Elopak again growing in US, citing milk carton demand

Core Insights - Elopak, a Norwegian carton manufacturer, is expanding its U.S. operations with a new production line in Arkansas to meet increasing demand for milk cartons [1][2][3] Expansion Plans - A third production line is projected to cost $30 million and is expected to start in 2027, while a second line is being installed with production anticipated in the first half of 2026 [2] - The second line will produce the usual range of Pure-Pak cartons, while the third line will focus on smaller sizes, including cartons for school milk [3] Market Demand - Elopak has experienced strong demand as dairies are securing their supply through dual sourcing, as noted in their Q3 report [4] - The company has been supplying North American customers from Canada, Mexico, and the Caribbean for years, with an average growth rate of 15% annually since 2020 [6] Financial Performance - The Arkansas plant currently employs around 100 people and has been profitable as of Q3, with customer onboarding taking longer than expected [5] - Elopak reported an 18% organic revenue growth in the Americas, totaling approximately 88 million euros in Q3 [5] Strategic Goals - The third line in Arkansas is expected to help Elopak increase market share and provide a broader product portfolio, enhancing its value as a supplier [7] - Under its 2030 strategy, Elopak aims to achieve 2 billion euros in global revenue, with year-to-date revenues of about 890 million euros, reflecting a 1.9% year-over-year increase [8]