Earnings Analysis for PKG

An in-depth analysis of PKG’s financial performance over the last three years, based on the metrics provided.

1. Revenue Analysis:

Total and Operating Revenue: PKG shows a consistent trend in operating revenue over recent quarters, with values of $1.976 billion in Q1 2023, $1.936 billion in Q3 2023, and $1.938 billion in Q4 2023. This indicates a stable operational performance.

Gross Profit: The gross profit has been enhancing from $431.4 million in Q1 2023 to $444.7 million in Q2 2023, maintaining solid margins by Q4 2023 at $410.1 million.

2. Cost Management:

Cost of Revenue: Cost of revenue has remained relatively stable with $1.545 billion in Q1 2023, showing a slight decrease in subsequent quarters such as $1.524 billion in Q3 2023.

Operating Expensese: Operating expense peaked in Q1 2023 at $148.2 million and slightly reduced to $142.8 million by Q4 2023, demonstrating prudent cost management.

Total Expenses: Total expenses showed an increase from $1.693 billion in Q1 2023 to $1.670 billion in Q4 2023, aligning with the seen trends in revenue and costs.

3. Profitability Analysis:

EBITDA: EBITDA has seen a high of $421.1 million in Q2 2023 with a slight decrease to $390.5 million by Q4 2023.

Operating Income: There has been an appreciable increase from $283.2 million in Q1 2023 to $299.1 million in Q2 2023, with a slight reduction to $267.3 million by Q4 2023.

Pretax Income: Pretax income was $253.3 million at the start of the period, increasing to $267.8 million in Q2 2023, before a decrease to $248.5 million by Q4 2023.

Net Income: Net income trends are consistent, from $190.1 million in Q1 2023, peaking at $202.7 million in Q2 2023, and landing at $189.2 million by Q4 2023.

4. Cash Flow Indicators:

Reconciled Depreciation: Depreciation charges were $129.5 million in Q1 2023, peaking to $130.9 million in Q4 2023, indicating ongoing asset depreciation.

Interest Expense: Interest expenses were consistent, around $14.6 million in Q2 2023 and slightly reduced to $11.1 million in Q4 2023.

5. Taxation:

Tax Rate: The effective tax rate varied slightly, around 24.3% in Q2 2023 to 23.9% in Q4 2023.

Tax Provision: Tax provision was $65.1 million in Q2 2023, decreasing to $59.3 million by Q4 2023, reflecting the income before tax adjustments.

Tax Effect Of Unusual Items: The tax effect of unusual items significantly impacts the net after-tax results, seeing as the figures range from about -$2.6 million in Q2 2023 to -$2.55 million in Q4 2023.

6. Shareholder Metrics:

Diluted and Basic EPS: Diluted EPS was reported as 2.24 in Q2 2023 and decreased to 2.10 by Q4 2023. Similarly, basic EPS adjusted from 2.25 in Q2 2023 to 2.11 in Q4 2023.

Average Shares: The number of diluted average shares was slightly altered throughout the period, starting with approximately 89.67 million in Q1 2023 and increasing to about 89.68 million in Q4 2023.

Net Income Available to Common Stockholders: This metric scaled from $188.5 million in Q1 2023 to $187.8 million in Q4 2023.

7. Conclusion:

PKG has demonstrated consistent revenue and gross profit margins over the analyzed period with effective cost controls. Notable increments in operational and pretax incomes are evident amidst slight volatility in net income. The company holds a stable financial position, showing careful balance between growth and operational sustainability.

Appendices

Please refer to the financial data tables provided for detailed numerical values and calculations.