In the year-over-year comparison of adjusted earnings, the expanded scope of the planned maintenance outages in Specialty Papers and currency translation unfavorably affected earnings by $0.08 per share and $0.03 per share, respectively, and a favorable tax rate increased earnings by $0.04 per share.
Consolidated net sales totaled $410.8 million in the 2Q 2015 compared with $445.3 million in the 2Q 2014. The translation of non-U.S. dollar sales unfavorably impacted the year-over-year comparison by $29.3 million reflecting a weaker Euro in the Composite Fibers and Advanced Airlaid Materials business units.
“During the 2Q, we successfully managed the controllable elements of our business while capitalizing on opportunities in many of our markets. We benefited from strong demand in most of Composite Fibers’ product lines, including record demand for our food and beverage products, with shipments up 9% compared to the 2Q 2014 and in Specialty Papers we continued to outperform the broader uncoated freesheet market. In addition, our Specialty Papers Business Unit performed well, including efficiently completing the annual maintenance outages at its two mills and subsequently delivering record monthly pulp production at its Chillicothe facility,” said Dante C. Parrini, chairman and CEO.
“However, our business was impacted by ongoing macro-level challenges, including difficult economic conditions in Russia and Ukraine, currency headwinds and softer demand in certain product segments. In particular, weak markets in Russia and Ukraine continued to impact Composite Fibers’ nonwoven wall cover shipments, which were down 19% compared to the same period in 2014. Advanced Airlaid Materials’ results were disappointing this quarter largely due to softer than anticipated demand in the feminine hygiene market, resulting in downtime at our German facility to manage inventory levels.”
Glatfelter is a global supplier of specialty papers and fiber-based engineered materials, offering innovation, technical expertise, and world-class service.
