Packaging Corporation of America filed its quarterly report on Form 10-Q for the period ended June 30, 2026, disclosing second-quarter net sales of $2,489.9 million and net income of $192.1 million.

Key Highlights

  • Q2 2026 net sales: $2,489.9 million, compared with $2,171.3 million in Q2 2025.
  • Q2 2026 net income: $192.1 million, or $2.15 diluted earnings per share, compared with $241.5 million, or $2.67 diluted EPS, in Q2 2025.
  • Six-month net sales: $4,857.6 million for the first half of 2026, versus $4,312.3 million for the same period in 2025.
  • Dividends declared: $1.50 per common share in Q2 2026, up from $1.25 in Q2 2025; $2.75 per share for the first half of 2026.
  • Operating cash flow: $705.3 million for the six months ended June 30, 2026, compared with $638.7 million in the prior-year period.
  • Total assets: $11,015.5 million as of June 30, 2026, versus $10,725.5 million at December 31, 2025.
  • Shares outstanding: 89,098,299 shares of common stock as of July 31, 2026, per the filing.

Packaging Corporation of America Reports Higher Sales but Lower Net Income in Second Quarter 2026

Packaging Corporation of America (NYSE: PKG), headquartered in Lake Forest, Illinois, reported net sales of $2,489.9 million for the three months ended June 30, 2026, according to its quarterly filing. That compares with net sales of $2,171.3 million in the same quarter of 2025. Cost of sales rose to $1,977.4 million from $1,688.3 million, leaving gross profit of $512.5 million for Q2 2026, compared with $483.0 million in Q2 2025.

The filing disclosed income from operations of $291.2 million for Q2 2026, down from $333.7 million in Q2 2025. Net interest expense increased to $33.3 million from $13.1 million in the prior-year quarter, and other expense, net was $(42.0) million, compared with income of $3.9 million a year earlier. As a result, net income declined to $192.1 million from $241.5 million. For the six months ended June 30, 2026, net income was $363.0 million, compared with $445.3 million in the first half of 2025. Depreciation, depletion, and amortization of intangibles for the first six months of 2026 was $401.5 million, compared with $278.6 million in the comparable 2025 period.

On the balance sheet, the company reported total assets of $11,015.5 million and long-term debt of $3,968.9 million as of June 30, 2026. Cash and cash equivalents stood at $442.8 million, down from $529.0 million at December 31, 2025. Capital expenditures for the six-month period totaled $370.6 million, and the company repurchased $58.8 million of common stock during the same period, according to the filing. Goodwill increased to $1,416.3 million from $1,372.3 million at year-end 2025.

What Was Disclosed

The 10-Q for the period ended June 30, 2026 reported higher quarterly revenue year over year but lower net income and operating income, alongside increased interest expense, higher capital expenditures, a dividend increase, and share repurchases during the first half of 2026.