Sonoco Products Co. (SON - Analyst Report) has made a significant investment in the high performance film core production equipment in its Hartsville, SC, facility. This investment will enable the company to provide better quality cores for film markets. Sonoco’s shares gained around 0.8% and closed at $51.32 on Oct 6, a day after the news.
The high performance film markets include medical films, optical films, window films, photovoltaic applications, battery separator films, packaging films, industrial films and more. These markets require constantly increasing quality standards essential to the integrity of the film.
This investment in the Hartsville facility reveals Sonoco’s dedication to the industry. It will help in improving the company’s ability to produce the highest quality products for the most demanding applications. These high performance film cores reduce film scrap and minimize start-up impressions, while providing best-in-class performance on a consistent basis.
Notably, Sonoco’s QS Series of film cores are designed to deliver a wide array of functional benefits. These include smooth surfaces to reduce material waste and spiral film impressions. Its straightness allows for high winding speeds and minimizes start-up wrinkles.
These film cores will also control total indicator reading (TIR) and multiple levels of dust. The films boast engineered core designs for safe and optimal roll weight capacities during winding and shipping. Further, they have long length capabilities to produce wide rolls of film.
Additionally, Sonoco remains committed to its ‘Grow and Optimize’ strategy, which is focused on targeted growth of its Consumer Packaging and Protective Solutions businesses as well as optimization of its Industrial-focused businesses.
AptarGroup, Inc. (ATR - Analyst Report) , which belongs to the same sector as Sonoco, also remains focused on investment in innovation and new solutions that will help its customers grow their businesses. Another player in the same sector, Sealed Air Corporation (SEE - Analyst Report) , is investing in new solutions, including the recent acquisition of Finland-based TTS-Ciptec to enhance its knowledge-based service offering.
AGCO Corporation (AGCO - Analyst Report) from the same sector remains focused on strategic investments to refresh and expand its product line, upgrade system capabilities and enhance factory productivity. Its increased investments in business over the last decade through both capital expenditures coupled with research and development will bolster growth.
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