PaintSquare.com
      | Connect Follow us on Twitter Like us on Facebook
About | Subscribe | Advertise
  

 

Download the FREE Equipment and Rental Resource Guide

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.

SSPC: The Society for Protective Coatings
http://www.sspc.org/

Join SSPC and Enhance
Your Career !


Industrial Vacuum Equipment Corp.
Hurricane Vacuums
& Dust Collectors

Vacuum and dust collector hose, filters and related accessories.
IndustrialVacuum.com


Axxiom Manufacturing
Schmidt Improves Conversion Kits

Schmidt's conversion kits turn out-of-date blast pots into high quality, efficient blasters. Quick, easy to install with step by step instructions.
Call 1-800-231-2085


International Paint LLC

International Paint Engineered Coatings

Learn about our solutions for:
  • Structural Steel
  • Piping & Equipment
  • Storage Tanks
  • Pressure Vessels
  • Secondary Containment


    Sidewinder/Persyst Enterprises, Inc.
    The Sidewinder Model M2 Solvent Recycler

    Combat the rising cost of gunwash, thinners, acetone & more while drastically reducing waste disposal coat.


    Armakleen Company, The
    ARMEX when nondestructive cleaning is critical

    Use ARMEX to clean, remove paint and degrease a wide variety of substrates including metals, plastics, composites and masonry materials like brick, concrete and natural stone.


    Trelawny Surface Preparation Technology
    Surface Preparation Equipment

    Manufacturer of needle scalers, grinders, scarifiers and scabblers. Pneumatic tools for Marine and Construction. US distributor CS Unitec: 800-700-5919


    HoldTight Solutions Inc.
    NO FLASH RUST -
    NO CONTAMINANTS

    Our HoldTight®102 salt remover & flash rust preventer prevents flash
    rust by removing surface contaminants. It has no equal; only wannabees.
    Contact us for your
    nearest distributor.
    (800) 319.8802 sales@holdtight.com


    Polygon
    POLYGON - Temporary Humidity Control

    We specialize in innovative climate control solutions for industrial painting, utilizing alternative energy sources and combining desiccants with heating or cooling.


    Advanced Recycling Systems
    ADVANCED RECYCLING SYSTEMS (ARS)

    Recycling Machines, Dust Collectors, Rapid Deployment units are time-tested and approved for the rugged industrial environment. Contact ARS today!
    (330)536-8210

  •  
     
     
    Technology Publishing

    The Technology Publishing Network

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

     
    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 2000-2015, 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