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Nubiola acquisition boosts Ferro's third quarter 2015 sales
FINANCIALS
November 2014, while net earnings more than doubled from the previous-year figure of $15 million. According to CEO Craig Rogerson, the company’s ability to achieve ‘significant gains’ in profitability despite continued softness in sales volume in many areas demonstrates the strength of its focused speciality chemical portfolio and the continued results from its cost reduction and commercial excellence initiatives. Adjusted EBITDA for Chemtura’s core segments – Industrial Performance Products (IPP), Industrial Engineered Products (IEP) and corporate – grew $27 million or 63% compared to 3Q 2014. The IPP segment posted 3Q 2015 sales of $226 million versus $247 million a year earlier. Operating income improved for the quarter to $37 million ($28 million in 3Q 2014) as lower raw material and manufacturing costs more than offset lower selling prices, lower volumes and unfavourable product mix. The segment also benefited from lower selling, general and administrative (SG&A) costs, which resulted from implementing the cost savings initiatives announced in 4Q 2014 [ADPO, January 2015]. Net sales for Chemtura’s IEP segment decreased from $198 million in 3Q 2014 to $181 million, predominately due to volume declines across many of its Great Lakes Solutions products, especially sales of furniture foam flame retardants, elemental bromine and flame retardant products used in electronic applications, as well as currency exchange effects. Sales prices for flame retardants used in electronic applications increased, which offset the lower volumes. The segment’s operating income was $24 million in 3Q 2015, a significant improvement from $5 million in 3Q 2014. This increase was driven by continued improvements in bromine and bromine-derivative pricing, coupled with lower raw material, manufacturing and SG&A costs, the company says. Contact: Chemtura Corp, Philadelphia, PA, USA. Tel: +1 203 573 2000, Web: www.chemtura.com
January 2016
Nubiola acquisition boosts Ferro’s third quarter 2015 sales
F
or the third quarter of 2015, Ferro Corp reported net sales of US$279 million, compared with US$276 million in 3Q 2014. Valueadded sales, which exclude precious metal sales, were US$271 million in 3Q 2015, an increase of 2% from $265 million in the same period of 2014. Recently acquired Spanish pigments company Nubiola [ADPO, June 2015] and Italian tile coatings firm Vetriceramici together contributed approximately $45 million in additional value-added sales, but this increase was largely negated by adverse foreign currency translation. The company’s gross profit was $77 million for the quarter, up from $73 million in 3Q 2014. SG&A expenses were $48 million versus $52 million a year earlier. Ferro’s quarterly income from continuing operations was $16 million, compared with a loss of $3 million in 3Q 2014. According to CEO Peter Thomas, the results for the quarter were generally in line with expectations, despite ‘difficult economic conditions and continuing challenges in certain markets’. Nubiola’s sales of $30 million in 3Q 2015 were reported as part of Ferro’s Pigments, Powders and Oxides segment, and were responsible for the increase in its total quarterly sales to $58 million from $28 million a year earlier. The segment posted a gross profit of $13 million in 3Q 2015 compared with $8 million the previous year. The company’s Performance Colors and Glass segment reported sales of $92 million in 3Q 2015, down from $103 million for the same period in 2014. The segment’s quarterly gross profit was also down, from $34 million in 3Q 2014 to $32 million.
Contact: Ferro Corp, Mayfield Heights, OH, USA. Tel: +1 216 875 5600, Web: www.ferro.com
Additives for Polymers
11
November 2014, while net earnings more than doubled from the previous-year figure of $15 million. According to CEO Craig Rogerson, the company’s ability to achieve ‘significant gains’ in profitability despite continued softness in sales volume in many areas demonstrates the strength of its focused speciality chemical portfolio and the continued results from its cost reduction and commercial excellence initiatives. Adjusted EBITDA for Chemtura’s core segments – Industrial Performance Products (IPP), Industrial Engineered Products (IEP) and corporate – grew $27 million or 63% compared to 3Q 2014. The IPP segment posted 3Q 2015 sales of $226 million versus $247 million a year earlier. Operating income improved for the quarter to $37 million ($28 million in 3Q 2014) as lower raw material and manufacturing costs more than offset lower selling prices, lower volumes and unfavourable product mix. The segment also benefited from lower selling, general and administrative (SG&A) costs, which resulted from implementing the cost savings initiatives announced in 4Q 2014 [ADPO, January 2015]. Net sales for Chemtura’s IEP segment decreased from $198 million in 3Q 2014 to $181 million, predominately due to volume declines across many of its Great Lakes Solutions products, especially sales of furniture foam flame retardants, elemental bromine and flame retardant products used in electronic applications, as well as currency exchange effects. Sales prices for flame retardants used in electronic applications increased, which offset the lower volumes. The segment’s operating income was $24 million in 3Q 2015, a significant improvement from $5 million in 3Q 2014. This increase was driven by continued improvements in bromine and bromine-derivative pricing, coupled with lower raw material, manufacturing and SG&A costs, the company says. Contact: Chemtura Corp, Philadelphia, PA, USA. Tel: +1 203 573 2000, Web: www.chemtura.com
January 2016
Nubiola acquisition boosts Ferro’s third quarter 2015 sales
F
or the third quarter of 2015, Ferro Corp reported net sales of US$279 million, compared with US$276 million in 3Q 2014. Valueadded sales, which exclude precious metal sales, were US$271 million in 3Q 2015, an increase of 2% from $265 million in the same period of 2014. Recently acquired Spanish pigments company Nubiola [ADPO, June 2015] and Italian tile coatings firm Vetriceramici together contributed approximately $45 million in additional value-added sales, but this increase was largely negated by adverse foreign currency translation. The company’s gross profit was $77 million for the quarter, up from $73 million in 3Q 2014. SG&A expenses were $48 million versus $52 million a year earlier. Ferro’s quarterly income from continuing operations was $16 million, compared with a loss of $3 million in 3Q 2014. According to CEO Peter Thomas, the results for the quarter were generally in line with expectations, despite ‘difficult economic conditions and continuing challenges in certain markets’. Nubiola’s sales of $30 million in 3Q 2015 were reported as part of Ferro’s Pigments, Powders and Oxides segment, and were responsible for the increase in its total quarterly sales to $58 million from $28 million a year earlier. The segment posted a gross profit of $13 million in 3Q 2015 compared with $8 million the previous year. The company’s Performance Colors and Glass segment reported sales of $92 million in 3Q 2015, down from $103 million for the same period in 2014. The segment’s quarterly gross profit was also down, from $34 million in 3Q 2014 to $32 million.
Contact: Ferro Corp, Mayfield Heights, OH, USA. Tel: +1 216 875 5600, Web: www.ferro.com
Additives for Polymers
11