PolyOne reports higher sales and profit in 2011

By Frank Esposito
Senior Staff Reporter

Published: February 17, 2012 6:00 am ET

Related to this story

Topics Materials Suppliers
Companies & Associations

AVON LAKE, OHIO (Feb. 17, 10:25 a.m. ET) — Compounding and distribution leader PolyOne weathered a fourth-quarter operating loss to produce positive financial results for full-year 2011.

Avon Lake -based PolyOne posted sales of almost $2.9 billion in 2011 – up more than 9 percent vs. 2010. The firm’s full-year profit also climbed more than 6 percent to almost $173 million. A fourth-quarter operating loss of almost $40 million mainly resulted from pension actuarial losses.

“The fourth quarter marks the end of another record-breaking year for PolyOne,” Chairman, President and CEO Stephen Newlin said in a Feb. 17 news release. “I look back on 2011 as a critical inflection point in our transformation toward becoming a specialty company.”

PolyOne accomplished this goal, Newlin added, by acquiring global liquid color leader ColorMatrix Group Inc. and Brazilian compounder Uniplen Industria de Polimeros Ltda., and by selling off its stake in commodity chlorine and caustic soda maker SunBelt. The ColorMatrix deal in particular could be a defining moment for PolyOne, largely because of its $486 million price tag. Officials already are saying ColorMatrix will add income of 4-6 cents per share to PolyOne in 2012 and 12-15 cents per share in 2013.

In 2011, PolyOne’s Specialty Platform – including color, additives, inks and engineered materials – ranked as the largest of the firm’s three operating units, generating more than 37 percent of sales before eliminations. Specialty Platform sales grew seven percent to more than $1.1 billion during 2011, while its operating income increased two percent.

PolyOne’s distribution unit – which markets resins for almost 20 suppliers - saw 2011 sales growth of 9 percent and operating income growth of 33 percent. The firm’s performance products and solutions unit – including PVC compounds – enjoyed sales growth of 11 percent during the year and operating income growth of almost 15 percent.

Newlin cautioned in the release that growth rates for 2012 “may decelerate given the current economic environment,” but he added that PolyOne “expects another year of record adjusted earnings per share.”

On Wall Street, PolyOne’s per-share stock price is off to a strong start in 2012, starting the year near $12 and climbing almost 30 percent to $14.90 in early trading Feb. 17.


Comments

PolyOne reports higher sales and profit in 2011

By Frank Esposito
Senior Staff Reporter

Published: February 17, 2012 6:00 am ET

Post Your Comments


Back to story


More stories

Image

Ford moving forward in carbon fiber for 'high volume' use

April 17, 2015 10:21 am ET

Ford Motor Co. has signed a deal with a carbon-fiber manufacturer to jointly explore “high-volume” automotive uses for the lightweight...    More

Image

Force majeure declared at six European sites since mid-March

April 17, 2015 1:10 pm ET

At least six European resin makers have declared force majeure on polyethylene, polypropylene and related products since mid-March, leading to higher ...    More

Image

Executives step down from Star Thermoplastics

April 17, 2015 12:56 pm ET

Executives Randall Fortin and Larry Johnson no longer are with materials firm Star Thermoplastics Alloys & Rubbers Inc.    More

Image

Zoltek expanding CF capacity in Europe

April 17, 2015 10:12 am ET

Leading carbon fiber group Zoltek Corp. has signed a strategic agreement with the Hungarian government to expand its operation in northern Hungary,...    More

Image

Hanwha Azdel adds capacity in Lynchburg

April 16, 2015 2:01 pm ET

Composite maker Hanwha Azdel Inc. will add space and a new production line at its Lynchburg, Va., production facility, the company announced April 16.    More

Market Reports

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Injection Molding Market Analysis & Processor Rankings

Plastics News BUNDLED package contains our in-depth Market Analysis of the Injection Molding segment. You will gain keen insight on current trends and our economic outlook.

As a BONUS this includes PN's updated 2014 database of North American Injection Molders RANKED by sales volume. Sort, merge, mail & prospect by end market, materials processed, region, # of plants and more.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 15, 2015 - September 17, 2015Plastics Caps & Closures - September 2015

More Events