PaintSquare.com


The First Word in Protective & Marine Coatings

A Product of Technology Publishing / PaintSquare
JPCL | PaintSquare News | Durability + Design | Paint BidTracker

Paint and Coatings Industry News

Main News Page


OMNOVA Has Record Q4, Strong ‘09

Thursday, January 21, 2010

Comment | More

A record fourth quarter and strong 2009 performance puts wallcovering giant OMNOVA Solutions in “the strongest financial position in our history,” the company’s CEO says.

The Ohio-based company reported fourth-quarter net income of $11.1 million, up $10.3 million compared to the fourth quarter of 2008. Diluted earnings per share was $0.25, an improvement of $0.23 per share compared to the fourth quarter of 2008.

Volumes for the quarter increased modestly compared to 2008, reversing a trend of six consecutive quarterly declines.

Segment operating profit was $17.6 million, an increase of $12.7 million over the fourth quarter of 2008, while Net Debt declined by 11.5 million to $111.2 million.

Net sales decreased $30.8 million, or 14.0%, to $188.8 million for the fourth quarter of 2009, compared to $219.6 million for the fourth quarter of 2008, largely because of lower selling prices and foreign currency translation effects. These were partially offset by the improved volume, which included market share gains and penetration into new adjacent markets. 

Gross profit improved to $44.0 million, with margins of 23.3%, in the fourth quarter of 2009, compared to $34.6 million, and margins of 15.8%, in the fourth quarter of 2008.  The margin improvement was primarily due to lower raw material costs and reduced manufacturing expenses. 

"Our strong fourth quarter performance caps off a year in which the company made enormous progress on many fronts, despite one of the worst global recessions in many decades,”  said chairman and CEO Kevin McMullen.

“During the quarter, OMNOVA's team of 2,300 associates executed upon a number of profitable initiatives, including the commercialization of innovative new products, penetration of new adjacent markets, broad-based cost reductions which now total over $24 million for the year, effective global raw material sourcing, and improved pricing strategies.

"These actions contributed to record earnings and cash-flow generation for the quarter and the year and create a strong foundation for the future. While economic uncertainties remain, including inflationary threats for some of our raw materials, we are encouraged as we enter 2010.

“Demand across most of our markets is improving, as volumes were positive year-over-year in the fourth quarter, and the company is in the strongest financial position in our history."

OMNOVA (www.omnova.com) is an innovator of emulsion polymers, specialty chemicals and decorative and functional surfaces for a variety of commercial, industrial and residential end uses.

   

Tagged categories: Earnings reports; Finance; Omnova Solutions; Wallcovering

Comment Join the Conversation:

Sign in to our community to add your comments.

CESCO
USED EQUIPMENT SPECIALS

Jet Edge water blast cabinet 1995 Model 36-100, excellent condition
Sponge Jet 240L feed unit with a recycler unit
Hotsy Trailblazer
Schmidt pot, 6 ton with 4 outlets, TVII valves, 12V line with controls, Halo safety loading feature, 4 factory welded post for jumbo sack rack
Contact us: 888-772-3726
BlastandPaint.com


Waterjet Technology Association (WJTA)
HP Waterjets, Related Products for Paint/Coating Removal, Surface Prep

www.wjta.org
. Networking
. Education
. Systems, Equipment
. Safety, Business Tips
314-241-1445


DeFelsko Corporation
NEW PosiTector
Inspection Kits

PosiTector 6000 Coating Thickness Gage easily converts to a surface profile gage, dew point meter or ultrasonic wall thickness gage with a simple probe change.


Clemco Industries Corp.
Powerful Protection in a Small Package

Mounts inside blast helmet, alerts operator to dangerous breathing-air condition by audible, visual, and vibratory alarms. Easily calibrated, battery operated.


Fischer Technology Inc.
MP0R with rotating display screen

View your coating thickness readings from any angle with rotating display screen. New graphic display with easy menu navigation. Click for Video
Call 800-243-8417


Absolute Equipment/Grand Rental Station
Portable Power from Absolute Equipment

•Compressors
•Lighting Systems
•Generators
•Light Compaction
Sales • Rental • Service
Call 1-866-931-6655
Over a century of
providing excellence.


Keizer Technologies, Inc.
Fast • Safe • Clean • Silent

The innovative RPR Induction Disbonder, the world’s fastest, safest, cleanest and very cost effective method for removing paint and coatings from steel surfaces.

 
 
 
Technology Publishing

The Technology Publishing Network

The Journal of Protective Coatings & Linings (JPCL) PaintSquare
Durability + Design Paint BidTracker JPCL Europe

 
EXPLORE:      JPCL   |   PaintSquare News   |   Interact   |   Buying Guides   |   Webinars   |   Resources   |   Classifieds
REGISTER AND SUBSCRIBE:      Free PaintSquare Registration   |   Subscribe to JPCL   |   Subscribe to PaintSquare News
MORE:      About PaintSquare.com   |   Privacy policy   |   Terms & conditions   |   Site Map   |   Search   |   Contact Us
 

© Copyright 2000-2014, Technology Publishing / PaintSquare, All rights reserved
2100 Wharton Street, Suite 310, Pittsburgh PA 15203-1951; Tel 1-412-431-8300; Fax 1-412-431-5428; E-mail webmaster@paintsquare.com