KapStone Paper and Packaging Corporation (KS) recently reported record results for the second quarter ended June 30, 2013. Key figures from the report include:
•Net sales of $326 million up $20 million, or 7 percent, versus prior year
•Net income of $21 million up 14 percent versus 2012
•Adjusted EBITDA of $56 million up $6 million, or 11 percent, versus prior year
•Diluted EPS of $0.44 up $0.05 per share, or 13 percent, versus 2012
•Adjusted diluted EPS of $0.48 up $0.06 per share, or 14 percent, versus prior year
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.
"In addition to our legacy operations performing very well in the second quarter, we were equally delighted with the performance of Longview which we acquired on July 18, 2013. Together, KapStone and Longview create an even stronger and more diversified company."
In summary, Stone commented, "Our legacy KapStone operations are performing very well, and we are now thoroughly engaged in welcoming and integrating Longview into the KapStone family."
Headquartered in Northbrook, Illinois, KapStone Paper and Packaging Corporation is a leading North American producer of containerboard, unbleached kraft paper products, and corrugated products. The company operates four paper mills and 22 converting plants located throughout the United States.
