Sonoco, one of the largest diversified global packaging companies, published its 2016 Annual Report entitled “Better Packaging. Better Life”. The report reviews the company’s 2016 financial performance and examines how Sonoco is focusing on strategic growth opportunities and operational optimization.
According to the report, the last year the company provided shareholders with an annual total return (TSR) of 32.9%, compared with a 12% return by the S&P 500 and a 19% return by the Dow Jones Total Container and Packaging Index.
Jack Sanders, Sonoco President and Chief Executive Officer, commented:
“By most measures, 2016 was a solid year for Sonoco, despite flat to negative growth by many of our consumer product customers and generally muted economic growth around the world.
Overall, we achieved record GAAP and base earnings, and gross profit margin expanded to the highest level in 15 years. We returned a record USD 253 million to shareholders in the form of sector-leading dividends and share repurchases, and we provided shareholders with an annual total return (including reinvested dividends) of 32.9%, compared with a 12% return by the S&P 500 and a 19% return by the Dow Jones Total Container and Packaging Index.
We believe this statement captures the essence of why Sonoco has been successful in the past and why this success should continue into the future.
The creation of better packaging provides value to our direct customers and helps differentiate us from our competition. At the same time, through our products and innovations we contribute to a better life for consumers, whether by protecting valuable life-saving vaccines, improving the safety or fuel economy of vehicles, or making food products safer, longer-lasting, fresher or just easier to access, open and store.”
Earlier Sonoco completed acquisition of Peninsula Packaging.
The company is a global provider of a variety of consumer packaging, industrial products, protective packaging and packaging supply chain services. With annualized net sales of approximately USD 4.8 billion, it has 20,000 employees working in more than 300 facilities in 33 countries. Sonoco is one of the largest producers of uncoated recycled paperboard in the United States and Canada, producing more than 1 million tons annually from 11 mills.