Smurfit Westrock plc (NYSE:SW) posted fourth-quarter results on Wednesday that missed profit expectations, even as revenue came in broadly in line with forecasts.
Shares of the paper-based packaging group fell 3.30% in premarket trading following the announcement.
The company reported adjusted earnings per share of $0.34 for the quarter, well below the $0.50 consensus estimate. Revenue totaled $7.58 billion, roughly matching analysts’ projections of $7.6 billion.
Net income declined to $98 million from $146 million in the same quarter last year, with net margin narrowing to 1.3% from 1.9%. Revenue rose just 0.5% year over year, up from $7.54 billion in the fourth quarter of 2024.
“I am pleased to report a strong fourth quarter performance for Smurfit Westrock set against difficult market conditions,” said Tony Smurfit, President and CEO.
Adjusted EBITDA reached $1.17 billion, representing a 15.5% margin, while operating cash flow totaled $1.2 billion.
For the first quarter of 2026, the company expects adjusted EBITDA in the range of $1.1 billion to $1.2 billion. For the full year, it forecasts adjusted EBITDA between $5.0 billion and $5.3 billion.
Management said the group surpassed its $400 million synergy target following the merger of Smurfit Kappa and WestRock, alongside implementing customer-focused commercial and operational improvements.
The company also highlighted the shutdown of approximately 600,000 tons of high-cost or inefficient capacity and a reduction of more than 3,000 roles during 2025.
“During 2025, we made significant progress in establishing a performance-led culture, optimizing our operating model, and adopting a sharper, customer-centric focus,” Smurfit added.
Smurfit Westrock recently declared a quarterly dividend of $0.4523 per share, a 5% increase, payable on March 18, 2026.