Nonwovens maker Ahlstrom slips in to Q4 loss
February 02, 2016 - Finland
As against a net profit of €5.7 million in the corresponding quarter of 2014, Finland based nonwovens producer Ahlstrom slipped in to a loss of €20.5 million in the three months to December 31, 2015.
However, according to an Ahlstrom press release, the company was able to post a year over year growth of 3.2 per cent in sales at €255.0 million, while comparable net sales at constant currencies declined by 2.4 per cent.
Operating loss too climbed just under four times to €16.4 million in the fourth quarter of 2015 compared to an operating loss of €4.3 million in the same quarter of 2014.
But, operating profit excluding non-recurring items was in the positive zone at €7.6 million as against an operating loss of €1.8 million in the year ago period.
For the reporting quarter, net cash flow from operative activities totaled €23.3 million versus €18.9 million in the comparable quarter of the prior year.
For full year of 2015, Ahlstrom reported net sales of €1,074.7 million, up 7.4 per cent from €1,001.1 million in the previous year, while comparable net sales at constant currencies fell by 0.7 per cent.
Operating profit in the year under review amounted to €21.9 million compared to an operating loss of €3.7 million in 2014.
Operating profit excluding non-recurring items stood at €47.5 million in 2015, representing 4.4 per cent of net sales as against €28.6 million in 2014, representing 2.9 per cent of net sales.
Profit before taxes reached €22.6 million in the period under review versus a loss before taxes of €9.4 million in 2014, which includes a €20.3 million capital gain booked from the sale of Munksjö Oyj shares.
Net cash flow from operative activities in the reporting year reached €60.0 million as against €35.4 million in 2014.
On January 21, 2016, the company signed an agreement to divest the glass fibre business and in the same month also redefined strategy and announced new long-term financial targets.
CEO Marco Levi said, "Improving profitability was the major theme of our performance in 2015, and this was also reflected in the last quarter of the year, as we clearly delivered according to our plans.”
“We have achieved this through continued optimisation of the existing product portfolio, enhanced pricing, as well cost savings,” he added.
“In addition, we have increased the capacity utilisation of the new assets including the Binzhou wall coverings production line and the Longkou plant,” Levi stated.
“The slowdown in some of our key markets that started in the middle of last year persisted until the end of the reporting period, and had a clear negative impact on net sales,” he observed.
For 2016, the company expects net sales from continuing operations in 2016 to be between €950-1050 million and adjusted operating profit from continuing operations is expected to be 4.2-5.2 per cent of net sales. (AR)
However, according to an Ahlstrom press release, the company was able to post a year over year growth of 3.2 per cent in sales at €255.0 million, while comparable net sales at constant currencies declined by 2.4 per cent.
Operating loss too climbed just under four times to €16.4 million in the fourth quarter of 2015 compared to an operating loss of €4.3 million in the same quarter of 2014.
But, operating profit excluding non-recurring items was in the positive zone at €7.6 million as against an operating loss of €1.8 million in the year ago period.
For the reporting quarter, net cash flow from operative activities totaled €23.3 million versus €18.9 million in the comparable quarter of the prior year.
For full year of 2015, Ahlstrom reported net sales of €1,074.7 million, up 7.4 per cent from €1,001.1 million in the previous year, while comparable net sales at constant currencies fell by 0.7 per cent.
Operating profit in the year under review amounted to €21.9 million compared to an operating loss of €3.7 million in 2014.
Operating profit excluding non-recurring items stood at €47.5 million in 2015, representing 4.4 per cent of net sales as against €28.6 million in 2014, representing 2.9 per cent of net sales.
Profit before taxes reached €22.6 million in the period under review versus a loss before taxes of €9.4 million in 2014, which includes a €20.3 million capital gain booked from the sale of Munksjö Oyj shares.
Net cash flow from operative activities in the reporting year reached €60.0 million as against €35.4 million in 2014.
On January 21, 2016, the company signed an agreement to divest the glass fibre business and in the same month also redefined strategy and announced new long-term financial targets.
CEO Marco Levi said, "Improving profitability was the major theme of our performance in 2015, and this was also reflected in the last quarter of the year, as we clearly delivered according to our plans.”
“We have achieved this through continued optimisation of the existing product portfolio, enhanced pricing, as well cost savings,” he added.
“In addition, we have increased the capacity utilisation of the new assets including the Binzhou wall coverings production line and the Longkou plant,” Levi stated.
“The slowdown in some of our key markets that started in the middle of last year persisted until the end of the reporting period, and had a clear negative impact on net sales,” he observed.
For 2016, the company expects net sales from continuing operations in 2016 to be between €950-1050 million and adjusted operating profit from continuing operations is expected to be 4.2-5.2 per cent of net sales. (AR)