Sonoco Products Company

SON
Financial Analysis · Updated May 13, 2026 · Coverage 2026-Q2
Latest Q Revenue
$1.7B
Q1 2025 · +31% YoY

Financial Snapshot

ticker: SON step: 04 generated: 2026-05-13 source: quick-research

Sonoco Products Company (SON) — Financial Snapshot

Income Statement Summary

Metric FY2022 FY2023 FY2024 YoY
Revenue ~$6.7B ~$6.8B ~$5.7B ~(16%)
Gross Margin ~24% ~24% ~25%
Operating Margin ~10% ~10% ~11%
Net Income ~$500M ~$480M ~$350M
Adj. EPS ~$5.50 ~$5.20 ~$5.15

FY2024 revenue decline reflects strategic divestitures (ThermoSafe and other businesses) partially offset by the December 4, 2024 Eviosys acquisition close (only ~1 month contribution in FY2024). FY2025 is the first full year with Eviosys — Q1 2025 revenue surged 30.6% to $1.7B. FY2026 guidance: $7.25–7.75B revenue. Adj. EPS FY2024 guidance: $5.05–$5.25.

Cash Flow & Balance Sheet (FY2024 / FY2025)

Metric Value
Operating Cash Flow (FY2025) $689.8M (down 17% from Eviosys integration costs)
Free Cash Flow ~$400–450M (capex-heavy integration year)
Cash & Equivalents ~$200M
Total Debt ~$6.5B (post-Eviosys acquisition)
Target Leverage Low 3x Net Debt/EBITDA by 2026

Key Ratios (approximate)

  • P/E: ~10x (trailing) | P/FCF: ~8.4x (2026 estimate) | Dividend Yield: ~4%
  • Revenue Growth (FY2025): +30%+ (Eviosys full-year contribution)
  • FY2026 Revenue Guidance: $7.25–7.75B
  • Adj. EPS FY2024: ~$5.15 | FY2025: growing toward $5.50-6.00

Growth Profile

Sonoco's underlying organic growth is modest (1–3% annually), typical for industrial packaging. The Eviosys acquisition is the transformative event: 25% EPS accretive in FY2025, creating the world's leading metal food can platform in EMEA. Synergies of $100M by end of 2026 will further expand margins. The company is targeting debt reduction to the low-3x range by 2026 via strong free cash flow. Trading at 8.4x 2026 FCF — near historical and sector lows.

Forward Estimates

  • FY2026 Revenue guidance: $7.25–7.75B
  • $100M synergy run-rate from Eviosys by end of 2026
  • $65M+ additional cost savings program ongoing
  • ThermoSafe divestiture proceeds support debt reduction
  • 8 analysts covering; consensus Buy; 12-month target $62 (~13% upside)

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $SON.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
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Markdown: /stocks/son/financials/md · → thesis · → memo