Packaging Corp. of America (PKG) Q1 FY2026 earnings: revenue $2.4 billion, up 10.6% on the year

Packaging Corp. of America (PKG) reported revenue of $2.4 billion for Q1 FY2026, the quarter ended 31 March 2026, up 10.6% on the same quarter a year earlier. Net income was $171 million, down 16.1% on the year, and diluted earnings per share $1.91. The figures are the company's own, from the 10-Q it filed with the SEC on 8 May 2026.

Revenue

$2.4 billion

+10.6% on the year · +0.2% on the quarter

Q2 FY2024Q1 FY2026

Operating margin

10.6%

13.1% a year earlier

Q2 FY2024Q1 FY2026

Net income

$171 million

-16.1% on the year · +67.7% on the quarter

Q2 FY2024Q1 FY2026

Diluted EPS

$1.91

-15.5% on the year · +69.0% on the quarter

Q2 FY2024Q1 FY2026

this quarterthe same quarter a year earlierHover a bar for its figure.

What management said

Guidance figures: 1 new.

EPS excluding special items rose: Diluted EPS excluding special items was $2.40 against $2.31 a year earlier. Reported diluted EPS was $1.91 against $2.26, with special items of $0.49 per share.
Earnings above first-quarter guidance: Excluding special items, earnings were $0.20 above the $2.20 first-quarter guidance, mainly on legacy packaging volume and mix.
Legacy prices and mix added most: Legacy packaging prices and mix added $0.17 per share within the $0.09 year-over-year increase in EPS excluding special items.

Read the earnings call summary

Income statement (profit and loss)

$ million	Q1 FY2026	Q4 FY2025	Q1 FY2025	On the quarter	On the year
Revenue	2,368	2,364	2,141	+0.2%	+10.6%
Cost of revenue	1,915	1,916	1,686	-0.1%	+13.6%
Gross profit	453	448	455	+1.2%	-0.4%
Gross margin	19.1%	18.9%	21.2%
Selling, general and administrative	180	165	161	+9.1%	+11.7%
Operating income	251	168	280	+49.1%	-10.3%
Operating margin	10.6%	7.1%	13.1%
Pre-tax income	220	135	267	+63.3%	-17.8%
Income tax	48.9	32.7	63.6	+49.5%	-23.1%
Effective tax rate	22.2%	24.3%	23.8%
Net income	171	102	204	+67.7%	-16.1%
Net margin	7.2%	4.3%	9.5%
Diluted EPS	$1.91	$1.13	$2.26	+69.0%	-15.5%

$ million except per share.

Fourth quarters are the year less the first three quarters. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	Q1 FY2026	Q4 FY2025	Q1 FY2025	On the quarter	On the year
Operating cash flow	329	447	339	-26.3%	-2.9%
Capital expenditure	165	319	148	-48.4%	+11.2%
Free cash flow	165	128	191	+29.0%	-13.8%
Free cash flow margin	7.0%	5.4%	8.9%
Cash from investing	-261	-286	-144
Cash from financing	-200	-266	-128
Depreciation and amortisation	225	222	138	+1.7%	+63.2%
Share-based compensation	15.3	8.6	17.8	+77.9%	-14.0%
Buybacks	58.8	153	0.0	-61.6%
Dividends paid	112	112	112	-0.5%	-0.4%
Dividend per share	$1.25	n/a	$1.25		0.0%
Diluted shares, weighted	89m	90m	90m	-0.6%	-0.6%
Shares outstanding at period end	89m	89m	90m	-0.1%	-1.0%

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet

$ million	Q1 FY2026	Q4 FY2025	Q1 FY2025	On the quarter	On the year
Shareholders' equity	4,588	4,598	4,499	-0.2%	+2.0%
Debt	3,968	3,992	2,475	-0.6%	+60.3%
Operating lease liabilities	290	291	235	-0.1%	+23.3%
Finance lease liabilities	4.2	4.9	6.1	-14.3%	-31.1%
Other liabilities	1,928	1,840	1,754	+4.8%	+9.9%
Total liabilities and equity	10,778	10,726	8,970	+0.5%	+20.2%
Fixed assets	4,995	4,985	4,080	+0.2%	+22.5%
Goodwill	1,382	1,372	922	+0.7%	+49.8%
Intangible assets	584	602	182	-3.1%	+219.9%
Investments	218	139	163	+57.3%	+34.2%
Cash and equivalents	397	529	752	-24.9%	-47.2%
Receivables	1,336	1,256	1,164	+6.4%	+14.8%
Inventory	1,258	1,243	1,141	+1.2%	+10.3%
Other assets	607	599	566	+1.4%	+7.2%
Total assets	10,778	10,726	8,970	+0.5%	+20.2%

Questions

What was Packaging Corp. of America's revenue in Q1 FY2026?

