This Day On The Street
Continue to site
ADVERTISEMENT
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

Cytec Industries Management Discusses Q2 2012 Results - Earnings Call Transcript

During the course of this presentation, and in responses to your questions, you will hear certain forward-looking statements. Our actual results may differ materially. Please read our commentary on forward-looking statements in Slide #2 of our supporting materials or at the end of our news release or the statements in our quarterly and annual SEC filings.

In addition, our discussion includes certain non-GAAP financial measurements as defined under SEC rules. We have provided a reconciliation of those non-GAAP financial measures to the most directly comparable GAAP measure at the end of our press release. A copy of our press release is available on our Investor Relations website.

As a reminder, we are now reporting Coating Resins as discontinued operations so all financial information will be discussed accordingly.

Now, let me turn over the call over to Shane.

Shane D. Fleming

Thanks, Jodi, and good morning, everyone. I appreciate you taking the time to join our second quarter call.

I'll begin on Slide 3. Sales from continuing operations of the quarter were $404 million versus $347 million in the prior-year quarter. The year-on-year sales growth was driven by strong selling volumes in the In Process Separation and Engineered Materials segments. As a reminder, we are now reporting Coating Resins as discontinued operations so all financial information will be presented on that basis.

The second quarter net earnings for continuing operations were $34.3 million or $0.73 per diluted share excluding special items, which represents a substantial increase versus $0.30 per diluted share in the second quarter 2011. The significant earnings growth in the quarter reflects the progress we are making across the businesses as we leverage sales growth and improve product mix into stronger earnings for the company.

Slide 4 provides details on the Engineered Materials results. Sales in the segment increased substantially by 21% to $230 million. Selling volumes increased 70% versus the prior year quarter due to robust demand across each sector of the aerospace market. Higher bill rates and large commercial transports in both legacy and new programs contributed to the increase, along with our growth in military business primarily related to the Joint Strike Fighter and the V22 programs. Selling volumes of regional business jets were also up versus the prior-year period. Selling prices also increased by 4%.

2 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
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs