Sonoco Investor Update November 10, 2022 Better Than Ever. Forward-Looking Statements / Non-GAAP Financial Measures Today's presentation contains several forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Information about the Company's use of non-GAAP financial measures, why management believes presentation of non-GA ...

Sonoco Investor Update November 10, 2022 Better Than Ever. Forward-Looking Statements / Non-GAAP Financial Measures Today's presentation contains several forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Information about the Company's use of non-GAAP financial measures, why management believes presentation of non-GA ...

Financial Data and Key Metrics Changes - Revenue grew 34% year-over-year to $1.9 billion, with base EBITDA margins expanding by 200 basis points to 15% [10][15][17] - Base earnings per share increased 60% to $1.60, driven by strong operating performance [10][17] - Base operating profit rose 67% to $225 million, with base operating profit margin increasing by 240 basis points to 11.9% [16][17] Business Line Data and Key Metrics Changes - Consumer segment sales increased 72% to $1 billion, with operating profit growing 93% to $128 million [27] - Industrial segment sales grew 4% to $661 million, and operating profit increased 48% to $82 million [28] - All other sales rose 10% to $198 million, with operating profit increasing 19% to $15 million [29] Market Data and Key Metrics Changes - Consumer prices increased by 18%, contributing positively to revenue growth [19] - Industrial volumes were down 9.5%, particularly impacted in Europe and Asia [18] - Organic sales growth was still 10% in the quarter, excluding acquisitions [20] Company Strategy and Development Direction - The company is focused on sustainability and innovation, with significant investments in new product designs and operational excellence [46][49] - Project Horizon aims to modernize operations and enhance production efficiency, transitioning to 100% recycled fiber [49][51] - The acquisition of Skjern Paper in Denmark is intended to increase lightweight production capacity in Europe [52][53] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the consumer business, noting robust activity and normal seasonal trends [68] - There are concerns about industrial demand in Europe and Asia, with expectations of lower volumes in the fourth quarter [39][40] - The company anticipates higher free cash flows in 2023 as supply chains normalize [34] Other Important Information - The company has increased its full-year EPS guidance to $6.40 to $6.50, reflecting strong performance [32] - Capital allocation remains focused on high-return investments and maintaining an investment-grade credit rating [30][31] Q&A Session Summary Question: Expectations on free cash flow guidance and inventory headwinds - Management expects to recover $100 million in working capital in 2023 as supply chains normalize, with a positive outlook on price/cost benefits [64][66] Question: Demand trends in the consumer business - Demand has been robust, with normal seasonal builds observed, and inventory destocking is primarily driven by industrial customers [68][72] Question: Value-based pricing initiatives - The company is focused on strategic pricing and self-help initiatives to drive productivity and value generation [75][85] Question: Long-term EBITDA guidance - Management is reviewing long-term objectives and expects to provide updates early next year [105] Question: Impact of lower OCC and resin prices - Lower OCC prices have positively impacted price/cost benefits, with expectations for continued benefits in the fourth quarter [112] Question: Changes in capital allocation process with new CFO - The capital allocation strategy remains focused on core competencies and value-driven acquisitions [114][116]

AUGUST 2022 SONOCO COMPANY UPDATE Better Than Ever. FORWARD-LOOKING STATEMENTS/NON-GAAP FINANCIAL MEASURES Today's presentation contains a number of forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Information about the Company's use of non-GAAP financial measures, why management believes presentation of non-GAAP fi ...

Quarterly Financial Review Sonoco Second Quarter 2022 Results Investor Presentation | July 2022 Better Than Ever. Forward-Looking Statements / Non-GAAP Financial Measures 2 Today's presentation contains a number of forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Information about the Company's use of non-GAAP finan ...

Quarterly Financial Review Sonoco Second Quarter 2022 Results Investor Presentation | July 2022 Better Than Ever. Forward-Looking Statements / Non-GAAP Financial Measures 2 Today's presentation contains a number of forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Information about the Company's use of non-GAAP finan ...

