Sonoco Products Reports Q4 Earnings Miss with Negative EPS

Sonoco Products faces a tough quarter with disappointing earnings. The company reported a loss of $42.96 million, resulting in an EPS of -$0.44, falling short of analysts' expectations.

Date: 19-02-2025

AI Rating: 4

Negative Earnings and EPS: Sonoco Products (SON) reported a significant net loss of $42.96 million in Q4, compared to a profit of $81.24 million in the same period last year. This drastic change negatively impacts investor sentiment about the company's financial health.

Additionally, the company's earnings per share (EPS) dropped to -$0.44 from $0.82 in Q4 of the previous year, which is a clear indication of deterioration in performance. This could cause concern among investors regarding future profitability.

Adjusted Earnings: Although the company reported adjusted earnings of $99.67 million or $1.00 per share, this still fell below analysts' projections of $1.20 per share. The inability to meet market expectations further exacerbates the situation and may lead to a decline in stock prices.

Revenue Growth: On a slightly positive note, revenue increased to $1.363 billion in Q4 from $1.335 billion year-over-year. However, this growth may not be enough to offset the concerns raised by the lower earnings and EPS figures. Investors may perceive this as inadequate given the overall financial performance.

Stocks: SON