Koppers impacted by input costs, availability of raw materials – Product commentary
By Michael Dabaie
Koppers Holdings Inc. said each of its business segments were impacted throughout the third quarter, to varying degrees, by higher input costs, availability of raw materials and higher transportation costs. resulting from inefficiencies in the global supply chain and a tight labor market.
On the results:
The supplier of treated wood products, wood treatment chemicals and carbon compounds reported third-quarter net income of $ 10.2 million, or 47 cents per share, from $ 75.6 million, or $ 3.53 a year earlier.
On rail and utility products and services:
âThe supply of hardwood for ties and posts continues to be difficult due to increased demand for lumber in construction markets.
On performance chemicals:
âThe decline in sales is primarily due to lower volumes of preservatives in North America as wood processors continued to closely manage inventory levels given high lumber prices. and consumer spending from renovations and repairs to other discretionary categories, partially offset by increases in copper prices. preservative-based in some areas. “
On carbonaceous materials and chemicals:
The carbonaceous materials and chemicals segment recorded higher sales and profitability than in the previous year, benefiting from a favorable pricing environment attributable to strong underlying market demand as well as a cost profile. improved.
Write to Michael Dabaie at [email protected]