Financial Data and Key Metrics Changes - Revenue for Q2 2022 increased by 38% year-over-year, reaching $1.9 billion, marking the highest quarterly sales in the company's history [7][8] - Base earnings per share (EPS) grew to $1.76, an 89% increase compared to Q2 2021 [8][14] - Base EBITDA increased by 62% to $306 million, with a base EBITDA margin expansion of 230 basis points to 16% [15][18] - The company raised its full-year base EPS guidance to a range of $6.20 to $6.30 [9][23] Business Line Data and Key Metrics Changes - Consumer net sales grew by 66% to $990 million, with operating profit increasing by 114% to $139 million [19] - Industrial paper net sales increased by 20% to $727 million, marking the eighth consecutive quarter of record net sales, while operating profit grew by 57% to $94 million [20] - Metal packaging significantly contributed to growth, achieving a 21% operating profit margin due to strong price-cost performance [18] Market Data and Key Metrics Changes - Approximately 72% of net sales are generated in the U.S., with a negative impact of $44 million from foreign exchange and other factors [17] - Volume mix was negative 1% in the quarter, indicating stable demand conditions in consumer-oriented markets [16] Company Strategy and Development Direction - The company is focusing on optimizing its portfolio by aligning to fewer, larger businesses, with consumer packaging representing over 50% of its operations [28] - Investments in high-return capital projects are prioritized, with $325 million allocated for 2022, including significant investments in consumer and industrial businesses [31] - Sustainability initiatives are central to the company's mission, aiming to reduce greenhouse gas emissions by 25% by 2030 [32] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's performance and strategic initiatives, emphasizing the importance of operational excellence and supply chain management [34] - The company anticipates continued strong performance in defensive consumer markets, with expectations for price-cost dynamics to remain favorable [63] Other Important Information - The company is maintaining a conservative capital structure, expecting net debt to be well below 3x base EBITDA by the end of 2022 [22] - Despite strong operational performance, cash flow guidance remains unchanged due to uncertainties in supply chains and inflation impacts [24] Q&A Session Summary Question: What would it take to unlock working capital and outperform cash flow guidance? - Management noted that inflation trends and supply chain disruptions have impacted net working capital, but they are focused on improving asset efficiency [38][39] Question: Can you provide insight into normalized margins for the future? - Management indicated that while there are inflationary pressures, they remain bullish about future performance and margin improvements [40][42] Question: What is the outlook for industrial and consumer markets as the quarter progressed? - Management reported strong performance in the U.S. industrial market, while noting challenges in Europe and Asia due to supply chain issues [51][52] Question: Can you discuss the trajectory of price-cost benefits for the year? - Management expects a full-year price-cost benefit in the range of $250 million to $300 million, significantly higher than previous expectations [71][72] Question: How does the company view its capital allocation and share buybacks? - Management is evaluating capital allocation strategies, emphasizing a commitment to maintaining an investment-grade credit rating while returning capital to shareholders through dividends [69]

JUNE 22, 2022 SONOCO INVESTOR UPDATE BANK OF MONTREAL 2022 CHEMICALS & PACKAGING CONFERENCE Better Than Ever. FORWARD-LOOKING STATEMENTS/NON-GAAP FINANCIAL MEASURES Today's presentation contains a number of forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees offuture performance and are subject to certain risks and uncertainties. Therefore, actual resultsmay differ materially. Information about the Company's use of non-GAAP financial measu ...

MAY 10, 2022 UBS SUSTAINABLE PACKAGING MATERIALS ESG VIRTUAL CONFERENCE Better Than Ever. Howard Coker Sonoco President and CEO FORWARD-LOOKING STATEMENTS/NON-GAAP FINANCIAL MEASURES Today's presentation contains a number of forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Information about the Company's use of non- ...

Financial Data and Key Metrics Changes - The company reported Q1 2022 GAAP earnings per share of $1.17 and base earnings of $1.85, exceeding the original guidance range by $0.50 and up $0.85 from the previous year [10][17] - Sales reached $1.771 billion, a 31% increase from the prior year, with base gross profit at $416 million, up $138 million year-over-year [15][30] - Operating profit increased by 72% to $261 million, resulting in a company-wide operating margin of 14.7% [16][33] Business Line Data and Key Metrics Changes - Consumer Packaging sales grew nearly 50%, with operating profits increasing by 113% due to the Metal Packaging acquisition and favorable price/cost results [30] - Industrial segment sales rose by almost 24%, with operating profits up nearly 39%, driven by price increases to cover inflation [31] - All other segments saw slight sales declines, but operating profit decreased by 22.6% due to divestitures and productivity impacts [32] Market Data and Key Metrics Changes - Volume mix for the company increased by $27 million or 2%, primarily driven by consumer segments, while Industrial segment volume mix decreased by $12 million or about 2% due to supply chain disruptions [18][19] - Selling prices increased year-over-year by $275 million, with nearly 60% of this increase in the Industrial segment [21] - Foreign exchange impacts were negative by $25 million, mainly due to a stronger U.S. dollar [22] Company Strategy and Development Direction - The company plans to invest approximately $325 million in capital projects for growth and margin improvements in core businesses [47] - Integration of the Metal Packaging acquisition is underway, with identified synergy opportunities expected to yield $20 million in cost savings by 2024 [46] - The company is focusing on automation strategies to address labor shortages and improve productivity [122] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong performance for 2022, despite potential normalization of consumer segment margins in Q2 [57] - Supply chain challenges and inflation are ongoing concerns, but the company is actively managing price/cost increases to offset these pressures [61][62] - The company remains committed to returning cash to shareholders, evidenced by a 9% increase in quarterly dividends [65] Other Important Information - The company took an asset impairment charge related to exiting its small industrial packaging operations in Russia, which generated approximately $25 million in annual revenue [54] - The company has a strong liquidity position, reflecting the net assets and debt associated with the Metal Packaging acquisition [37] Q&A Session Summary Question: What were the one-time cost benefits in Q1? - Management indicated that the one-time benefits were between $0.30 to $0.35 per share, primarily in the consumer sector [68][70] Question: What inflation expectations are being built into guidance? - Management noted that inflation expectations have increased, particularly for resin, which is now expected to rise by 18% to 20% [71][72] Question: How much of the EBITDA guidance increase was due to price/cost? - Most of the EBITDA increase was attributed to price/cost, with an expectation of around $125 million in positive price/costs for the year [80][81] Question: What is the outlook for demand elasticity? - Management noted that demand remains strong, particularly in the Industrial segment, despite some softness in select markets [92][96] Question: Can you clarify the healthcare portion of all other segments? - The ThermoSafe business performed well, but there was lower demand for specific medical products, which was an outlier [120][121] Question: What actions are being taken regarding labor shortages? - The company is implementing a comprehensive automation strategy to address labor shortages and improve productivity [122]