Graphic Packaging published its results for the fourth quarter and full year 2025 on 3 February 2026. The Atlanta-based packaging group reported declining profits while confirming its free cash flow targets for 2026 and a comprehensive review of its organisation, locations and portfolio.
The company generated net sales of USD 8.6 billion in 2025 as a whole, compared to USD 8.8 billion in the previous year. Net profit for the year fell to USD 444 million compared to USD 658 million in 2024. Net profit also fell in the fourth quarter, totalling USD 71 million compared to USD 138 million in the same period of the previous year.
Margin pressure in the packaging business
Sales in the fourth quarter remained almost stable at USD 2.103 billion. According to the company, the result was burdened by a decline in prices and sales volumes in the packaging business as well as cost developments in raw materials and operations, among other things. Adjusted EBITDA fell to USD 1.395 billion for the year as a whole, compared to USD 1.682 billion in the previous year. The adjusted EBITDA margin decreased to 16.2 per cent after 19.1 per cent in 2024.
In addition to price and volume effects, the company also cites the sale of the Augusta site in Georgia in 2024 and higher costs as key influencing factors. At the same time, Graphic Packaging points to innovation sales growth of USD 213 million in 2025 as a whole, which corresponds to around 2.5 per cent of net sales.
„Limited consumer purchasing power has created a challenging market environment for our customers and competitive pressures remain a headwind in the short term. Looking ahead to 2026, our priorities are clear: drive operational excellence, deliver outstanding customer service, improve our cost structure and generate substantial free cash flow to strengthen the balance sheet and return capital to shareholders. I have initiated a comprehensive review of our organisational structure, operations and site network, as well as a selective review of our portfolio to ensure that our resources are deployed where we can create the most value for our shareholders.“
Robbert Rietbroek, President and CEO
For 2026, the company expects net sales of between USD 8.4 billion and USD 8.6 billion and adjusted EBITDA of between USD 1.05 billion and USD 1.25 billion. Adjusted free cash flow is expected to remain between USD 700 million and USD 800 million. The Major project for a new recycled cartonboard plant in Waco, Texas, According to the company, the project is largely complete. The total investment is estimated at around USD 1.67 billion, of which around USD 1.58 billion had been incurred by the end of 2025.
Graphic Packaging describes itself as a global provider of sustainable consumer goods packaging based primarily on renewable or recycled materials. Against the backdrop of declining margins and increased debt - net debt totalled USD 5.331 billion at the end of 2025 - there is now a greater focus on strengthening the financial structure.
Source: Graphic Packaging
