WASHINGTON (dpa-AFX) - Bemis Co. Inc. (BMS) Wednesday reported a lower fourth-quarter profit, hurt by pared margins and one-time costs that offset a slight rise in revenues. However, excluding items, adjusted earnings easily topped Street estimates, with revenues also ahead of expectations. Bemis, which makes packaging products, also provided its full year 2012 adjusted earnings guidance which is indicated to top current Street estimates. Bemis reported fourth-quarter net income of $20 million or $0.19 per share, compared to $53 million or $0.48 per share last year. Results for the quarter include facility consolidation and other costs of $38 million. Excluding items, adjusted earnings for the quarter were $0.45 per share. On average, 10 analysts polled by Thomson Reuters expected earnings of $0. 40 per share for the quarter. Analysts' estimates typically exclude special items. CEO Henry Theisen said, 'We faced a challenging environment in 2011, as dramatic resin price increases and softening customer demand impacted our performance throughout the year. As we enter 2012, we are making changes to our manufacturing footprint in order to meaningfully reduce expenses and create positive profit momentum going forward.' Neenah, Wisconsin-based Bemis reported revenues of $1.27 billion, an 1.7 percent increase from $1.5 billion last year. Analysts expected revenues of $1.26 billion for the quarter. Flexible packaging segment sales increased 2 percent from last year to $1.13 billion, helped by higher selling prices and improved sales mix, offset by lower unit sales volumes. Pressure sensitive materials sales fell 0.4 percent to $136.4 million from a year ago. For the first quarter, Bemis expects adjusted earnings of $0.43 to $0.49 per share. Analysts currently expect earnings of $0.47 per share.
For 2012, the company as forecast adjusted earnings of $2.05 to $2.20 per share, while analysts currently expect $2.16 per share. Bemis expects volumes in 2012 to be the same as in 2011. During the fourth quarter 2011, Bemis initiated a restructuring exercise, which included a reduction in both administrative and production workforce levels. The company also announced the closure of five facilities, two of which were completed by early January. Bemis said it expects to incur additional pre-tax charges related to these efforts of about $45 million or $0.27 per share over the next 15 months. The restructuring is expected to save about $0.24 per share in annualized costs beginning 2013. BMS is trading at $31.56, up $1.57 or 5.24%, on the NYSE.
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