Net sales for fiscal 2016 decreased $45.6 million, or 4% to $1,095.8 million from $1,141.4 million for fiscal 2015. Average sell prices decreased 6% primarily due to the pass through of lower resin costs partially offset by a 3% increase in sales volume. Net income for fiscal 2016 was $28.8 million, or $5.60 per diluted share, as compared to net income of $28.8 million, or $5.64 per diluted share, for fiscal 2015. Adjusted EBITDA was $112.8 million for fiscal 2016 as compared to $76.1 million in fiscal 2015. click Read More below for additional detail
Sonoco (NYSE:SON) today announced it will increase prices for its paper-based tubes and cores by a minimum of 6 percent in the United States and Canada, effective with shipments beginning July 16, 2018.
“The price increase is necessary due to ongoing increases in uncoated recycled paperboard (URB), the largest input cost for tubes and cores. URB demand remains strong and the marketplace is extremely tight, with operating rates pushing 100 percent,” said Doug Schwartz, division vice president of sales and marketing. “In addition, the rising cost of transportation remains a headwind due to lack of capacity linked to recently imposed driver regulations. As a result, Sonoco will be implementing a new policy of selling certain large diameter tubes that have less space utilization yields at F.O.B. from our operations.”