PCA reports sales growth but slimmer profits. The paperboard and packaging producer says facility closure and Greif acquisition costs ate into a challenging but otherwise profitable operating environment. Published July 29, 2026 Lake Forest, Illinois-based Packaging Corp. of America (PCA) has reported second quarter 2026 net income attributable to shareholders of $192 million, or $2.15 per share, on quarterly sales of $2.5 billion. The net income figure represents a 20.4 percent decrease compared with the containerboard and packaging producer's net income in the second quarter of 2025. The firm's $2.5 billion sales figure, however, marks a 13.6 percent increase from the $2.2 billion in sales it recorded in the second quarter of 2025. PCA says its reported earnings in its most recently completed quarter include expenses tied to facility closure costs and write-offs, costs related to the restructuring of its Wallula, Washington, containerboard mill and costs tied to its acquisition of the containerboard production facilities of Ohio-based Greif Inc. Adds the firm, "Reported earnings in the second quarter of 2025 included special items relating to gains on the sale of real estate in connection with the closure of corrugated products facilities, partially offset by acquisition and integration related costs." Excluding special items, Greif says it also experienced lower earnings from what it calls its legacy business that were "partially offset by 14 cents per share of earnings from the acquired Greif operations." PCA says the lower earnings in the legacy business was driven by higher freight costs, higher corporate and other expenses, unfavorable price and mix in the packaging business, higher labor and operating costs, higher depreciation and amortization expenses, higher fiber (including recycled fiber) costs, a higher tax rate and higher interest expense. Looking ahead in terms of the procurement of old corrugated containers (OCC) and other fiber grades, PCA board chair and CEO Mark W. Kowlzan comments, "Prices for recycled fiber are continuing to increase and higher mill production will drive increased usage." Regarding PCA's sales environment in the April through June timeframe, the company says its total corrugated products shipments were up 24.3 percent per day higher compared with the second quarter of 2025, although that figure falls to a 4.1 percent per day increase without the newly acquired Greif assets. PCA says its containerboard production in the second quarter of this year was more than 1.41 million tons. The firm's containerboard inventory level at the end of the quarter was down 25,000 tons compared to three months earlier but was 40,000 tons higher year on year. In its Paper (non-packaging papers) segment, PCA says its sales volume was up 6.3 percent this spring compared with the second quarter of 2025. "We achieved an all-time quarterly record in total corrugated shipments in our legacy corrugated operations," says Kowlzan. "Demand remained strong throughout the entire quarter, and we began to meaningfully realize the first of our previously announced price increases in the corrugated products business." Continues the CEO, "The acquired Greif business contributed to earnings, driven by strong volumes at the corrugated plants and improved operational performance at the mills, with production consistently exceeding capabilities at the time of the acquisition." Adds Kowlzan, "We continued to operate our mill system at full capacity and reduced export sales by approximately 30,000 tons from first quarter levels to support our corrugated products demand. Our volumes and outstanding operating performance across our businesses helped us mitigate significantly higher freight and recycled fiber costs." Concerning the quarter now underway, Kowlzan remaks, "Looking ahead as we move from the second quarter into the third quarter, we expect continued strong demand in the Packaging segment and corrugated products volume to increase with one more shipping day." Sponsored Content Optimal productivity, heavy construction, safety features and operator comfort come together in the SENNEBOGEN 360 G-series telescopic wheel loader, designed for work across the waste and recycling industry. Telescopic wheel loaders manufactured by SENNEBOGEN have a growing presence at transfer stations, material recovery facilities (MRFs), construction and demolition (C&D) recycling plants and metal recycling facilities across North America. Adds the CEO, "Prices for containerboard and corrugated products will be higher as we complete the implementation of our first announced price increase and begin to realize our second announced price increase." Kowlzan says he anticipates "better operating performance across our containerboard mill system with continued improved capabilities from our Jackson [Alabama] mill and our acquired Greif mills." PCA describes itself as the third largest producer of containerboard products and a leading producer of uncoated freesheet paper in North America. The company operates 10 mills and 90 corrugated products plants and related facilities. Get curated news on YOUR industry. Enter your email to receive our newsletters.

PCA sets $140 per ton containerboard price increase for September 1 as capacity closures tighten North American supply. Recent capacity retirements and mill disruptions contribute to tighter North American containerboard market conditions. July 27, 2026 Key takeaways: * Buyers and sellers confirmed a third North American containerboard price increase this year, effective September 1. * The $140 per ton increase would be the third containerboard pricing rise in North America within seven months. * If fully implemented, linerboard prices would increase by $240 per ton over a seven-month period. * Sources linked market tightness to 3.9 million tons of capacity retirements and recent mill shutdowns. * PCA said earlier containerboard increases are flowing through, while corrugated box prices have also moved higher. A third containerboard price increase was announced for this year in North America, buyers and sellers confirmed to Fastmarkets on Friday July 24. The increase, for $140 per ton, would be the third containerboard pricing increase in North America in just seven months. If fully implemented, that means linerboard prices in North America would rise by $240 per ton in only seven months, in what is likely the largest, fastest increase ever. The last swift linerboard price increase run was during COVID when prices rose four times in a row by a total of $220 per ton in 2020-2022. Linerboard and corrugating medium prices first increased by $100 per ton in March, April and June in the first half of this year. The increases were $40 per ton for March, $30 per ton for April and $50 per ton for June. These increases came on the heels on a $20 per ton decline in linerboard prices in February for a net $100 per ton increase so far this year in North America, based on Fastmarkets assessment. Packaging Corp of America (PCA) leaders on Thursday July 23 called the market "tight." A handful of buyer and sellers confirmed the PCA $140 per ton increase to Fastmarkets on Friday. The tightness stems from a major and unprecedented capacity retirement of 10% in the US and a total of 3.9 million tons, from February 2025 through March 2026. Further this month, International Paper reported the need to shut its large Pine Hill, Alabama, containerboard mill for what sources say could last one to two months. Also, another major integrated in July was cited for supply delays following a major mill shutdown in 2025. Contacts on the export market worried about lack of US kraft linerboard supply for at least the next two months. One buyer in the second week of July reported a producer who quoted pricing for orders in October. With the $100 per ton in price increases so far this year on containerboard according to Fastmarkets assessment, PCA reported moving its corrugated box prices higher. PCA is the third largest box maker in North America behind IP and Smurfit Westrock. "On the first increase [in March/April], the vast majority of that's coming in Q3," said PCA CFO Kent A. Pflederer during the PCA earnings call on July 23. "[For] the second increase [in June], the majority will come in Q4, but not quite as pronounced as the Q2, Q3 split on the first increase."