Packaging Corp. of America (PKG) reported revenue of $2.4 billion for Q1 FY2026, the quarter ended 31 March 2026, up 10.6% on the same quarter a year earlier.

How much did Packaging Corp. of America earn in Q1 FY2026?

Net income for Q1 FY2026 was $171 million, down 16.1% on the year, and diluted earnings per share $1.91.

When did Packaging Corp. of America report Q1 FY2026 results?

Packaging Corp. of America filed its 10-Q for the quarter ended 31 March 2026 with the SEC on 8 May 2026.

Quarterly results, the last 20 quarters

	Q4 FY2021 *	Q1 FY2022	Q2 FY2022	Q3 FY2022	Q4 FY2022 *	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023 *	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024 *	Q1 FY2025	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026	Q3 FY2026
Revenue	2,043	2,136	2,237	2,126	1,978	1,976	1,952	1,936	1,938	1,980	2,075	2,182	2,146	2,141	2,171	2,313	2,364	2,368	2,490	2,602
Cost of revenue	1,533	1,603	1,648	1,608	1,528	1,545	1,507	1,523	1,528	1,609	1,638	1,677	1,676	1,686	1,688	1,809	1,916	1,915	1,977	1,998
Gross profit	510	533	589	518	450	431	445	413	410	370	438	505	470	455	483	504	448	453	512	604
Gross margin	25%	25%	26%	24%	23%	22%	23%	21%	21%	19%	21%	23%	22%	21%	22%	22%	19%	19%	21%	23%
SG&A	141	161	157	145	146	148	146	144	143	152	150	162	147	161	153	154	165	180	179	183
Operating income	356	356	416	360	288	271	284	259	261	196	276	327	302	280	334	324	168	251	291	385
Operating margin	17%	17%	19%	17%	15%	14%	15%	13%	13%	10%	13%	15%	14%	13%	15%	14%	7%	11%	12%	15%
Pre-tax income	280	340	401	347	276	253	268	244	248	188	267	319	292	267	321	305	135	220	259	354
Tax rate	23%	25%	25%	24%	23%	25%	24%	25%	24%	22%	-25%	25%	71%	24%	25%	26%	24%	22%	26%	26%
Net income	217	254	302	262	212	190	203	183	189	147	199	238	221	204	242	227	102	171	192	262
Net margin	11%	12%	13%	12%	11%	10%	10%	9%	10%	7%	10%	11%	10%	10%	11%	10%	4%	7%	8%	10%
Diluted EPS	$2.28	$2.70	$3.20	$2.80	$2.31	$2.11	$2.24	$2.03	$2.10	$1.63	$2.21	$2.64	$2.45	$2.26	$2.67	$2.51	$1.13	$1.91	$2.15	$2.93
Operating cash flow	391	325	319	431	420	280	360	340	335	260	278	327	325	339	300	472	447	329	376	472
Capital expenditure	239	213	184	180	247	112	126	89.8	141	76.7	245	147	201	148	170	192	319	165	206	247
Free cash flow	152	112	135	251	173	168	234	250	194	184	33.3	180	124	191	130	280	128	165	170	224
Buybacks	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	0.0	0.0	0.0	153	58.8	0.0	0.0
Dividends paid	95.0	93.6	93.6	117	116	112	112	112	112	112	112	112	112	112	112	112	112	112	111	134
Shares outstanding	94m	94m	94m	93m	90m	90m	90m	90m	90m	90m	90m	90m	90m	90m	90m	90m	89m	89m	89m	89m
Filing	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS, and its diluted share count where shown, are from the company's results press release for that quarter, checked against the company's filed figures or a second data source. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-Q for the period ended 31 March 2026, filed 8 May 2026: the filing.