05.01.15
MeadWestvaco reported total business segment EBITDA of $227 million in the first quarter of 2015, a modest increase versus the prior year. Continued momentum with the company’s end market-focused commercial strategy, solid operational execution and benefits from cost reduction actions drove the improvement.
Sales from continuing operations in the first quarter of 2015 were $1.28 billion compared to $1.32 billion in the first quarter of 2014. Income from continuing operations attributable to the company was $31 million or $0.18 per share in the first quarter of both 2015 and 2014. Income from continuing operations attributable to the company excluding special items was $46 million or $0.27 per share in the first quarter of 2015, compared to $39 million or $0.23 per share in the first quarter of 2014.
As a result, the company’s Packaging businesses again delivered EBITDA and EBITDA margin growth, while the Specialty Chemicals business maintained strong EBITDA margins from increases across targeted performance chemicals markets, and continued gains in carbon technology markets.
“The strong performance across our businesses this quarter is the result of excellent commercial and operational execution,” said John A. Luke, Jr., chairman and CEO, MWV. “The momentum we have established with our market-focused strategy has carried into 2015 and helped us create our own growth and deliver EBITDA improvement in our businesses during a challenging economic period.
“As we prepare to create the premier global packaging company with RockTenn, there is tremendous excitement about our complementary capabilities and the opportunities to serve the growing global packaging marketplace,” said Luke. “Our engagement and planning over the last 90 days further validates the strength of our combination, which is on track to be completed in the current quarter.”
In the Food & Beverage segment, sales decreased 2.4% (+2% ex-currency) to $745 million in the first quarter of 2015 compared to $763 million in first quarter of 2014. EBITDA decreased 6% to $103 million in the first quarter of 2015 compared to $109 million in the first quarter of 2014.
In the Home, Health & Beauty segment, sales decreased 12.2% (-1% ex-currency and portfolio) to $180 million in the first quarter of 2015 compared to $205 million in the first quarter of 2014. EBITDA increased 17% to $34 million in the first quarter of 2015 compared to $29 million in the first quarter of 2014.
In the Industrial segment, sales decreased 5.5% (+11% ex-currency) to $121 million in the first quarter of 2015 compared to $128 million in the first quarter of 2014. EBITDA increased 23% to $32 million in the first quarter of 2015 compared to $26 million in the first quarter of 2014.
In the Specialty Chemicals segment, sales grew 3.0% (+6% ex-currency) to $239 million in the first quarter of 2015 compared to $232 million in the first quarter of 2014. EBITDA of $58 million was essentially unchanged in the first quarter of 2015 compared to the first quarter of 2014.
Sales from continuing operations in the first quarter of 2015 were $1.28 billion compared to $1.32 billion in the first quarter of 2014. Income from continuing operations attributable to the company was $31 million or $0.18 per share in the first quarter of both 2015 and 2014. Income from continuing operations attributable to the company excluding special items was $46 million or $0.27 per share in the first quarter of 2015, compared to $39 million or $0.23 per share in the first quarter of 2014.
As a result, the company’s Packaging businesses again delivered EBITDA and EBITDA margin growth, while the Specialty Chemicals business maintained strong EBITDA margins from increases across targeted performance chemicals markets, and continued gains in carbon technology markets.
“The strong performance across our businesses this quarter is the result of excellent commercial and operational execution,” said John A. Luke, Jr., chairman and CEO, MWV. “The momentum we have established with our market-focused strategy has carried into 2015 and helped us create our own growth and deliver EBITDA improvement in our businesses during a challenging economic period.
“As we prepare to create the premier global packaging company with RockTenn, there is tremendous excitement about our complementary capabilities and the opportunities to serve the growing global packaging marketplace,” said Luke. “Our engagement and planning over the last 90 days further validates the strength of our combination, which is on track to be completed in the current quarter.”
In the Food & Beverage segment, sales decreased 2.4% (+2% ex-currency) to $745 million in the first quarter of 2015 compared to $763 million in first quarter of 2014. EBITDA decreased 6% to $103 million in the first quarter of 2015 compared to $109 million in the first quarter of 2014.
In the Home, Health & Beauty segment, sales decreased 12.2% (-1% ex-currency and portfolio) to $180 million in the first quarter of 2015 compared to $205 million in the first quarter of 2014. EBITDA increased 17% to $34 million in the first quarter of 2015 compared to $29 million in the first quarter of 2014.
In the Industrial segment, sales decreased 5.5% (+11% ex-currency) to $121 million in the first quarter of 2015 compared to $128 million in the first quarter of 2014. EBITDA increased 23% to $32 million in the first quarter of 2015 compared to $26 million in the first quarter of 2014.
In the Specialty Chemicals segment, sales grew 3.0% (+6% ex-currency) to $239 million in the first quarter of 2015 compared to $232 million in the first quarter of 2014. EBITDA of $58 million was essentially unchanged in the first quarter of 2015 compared to the first quarter of 2014.