W.R. Grace's 1Q Adjusted EPS rises 39%, Reaffirms Full Year Outlook

W.R. Grace & Co.

disclosed that it suffered a net loss of $2.7 million or a loss of $0.04 a share in the first quarter. In comparison, the company earned a profit of $52.7 million or $0.72 a share in the year-ago quarter. On an adjusted basis, earnings grew 39% to $0.57 a share in the March quarter. The company said that its net sales fell 8.6% to $362.8 million from $397.0 million in the previous year quarter. Street analysts expected the company to report earnings of $0.54 a share and revenue of $396.0 million. Commenting on the results, W.R. Grace's Chairman and CEO, Fred Festa, said that "We achieved good margin improvement and strong cash flow keeping us on track to meet our 2016 outlook. The announced acquisition of BASF's Polyolefin Catalyst business provides a great fit to our portfolio." Moving ahead, the company reaffirmed its forecast of adjusted earnings of $3.02 - $3.21 a share for the year 2016. The mid-point is higher than the Street analysts' estimation of $3.09 a share. The company also reaffirmed its adjusted EBIT to be in the range of $400 - $420 million while adjusted EBITDA would be in the range of $500 to $520 million. The stock shed 0.09% on Tuesday.