KapStone Paper and Packaging Earnings: Everything You Must Know Now

KapStone Paper and Packaging Corporation (NYSE:KS) delivered a profit and met Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

KapStone Paper and Packaging Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 7.32% to $0.44 in the quarter versus EPS of $0.41 in the year-earlier quarter.

Revenue: Rose 6.55% to $326.32 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: KapStone Paper and Packaging Corporation reported adjusted EPS income of $0.44 per share. By that measure, the company met the mean analyst estimate of $0.44. It beat the average revenue estimate of $322.69 million.

Quoting Management: Roger W. Stone, Chairman and Chief Executive Officer, stated, “Our mills produced a record 390,000 tons for the quarter. All-time record net sales and adjusted EBITDA were achieved despite the loss of approximately 9,400 production tons and $5.0 million of expense due to our Charleston mill’s tri-annual planned maintenance outage. The increases in net sales and adjusted EBITDA were driven by our all-time record average selling prices for all mill products of $664 per ton which increased by $41 per ton compared to a year ago and $11 per ton compared to the first quarter of 2013, reflecting the impact of the 2012 and April 2013 containerboard price increases. The April price increase was fully implemented by June and partially realized in the second quarter of 2013.”

Key Stats (on next page)…

EPS increased 4.76% from $0.42 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.69 to a profit $0.81. For the current year, the average estimate has moved up from a profit of $2.22 to a profit of $2.65 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)