Graphic Packaging Q2 adjusted EPS beats estimates, lowers outlook

Graphic Packaging Holding

04/08/2026 11:50

Overview
Consumer packaging maker's Q2 sales slightly beat analyst expectations, down 1% yr/yr
Adjusted EPS for Q2 beat consensus, despite inflation and lower prices
Company lowered full-year adjusted EPS outlook due to higher interest expense and inflation

Outlook
Company expects 2026 net sales at high end of $8.4 bln to $8.6 bln range
Company sees 2026 adjusted EBITDA at low end of $1.05 bln to $1.25 bln range
Company lowers 2026 adjusted EPS guidance to $0.65-$0.90 and sees adjusted cash flow at $600 mln-$700 mln

Result Drivers
INFLATION PRESSURE - Co said higher commodity input and operating cost inflation reduced profitability in Q2
COST ACTIONS - Productivity initiatives and cost reductions partially offset inflation, per CEO Robbert Rietbroek
LOWER PRICES - Decrease in pricing contributed to lower sales and earnings in Q2

Company press release: ID:nPnqXc5za

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Slight Beat*
$2.19 bln
$2.17 bln (11 Analysts)
Q2 Adjusted EPS
Beat
$0.14
$0.13 (11 Analysts)
Q2 EPS
 
$0.08
 
Q2 Adjusted Net Income
 
$41 mln
 
Q2 Net Income
 
$24 mln
 
Q2 Operating Income
 
$95 mln
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 10 "hold" and 2 "sell" or "strong sell"
The average consensus recommendation for the paper packaging peer group is "buy."
Wall Street's median 12-month price target for Graphic Packaging Holding Co is $11.00, about 3.1% above its August 3 closing price of $11.35
The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)