24 February 2014 23:29 [Source: ICIS news]
HOUSTON (ICIS)--Chemtura reported a $20m net loss in Q4 2013 and a $177m net loss for full-year 2013 due to a loss on the sale of discontinued operations, net of tax, the US-based specialty chemical producer announced on Monday.
The net losses comes a year after Chemtura reported Q4 2012 net earnings of $20m and full-year 2012 net profit of $101m.
The US producer attributed the net loss to the selling of its Consumer Products business to KIK Custom Products in an agreement that was entered into in October 2013. The original selling price of $315m was amended to $300m on 31 December, Chemtura said.
Subtracting out the loss on discontinued operations, Chemtura posted a $13m net profit in Q4 2013, down almost 32% from $19m in Q4 2012.
The US producer still was in the negative for full-year 2013 even when subtracting out the loss on discontinued operations, posting a net loss of $20m due to increased cost from sales and from facility closures, severance and other related costs. Chemtura posted $103m in net income from continuing operations in 2012.
Net sales for Q4 2013 were $544m, up 2.1% from $533m in the year-prior period. Net sales for 2013 were $2.23bn, up 1.4% from $2.20bn in 2012.
Said CEO Craig Rogerson: “In 2013, we made significant progress in shaping our portfolio and giving visibility to the strategic direction of our remaining businesses. We successfully completed the divestitures of our Antioxidant and Consumer Products businesses. We have repaid debt to maintain our stated leverage goals and started the process of returning a significant portion of proceeds from our divestitures to our shareholders through stock repurchases.”
Looking at 2014, Rogerson added that the company will continue to explore the sale of its AgroSolutions division and hopes to have an outcome to that in the first half of the year.
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