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
AQUA MISER

• Ultra high pressure water blaster • 40,000 PSI stripping and cleaning power CESCO is the leader in environmentally sound cleaning and stripping technologies. See our YouTube videos
Contact us: 888-772-3726
Aquamiser.com
BlastandPaint.com


DeFelsko Corporation
PosiTector Dew Point Meter

Measures and records
environmental conditions
during surface prep and
painting. 4 Models
Available – Standard
or Advanced features,
Built-in or Separate probe.


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.


MMLJ
Superfast Dustless Abrasive Blasting - Watch Video

Dustless Blasting creates no dust plume so others can work nearby unaffected. Maximize Productivity! Watch our numerous YouTube videos to learn more.


Thermion Inc
Buy Back Program

We are offering $5,000
credit for your old Model
This drive system is
being discontinued by
the manufacturer.
More information at
thermioninc.com
877.884.3428


Simpson Strong-Tie
Repair, Protect & Strengthen

Need a coating? Turn to Fox. We have solutions to repair, protect and strengthen concrete, steel and wood substrates. Call 888-760-0369 or email info@foxind.com


CHLOR*RID International Inc.
Free Webinar

Learn about soluble salts, along with a discussion on allowable levels.
More information at
www.chlor-rid.com,

800-422-3217

 
 
 
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