US Eastman Q1 income falls 5.6% on restructuring costs, flat sales

24 April 2014 23:13 Source:ICIS News

HOUSTON (ICIS)--US-based Eastman Chemical reported that first quarter net earnings fell by 5.6% on flat sales and restructuring charges, the company said on Thursday.

The chemical producer's net earnings totaled $234m compared with $248m in the same period of 2013.

Net sales remained flat at $2.31bn in the quarter. Sales in the US, Canada and Latin America fell slightly, while sales in Asia and most other global regions showed a slight increase.

Restructuring and asset impairment charges totaled $22m, which included $9m related to the Solutia acquisition in 2012.

Chief executive Mark Costa said the company reported solid results, “despite a global economy that continues to be lacklustre". Costa predicted Eastman would turn in a fifth consecutive year of strong earnings growth.

Eastman's NYSE-listed shares dropped more than $1 share in after-hours trading to $85.57. The stock closed in regular trading hours at $87.31

By Lane Kelley