Cash conversion efficiency is currently challenged, with the OCF/NI ratio falling to -5.44 in 2026Q1, indicating a significant disconnect between reported accounting profits and actual liquid cash generation.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 529.95M | 689.78M | 833.85M | 882.92M | 509.05M | 298.67M | 705.62M | 425.85M | 589.9M | 349.36M | 398.68M | 452.93M | 417.92M | 538.03M | 403.92M | 245.28M | 375.14M | 390.99M | 379.36M | 445.14M | 482.56M | 227.36M | 252.19M | 331.84M | 271.44M | 364.34M | 362.45M | 240M | 227.8M | 300M | 291.8M |
| Operating CF Margin % | - | 9.17% | 15.72% | 16.23% | 8.69% | 5.34% | 13.47% | 7.92% | 10.94% | 6.94% | 8.34% | 9.12% | 8.33% | 11.07% | 8.39% | 5.45% | 9.1% | 10.87% | 9.2% | 11.02% | 13.2% | 6.44% | 7.99% | 12.03% | 10.05% | 13.98% | 13.37% | 9.42% | 8.91% | 10.53% | 10.47% |
| Operating CF Growth % | 84.26% | -17.28% | -5.56% | 73.44% | 70.44% | -57.67% | 65.7% | -27.81% | 68.85% | -12.37% | -11.98% | 8.38% | -22.32% | 33.2% | 64.68% | -34.62% | -4.05% | 3.07% | -14.78% | -7.76% | 112.24% | -9.84% | -24% | 22.25% | -25.5% | 0.52% | 51.02% | 5.36% | -24.07% | 2.81% | 14.61% |
| Net Income | 1.04B | 590.66M | 163.94M | 474.96M | 466.98M | -82.71M | 207.24M | 292.67M | 314.74M | 177.45M | 287.88M | 250.62M | 240.08M | 220.4M | 196.12M | 218.04M | 201.47M | 155.15M | 164.61M | 214.16M | 195.08M | 161.88M | 151.23M | 138.95M | 135.32M | 91.61M | 166.3M | 187.8M | 192M | 2.6M | 170.9M |
| Depreciation & Amortization | 522.89M | 519.36M | 0 | 340.99M | 308.82M | 245.18M | 261.29M | 239.14M | 250.24M | 214.63M | 186.34M | 249.75M | 122.15M | 256.51M | 228.15M | 70.19M | 223.35M | 107.67M | 282.49M | 181.34M | 164.86M | 163.07M | 163.93M | 163.23M | 159.26M | 158.57M | 150.82M | 145.8M | 145.7M | 153.5M | 142.9M |
| Stock-Based Compensation | -5.83M | 0 | 29.66M | 27.78M | 31.31M | 22.61M | 10.61M | 14.33M | 10.73M | 13.49M | 19.29M | 9.26M | 17.1M | 11.47M | 8.85M | 12.1M | 15.8M | 8.62M | 4.18M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 32.88M | -22.76M | -55.72M | -12.21M | -9.88M | -158.84M | 573K | 16.96M | -9.42M | -20.55M | 5.25M | -136K | 42.11M | 48.66M | 24.69M | 5.96M | 12.5M | 21.69M | -18.84M | -31.94M | -15.27M | -24.72M | 5.31M | 11.18M | 27.96M | 22M | 20.18M | 18.1M | 71.6M | -48.4M | 10M |
| Other Non-Cash Items | -1.03B | -546.82M | 523.15M | -93.82M | -16.55M | 448.56M | 131.67M | -161.95M | -4.05M | 19.96M | -49.24M | -17.07M | 30.09M | -42.01M | -52.43M | 1.84M | 2.24M | 62M | -39.62M | 27.91M | 19.1M | 2.75M | 6M | -36.04M | -3.35M | 33.17M | -2.97M | 100K | -90.3M | 100K | -2.2M |
| Working Capital Changes | -22.09M | 149.34M | 172.81M | 145.22M | -271.64M | -176.14M | 94.24M | 24.7M | 27.66M | -55.61M | -50.83M | -39.49M | -33.63M | 42.99M | -1.46M | -62.86M | -80.23M | 35.87M | -13.45M | 34.65M | 127.54M | -76.41M | -74.27M | 54.52M | -47.73M | 58.98M | 28.13M | -108.7M | -91.2M | -39.8M | -29.7M |
