Sonoco Posts $732.1 Million Q3 Loss on $829 Million Goodwill Impairments, Cuts 2026 Outlook

Sonoco Products Co. (SON) reported a third-quarter net loss of $732.1 million, or $7.36 per share, reversing net income of $122.9 million, or $1.23 per share, a year earlier, the company said Wednesday. The loss included $829 million in non-cash goodwill impairment charges tied to its Consumer EMEA/APAC and Industrial APAC businesses. Adjusted net income fell 12.5% to $167 million, and adjusted diluted earnings per share dropped 13% to $1.67 from $1.92. Net sales declined 4.2% to $2.04 billion, mainly reflecting the November 2025 divestiture of the ThermoSafe business; excluding divestitures, sales were essentially flat as higher prices offset by inflation and tariff-related costs were diluted by lower volume and unfavorable product mix. Higher selling prices implemented to offset inflation and tariff-related costs were partly offset by lower volume and unfavorable product mix. Sonoco cut its full-year 2026 guidance, now projecting net sales of $7.20 billion to $7.40 billion, adjusted EPS of $5.30 to $5.50 and adjusted EBITDA of $1.20 billion to $1.25 billion. It previously expected sales of $7.25 billion to $7.75 billion, adjusted EPS of $5.80 to $6.20 and adjusted EBITDA of $1.25 billion to $1.35 billion.