TORONTO - The Vinyl Group of Jannock Ltd., a major extruder of vinyl siding, windows, fencing and decking, reported higher sales because of acquisitions in 1995, but higher resin costs resulted in lower operating earnings. Toronto-based Jannock also makes metal, brick and insulation products. Companywide, Jannock reported sales of C$1.15 billion (US$838.1 million).
Jannock said operating earnings at its Vinyl Group were cut in half - from C$19.1 million (US$13.9 million) in 1994 to C$9.6 million (US$7 million) in 1995. Jannock blamed sharply higher resin costs, saying the Vinyl Group was unable to pass the costs through fully at its U.S. operations. A depressed home building industry in Canada knocked down volumes there.
The sales picture looked healthier. Vinyl sales were C$304.7 million (US$222.4 million), a 36 percent increase from up the 1994 sales of C$223.8 million (US$163.3 million).
Jannock attributed the sales gain to higher volumes and acquisitions. In 1995, Jannock bought Bird Corp.'s vinyl siding plant in Bardstown, Ky., and Bird's vinyl window factory in Leechburg, Pa. Jannock continues to acquire vinyl companies this year. On Jan. 12, it bought the Heritage Vinyl Products' factory in Macon, Miss., from GSI Group Inc. of Assumption, Ill.
In its annual report, Jannock also reported total 1995 vinyl siding shipments increased by 22 percent, to 470 million square feet. The company said its five vinyl siding plants have a production capacity of about 500 million square feet - or about 15 percent of North American capacity.
Vinyl windows, decking and fencing are all new products for Jannock.