| Change in Receivables | 162.18M | 97.89M | 17.76M | 24.93M | -2.47M | -149.75M | 17.85M | 59.62M | 38.19M | -43.77M | -44.67M | -15.4M | -52.33M | 162K | 1.19M | -52.48M | -66.41M | -16.06M | 58.63M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 29.28M | -80.9M | -13.27M | 342.71M | -353.48M | -130.12M | 12.13M | 2.63M | -6.15M | -16.07M | -11.52M | -2.57M | 7.41M | -32.79M | 16.16M | 3.42M | -57.07M | 36.49M | 5.02M | -9.26M | 33.16M | -6.45M | -38.4M | -10.12M | 19.31M | 23.44M | -24.41M | -15.3M | -2.3M | -1.5M | -20.4M |
| Change in Payables | 47.36M | -87.55M | 123.61M | -148.84M | 27.23M | 172.43M | 21.49M | -25.38M | -4.38M | 4.23M | 5.55M | 12.35M | 25.64M | 65.89M | -16.01M | -13.8M | 43.26M | 15.44M | -62.61M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | 2.2B | 2.2B | -4.11B | -619.34M | -1.74B | -165.9M | -126.33M | -479.1M | -445.46M | -567.37M | -3.44M | -177.21M | -503.45M | -169.45M | -183.4M | -740.28M | -283.75M | -109.65M | -128.65M | -379.64M | -332.05M | -119.3M | -378.18M | -35.92M | -124.42M | -371.87M | -101.36M | -293.9M | 16.6M | -176.5M | -311M |
| Capital Expenditures | -264.14M | -297.06M | -393.24M | -363.08M | -328.77M | -256.02M | -194.13M | -195.93M | -168.29M | -183.64M | -186.62M | -188.87M | -169.32M | -172.44M | -182.9M | -173.37M | -145.91M | -104.15M | -123.11M | -169.44M | -123.28M | -129.11M | -119.8M | -113.57M | -123.96M | -101.98M | -117.15M | -320.1M | -273.8M | -230.7M | -232M |
| CapEx % of Revenue | 3.53% | 3.95% | 7.41% | 6.67% | 5.61% | 4.58% | 3.71% | 3.65% | 3.12% | 3.65% | 3.9% | 3.8% | 3.37% | 3.55% | 3.8% | 3.85% | 3.54% | 2.9% | 2.99% | 4.19% | 3.37% | 3.66% | 3.8% | 4.12% | 4.59% | 3.91% | 4.32% | 12.57% | 10.7% | 8.1% | 8.32% |
| Acquisitions | 653.58M | 2.49B | -3.7B | -339.38M | -1.42B | 69.94M | 54.15M | -298.38M | -277.18M | -383.73M | 183.18M | 11.66M | -334.13M | -7.52M | -503K | -566.91M | -137.84M | -5.5M | -5.54M | -236.26M | -227.3M | -3.57M | -267.02M | -6.23M | -8.5M | -273.19M | -5.67M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 1.81B | 0 | -18.77M | 83.12M | 9.62M | 20.18M | 13.65M | 15.22M | 25.62M | 5.27M | 271.94M | 32.53M | 7.76M | 10.51M | 31.97M | 0 | 8.49M | 19.91M | -5.54M | 23.42M | 21.03M | 13.38M | 8.64M | 83.89M | 8.04M | 3.3M | 21.47M | 26.2M | 290.4M | 54.2M | -79M |
| Cash from Financing | -2.71B | -2.99B | 3.67B | -351.99M | 1.29B | -513.54M | -162.87M | 77.2M | -219.81M | 202.05M | -311.49M | -252.75M | 34.01M | -515.07M | -34.02M | 499.61M | -125.16M | -224.04M | -259.57M | -74.97M | -125.68M | -165.58M | 156.04M | -245.52M | -151.94M | 8.22M | -260.92M | 33.9M | -241.1M | -140.5M | 28.8M |
| Debt Issued (Net) | -2.49B | -2.76B | 3.9B | -150.36M | 1.5B | -100.1M | -14.2M | 267.26M | -54.38M | 355.19M | -65.13M | -114.72M | 245.22M | -388.39M | 85.75M | 660.87M | 36.42M | -118.72M | -153.01M | 77.88M | -33.26M | -110.08M | 209.65M | -173.15M | -93.8M | 72.31M | -111.13M | 118M | -32.9M | -91.3M | 199.9M |
| Equity Issued (Net) | -7.31M | -10.93M | -9.25M | -10.62M | -4.55M | -218.09M | -8.48M | -9.61M | -14.56M | -6.33M | -106.74M | -6.54M | -87.8M | -11.46M | 5.57M | -28.19M | -1.5M | 5.92M | 5.63M | -59.51M | -8.26M | 34.62M | 31.45M | 8.34M | 19.14M | 11.99M | -133.08M | -7.6M | -136.2M | 18.6M | -105.4M |
