OMNOVA Solutions Reports Fourth-Quarter 2008 Results
January 26, 2009
FAIRLAWN, OH - OMNOVA Solutions Inc. has reported net income of $0.8 million, or $0.02 per diluted share, for the fourth quarter ended Nov. 30, 2008, compared to net income of $3.7 million, or $0.09 per diluted share, for the fourth quarter of 2007. Included in the fourth quarter of 2008 were restructuring, severance and other charges of $0.3 million.
Net sales increased $23.7 million, or 12.1 percent, to $219.6 million, for the fourth quarter of 2008 compared to $195.9 million during the fourth quarter of 2007. The fourth-quarter increase was attributable to sales of $26.2 million from the Decorative Products Asian businesses acquired in the first quarter of 2008 and favorable pricing of $40.7 million, partially offset by net volume declines of $39.6 million and foreign currency translation loss of $3.6 million.
Gross profit was $34.6 million, with margins of 15.8 percent, in the fourth quarter of 2008 compared to $36.1 million, or margins of 18.4 percent, in the fourth quarter of 2007.