Smurfit Kappa, a global leader in sustainable packaging, has announced its 2023 financial results, highlighting a strong performance despite a challenging demand environment. The Group reported revenues of €11.3 billion and an EBITDA of €2,080 million, reflecting an EBITDA margin of 18.5%. While overall volumes were down 3.5% for the year, Smurfit Kappa saw a progressive improvement in demand, with a return to growth in the fourth quarter, driven by the rising demand for sustainable packaging solutions.
During 2023, Smurfit Kappa invested over €1 billion in its business, reinforcing its platform for future growth and innovation. The company also continued to expand its geographic and product diversity, with notable developments including the growth of its Bag-in-Box business across multiple regions and the opening of a new state-of-the-art corrugated facility in Morocco.
The Europe segment remains the largest contributor to the Group’s performance, accounting for 75% of revenue and 77% of EBITDA in 2023. This segment includes a comprehensive system of mills and plants producing a full range of containerboard, along with other paper-based packaging products such as solid board, sack kraft paper, and Bag-in-Box packaging. Meanwhile, the Americas segment also demonstrated resilience, with continued investments in forestry, paper, and packaging operations across Brazil, Colombia, Mexico, and the US.
Sustainability remains at the core of Smurfit Kappa’s strategy, with the Group making significant progress toward its ambitious sustainability goals. In 2023, Smurfit Kappa was recognized for its leadership in sustainability, earning accolades as a Regional and Industry Top Rated company by Morningstar Sustainalytics. The company also secured the top rank in Paper Packaging for 2024, further solidifying its position as a leader in sustainable packaging.
On September 12, 2023, Smurfit Kappa announced a proposed combination with WestRock to create Smurfit WestRock, a global leader in sustainable packaging. The merger, expected to close in July 2024, aims to enhance the offerings of both companies, positioning Smurfit WestRock as the global ‘Go-To’ packaging partner of choice.
Smurfit Kappa’s commitment to innovation was also underscored by the expansion of its Design2Market Factory in the Netherlands. This unique facility, which enables customers to test packaging prototypes in the market within two weeks before moving to large-scale production, will be replicated in Germany, Italy, Poland, and the UK, further cementing Smurfit Kappa’s leadership in delivering cutting-edge, sustainable packaging solutions.
The Board and management team expressed their sincere appreciation to all employees for their dedication and contribution to the Group’s success, emphasizing the importance of Smurfit Kappa’s integrated operating model and its ability to navigate a challenging year while delivering industry-leading results.
