International Paper’s third quarter 2025 results underscore a pivotal phase in the company’s transformation, as it continues reshaping its global operations to strengthen its packaging leadership while managing short-term restructuring challenges.
The company reported a net loss of $1.1 billion, including $675 million in accelerated depreciation tied to mill closures and portfolio actions under its “80/20” strategic plan. Quarterly net sales rose to $6.2 billion, a 32 percent increase from the prior year, reflecting higher pricing and volumes in its packaging businesses following the integration of DS Smith.
Adjusted EBITDA from continuing operations improved sequentially to $859 million, but adjusted operating earnings showed a loss of $224 million. CEO Andy Silvernail highlighted operational progress, citing a 28 percent quarter-over-quarter increase in adjusted EBITDA and improved box shipment growth in North America.
“Our results reflect substantial progress on our transformation journey,” Silvernail said, adding that International Paper remains focused on cost management, portfolio optimization, and reinvestment in strategic assets to build a more resilient and sustainable packaging business.
The quarter also included a $1.0 billion impairment charge tied to the planned divestiture of the Global Cellulose Fibers business to American Industrial Partners for $1.5 billion. Once completed, this sale will allow International Paper to concentrate its capital and resources on its core packaging platforms in North America and EMEA.
Following the DS Smith acquisition, the company now operates through two primary divisions — Packaging Solutions North America and Packaging Solutions EMEA — enabling greater integration and regional focus.
Despite near-term headwinds, management reaffirmed confidence in the company’s long-term strategy of commercial excellence, sustainable innovation, and disciplined cost control. With more than 65,000 employees across 30 countries, International Paper continues to position itself as a global leader in sustainable fiber-based packaging solutions.
International Paper is a global producer of sustainable fiber-based packaging, pulp, and paper products. Headquartered in Memphis, Tennessee, the company employs more than 65,000 people in over 30 countries, serving customers across North America, EMEA, and beyond.
