18 October 2012 23:03 [Source: ICIS news]
HOUSTON (ICIS)--Cytec’s third-quarter net earnings jumped 10% year on year on a $92m (€70m) rise in sales largely from its acquisition of composite and process materials firm Umeco, the US specialties producer said on Thursday.
Cytec reported net earnings of $53m for the quarter, compared with $48m in the same quarter last year. Sales for the 2012 third quarter rose to $455m from $363m in the same quarter last year.
Cytec CEO Shane Fleming said the 25% increase in sales from continuing operations was primarily the result of the $439m acquisition of UK-based Umeco.
Net of the acquisition, sales increased 7% with volume growth of 5%, Fleming said.
Cytec completed the sale of its pressure sensitive adhesives (PSA) line to Henkel in July for about $105m.
In October, Cytec announced an agreement to sell its remaining coatings resins business to Advent International for more than $1bn.
Sales for coating resins for the third quarter were $364m, down 12% from the same period in 2011. Sales volumes for coating resins were down 6%.
Looking forward, Fleming said Cytec increases its overall continuing operations estimate for 2012 to $2.84-3.03 per share from the previous estimate of $2.65-2.90.
($1 = €0.76)
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