US-based paper packaging company Graphic Packaging has generated $2.35bn in net sales for the second quarter (Q2) of the fiscal year 2022 (FY22), representing a $621m increase from $1.73bn in Q2 2021.
Driven by global demand for sustainability-supported, innovative consumer packaging solutions, the company’s net organic sales increased by 3% in the three months to 30 June.
Graphic Packaging recorded a net income of $66m for the quarter, compared with $38m in the same period of FY21.
Its adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) for the quarter were $396m, up from $248m in Q2 2021.
The company posted earnings of $0.21 for each of its diluted shares, up from $0.13 in the corresponding period of FY21.
Graphic Packaging president and CEO Michael Doss said: “This growth is indicative of the ongoing transition of our customers to more recyclable and circular fibre-based packaging solutions.
“Our integrated business model and global scale have been essential to procuring raw materials in today’s challenging supply chain environment and ensuring supply to our customers.
“The operating leverage we have driven in our financial model remains on full display this year. We are on track to deliver our recently enhanced and stronger Vision 2025 goals by meeting or exceeding 2022 milestones.
“We continue to execute multiple pricing and productivity initiatives focused on improving profit margins and capturing returns on strategic investments.”
Net sales for the first half of FY22 were $4.60bn compared to $3.38bn in the same period 2021.
Its net income during this period was $173m.
In March this year, Graphic Packaging launched EnviroClip, a paperboard alternative to plastic rings and shrink film for beverage cans.
The EnviroClip solution is made from a single paperboard ply, which is produced using renewable fibre from sustainably managed forests.