MOSCOW (MRC) -- Olin Corporation announced today that its fourth quarter 2014 net income was USD12.8 million, or USD0.16 per diluted share, which compares to USD24.7 million, or USD0.31 per diluted share, in the fourth quarter of 2013, as per company's press release.
Sales in the fourth quarter of 2014 were USD499.8 million compared to USD562.1 million in the fourth quarter of 2013. Full year 2014 income from continuing operations was USD105.0 million, or USD1.32 per diluted share, which compares to USD178.6 million, or USD2.21 per diluted share, in 2013. Sales in 2014 were USD2.2 billion compared to USD2.5 billion in 2013.
Fourth quarter 2014 results included USD11.2 million of pretax restructuring charges, primarily related to the decision to permanently close approximately 50% of the chlor alkali capacity at the Becancour, Canada facility. Fourth quarter 2013 earnings included a USD6.5 million pretax gain associated with the sale of a joint venture interest, USD4.0 million of favorable tax adjustments and USD1.4 million of pretax restructuring charges.
"Winchester's fourth quarter 2014 commercial volumes and segment earnings reached the second highest fourth quarter levels ever. During the fourth quarter of 2014, the Chlor Alkali business experienced lower chlorine and caustic soda shipments and ECU netbacks, reflecting lower caustic soda prices, compared to the fourth quarter of 2013. Fourth quarter 2014 Chemical Distribution segment earnings were comparable to the fourth quarter of 2013.
"First quarter 2015 net income is forecast to be in the USD0.20 to USD0.25 per diluted share range. Chlor Alkali first quarter 2015 earnings are expected to be similar to the fourth quarter of 2014 reflecting higher ECU netbacks and higher volumes offset by higher operating costs. Earnings in the Winchester segment are expected to be slightly lower than first quarter 2013 levels. First quarter 2015 Chemical Distribution earnings are expected to improve from the fourth quarter of 2014. First quarter 2015 earnings are also expected to include pretax restructuring charges of approximately USD1 million."
As MRC wrote before, Olin Corp. will permanently close part of its Becancour, Quebec, chemical plant that had already been shut down since June. The Clayton-based maker of chemicals and ammunition, which also owns 9 chemical plants in the U.S., said the move would reduce the Canadian plant's chlor alkali capacity by 185,000 tons.
Olin Corporation manufactures chemicals and ammunition products. The Company manufactures and sells chlorine, caustic soda, sodium hydrosulfite, hydrochloric acid, hydrogen, sodium chlorate, bleach products, and potassium hydroxide. Olin also manufactures products that include sporting ammunition, reloading components, small caliber military ammunition and industrial cartridges.
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