Calgon Carbon today reported higher first-quarter profit despite a drop in sales, citing a cost reduction program the Robinson environmental products and services firm initiated last year.
Profit totaled $9.8 million, or 18 cents per share, versus earnings of $7.7 million, or 14 cents per share, in the year-ago quarter. Sales fell 1 percent to $135 million as slightly higher demand for activated carbon was offset by a decline in equipment sales.
Analysts were expecting profit of 15 cents per share on sales of $137 million.
President and CEO Randy Dearth said profit margins should improve in the future as the company implements the second phase of its cost-cutting effort. Price increases for the company's activated carbon products and services will also help, he said.
The results were announced before Wall Street opened. Calgon Carbon shares closed Friday at $17.21, up 30 cents. They are up 21 percent this year.mobilehome - breaking - businessnews - neigh_west
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