MOSCOW (MRC) -- Univar Inc., a global chemical distributor and provider of value-added services, announced today its financial results for the first quarter ended March 31, 2016, said the company on its site.
"Despite sluggish global demand and difficult oil and gas comparisons, Univar’s focus on operational excellence enabled us to deliver a solid quarter," said Erik Fyrwald, President and Chief Executive Officer. "We achieved growth in a number of segments excluding upstream oil and gas and activities related to our restructuring in EMEA. Margins were higher in all segments and we self-funded both acquisitions completed in the quarter."
Univar reported net sales for the quarter of USD2.0 billion, down USD300 million or 13.1 percent compared to prior year, largely due to lower demand from oil and gas markets, deflation in certain chemical prices, and foreign currency translation. Globally, volumes grew 2.0 percent excluding the impact of oil and gas and EMEA restructuring. On a currency neutral basis, gross profit decreased $18.1 million, or 3.9 percent compared to prior year. Operating expenses decreased USD19.7 million, or 6.2 percent, reflecting lower operating costs, reduced discretionary spending, and foreign currency translation.
Univar’s first quarter Adjusted EBITDA of USD134.1 million was higher than its earlier guidance. Univar previously indicated that it expected Adjusted EBITDA for the first quarter to be 10 percent below the USD129.6 million of Adjusted EBITDA reported in fourth quarter 2015.
Univar reported GAAP EPS of USD0.10 per share based on approximately 138 million shares outstanding, compared to GAAP EPS of USD0.20 per share in first quarter 2015 based on approximately 100 million shares outstanding prior to the company’s June 2015 initial public offering.
Founded in 1924, Univar is a global distributor of specialty and basic chemicals from more than 8,000 producers worldwide. Univar operates more than 800 distribution facilities throughout North America, Western Europe, the Asia-Pacific region, and Latin America, supported by a global network of sales and technical professionals. With a broad portfolio of products and value-added services, and deep technical and market expertise, Univar delivers the tailored solutions customers need through one of the most extensive chemical distribution networks in the world.
MRC