Calgon Carbon posts loss on restructuring costs, declining sales
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Calgon Carbon today reported a third-quarter loss of $4.5 million, citing $8 million in restructuring costs that included closing an activated carbon plant in China.
Sales fell 6 percent.
The loss, which the Robinson environmental services firm forecast Oct. 18, amounted to 8 cents per share and came on sales of $135.5 million. In the year-ago quarter, the company earned $14.5 million, or 25 cents per share, on sales of $143.6 million.
The restructuring charges included $3.7 million for severance and $3.6 million related to the closing of the plant in Datong, China.
Other expenses also increased, including a $1.7 million pension-related charge and $1.7 million related to the departure of former chairman, president and chief executive officer John Stanik in July. Mr. Stanik retired because of the illness of an undisclosed family member.
"The results for the current quarter clearly confirm the need to reduce Calgon Carbon's cost structure and improve operating efficiencies," president and CEO Randy Dearth, the former Lanxess executive who succeeded Mr. Stanik, said in a prepared statement.
The third quarter results were released before Wall Street opened. Calgon Carbon shares, which have fallen sharply since the Oct. 18 announcement, finished Thursday at $12.50, up 11 cents. They are off 21 percent for the year.
First Published November 2, 2012 9:23 am