David Drillock, Vice President and Chief Financial Officer commented, “Operating cash flows from continuing operations were $21.5 million for the first quarter 2011. During the quarter our average net working capital days decreased compared to the fourth quarter of 2010 due to our continued focus on our working capital. While trade accounts receivable increased $59.6 million due to higher revenues, the average days sales outstanding for the first quarter of approximately 49 days was flat with the fourth quarter 2010 average. Inventory increased by $49.4 million in the first quarter of 2011 due to higher demand and production, while average days on hand of approximately 69 days was slightly up from the average for the fourth quarter of 2010 of 67 days. Accounts payable increased by $114.6 million in the quarter due to the higher demand levels and an increase of 7 days to 58 days versus the average fourth quarter of 2010 level of 51 days. The decrease in accrued expenses reflects payments against our prior year incentive compensation accruals.
“Capital spending for the quarter was $26 million with approximately 45% related to Specialty Chemical segments and 55% of the spending attributable to Engineered Materials, versus $28 million spent in the first quarter of 2010.
“During the quarter we purchased 440,000 shares of our common stock for $24 million. The remaining amount on the current share repurchase authorization is approximately $170 million.”2011 Outlook Mr. Fleming commented, “We expect to build on our solid first quarter performance and we remain focused on addressing the headwind of increasing raw material costs across our businesses through higher selling prices. Assuming the current economic recovery continues, we are maintaining our guidance for 2011 continuing full year adjusted diluted earnings per share attributable to Cytec in the range of $3.15 to $3.50, consistent with the detailed guidance we provided in January for each segment.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV