Q1 25 EPS
$0.23
MISS 36.11%
Est. $0.36
Q1 25 Revenue
$5.90B
MISS 5.61%
Est. $6.25B
vs S&P Since Q1 25
-57.2%
TRAILING MARKET
IP -27.3% vs S&P +30.0%
Market Reaction
Did IP Beat Earnings? Q1 2025 Results
International Paper delivered a disappointing first quarter for 2025, missing on both the top and bottom lines as the weight of its transformational DS Smith acquisition collided with softer-than-expected market demand. Adjusted earnings came in at $… Read more International Paper delivered a disappointing first quarter for 2025, missing on both the top and bottom lines as the weight of its transformational DS Smith acquisition collided with softer-than-expected market demand. Adjusted earnings came in at $0.23 per diluted share, falling well short of the $0.36 consensus estimate, a miss of 36.11%, while revenue of $5.90 billion trailed the $6.25 billion forecast by 5.61%, despite surging 27.8% year over year as DS Smith's January 31 close dramatically reshaped the company's scale. On a GAAP basis, International Paper recorded a net loss of $105 million, weighed down by $271 million in pre-tax charges tied to the closure of its Red River containerboard mill in Louisiana. Free cash flow ran deeply negative at roughly negative $618 million, reflecting heavy transformation-related costs and capital spending of $330 million. With a broader softness rippling across the forestry and packaging sector, CEO Andy Silvernail acknowledged the demand headwinds but pointed to accelerated 80/20 execution and strategic options for the Global Cellulose Fibers business as key levers for improvement ahead.
Key Takeaways
- • DS Smith acquisition contributed significant incremental sales ($127 million NA, $1.2 billion EMEA)
- • Higher sales prices for boxes in North America
- • Cost out initiatives and 80/20 strategic approach
- • Improved mill reliability in Global Cellulose Fibers segment
- • $30 million insurance reimbursement related to Ixtac, Mexico box plant fire
- • Lower recovered fiber costs in North America
IP YoY Financials
Q1 2025 vs Q1 2024, source: SEC Filings
IP Revenue by Segment
With YoY comparisons, source: SEC Filings
“Reflecting on my first year, I am proud of the International Paper team for embracing transformational change and achieving tremendous progress together. We deployed 80/20, focusing on our most valuable customers and aligning our resources accordingly. We launched key initiatives to drive step-change improvement in our performance, and invested to grow in the most attractive markets. Most recently, we welcomed our DS Smith colleagues and outlined our strategic direction at our Investor Day.”
— Andy Silvernail, Q1 2025 Earnings Press Release
IP Earnings Trends
IP vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
IP EPS Trend
Earnings per share: estimate vs actual
IP Revenue Trend
Quarterly revenue: estimate vs actual
IP Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q1 26 | — | — | — | — | — |
| Q3 25 MISS | $0.56 | $-0.43 | -177.28% | $6.22B | -3.63% |
| Q2 25 MISS | $0.41 | $0.20 | -51.09% | $6.77B | +0.97% |
| Q1 25 MISS | $0.36 | $0.23 | -36.11% | $5.90B | -5.61% |
| Q4 24 MISS FY | $0.03 | $-0.02 | -166.67% | $4.58B | -3.78% |
| FY Full Year | $1.25 | $1.13 | -9.85% | $18.62B | -0.96% |