| Dividends Paid | -209.22M | -208.11M | -203.49M | -197.42M | -187.09M | -178.62M | -172.63M | -170.25M | -161.43M | -153.14M | -146.36M | -138.03M | -128.79M | -124.84M | -119.77M | -114.96M | -111.76M | -107.89M | -106.56M | -102.66M | -94.75M | -90.13M | -85.06M | -81.13M | -79.77M | -76.08M | -78.72M | -76.4M | -72M | -67.7M | -65.7M |
| Share Repurchases | -7.31M | -10.93M | -9.25M | -10.62M | -4.55M | -218.09M | -8.48M | -9.61M | -14.56M | -6.33M | -106.74M | -7.87M | -87.8M | -27.24M | -4.17M | -49.44M | -24.66M | -1.24M | -843K | -109.21M | -82.67M | 0 | 0 | 0 | 0 | -2.06M | -138.01M | -13M | -169.1M | -600K | -122.6M |
| Other Financing | -10.18M | -3.95M | -19.95M | 6.41M | -14.47M | -16.73M | 32.43M | -10.2M | -43.28M | 7.52M | 2.53M | 2.94M | 10.83M | 9.63M | 1.08M | -10.23M | -39.74M | 1.03M | 12.57M | 9.32M | 10.58M | 0 | 0 | 0 | 0 | 0 | 62.01M | -100K | 0 | -100K | 0 |
| Net Change in Cash | 32.76M | -52.61M | 291.12M | -75.5M | 56.46M | -393.87M | 419.56M | 24.89M | -134.52M | -2.31M | 74.79M | 21.27M | -56.4M | -155.52M | 197.56M | 17.27M | -27M | 83.59M | 30.9M | -15.74M | 26.89M | -58.12M | 32.87M | 53.45M | -4.72M | 911K | -1.3M | -20.7M | 3.7M | -17.6M | 28.8M |
| Free Cash Flow | 265.81M | 392.73M | 440.61M | 519.84M | 180.28M | 42.65M | 511.49M | 229.92M | 421.61M | 165.72M | 212.06M | 264.06M | 248.6M | 365.58M | 221.02M | 71.9M | 229.23M | 286.84M | 256.24M | 275.69M | 359.28M | 98.25M | 132.39M | 218.26M | 147.49M | 262.36M | 245.3M | -80.1M | -46M | 69.3M | 59.8M |
| FCF Margin % | 3.55% | 5.22% | 8.3% | 9.55% | 3.08% | 0.76% | 9.77% | 4.28% | 7.82% | 3.29% | 4.43% | 5.32% | 4.96% | 7.52% | 4.59% | 1.6% | 5.56% | 7.97% | 6.22% | 6.82% | 9.83% | 2.78% | 4.2% | 7.91% | 5.46% | 10.07% | 9.05% | -3.15% | -1.8% | 2.43% | 2.14% |
| FCF Growth % | 342.41% | -10.87% | -15.24% | 188.35% | 322.67% | -91.66% | 122.47% | -45.47% | 154.42% | -21.85% | -19.69% | 6.22% | -32% | 65.41% | 207.38% | -68.63% | -20.09% | 11.94% | -7.05% | -23.27% | 265.68% | -25.79% | -39.34% | 47.99% | -43.78% | 6.95% | 406.24% | -74.13% | -166.38% | 15.89% | -18.31% |
| FCF per Share | 2.67 | 3.94 | 4.44 | 5.26 | 1.83 | 0.43 | 5.05 | 2.27 | 4.17 | 1.64 | 2.08 | 2.58 | 2.41 | 3.54 | 2.15 | 0.70 | 2.24 | 2.84 | 2.54 | 2.71 | 3.54 | 0.98 | 1.34 | 2.25 | 1.52 | 2.74 | 2.46 | -0.78 | -0.44 | 0.66 | 0.55 |
| FCF Conversion (FCF/Net Income) | 0.26x | 1.74x | 5.09x | 1.86x | 1.09x | -3.49x | 3.40x | 1.46x | 1.88x | 1.99x | 1.39x | 1.81x | 1.85x | 2.56x | 2.07x | 1.13x | 1.87x | 2.58x | 2.30x | 2.08x | 2.47x | 1.40x | 1.67x | 2.39x | 2.01x | 3.98x | 2.18x | 1.28x | 1.26x | 115.38x | 1.71x |
| Interest Paid | 0 | 0 | 151.18M | 135.91M | 88.21M | 68.19M | 71.71M | 66.77M | 63.15M | 57.17M | 53.41M | 57.55M | 54.5M | 60.77M | 66.17M | 34.3M | 37.46M | 34.73M | 43.47M | 50.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 92.43M | 189.77M | 122.88M | 133.61M | 65M | 82.51M | 103.44M | 96.96M | 134.78M | 104.92M | 67.19M | 40.45M | 84.42M | 54.08M | 96.92M | 34.33M | 73.87M | 103.85M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Inorganic integration execution risk
