NYSE$IP

International Paper Co · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

International Paper's financial performance improved with increased revenue, earnings, and margins, despite facing significant input cost and supply chain challenges.

International Paper reported strong Q3 2021 results with net earnings of $864 million, or $2.20 per diluted share, and adjusted operating earnings of $532 million, or $1.35 per diluted share. The company benefited from higher sales prices and lower planned maintenance outage expenses, but faced challenges from rising input costs and supply chain constraints.

  • Net earnings attributable to International Paper reached $864 million ($2.20 per diluted share).
  • Adjusted operating earnings (non-GAAP) amounted to $532 million ($1.35 per diluted share).
  • Cash provided by operations totaled $645 million.
  • The company successfully reduced debt by $235 million.

Headline financials

Total Revenue

$5.71B

Previous: $5.12B+11.5%
EPS (adj)

$1.35

Previous: $0.71+90.1%
Free Cash Flow

$519M

Previous: $616M-15.7%
Net Income

$864M

Previous: $204M+323.5%
Operating Income

$631M

Previous: $473M+33.4%
Gross Profit

$1.79B

Previous: $1.58B+13.1%
Cash & Equivalents

$2.12B

Previous: $450M+371.6%
Total Assets

$29.5B

Previous: $31.8B-7.4%

Revenue & EPS history

International Paper · Revenue · Quarterly

$5.71B

Q3 2021+11.5%vs Q3 2020
Beat estimate in 6 of 16 quarters(38%)
ActualEstimate

Revenue by segment

International Paper · $52M total across 1 segment · Q3 2021

  • Corporate and Inter-segment Sales
    $52M+8.3%

Forward guidance

International Paper anticipates strong seasonal demand for corrugated packaging in the fourth quarter, along with further margin expansion from previous price increases.

Tailwinds

  • Strong seasonal demand expected for corrugated packaging in Q4.
  • Additional margin expansion anticipated from previous price increases.
  • Company grew revenue, earnings and margins in Q3.
  • Company continued to generate strong cash from operations in Q3.
  • Earnings in North America increased driven by higher sales prices for corrugated boxes and containerboard and lower planned maintenance outage expenses.

Headwinds

  • Significant input cost and supply chain challenges persist.
  • Supply chain constraints impacted ability to capture full demand.
  • Input costs rose more than anticipated.
  • Inflationary environment expected to continue.
  • Earnings in Europe were lower reflecting seasonally lower volumes primarily in Morocco, and lower average sales margins driven by higher containerboard costs, as well as higher recovered fiber and energy costs.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-0.2%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+1.0%

Avg return

30 days after

44%

31 / 70 earnings

Positive

+13.7%

Q3 2024

Best reaction

-12.3%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.9%-5.1%-0.4%
Q4 2025-5.1%+1.4%+5.0%
Q3 2025-12.3%-17.3%-10.7%
Q1 2025-4.1%-7.1%+0.4%
Q4 2024-1.6%-7.1%-2.8%
Q3 2024+13.7%+17.4%+20.0%
Q2 2024+0.7%+1.6%+6.5%
Q1 2024-1.7%+1.5%+32.0%
Q4 2023-6.6%-7.5%-2.2%
Q3 2023+0.1%+1.8%-0.6%
Q2 2023+5.8%+6.4%+0.5%
Q1 2023-4.2%-6.5%-11.4%
Q4 2022+8.1%+9.4%-0.7%
Q3 2022+1.8%+0.9%+10.5%
Q2 2022+0.4%-0.7%+0.0%
Q1 2022-2.3%-1.1%+4.1%
Q4 2021-0.3%+1.6%-4.0%
Q3 2021-6.3%-7.4%-10.4%
Q2 2021-1.3%+0.4%+2.8%
Q1 2021+0.6%+4.7%+9.4%
Q4 2020-7.1%-5.0%+7.0%
Q3 2020+1.7%+8.2%+17.9%
Q2 2020-5.3%-4.0%+0.5%
Q1 2020-7.1%-9.4%-6.8%
Q4 2019-6.1%-3.7%-14.8%
Q3 2019+3.1%+6.1%+8.7%
Q2 2019+2.7%+2.1%-15.2%
Q1 2019+3.8%+5.7%-3.4%
Q4 2018-2.1%-1.1%-2.3%
Q3 2018+13.0%+14.3%+13.2%
Q2 2018-1.9%+1.3%-2.3%
Q1 2018-1.7%-4.4%+1.2%
Q4 2017-1.1%-5.2%-7.0%
Q3 2017-1.1%-2.5%-6.4%
Q2 2017-2.9%-1.9%-3.2%
Q1 2017-0.2%-0.7%-3.1%
Q4 2016-6.2%-7.7%-4.4%
Q3 2016-2.5%-4.2%+5.8%
Q2 2016+0.5%-0.4%+7.2%
Q1 2016+0.5%
Q4 2015+3.6%
Q3 2015-0.1%
Q2 2015-2.6%
Q1 2015+0.5%
Q4 2014-0.5%
Q3 2014+3.5%
Q2 2014-3.5%
Q1 2014+0.3%
Q4 2013+1.7%
Q3 2013+2.7%
Q2 2013+4.0%
Q1 2013-0.6%
Q4 2012-0.8%
Q3 2012-2.0%
Q2 2012+6.4%
Q1 2012-1.3%
Q4 2011+5.2%
Q3 2011+1.9%
Q2 2011+4.1%
Q1 2011+2.3%
Q4 2010+0.9%
Q3 2010+1.2%
Q2 2010-3.8%
Q1 2009+6.2%
Q1 2010-0.1%
Q4 2007-3.0%
Q2 2009-3.0%
Q4 2009-3.0%
Q3 2009+4.8%
Q4 2008-4.1%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro