International Paper has reported a net loss of $1.1bn for the third quarter (Q3) of 2025, reversing a profit of $150m in the same period of the previous year.
The packaging company, which is headquartered in Memphis in the US state of Tennessee, states that the result included $675m of accelerated depreciation tied to recent mill closures.
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However, net sales grew to $6.22bn in Q3 2025 from $3.98bn a year earlier.
Chairman and CEO Andy Silvernail stated: “We delivered 28% sequential adjusted EBITDA [earnings before interest, taxation, depreciation and amortisation] improvement across both Packaging Solutions businesses, driven by price realisation, cost management and lower fibre costs.
“In North America, we saw year-on-year box shipment growth in September, a clear indicator that our customer-centric approach is closing the industry gap. While demand remained soft across both regions, we took decisive actions to reshape our portfolio — exiting non-core businesses, closing facilities and reinvesting in our most strategic assets.
“Despite near-term headwinds, we remain confident in our trajectory.”
The company closed four facilities in the US in 2025: the Red River containerboard mill in Campti, Louisiana, a recycling plant in Phoenix, Arizona, a box plant in Hazleton, Pennsylvania and a sheet feeder facility in St Louis, Missouri.
This affected roughly 179 salaried employees – 1% of International Paper’s global workforce. The shutdown of the Red River mill cuts the company’s annual containerboard capacity by 800,000 tonnes.
In August, International Paper agreed to sell its Global Cellulose Fibers (GCF) business to private equity company American Industrial Partners for $1.5bn, subject to closing adjustments.
The divestment forms part of its strategy to concentrate on sustainable packaging solutions.
The GCF division is supported by a workforce of 3,300 across nine manufacturing sites and eight regional offices and reported revenue of $2.8bn in 2024. It manufactures pulp used in personal care products, construction materials and other applications.