As reported in financial statements, Sonoco's operating cash flow frequently decouples from net income, evidenced by a volatile OCF/NI ratio that reached -5.44 in 2026Q1, suggesting that accounting profits are not consistently translating into the liquid resources necessary to sustain the company's capital-intensive manufacturing operations.
The significant divergence between net income and operating cash flow indicates that non-cash charges and working capital swings are heavily distorting the company's reported earnings quality. Investors should monitor whether this disconnect is a temporary byproduct of acquisition integration or a structural issue regarding the cash-generative capacity of the core business.
Based on Sonoco's reported figures, free cash flow trajectory remains highly erratic, with quarterly margins swinging from a peak of 74.4% in 2024Q4 to a negative 25.5% in 2026Q1, reflecting the company's struggle to maintain consistent cash generation amidst aggressive inorganic expansion and shifting operational requirements.
The extreme variance in free cash flow suggests that the company's current business model is highly sensitive to timing differences in capital expenditures and working capital management. This instability complicates long-term valuation models, as the company's ability to fund dividends and debt service appears contingent on non-recurring cash inflows.
According to recent SEC filings, Sonoco's working capital dynamics are characterized by sharp, cyclical swings, including a $565.2 million outflow in 2026Q1, which indicates that the company's cash conversion cycle is currently being strained by the integration of large-scale acquisitions and fluctuating inventory requirements across its global footprint.
The recurring, large-scale working capital outflows suggest that the company may be struggling to optimize its supply chain efficiency following recent M&A activity. This volatility in cash usage warrants further investigation into whether the company is effectively managing its receivables and payables in a high-inflation environment.
As indicated by the provided data, Sonoco's capital expenditure as a percentage of revenue has fluctuated significantly, reaching as high as 33.1% in 2024Q4, which suggests that the company is currently in a heavy investment phase to modernize its manufacturing assets and integrate new metal packaging capabilities.
The elevated capital intensity relative to historical norms implies that the company is prioritizing long-term asset upgrades over immediate cash preservation. Analysts should monitor whether these investments yield the expected return on invested capital or if they represent a permanent increase in the company's maintenance capex burden.
Quick answers to the most common questions about buying SON stock.
Sonoco Products Company (SON) generated $689.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Sonoco Products Company (SON) generated $392.7M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Sonoco Products Company (SON) spent $297.1M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Sonoco Products Company (SON) returned $208.1M to shareholders via cash dividends and spent $10.9M on share repurchases. This shows the company's commitment to returning capital to its equity investors.