KapStone reports record FQ 2011 results

KapStone Paper and Packaging Corporation recently reported preliminary record results for the fourth quarter and year ended December 31, 2011.

For the fourth quarter ended December 31, 2011:

Record net sales of $269 million, up 35% versus 2010
Net income of $74.2 million, up 463% versus prior year
  

Roger W. Stone, Chairman and Chief Executive Officer, stated, "Fourth quarter was transformational for KapStone as we greatly expanded our operations with the October 31st acquisition of U.S. Corrugated. The integration is moving along very well, and we expect significant benefits in 2012."

"Exceptionally strong operations during the fourth quarter helped to achieve record paper production for the quarter of 368 thousand tons despite having lost 14 thousand tons due to planned annual maintenance outages at both Roanoke Rapids and Cowpens in the fourth quarter. In addition to producing more tons, our improved manufacturing operations have lowered our manufacturing costs. We increased our average mill revenue per ton during the year by approximately $41 to $627 per ton. While we experienced some softness in export markets in the fourth quarter, demand remained stable enough that we shipped a record 332 thousand tons of paper and 1.0 billion square feet of corrugated packaging products. Together, all these factors produced record sales for the company for both the quarter and the year. Cash flow from operations for 2011 reached $136 million."