Nearly five months into a pivotal year, International Paper is advancing a sweeping transformation strategy marked by a major acquisition, targeted mill closures, and an intensified focus on operational efficiency.
As of May 2025, the company is projecting continued earnings growth fueled by optimization, disciplined cost control, and strategic capital investments.
Following a slight uptick in volumes during the first quarter, the company reported marginal pricing pressure, attributed to seasonality and soft export demand. Nevertheless, International Paper remains on track to deliver improved profitability in the coming quarters by prioritizing mill reliability and reducing production costs across its operations.
A key component of this cost-reduction strategy was the closure of the Campti, Louisiana containerboard mill, which ceased operations as scheduled on March 31.
On January 31, International Paper completed its acquisition of UK-based DS Smith, creating one of the largest global players in sustainable fiber-based packaging. The deal, executed through the issuance of approximately 178 million new shares to DS Smith shareholders, marked a significant expansion of the company’s footprint in Europe and a deeper commitment to sustainable packaging innovation.
As part of the European Commission’s approval process, International Paper agreed to divest specific DS Smith operations in France, Portugal, and Spain to maintain competitive balance in those markets.
As integration efforts progress and capital projects advance, executives expect earnings momentum to strengthen in the second half of the year. The company’s leadership remains confident that this period of transformation will solidify its position as a customer-centric, performance-driven global packaging leader.
International Paper is a global leader in fiber-based packaging and pulp. Headquartered in Memphis, Tennessee, the company serves markets worldwide with sustainable, innovative paper products and employs around 39,000 people.
