Earnings Alerts

International Paper Co (IP) Earnings Disappoint, Miss Estimates in 1Q Adjusted Operating EPS and Net Sales

  • Adjusted operating EPS: The adjusted operating EPS was 17c, lower than the estimate of 23c and last year’s figure of 53c.
  • Net sales: Net sales were $4.62 billion, which is 8% less than last year but slightly higher than the estimated $4.58 billion.
  • Industrial Packaging net sales: The net sales for the Industrial Packaging segment was $3.81 billion, 6.7% less than last year but more than the estimated $3.73 billion.
  • Global Cellulose Fibers net sales: Sales in the Global Cellulose Fibers segment was $704 million, down 13% from last year, but more than the estimated $694.4 million.
  • Business Segment operating profit: The operating profit for the Business Segment was $169 million, down 45% from last year.
  • Industrial Packaging Operating Profit: The operating profit for Industrial Packaging was $216 million, down by 33% from the last year and less than the estimated $235.9 million.
  • Global Cellulose Fibers Operating loss: There was a loss of $47 million in this segment, more than last year’s loss of $16 million and also more than the estimated loss of $36.2 million.
  • Adjusted free cash flow: The adjusted free cash flow was $144 million, much higher than last year’s $4 million, and also higher than the estimated $91.3 million.
  • Expert opinions: The company has 3 buys, 6 holds, and 0 sells from experts.

International Paper Co on Smartkarma

Analysts on Smartkarma, like Baptista Research, have been closely covering International Paper Co, providing insights on the company’s commercial initiatives and strategic investments. In their report, titled “International Paper Company: Commercial initiatives And Strategic Investments,” Baptista Research highlights how the company’s financial performance in the fourth quarter of 2023 was affected by challenging market conditions. They note that demand for International Paper Co‘s products experienced a significant decline throughout the year, as consumers shifted their spending towards services and essential goods.


A look at International Paper Co Smart Scores

FactorScoreMagnitude
Value4
Dividend4
Growth3
Resilience2
Momentum4
OVERALL SMART SCORE3.4

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on Smartkarma Smart Scores, International Paper Co seems to have a positive long-term outlook. With strong scores in Value and Dividend (both rated 4 out of 5), the company demonstrates solid financial health and shareholder rewards. This indicates that International Paper Co may be a good investment choice for those seeking stable returns and income.

Although the company scores lower in Growth and Resilience (3 and 2 out of 5, respectively), its Momentum score of 4 suggests that International Paper Co is currently experiencing favorable market trends. Despite facing challenges in terms of growth and resilience, the company’s overall momentum seems to be strong, potentially driving further shareholder value in the future.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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