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

Tredegar Reports Fourth-Quarter Results

Nancy M. Taylor, Tredegar’s president and chief executive officer, said: “Film Products’ performance for the quarter showed improvement versus the fourth quarter of last year, due to stronger results from Terphane and higher volumes in surface protection films. Overall, 2012 proved to be a challenging year for our Films business, with softness in demand and pricing pressures in several of our markets. Film Products ended the year on a positive note but we remain cautious due to the competitive dynamics in our core markets.”

Ms. Taylor continued, “We are pleased with a strong year of performance for Bonnell Aluminum. Relative to the fourth quarter, Bonnell benefitted from the addition of AACOA. We’re excited about the future opportunities that this acquisition provides, allowing us to broaden our capabilities and more actively participate in markets outside of building and construction.”

Ms. Taylor added, “We also divested our mitigation banking business, Falling Springs, in the fourth quarter. The sale of Fallings Springs is consistent with our strategic intent to focus our efforts on manufacturing.”

OPERATIONS REVIEW

Film Products

A summary of fourth quarter and full year operating results for Film Products is provided below:
           
Films
                         
Quarter Ended Favorable/ Year Ended Favorable/
(In Thousands, December 31 (Unfavorable) December 31 (Unfavorable)
Except Percentages)   2012   2011   % Change   2012   2011   % Change
 
Sales volume (pounds) 67,187 60,875 10.4 % 270,265 218,727 23.6 %
 
Net sales $ 152,656 $ 142,251 7.3 % $ 611,877 $ 535,540 14.3 %
 

Operating profit from ongoing operations
  $ 19,951   $ 15,621   27.7 %   $ 69,950   $ 59,493   17.6 %
 

The improvement in operating results for Film Products in 2012 was primarily driven by the addition of flexible packaging films with the acquisition of Terphane on October 24, 2011. Net sales (sales less freight) for Terphane were $36.4 million and $138.0 million in the fourth quarter of 2012 and full year 2012, respectively, compared to $28.3 million in 2011. Operating profit from ongoing operations for Terphane was $6.4 million in the fourth quarter of 2012, which includes amortization expense of $1.3 million, and $19.1 million for the full year 2012, which includes amortization expense of $5.1 million. In 2011, Terphane had operating profit of $3.0 million, which included $0.9 million in one-time reimbursements for custom duties and $0.9 million of amortization expense. The operating results for Terphane reflect continued progress on addressing production efficiency issues associated with the upgrade of an existing production line highlighted in previous quarters.

2 of 10

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
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 17,730.11 -27.80 -0.16%
S&P 500 2,076.78 -0.64 -0.03%
NASDAQ 5,009.2140 -3.9090 -0.08%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs