Forward-looking statements in this communication include statements regarding, but not limited to: the Company’s future operating and financial performance, including full year 2026 outlook and the anticipated drivers thereof, capital spending in 2026, cash flow in 2026, and projected payments of taxes; the Company’s ability to deliver on its strategic priorities; the Company’s ability to improve its competitive position and drive cost savings, including through its profitability performance plan; price/cost, customer demand and volume outlook; the effectiveness of and expected benefits from the Company’s strategy and strategic initiatives, including with respect to portfolio simplification, integration and capital allocation priorities; the Company’s expectations about its integrated structure to enhance its go-to-market strategy, focus its technology expertise and drive additional synergies across its global channels; the effects of the changing macroeconomic environment, including trade policies and tariffs, market conditions and interest costs on the Company, its supply chain and its customers, and the Company’s ability to manage risks related thereto; and the Company’s ability to generate long-term shareholder value and return capital to shareholders. Such risks, uncertainties and assumptions include, without limitation, those related to: the Company’s ability to execute on its strategy, including with respect to the integration of the Eviosys operations, divestitures, cost management, productivity improvements, restructuring and capital expenditures, and achieve the benefits it expects therefrom; conditions in the credit markets; the ability to retain key employees and successfully integrate Eviosys; the ability to realize estimated cost savings, synergies or other anticipated benefits of the Eviosys acquisition, or that such benefits may take longer to realize than expected; diversion of management’s attention; the potential impact of the consummation of the Eviosys acquisition on relationships with clients and other third parties; lower-than-projected financial performance of the Company’s European business, including as a result of loss or reduction in business from key customers, changes in our pricing model, or adverse changes in the macroeconomic or competitive environment in European markets; risks related to the impairment of goodwill and other intangible; the operation of new manufacturing capabilities; the Company’s ability to achieve anticipated cost and energy savings; the availability, transportation and pricing of raw materials, energy and transportation, including the impact of changes in tariff or other trade policies or sanctions and escalating trade wars, and the impact of war, general regional instability and other geopolitical tensions (such as the ongoing conflict between Russia and Ukraine, as well as the economic sanctions related thereto, and uncertainty in the Middle East), and the Company’s ability to continue to pass raw material, energy and transportation price increases and surcharges through to customers or otherwise manage these commodity pricing risks; the costs of labor; the effects of inflation, changes related to tariffs or other trade policies and global regulations, as well as the overall uncertainty surrounding international trade relations; fluctuations in consumer demand, volume softness, and other macroeconomic factors on the Company and the industries in which it operates and that it serves; the impact of changing laws and regulations, in the United States, on the Company; the Company’s ability to meet its environmental, sustainability and similar goals and other social and governance goals, including challenges in implementation thereof; and the other risks, uncertainties and assumptions discussed in the Company’s filings with the Securities and Exchange Commission, including its most recent reports on Forms 10-K and 10-Q, particularly under the heading “Risk Factors.” The Company undertakes no obligation to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (Dollars in thousands) Twelve Months Ended December 31, 2025 December 31, 2024 Net income $ 1,003,386 $ 163,940 Net (gain)/loss on divestiture of business, disposition of assets, and asset impairments (988,449 ) 34,412 Depreciation and amortization 519,356 374,859 Pension and postretirement plan contributions, net of non-cash expense (4,438 ) (2,156 ) Changes in working capital (70,563 ) 128,109 Changes in tax accounts 103,226 (66,984 ) Other operating activity 127,264 201,665 Net cash provided by operating activities 689,782 833,845 Purchases of property, plant and equipment, net (297,055 ) (377,586 ) Proceeds from the sale of business, net 2,470,145 80,996 Cost of acquisitions, net of cash acquired* 16,528 (3,793,569 ) Net debt (repayments)/proceeds (2,763,976 ) 3,890,785 Cash dividends (208,106 ) (203,492 ) Payments for share repurchases (10,930 ) (9,246 ) Other inflow/(outflow), including effects of exchange rates on cash 38,950 (130,610 ) Net (decrease)/increase in cash and cash equivalents (64,662 ) 291,123 Cash and cash equivalents at beginning of period 443,060 151,937 Cash and cash equivalents at end of period $ 378,398 $ 443,060 *During 2025, the Company received $16,528 in a final net working capital settlement related to the acquisition of Eviosys.
Author: Sonoco Products Company
Published at: 2026-02-16 21:00:00
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