2 November 2006 — Memphis (TN): International Paper (IP) today reported preliminary Q3 2006 net earnings of $201 million, or EPS of $0.42, compared with $1 billion or EPS of $2.03 in Q3 2005.
Amounts in all periods include special items special items totalling $1.74 per share from the sale of the Carter Holt Harvey business and tax adjustments.
Quarterly net sales were $5.9 billion, down from $6.2 billion in Q2, and flat with the Q3 2005. The company attributes the fall from Q2 to declining average prices for wood products and the sale of its US coated papers business.
Operating profits were up 34 percent to $636 million, compared to $475 million in the third quarter of 2005. IP said that the increase is due to continued price realisations and strong manufacturing operations.