US$8.38 billion and modest improvements in profit figures, suggests that the company is regaining momentum. Overall, Packaging Corp of America's financials indicate generally strong operational health and resilience, although the 2023 performance highlights the importance of managing external cost pressures and operational risks to sustain long-term stability.
This analysis is for informational purposes only and does not constitute financial advice or recommendations for any investment decisions. Please consult with a qualified financial professional for personalized guidance.