How does Packaging Corporation of America (PKG) make money?

Packaging Corporation of America (PKG) generates revenue primarily from Packaging, which accounted for 92.4% of total revenue in TTM through Q1 2026. The company reported $9.22B in revenue and converted 8% of it into net profit, equivalent to roughly $740.40M in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Packaging Corporation of America (PKG)?

Packaging Corporation of America (PKG) reported a gross profit margin of 20.5% in TTM through Q1 2026, equivalent to $1.89B in gross profit on $9.22B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Packaging Corporation of America (PKG)?

Packaging Corporation of America (PKG) reported an operating profit margin of 13.2% in TTM through Q1 2026, equivalent to $1.21B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Packaging Corporation of America (PKG)?

Packaging Corporation of America (PKG) reported a net profit margin of 8% in TTM through Q1 2026, equivalent to $740.40M in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Packaging Corporation of America (PKG) profitable?

Yes. Packaging Corporation of America (PKG) reported $740.40M in net income for TTM through Q1 2026, with a net profit margin of 8%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Packaging Corporation of America (PKG) spend on capital expenditures?

Packaging Corporation of America (PKG) spent $845.50M on capital expenditures (CapEx) during TTM through Q1 2026, roughly 9.2% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Packaging Corporation of America (PKG) generate?

Packaging Corporation of America (PKG) generated $702.20M in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 7.6%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Packaging Corporation of America (PKG)?

Packaging Corporation of America (PKG) had an effective tax rate of 24.4% in TTM through Q1 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Packaging Corporation of America (PKG)?

Packaging Corporation of America (PKG) reports revenue across 3 reportable product segments, led by Packaging at 92.4% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

How Packaging Corporation of America Makes Money: 2026 Visual Revenue Map

Packaging Corporation of America (PKG) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported May 8, 2026).

Packaging Corporation of America discloses geographic revenue only in annual filings. to view the full breakdown.

Packaging Corporation of America (PKG) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Packaging Corporation of America (PKG) in TTM through Q1 2026.
Segment	Revenue (USD)	% of total
Packaging	$8.51B	92.4%
Paper	$621.05M	6.7%
Corporate Segment and Other Operating Segment	$83.59M	0.9%
Total	$9.22B	100%

Packaging$8.51B
Paper$621.05M
Corporate Segment and Other Operating Segment$83.59M
Total$9.22B

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Packaging Corporation of America (PKG) reports revenue across 3 operating segments; the largest segment was Packaging at 92.4%, followed by Paper (6.7%) and Corporate Segment and Other Operating Segment (0.9%).

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