Tags: WR Grace | stock | loss | earnings

WR Grace Stock Hits All-Time High as Results Top Wall Street's Expectations

Wednesday, 06 Feb 2013 01:30 PM

W.R. Grace & Co. moved to a loss in its fourth quarter, dragged down by a hefty charge. Its adjusted results and revenue topped Wall Street's estimates, however, and the stock hit an all-time high.

The chemical and building materials maker lost $111.6 million, or $1.48 per share, for the three months ended Dec. 31. That compares with a profit of $58.1 million, or 77 cents per share, a year earlier.

Excluding a $365 million charge, which is an adjustment to asbestos-related liabilities on the company's balance sheet, earnings were $1.11 per share. Analysts forecast earnings of $1.06 per share, according to a FactSet poll.

Revenue dropped 3 percent to $797.8 million from $825.6 million, hurt by the stronger dollar and lower rare earth surcharges. This still topped Wall Street's prediction of $790.1 million in revenue. W.R. Grace said sales in emerging regions represented 39 percent of the total and grew 16 percent year over year.

Shares of W.R. Grace rose $2.78, or 3.8 percent, to $75.41 in afternoon trading. It reached an all-time high of $76.30 earlier in the session.

For the year, W.R. Grace earned $94.1 million, or $1.23 per share. In 2011 the Columbia, Md., company earned $269.4 million, or $3.57 per share. Adjusted earnings were $4.17 per share. Annual revenue fell 2 percent to $3.16 billion from $3.21 billion.

Looking ahead, W.R. Grace expects 2013 revenue in a range of $3.2 billion to $3.3 billion, while analysts expect revenue of $3.3 billion.

The company originally filed for bankruptcy protection in April 2001 so it could resolve its asbestos-related liabilities. A bankruptcy court reaffirmed its reorganization plan in June, but several parties filed to appeal.

© Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

1Like our page

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved