EARNINGS: Arch Chemical sales jump 30% in FY2004
In other news: 1) Southwest Water releases preliminary results below guidance; 2) Allete shows strong 2004 earnings results; 3) URS Corp. reports results for transition period to new FY calendar; 4) Nalco Holding Company sales reach $3 billion; 5) Calgon Carbon quarterly sales up 22.4%, annual sales up 20.9%...
In other news below:
-- Southwest Water releases preliminary results below guidance
-- Allete shows strong 2004 earnings results
-- URS Corp. reports results for transition period to new FY calendar
-- Nalco Holding Company sales reach $3 billion
-- Calgon Carbon quarterly sales up 22.4%...
Arch Chemicals issues sales numbers 30% above FY2003
NORWALK, CT, Feb. 11, 2005 (BUSINESS WIRE) -- Highlights of Arch Chemicals, Inc. financials released today include:
-- Sales for the full-year 2004 increased about 30% over full-year 2003, driven by acquisitions and by organic growth.
-- Earnings for the full-year 2004 increased significantly over full-year 2003.
-- Completed divestiture of the majority of the Microelectronic Materials businesses to Fuji Photo Film on Nov. 30.
-- For the full-year 2005, sales are expected to grow by eight to 10% and earnings are expected to be in the $1.20 to $1.30 per share range.
Full year sales were $1,120.9 million in 2004, compared to $863.5 million reported in 2003. Full year income from continuing operations was $17.3 million in 2004 compared to $10.1 million in 2003. Excluding the impairment and restructuring charges of $4.6 million, full year income from continuing operations was $20.1 million.
Treatment Products reported sales of $195.5 million and an operating loss of $0.7 million compared with sales and an operating loss of $143.8 million and $0.5 million, respectively, in 2003.
HTH water products reported sales of $50.5 million and an operating loss of $16.1 million for 2004 compared to sales and an operating loss of $39.2 million and $12.0 million, respectively, in 2003. Sales increased $11.3 million, or about 29%, principally due to the acquisition of Avecia's pool and spa business which reported sales of $8.9 million.
Personal care and industrial biocides reported sales of $61.7 million and operating income of $12.0 million compared to sales and operating income of $36.4 million and $7.1 million, respectively, in 2003.
Based in Norwalk, Conn., Arch Chemicals (www.archchemicals.com) is a global specialty chemicals company with more than $1 billion in annual sales. Arch and its subsidiaries have leadership positions in two segments -- Treatment Products and Performance Products -- where they serve leading customers with forward-looking solutions to meet their chemical needs. Together with its subsidiaries, Arch has 2,800 employees and manufacturing facilities in North America, South America, Europe, Asia and Africa.
Southwest Water releases preliminary results
LOS ANGELES, Feb. 10, 2005 (BUSINESS WIRE) -- Southwest Water Company (www.swwc.com) expects to report revenues for the year ended Dec. 31 of about $188 million, income before taxes of about $7 million and net income of about $4.4 million.
The company noted that these preliminary results for 2004 are unaudited. They compare to 2003 revenues totaling $173 million, with income before taxes of $11.2 million and net income of $7.2 million.
The 2004 full-year estimate for revenue is about $2 million below the company's prior guidance, and estimated net income is about $3.6 million less than guidance. The estimated income shortfall is primarily related to project work delays, unusually wet weather, reserves, severance amounts, and higher-than-anticipated expenses for Sarbanes Oxley documentation and testing.
Southwest Water anticipates releasing its complete financial results for 2004 and hosting a conference call to discuss its operations and answer questions in early March.
Allete shows strong 2004 earnings results
DULUTH, MN, Feb. 10, 2005 (BUSINESS WIRE) -- Allete Inc. (www.allete.com) reported 2004 income from continuing operations of $39.1 million. Excluding a one-time charge for the early repayment of debt and a one-time gain realized by an employee stock ownership fund, income from continuing operations was $38.5 million, an increase of 29% over 2003.
Net income from Allete's Regulated Utility business grew by 13% in 2004 and kilowatt/hour sales to Minnesota Power's industrial customers were 8% higher than last year. Nonregulated Energy Operations posted a slight loss in 2004. Net income from its Real Estate business increased by 4% in 2004. Year-end results for other business segment improved by $7.8 million in 2004 over 2003, mainly due to reduced interest expense resulting from lower debt balances.
During 2004, Allete spun off its Automotive Services business and substantially completed the sale of its Water Services business. Net income from these Discontinued Operations was $73.1 million in 2004. On Feb. 4, it closed on the sale of its last wastewater system.
URS Corp. reports results for transition period to new FY calendar
SAN FRANCISCO, Feb. 9, 2005 (BUSINESS WIRE) -- URS Corp. (www.urscorp.com) highlights for period include a reaffirmation of its fiscal 2005 guidance including revenues of $3.6 Billion, net income of $94 million, and $80 million in debt repayment.
URS began reporting its financial results on Jan. 1 a 52/53-week fiscal year ending on the Friday closest to Dec. 31. It's treating the period from Nov. 1-Dec. 31, 2004, as a separate reporting period.
Revenues for the two-month transition period increased to $567.0 million, or 15.8%, compared with $489.7 million in revenues for the corresponding two months in 2003. Net income for the two months was $1.2 million, compared to $5.5 million for the corresponding period in 2003. And, as of Dec. 31, the company's backlog was $3.633 billion, compared to $3.823 billion as of Oct. 31, 2004, and $3.399 billion as of Dec. 31, 2003.
In addition to providing consolidated financial results, URS provided separate financial information for its two segments, the URS Division and the EG&G Division:
-- URS Division: For the two months ended December 2004, the URS Division reported revenues of $370.3 million and operating income of $5.5 million.
-- EG&G Division: For the two months ended December 2004, the EG&G Division reported revenues of $197.0 million and operating income of $8.0 million.
Nalco Holding Company sales reach $3 billion
NAPERVILLE, IL, Feb. 8, 2005 (BUSINESS WIRE) -- Nalco Holding Company (www.nalco.com) achieved 2004 sales of more than $3 billion, supported by accelerating fourth quarter revenues. For the year, sales grew 9.6% to $3.03 billion, with organic sales -- excluding acquisition, divestiture and currency impacts -- up 5.2% from the 2003 base of $2.77 billion.
The company's 2004 net loss was $138.8 vs. a prior-year loss of $182.3 million -- although both years' reported results were driven by significant special items.
Nalco made payments to reduce debt by more than $402 million in 2004, including a reduction in its senior discount note debt of $162.3 million that was paid with a portion of proceeds from its November initial public offering (IPO).
The company exceeded its 2004 cost reduction objective of $75 million, delivering savings of $88 million, with a full-year run rate impact of $110 million. To reach its cost objectives, the company eliminated 380 positions from functional support areas during the past 14 months, and then reinvested by adding 230 sales engineers and service technicians to its customer-facing teams.
Technology introductions aided sales for the year and the quarter:
-- Sales of 3D Trasar cooling water stress management systems continue to run ahead of plan after being launched primarily in North America in the second quarter. Training of sales engineers for this best-in-class cooling water technology is now underway in other regions.
-- Development and deployment of Freeflow Low Dose Hydrate Inhibitors (LDHI) helped Nalco expand its flow assurance and asset integrity leadership at Deepwater oil and gas exploration and production sites.
-- A new line of grade-based SMART Solutions technologies is being launched in the paper industry to improve customer operating efficiencies and finished product quality.
Sales grew across Nalco's business segments during the year. Energy Services led sales growth with an 11.8% increase, followed by Industrial and Institutional Services (up 9.4%) and Paper Services (up 6.5%). Other segment sales grew 15%, primarily as a result of sales brought to our Katayama Nalco joint venture in Japan by our partner Katayama Chemical Inc.
Calgon Carbon quarterly sales up 22.4%
PITTSBURGH, Feb. 7, 2005 (PRNewswire-FirstCall) -- Calgon Carbon Corp. (www.calgoncarbon.com) results for the fourth quarter ended Dec. 31, showed sales for the period were $85.2 million vs. $69.6 million in the same period a year earlier, an increase of 22.4%.
Net income for the quarter was $0.9 million, as compared to $2.0 million for the same period of 2003, a 54.6% decrease.
Sales from the Activated Carbon and Service segment increased 18.8% vs. the comparable period in 2003 due to increased demand for specialty carbons used in respirators and for service in the environmental water treatment market. Equipment sales increased 41.7% in the period as compared to 2003 due to higher sales of solvent recovery systems. An 18.1% increase in Consumer sales for the period was primarily due to increased seasonal demand for PreZerve products for tarnish prevention. Sales of activated carbon cloth and charcoal also showed increases over the comparable period in 2003.
Operating expenses for the fourth quarter of 2004, including $1.9 million related to the former Specialty Products Division of Waterlink, Inc. (Waterlink) which Calgon Carbon acquired in February 2004, increased 26.5%. Excluding Waterlink, operating expenses increased 11.5% quarter-over-quarter. The increase was due to additional investment to further develop the company's ultraviolet light disinfection product line; higher legal expenses related to enforcing its UV patent; consulting fees for Sarbanes-Oxley compliance; and higher integration costs related to the Waterlink acquisition.
Sales for the twelve months ended Dec. 31, 2004, were $336.6 million vs. $278.3 million in 2003, an increase of 20.9%. Net income was $5.9 million, vs. $4.5 million in 2003, an increase of 31.3%.
Additional earnings reports can be found at:
-- EARNINGS: Badger Meter's 11.4% net sales jump an FY record: See figures also for Pentair, Rohm and Haas, Great Lakes Chemical, Suez, and SJW Corp...
-- EARNINGS: ITT Q4 revenues up 28%, FY2004 revenue up to $6.8 billion: See figures also for Mueller Water Products, IDEXX Labs, Franklin Electric, and California Water Services Group...