WASHINGTON (dpa-AFX) - Sealed Air Corp. (SEE) on Thursday reported a loss for the first quarter, weighed down by one-time items. The company now expects net sales will be at the lower end of its initial guidance range due to economic conditions in Europe.
Net loss attributable to common stockholders was $6 million or $0.03 per share compared to a profit of $59.7 million or $0.34 per share last year.
The latest results included a $0.21 per share effect from special items mainly as Integration and Optimization Program restructuring charges. Adjusted earnings totaled $0.18 per share.
On average, 11 analysts polled by Thomson Reuters expected earnings of $0.21 per share for the quarter. Analysts' estimates typically exclude special items.
Reported sales increased 70 percent to $1.92 billion from $1.13 billion. Out of these, a 66 percent increase was related to the Diversey acquisition, 2 percent for higher price/mix and 2 percent from higher volumes. Analysts expected revenues of $1.92 billion for the quarter.
William Hickey, CEO, said, 'We remain on track toward achieving our 2012 adjusted EBITDA and year-end net debt targets despite the uncertainty of the European economy and the uneven recovery in the U.S. We are confident in the cost synergies with Diversey with increased cost synergy estimates in 2012 and future years...'
For 2012, the company maintained its adjusted earnings per share guidance range of $1.50 to $1.60 and cash earnings per share range of $2.10 to $2.20. The company expects net sales will be at the lower end of its initial guidance range of $8.2 billion to $8.3 billion due to European economic conditions.
Analysts expect full year earnings of $1.49 per share on revenues of $8.20 billion.
Cost synergies for the year are expected to be $70 million, compared to the original guidance of $50 million.
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© 2012 AFX News
