In a May 3 news release, Chairman, President and CEO Robert Patterson said Avient's adjusted earnings per share for the quarter "exceeded our guidance as a result of favorable margins in both segments." He added that improvement "was partially driven by composites and sustainable solutions, which are proving to be resilient in a challenging macroeconomic environment."
Integration of Avient's 2022 acquisition of the Dyneema-brand fiber business "is progressing exceptionally well," Patterson said. "Demand for defense, energy and telecom composite applications are helping to offset weakness in other markets around the world."
Results were up at Avient's Specialty Engineered Materials unit, but those efforts were eclipsed by lower performance in the firm's Color, Additives & Inks business.
First-quarter CAI sales were down more than 17 percent to $537 million, with operating profit down almost 31 percent to $65.6 million. SEM went in the other direction, with sales up more than 27 percent to $309.7 million and operating profit up more than 13 percent to $43.1 million.
Looking ahead, officials said that global demand conditions "continue to be challenged" by negative consumer sentiment, rising interest rates and inflation. "In Europe and the Americas, customers remain cautious and are managing inventory levels tightly, while China's re-opening is progressing at a measured pace," Chief Financial Officer Jamie Beggs added.