Georgia Gulf Reports 2010 Financial ResultsFebruary 18th, 2011 by DWM Magazine
Georgia Gulf Corp. announced financial results last week for its fourth-quarter and year ended December 31, 2010. The company reported net income of $15.1 million for the fourth-quarter of 2010, compared to a net loss of $124.7 million during the same quarter in the previous year. For the full year 2010, Georgia Gulf recorded net income of $42.7 million, compared to net income of $131.1 million in 2009.
Results for the full year 2009 include a pre-tax gain of $400.8 million related to the company’s 2009 debt exchange, partially offset by a loss of $42.8 million due to debt modification and extinguishment.
The company reported operating income of $33.6 million for the fourth quarter of 2010 compared to an operating loss of $18.6 million for the fourth quarter of 2009.
Georgia Gulf reported operating income of $114.3 million for the full year 2010, compared to an operating loss of $0.6 million during the previous year.
In the Building Products segment, which includes Royal Group, net sales were $174.4 million for the fourth quarter of 2010, compared to $171.0 million during the same quarter in the prior year. Net sales on a constant currency basis were flat. The segment’s operating loss was $6.1 million for the fourth quarter of 2010, compared to a $1.5 million operating loss during the same quarter the prior year. The decrease in operating income is primarily the result of higher raw materials.
“Our Building Products business reported its second straight year of strong results, generating 33 percent more adjusted EBITDA in 2010 than 2009 on just a 4 percent increase in sales volume,” said Paul Carrico, president and CEO, Georgia Gulf.