H.B. Fuller Third-Quarter 2016 Revenue Drops 2%
H.B. Fuller Co. recently reported financial results for the third quarter that ended August 27.
H.B. Fuller Co. recently reported financial results for the third quarter that ended August 27, 2016. Net revenue for the third quarter of 2016 was $512.9 million, down 2.2% vs. the third quarter of 2015. Higher volume/mix positively impacted net revenue growth by 0.9 percentage points. Lower average selling prices and negative foreign currency translation negatively impacted net revenue growth by 2.1 and 1 percentage points, respectively.
Net income for the third quarter of 2016 was $32.7 million, a 5% increase vs. net income of $26.8 million in last year’s third quarter. Gross profit margin was 28.5%, an improvement of 50 basis points vs. the prior year’s third quarter, reportedly reflecting effective management of pricing and raw material costs. Cash flow from operating activities of $63 million, driven by solid net income performance; on track to deliver over $200 million in cash flow from operations for the 2016 fiscal year.
During the quarter the company reportedly maintained margins through effective management of pricing and raw material costs. Gross profit margin increased 50 basis points vs. the prior year.
”We continued to deliver improving financial results in-line with our long term goals,” said Jim Owens, president and CEO. “Volume growth remained robust in both the Asia Pacific and Engineering Adhesives segments, and we delivered the volume improvements we committed to in the Americas Adhesive segment, reflecting continued sequential improvements. Our cash flow was strong, we began the integration of Cyberbond, an important strategic acquisition, and managed earnings in-line with our strategic commitments with EPS up 14% year-to-date and EBITDA margin up 90 basis points for the first nine months of the year. We are confident that we will continue to drive our business performance toward the long-term goals committed to in our 2020 strategic plan.”
For more information, visit www.hbfuller.com.