Smurfit Westrock Advances Long-Term Growth with Strategic Footprint Optimization and Capital Discipline in Q3 2025

Smurfit Westrock plc marked continued progress in its third quarter of 2025 through decisive operational strategies and focused investments aimed at strengthening its position as a global leader in paper packaging solutions. Operational and Project Highlights The company’s integration efforts following the Combination of Smurfit Kappa and WestRock have accelerated with the closure of 3 paper mills, 1 paper machine, and 18 converting facilities, reflecting a targeted approach to exit unprofitable volumes and optimize its manufacturing footprint. This rationalization program supports the realization of $400 million in cost synergies and improved operational efficiency. Significant progress includes the full integration of Brazilian operations and enhanced market positions in Colombia and other Latin American markets. North America saw continued footprint rationalization and capacity optimization, with strong innovation offering gains in consumer-facing product categories. Investment and Capital Expenditure Focus Capital investment remains a key priority, with Smurfit Westrock forecasting capital expenditures of $2.4 to $2.5 billion for 2026. These investments are focused on asset base optimization, accelerating cost take-outs, and supporting growth in high-potential market areas. The company maintains a disciplined, value-accretive capital allocation strategy, balancing ongoing transformation initiatives with robust liquidity management. Future Outlook and Strategic Priorities Looking ahead, Smurfit Westrock is committed to cultivating a performance-led culture supported by an owner-operator business model. Decentralized operations with increased commercial and operational accountability aim to enhance execution speed and drive sustainable profitable growth. The company also emphasizes expanding leadership programs, training, and best practice sharing, alongside maintaining an investment-grade credit rating and targeting a net leverage ratio of 2x as core pillars of its capital strategy. Sustainability and Innovation Sustainability continues to be embedded in Smurfit Westrock’s operational and strategic framework, underpinning innovation and commercial excellence in packaging solutions. The company’s ongoing efforts to optimize asset base and cost structure will be instrumental in enhancing competitiveness in a dynamic global market.