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International Paper (IP) Q3 Earnings Beat, Sales Up Y/Y

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With operations in North America, Europe, Latin America, Russia, Asia, and North Africa, International Paper Company (IP - Free Report) is a premier paper and packaging firm. As part of its restructuring plans to increase focus on its core business, the company has divested its distribution business xpedx along with its corrugated packaging business in China and Southeast Asia.

The company has also completed the acquisition of leading timberland owner Weyerhaeuser Co.’s pulp business. IP is likely to gain from its extensive geographic footprint, wide-ranging product portfolio and a differentiated service platform.

In the last four trailing quarters, IP has beaten estimates thrice for an average surprise of 2.1%. As the extent of competition is increasing over time, investors have been eagerly awaiting for the company’s latest earnings report.

International Paper Company Price, Consensus and EPS Surprise

Currently, IP has a Zacks Rank #3 (Hold), but that could change following its third-quarter 2017 earnings report which has just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

We have highlighted some of the key details from the announcement below:

Earnings: IP beats on earnings. The Zacks Consensus Estimate called for EPS of $1.04, and the company reported adjusted operating EPS of $1.08.

Revenue: Revenues exceeded estimates. IP posted revenues of $5,913 million, marginally ahead of the Zacks Consensus Estimate of $5,908 million.

Key Stats: IP expects solid traction in the future with price increases, acquisition synergies and significantly lower outage expenses, thereby remaining confident to achieve its full year earnings target.

Stock Price: IP shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.

Check back for our full write up on this IP earnings report later!

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