This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Georgia Gulf's CEO Discusses Q1 2012 Results - Earnings Call Transcript

Another key opportunity for Georgia Gulf lies in the U.S. housing market. New starts and renovation spending have been at an unsustainably low levels for several years. We appear to be in the early stages of a recovery that should generate increased demand and margins across all 3 of our segments on a domestic basis. As this local pickup in consumption develops, we expect to begin to benefit much earlier in the next housing recovery than any prior recovery. The opportunity for this change is strongly supported by operating rates that are already in the mid- to high-80s for vinyl due to the export levels currently in place.

Also, there have been many companies in the building products space that have either exited the business or have had to shut down due to the financial stress caused by the downturn. This clearly should present new opportunities for the remaining players.

So given the backdrop of these fundamental shifts in the microenvironment and are vastly improved balance sheet, we have a unique opportunity to take advantage of these changes. The combination of growing our asset foundation on the chemicals side by increasing our chlorine integration level and improving our Building Products profitability, due, improvements in fundamental market opportunities is really exciting.

As we have discussed a number of times in the past, the management group and all of their team members have taken and continue to take steps to improve Georgia Gulf's cost structure. We've been [indiscernible] on the cost side. While at the same time, on the revenue side, we are moving in the markets that provide a more diverse and sustainable long-term customer base. For all of these reasons, we believe that Georgia Gulf is poised to significantly outperform prior cycles and deliver significant value to shareholders.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 16,472.37 +200.36 1.23%
S&P 500 1,951.36 +27.54 1.43%
NASDAQ 4,707.7750 +80.6910 1.74%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs