18 April 2013 22:19 [Source: ICIS news]
HOUSTON (ICIS)--Cytec Industries posted a nearly 37% year-on-year decrease in Q1 net earnings on increased cost of sales and a loss on early extinguishment of debt, the company said on Thursday.
Net earnings for Q1 2013 were $33.5m (€25.8m), down from $53.1m in the same quarter of 2012.
Net sales rose about 26% to $477.4m in Q1 2013 from $378.1m in Q1 2012.
But the cost of sales jumped more than 33% to $337m in 2013’s first quarter from $252.9m for the same period last year.
Cytec also incurred a $39.4m charge from loss on the early extinguishment of debt related to premiums associated with the repurchase of $328m of outstanding public debt.
Leading the way for the West Paterson, New Jersey-based specialty chemicals and materials maker was its aerospace materials division, where sales increased 14% and volumes increased 4% year over year thanks to higher build rates in large commercial transport and larger business jets, as well as new business jet programs.
“First-quarter 2013 revenue growth met our overall expectations as we anticipated a modest start to the year with stronger growth in the remaining quarters of 2013,” said Cytec CEO Shane Fleming.
($1 = €0.77)
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