HARTSVILLE, S.C. (News release) -- Sonoco provided updated guidance for its second quarter net income per diluted share, ending July 3, 2022, and announced its earnings release date and investor conference call information.
Sonoco Provides Second-Quarter 2022 Financial Update
Based on strong April and May results combined with its current June forecast, Sonoco expects second-quarter 2022 GAAP net income to be in a range of $1.27 to $1.37 per diluted share compared to a loss of ($3.34) per diluted share in the prior year quarter. Second-quarter GAAP net income reflects estimated after-tax restructuring charges, acquisition-related expenses, including certain aspects of purchase accounting, intangibles amortization expense, an increase in the LIFO reserve and other items. As a result, the Company expects second-quarter 2022 base net income to be in a range of $1.60 to $1.70 per diluted share, which at the mid-point is over 70 percent above second-quarter 2021 base net income of $0.93 per diluted share and over 30 percent above the Company's previously communicated second-quarter 2022 base net income guidance range of $1.20 to $1.30 per diluted share. Sonoco reported GAAP net income of $1.17 per diluted share and base net income of $1.85 per diluted share in the first quarter of 2022. (See base net income definition, explanation and reconciliation to GAAP net income later in this release.)
Sonoco expects operating results to be significantly better than previously projected due to sustained customer demand particularly in its Consumer Packaging and All Other segments, as well as continued strong performance in price recovery. In addition, operating results are expected to benefit from the continued strong performance of the Company's Metal Packaging business, which was acquired in the first quarter of 2022.
Information on Second Quarter Financial Release Date and Management Conference Call
Sonoco expects to report its second-quarter financial results before the NYSE opens for trading on Thursday, July 21, 2022. Management will host a conference call and webcast to review those results beginning at 11 a.m. ET on that day. The live conference call and a corresponding presentation will be made available via the Company's Investor Relations website at https://investor.sonoco.com. To participate via telephone, please register in advance at https://register.vevent.com/register/BI3b6724abceb64b5aae827c935441ab9d. Upon registration, all telephone participants will receive the dial-in number along with a unique PIN number that can be used to access the call. A replay of the conference call and webcast will be archived on the Company's website for at least 30 days.
About Sonoco
Founded in 1899, Sonoco (NYSE: SON) is a global provider of consumer, industrial, healthcare and protective packaging. With net sales of approximately $5.6 billion in 2021, the Company has 22,000 employees working in approximately 300 operations in 32 countries, serving some of the world's best-known brands in some 85 nations. Sonoco is committed to creating sustainable products, services and programs for our customers, employees and communities that support our corporate purpose of Better Packaging. Better Life. The Company ranked first in the Packaging sector on Fortune's World's Most Admired Companies for 2022 as well as being included in Barron's 100 Most Sustainable Companies for the fourth consecutive year. For more information, visit www.sonoco.com.
